Why Design Matters (@P&G)

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Why Design Matters

WHY DESIGN MATTERSP&G EXECUTIVE SUMMIT29 April 2010

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PRESTON SMALLEY

As part of the Design to Delight initiative at P&G (Marta, Mui, Rosa Maria and others are leading) I believe design should be used as a competitive advantage and that it can be applied to all kinds of products and services including the ones you in this room work on.

PRESENTED ON 4/29/2010 in Cincinnati, OH to Directors at P&G within their Global Business Services division which supports the Bus and 100K employees.

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What were going to discuss

Why does design matter?

Whats User Centered Design?How can companies embrace design?

How can top management remove barriers?What role can IT professionals play?

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PRESTON SMALLEY

Ill cover 5 tenets of design that I believe are critical

Ill discuss some common barriers that top management can either cause or actively remove.

And lastly Ill touch on how you as IT professionals can think about adopting some of these concepts.

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Profitability from creating new mkts

Business Launch

Revenue Impact

Profit Impact

86%

14%

62%

38%

39%

61%

Red ocean launches

Blue ocean launches

BOOKBlue Ocean Strategy (Kim & Mauborgne)

PRESTON SMALLEY

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Swiffer (P&G)

Customer Insight:To clean up spilled coffee grounds the customer didnt use the broom or vacuum. Instead she used a paper towel.

Swiffer launched in 1999 and created the quick-clean market. As of 2005had a market share of 75% representing $750M.

PRESTON SMALLEY

Story: Two P&G researchers followed a nice, grandmotherly lady as she ambled about, showing them around her house. When she flung the doors of her closet open, the researchers noticed that a broom covered with dust stood in the corner. In another closet, a vacuum cleaner sat, unused and forlorn. The researchers nodded conspiratorially at each other as they jotted notes.

They all wandered into the kitchen. Jarring the researchers from their note-taking frenzy, the woman asked them, Would you nice boys like some coffee? The researchers agreed, blushing at being called nice boys. As the woman took a can of coffee grounds down from the pantry and opened it, the can slipped from her hands. She cried out as the can tumbled to the ground, strewing coffee grounds across the floor.

Instantly, she grabbed a paper towel and attacked the mess, muttering to herself as she crouched on the floor. When she stood again, the researchers were staring at her, befuddled. What? she asked, the look of puzzlement on their faces engendering a puzzlement of her own. You didnt use the broom, one researcher remarked. Or the vacuum cleaner, the other chimed in.

With a sigh, the lady vented her frustration the broom wouldnt do a good-enough job and would leave coffee grounds on the floor, and the vacuum cleaner was heavy, cumbersome, needed to be plugged in, and was just overkill for the small mishap.

The researchers nodded and wrote. Then, flipping their notebooks closed, they smiled and glanced at each other again with that same conspiratorial look, the gleam of excited insight shining from their eyes.

SOURCE: BusinessWeek 2005 - http://www.businessweek.com/innovate/content/sep2005/id20050923_571639.htm

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Personal JukeBox (PJB100)by Compaq Research / HanGo

Release:- Oct 1999Features:- 5GB storage (100 CDs)- 10 hours battery life- Playlists, Tracks, etc

Advantages:- 2 year head start on Apple- Lots of advanced features

iPod (1st Generation)by Apple

VS.

Release:- Oct 2001Features:- 5GB storage (100 CDs)- 10 hours battery life- Playlists, Tracks, etc

Advantages:- Fast & Easy CD Import SW- UI Design (Click wheel)- Branding and Marketing

PRESTON SMALLEY

However, it isnt always enough to create a blue ocean. Personal JukeBox failed despite 2 year head start.

Discovery Mind critical to identifying the getting started import pain pointFind the Ah Ha moment (e.g. seeing all your music neatly organized and accessible)

It wasnt until later that Apple added other key features like buying music, automatic genius playlists, video, apps and more.

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DESIGNING THE EBAY IPHONE APP

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PRESTON SMALLEY

Fast Timeline and Constrained Device. Forced team to focus on the essence of the experience.

Thought about what would customers want to do on the go. Limited feature set.

