Bridging the innovation culture divide

BRIDGING THE INNOVATION CULTURE DIVIDE

Nathan Shedroff Chair, Design MBA Programs California College of the Arts nathan@nathan.com @nathanshedroff

designmba.cca.edu@designmba

www.slideshare.net/NathanShedroff/bridging-the-innovation-culture-divide

MY BACKGROUND

M A K E I T S O Interaction Design Lessons from Science Fiction

b y N AT H A N S H E DR OF F & C H R I S TOP H E R NOE S S E L

foreword by Bruce Sterling

Many designers enjoy the interfaces seen in science fiction films

and television shows. Freed from the rigorous constraints of designing

for real users, sci-fi production designers develop blue-sky interfaces

that are inspiring, humorous, and even instructive. By carefully studying

these “outsider” user interfaces, designers can derive lessons that make

their real-world designs more cutting edge and successful.

“Designers who love science fiction will go bananas over Shedroff and Noessel’s delightful and informative book on how interaction design in sci-fi movies informs interaction design in the real world. . . . You will find it as useful as any design textbook, but a whole lot more fun.”

ALAN COOPER“Father of Visual Basic” and author of The Inmates Are Running the Asylum

“Part futurist treatise, part design manual, and part cultural analysis, Make It So is a fascinatinginvestigation of an often-overlooked topic: how sci-fi influences the development of tomorrow’s machine interfaces.”

ANNALEE NEWITZEditor, io9 blog

“Shedroff and Noessel have created one of the most thorough and insightful studies ever made of this domain.”

MARK COLERANVisual designer of interfaces for movies (credits include The Bourne Identity, The Island, and Lara Croft: Tomb Raider)

“Every geek’s wet dream: a science fiction and interface design book rolled into one.”

MARIA GIUDICECEO and Founder, Hot Studio

www.rosenfeldmedia.com

MORE ON MAKE IT SOwww.rosenfeldmedia.com/books/science-fiction-interface/

E IT SO

by NATH

ISTOPH

OESSEL

Experience Design 1.1a manifesto for the design of experiences

by Nathan Shedroff

product taxonomies 16

user behavior 116

100 years 22

information 42

takeaways 28

data 36

knowledge 48

subjectivity 78

consistency 96

navigation 84 Design Strategy in ActionEdited by Nathan Shedroff

A publication from the MBA in Design Strategy programCalifornia College of the Arts

user behavior 116

experiences 4

experience taxonomies 10

100 years 22

wisdom 54

information 42

takeaways 28

data 36

knowledge 48

subjectivity 78

consistency 96navigation 84

2008 Edition

Dictionary ofSustainable Management

NATHAN SHEDROFF nathan.com @nathanshedroff

deluxe

TOMORROWWORLDS

MBA IN DESIGN STRATEGY MBA IN STRATEGIC FORESIGHT

BUSINESS

DESIGN

BUSINESS

(DESIGN, ARCH, ENG…)

BUSINESS

DESIGN

BUSINESS

DESIGNDESIGN

“BEAN COUNTERS”

“CREATIVES”

OPTIMIZATION

IMAGINATION

CERTAINTY

AMBIGUITY

MINIMAL VIABLE PRODUCT

EXPERIENCE PROTOTYPE

functional financial

functional CLV = GC • - M •∑

(1 + d)ir i ∑

GC = gross contribution per customerM = (relevant) retention costs per customer per year n = horizon (in years)r = yearly retention rated = yearly discount rate.

(1 + d) i - 0.5r i - 1

(Lifetime Customer Value)

functional { (V/S)b - (V/S)g}* Sales

(Brand Value)(V/S)b = Enterprise Value / Sales ratio of the firm with the benefit of the brand name(V/S)g = Enterprise Value / Sales ratio of the firm with the generic product Let's use as an example branded cereals maker like Kellogg (K) against a generic provider like Ralcorp (RAH). Value of Kellogg brand name = (1.78 - 1.32)(13846) = $6,369 MillionThus, (6369/24200) or 26% of the value of the company is derived from brand equity.