Technology Platform enables this kind of design innovation

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Results for the eBay iPhone App

$27M in sales per week* and accelerating to triple sales in 2010 (over previous year)8M total downloads* and is consistently in Top 100 most downloaded listTop rated by our customers:

1 item purchased every 2 seconds

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* Results as of March 2010

PRESTON SMALLEY

So what isuser centered design?

How can I embrace it?

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PRESTON SMALLEY

5 key aspects to user centered design:Customer InsightsDiscovery MindSketchingPrototypingCritique

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1. Customer INSIGHTS

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PRESTON SMALLEY

At its core design is based on understanding who you are designing for. Their pain points and the opportunities to help them be more successful.

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How we gather customer insights

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Usability Studies(Lab Based)

Survey-basedResearch

Follow-me-home(Ethnographic)

Net Promoter Scoreand verbatims

Quantitative

Qualitative

Focused

Open Ended

+ Customer Support is often a great source of top customer pain points

PRESTON SMALLEY

Also dont overlook other channels that may exist like Customer Support contacts and employee use of products

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2. DISCOVERY MIND

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PRESTON SMALLEY

Prior to executing on any significant project, Ive found it crucial to focus the team on what problems exactly were trying to solve. This is especially important for an executive mandated project as if the team doesnt really know why theyre doing XYZ its unlikely to be successful.

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EX: Product Discovery

Product Discovery is a way to insert the thinking part into our process that enables us to come up with big ideas and right solutions to the right problems, before we rush into implementation.

How we made this happenIntroduced formal Discovery phase within timelineCross functional ownership (Customer, BU, Technology)Drove cultural changes - Delaying judgments, Saying NO

PRESTON SMALLEY

Thru a change management process I worked with a visionary leader on in team, Shailesh Shilwant, to insert Product Discovery at the front of our process.

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But first, you have to ask the right questions

Execution delivers the right answers

Execution

Discovery

PRESTON SMALLEY

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Slides sets up the 4 examples on the next slide.

?

right

wrong

right

wrong

Example provided byChris Conley (IIT Professor)

Discovery

Execution

PRESTON SMALLEY

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CueCat Introduced in several magazines (e.g. Wired) as a USB device to look up more info about ads (by scanning special bar codes). Nobody needed this. And was the cat supposed to chaise your computer mouse?Segway A sophisticated means of transportation for people that otherwise could walk. A great solution in search of a problem. Pontiac Aztec - Utility Car (I dont need an SUV but my sedan doesnt do it) Ugliest car on the road. A failure. Yes today the Crossover Vehicle Segment now quite lucrative. iPod We already discussed right problem and right execution.

?

right

wrong

right

wrong

Discovery

Execution

Example provided byChris Conley (IIT Professor)

PRESTON SMALLEY

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Product Discovery is how you can at least get the problem right. Then its up to you to execute well.

Key Discovery Questions

What are the unmet needs of our customers?Whats the problem that we are trying to solve?Who are we solving it for?Do you and the stakeholders have a common understanding of the problem?

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BOOKSubject to ChangeMerholz and Schauer

PRESTON SMALLEY

Heres some of the questions we ask up front partnered with Brenden Schauer (Adaptive Path) who also authored the book Subject to Change.

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3. SKETCHING

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PRESTON SMALLEY

Many of remember drawing as kids I know I really enjoy seeing what my son, 3, draws with his crayons. So if a preschooler can do it, shouldnt everyone in this room? And yet as we grow up we learn to tell ourselves that Im not good at sketching but were more comparing ourselves to what a professional sketch artist might do. And yet Ive found that if you democratize sketching and in fact encourage everyone engineers, business analysts, and not just designers youre able iterate and co-create the solution much faster than you would otherwise.

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Building Sketching as a Core Competency

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INFORMAL

FORMAL

Lots of Pens& Paper

Part of JobProfessional tools

Sketch as Deliverable(scanned / wireframes)

Software: Comic Life

PRESTON SMALLEY

Theres a full spectrum of ways to integrate sketching into your company. Everything from simple pens (I like Flair) to comic storyboards to it being part of the job description for one person on my team.

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