emotional identity

meaningful

RELATIONSHIP

emotional identity

meaningful

RELATIONSHIP

emotional identity

meaningful

YOU ARE IN THE RELATIONSHIP BUSINESS

Commodity Product Service Experience

YOU ARE IN THE EXPERIENCE BUSINESS

From: The Experience Economy, Pine and Gilmore

Commodity Product Service Event/Experience

YOU ARE IN THE EXPERIENCE BUSINESS

Experience

emotional identity

meaningful

emotional identity

meaningful

functional (Does this do what I need…?)

financial (…at a price that’s worth it?)

emotional (How does this make me feel?)

identity (Is this me?)

meaningful (Does this fit into my world?)

emotional identity

meaningful

$1.1B TOTAL VALUE:

Instagram

emotional identity

meaningful

$1.1B$86M

TOTAL VALUE:

Instagram

emotional identity

meaningful

$1.01B

TOTAL VALUE:

Instagram

emotional identity

meaningful

$1.01B

$86M Quantitative

Qualitative

TOTAL VALUE:

Instagram

emotional identity

meaningful

$1.01B

$86M Quantitative

Qualitative(Premium)

Instagram

TOTAL VALUE:

“GOOD WILL”

“BOOK VALUE”

QUALITATIVE

QUANTITATIVE

BUSINESS + DESIGN

GROWTH IS EVERYTHING FREE MARKETS ARE EFFICIENT

MARKETS OPTIMIZE EVERYTHING “THE BUSINESS OF BUSINESS IS BUSINESS” “CORPORATIONS ARE PEOPLE MY FRIEND”

THE FOUNDING FATHERS (USA) WERE PRO-BUSINESSTHE GPD MEASURES PROGRESS

RICH PEOPLE CREATE JOBSTHE NUMBERS TELL THE STORY

MARKETING & SALES ARE SIMILARBUSINESSES ARE MORE EFFICIENT THAN GOVERNMENTS

FOCUS ON MINIMAL VIABLE PRODUCTCOOPERATION IS FOR WUSSES

LEADERSHIP COMES FROM AUTHORITY

MYTHS OF BUSINESS

THE WORK SPEAKS FOR ITSELF DESIGN IS FOCUSED ON CUSTOMERS

DESIGNERS CREATE CULTURE BUSINESSPEOPLE ONLY CARE ABOUT THE NUMBERS

NUMBERS DON’T TELL THE STORY YOU CAN PROTECT AN IDEA

DESIGNERS CREATE AND CONTROL THE EXPERIENCE IT’S GOTTA LOOK NICE

THE BEST SOLUTION ALWAYS WINS

MYTHS OF DESIGN

TOTAL VALUE

RELATIONSHIP

EXPERIENCE

INNOVATION

Lessons from The Catalyst:

The Behaviors That Foster InnovationWithin Orgs Are Often FireableOffenses: • Hiding budget • Working on projects after they’re cancelled • Going “out of bounds” for mentors, partners, and conspirators • Reframing the original opportunity

Product Development

Dir. LegalDir. HRDir. FinanceDir. Operations

Dir. MarketingDir. StrategyDir. IT

ContractsManufact.

Purchasing

Distribution

Warehouse

Quality Control

Acc. Payables

Acc. Receivables

Recruiting

Training

Health & Safety

Network Admin.

Training

Support

Community Relations

Research & Development

Strategic Partnerships

Customer Insight

Marketing Commun,

Advertising

Customer Support

Compliance

Business Development

Market Research

Social Media

Brand Strategy

Customers

Product Development

ContractsManufact.

Purchasing

Distribution

Warehouse

Quality Control

Acc. Payables

Acc. Receivables

Recruiting

Training

Health & Safety

Network Admin.

Training

Support

Community Relations

Customer Insight

Marketing Commun,

Advertising

Customer Support

Compliance

Market Research

Social Media

Brand Strategy

Customers

Dir. Operations

Product Development

Dir. LegalDir. HRDir. Finance Dir. MarketingDir. StrategyDir. IT

ContractsManufact.

Purchasing

Distribution

Warehouse

Quality Control

Acc. Payables

Acc. Receivables

Recruiting

Training

Health & Safety

Network Admin.

Training

Support

Community Relations

Customer Insight

Marketing Commun,

Advertising

Customer Support

Compliance

Market Research

Social Media

Brand Strategy

Customers

Dir. Operations

Product Development

Dir. LegalDir. HRDir. Finance Dir. MarketingDir. StrategyDir. IT

ContractsManufact.

Purchasing

Distribution

Warehouse

Quality Control

Acc. Payables

Acc. Receivables

Recruiting

Training

Health & Safety

Network Admin.

Training

Support

Community Relations

Customer Insight

Marketing Commun,

Advertising

Customer Support

Compliance

Market Research

Social Media

Brand Strategy

Customers

Marketing Commun,

Advertising

Product Development

ContractsManufact.

Purchasing

Distribution

Warehouse

Quality Control

Acc. Payables

Acc. Receivables

Recruiting

Training

Health & Safety

Network Admin.

Training

Support

Community Relations

Customer Insight

Customer Support

Compliance

Market Research

Social Media

Brand Strategy

Customers

Marketing Commun,

Advertising

Product Development

ContractsManufact.

Purchasing

Distribution

Warehouse

Quality Control

Acc. Payables

Acc. Receivables

Recruiting

Training

Health & Safety

Network Admin.

Training

Support

Community Relations

Customer Insight

Customer Support

Compliance

Market Research

Social Media

Brand Strategy

Customers

Marketing Commun,

Advertising

Product Development

ContractsManufact.

Purchasing

Distribution

Warehouse

Quality Control

Acc. Payables

Acc. Receivables

Recruiting

Training

Health & Safety

Network Admin.

Training

Support

Community Relations

Customer Insight

Customer Support

Compliance

Market Research

Social Media

Brand Strategy

Customers

Marketing Commun,

Advertising

Product Development

ContractsManufact.

Purchasing

Distribution

Warehouse

Quality Control

Acc. Payables

Acc. Receivables

Recruiting

Training

Health & Safety

Network Admin.

Training

Support

Community Relations

Customer Insight

Customer Support

Compliance

Market Research

Social Media

Brand Strategy

Customers

Shareholders Stakeholders

INNOVATION CULTURES:39% Dynamic Innovators

26% Creative Innovators

18% Structured Innovators

10% Ad Hoc Innovators

8% Innovation Outsourcers

Research: Cheskin (2008)

INNOVATION CULTURES:39% Dynamic Innovators(innovation is lead by executives and cross-functional teams, strategic innovators, integrating innovation right into their corporate strategy) ex: GAP, Pepsi• Strategic Thinking Guides Overall Process• Led by Senior Management with Cross-Functional Teams• Cross-Functional Collaboration Critical• Creative Environment Important• Innovation is not Dependent on a “Big Idea”• Risk-Taking is Accepted

INNOVATION CULTURES:26% Creative Innovators(more spontaneous and build innovation around inspiration and instinct derived from one or a few “geniuses,” intuitively aware of trends and customers’ cultures, act quickly, decisively, and creatively) ex: Apple, numerous start-ups• “Big Ideas” Inspire Most Innovation Initiatives• Led by Senior Management• Exertion is Often Ad-Hoc and Doesn’t Follow a Set Process• Creativity and Curiosity are more Important Than Analytics• Risk-Taking is Encouraged• Design is recognized and respected as a partner

INNOVATION CULTURES:18% Structured Innovators(meticulous processes in the hands of middle managers, Research & Development, Information Technology, or Product Development groups) ex: Nestlé, Kraft, Boeing• Innovation is the Outcome of a Formal Process• Leadership by Middle Management, R&D, and Technology Departments• Cross-Functional Collaboration is Not Emphasized• Analytic Evaluations are Usually More Important Than Creativity• Most Innovations Are Iterative and Risk is Minimized

INNOVATION CULTURES:10% Ad-Hoc Innovators(occasionally, and haphazardly create breakthroughs, no set process and often don’t know how they did it and can’t replicate it, don’t always understand why an offering is successful (or not). ex: Healthcare providers, utilities, retailers, most auto companies• Innovation Approached in Isolation (internally and externally)• Leadership by Middle Management, R&D, and Technology Departments• Cross-Functional Collaboration is Non-Existent• Qualitative Metrics Only• Risk AdverseResearch: Cheskin (2008)

INNOVATION CULTURES:8% Innovation Outsourcers(just can’t innovate inside the company, culture doesn’t trust or value innovation processes, regularly hire or acquire innovation expertise or solutions from the outside, concentrate mostly on sales, promotion, and brand strategies) ex: many fashion houses, older technology firms, or pure marketers, most financial services • Risk adverse• Quantitatively managed and focused (only)• No real support for innovation across all divisions• Innovators often leave for other opportunities

IT’S MORE IMPORTANT FOR AN ORGANIZATION TO KNOW ITSELF THAN TO BE ANY SPECIFIC TYPE

ORGANIZATIONS, DEPARTMENTS, TEAMS, & INDIVIDUALS MAY HAVE DIFFERENT CULTURES

Leadership• Support design from the top• Communicate vision and values internally (all parts of the org)• Support qualitative metrics for success (not only quantitative)• Ensure all aspects of the org understand who is expected to innovate and the rewards• Don’t make design decisions but ensure they’re being made• Temper legal advice

New approaches that support Innovative Opportunities:• Qualitative Marketing Insight (not merely Quantitative Research)•“Design Research” Techniques• Customer Insight Before Technological Development (Augmenting “Agile” Development)• Separating Marketing from Sales

Marketing

• Invest time and budget toward design efforts• Support design efforts in other org divisions• Regular dialog throughout divisions

Operations

• Build and maintain a culture that attracts and enables integrative and divergent thinkers• Provide “cover” for development• Work with Marketing, Customer Support, and Customers directly• Prototype and deploy!

• Abandon “command and control” for a service mentality: Explore and deploy in the service of departmental and customer needs (not merely the needs of the IT dept.)• Consider the experience!

Technology

• Explore new business models• Explore new funding models• Abandon “command and control” for a service mentality

Finance

• Understand and Develop appropriate hiring procedures• Develop and deploy new review and reward structures• Source creatively and dynamically• Work closely with design leads• Abandon process when necessary

• Understand business process, issues, and terminology• Develop new ways of communicating customer experience to non-designer peers• Respect the need (and time) for

quantitative metrics and decisions• Work closely with non-designers• Focus on Total Value!

Design

QUALITATIVE

QUANTITATIVE

QUALITATIVE

QUANTITATIVE

Must lso be fair, honest, just, and respectful of others’ intrests

performer + individul listener + performer’s promise + background of obviousnss + conversation for action

for some future action (to accept, decline, etc.) and time, resources to have a promise fulfilledcompared to other possibble commitments (including doing nothing)

How the people and things that you CARE about connect to your experience.

DRIVES CONVER-SATIONS

WHICH ENABLE ACTIONSCOMMITMENTSDRIVES CONVER-

SATIONSWHICH

ENABLE ACTIONSCOMMITMENTSDRIVES CONVER-SATIONS

SATIONSWHICH

ENABLE ACTIONSCOMMITMENTS

practices create new possiblilities through conversations that reveal opportunities.

FORTHAT

WHICHYOU

CANONLY

AREWHEREYOUR

ENERGYFOLLOWS

ANINNOVATE LEADERS

YOU ATTENTION

DRIVES

GENERATE

ACTION

WITH A

REQUEST

BASEDON

CONVER-SATIONS

ARE MET WITH AN OFFER FOLLOWED

BY A PROMISEDECLAR-ATIONS

WHICH ENABLE

WHICHDRIVEACTIONS RESULTSCARE IS THE OF COMPETENCESINCERITYRESULT AND TOLERANCE

FOR RISKRELIABILITYTRUST

ASSESSMENT

RELATIONSHIP

THATPROVOKES

GENERATIVEA MAP OF INNOVATION

is action, not intent. You ony care for those things in which you invest energy, time, or sometimes money.

DRIVESDRIVESDRIVESDRIVESMAKE ACONDITIONS

FORSATISFACTION

DRIVESDRIVESDRIVESDRIVESWITH PERFORMERSDRIVESDRIVESDRIVESDRIVESWHICHCUSTOMERS

There are types: functional, financial, emotional, identity, meaningful

The root cause of all out-comes (positive and negative), are the conversations we (effectively or not) have or don’t have.

Awareness and attention shape the kind of oservers and actors we are.

• passion and ownership• lack of commitment• compliance & obligation

If you don’t change actions, you can’t change results.

opinion based on evidencemade by a listner/customer,assessebt of a promise’s impact on the listener’s ability (power) to take care of their concenrs in the future, and is an additional assessment of what the listener is willng to commit to have this promis fulfilled compared to other potential promises they can commit to

Anatomy of a Promise:1. Speaker and Hearer (identity). The Speaker is in the role of Performer, the Hearer is in the role of Customer. Future action is performed by the Speaker.2. Conditions of Satisfaction in accordance with the standard practices of a community.3. Background of obviousness. 4. Specified time for fulfillment of the promise.

COMMIT-MENTS

WHICHCREATE

Many things cannotbe measured butcommitments can.

Conversations for Actioninclude: a request forparticipation, negotiation,performance, & acceptance.

define...

WITHINA

Generative systemsnaturally generate change &interaction by their use.

Innovation is the adaptationof a new practice within acommunity.

Innovation processes involve:• Sensing: bringing forth new possibilities that bring value to the community • Envisioning: building compelling stories of how things could be• Offering: presenting a proposed practice to community (leaders), who commit to consider it• Adopting: community members commit to trying the new practice for the first time• Sustaining: (Adopting) for its useful life• Executing: carrying-out action plans that produce and sustain adoption• Leading: Proactively working to produce the outcomes of the previous 6 practices and overcoming the struggles along the way • Embodying: achieving a level of skill at each practice that makes them automatic, habitual, and effective even in chaotic situations.

MEETWITH A DECLINEPROMISE OR

COMMITTO

COMMITCOUNTER-

COUNTER-OFFER

(defer until later)

COMMITTO

COMMIT(defer until later)

DURING A

AFTER A ANDNEGOTI-ATION

CUSTOMERS

ACCEPT

CUSTOMERS CANCELCANSTILL APERFORMERS REVOKECAN

CHANGECONDITIONSIFPROMISE

DECLARE

COMPLETION

DECLARE

SATIS-FACTION

(or disatisfaction, in whichperformers can takeaddittional action to satisfy)

WITH A

DECLARE A FUTURE TO WHICH OTHERS

GROUPS

SHARED COMMITLEADERS CLEARLY

CARES: all of the issues that drive people to action and occupy their attentions. People are not open to innovation on issues they do not care aboutCONCERNSPRACTICES: taking on new possibilities or changing habits for new outcomes and benfits

ASSESSMENTS: People make choices based on opinions, evaluations, or judgements they have about their situation, futures, actions available to them, and their possibilities. They make three key assessments when considering offers: Value (they see sufficent new value opportunities), Trust (the are willing to bet that the future will tur out all right)., Satisfaction (they expect outcomes will meet or exceed agreed-upon standards and expectations.

Resistences: los of power or reputation, blinf or ineffective at containing or seducing those who resist, poorly managing expectations., cross

A judgment; it ís never true or false; it shapes your posture towards a future possibility.ìThis product is really a tough sell.îThe speaker will now orient herself with that interpretation in mind, which will either close down or open up certain possibilities in how she moves.

Elements of a Request:1. Speaker (identity) and Hearer. Future action is performed

2. Conditions of Satisfaction in accordance with the standard practices of a community.3. Background of obviousness. 4. Specified time for fulfillment.* For a request to be effective (allowing for commitment to providing satisfaction) also articulate the concern that the request is intended to take care of.

share a vision, mission,values, trust andcommitments..

Any number of people cancollaborate but they aren’tautomatically a team.

for some future action (to accept, decline, etc.) and time, resources to have apromise fulfilledcompared to other possibble commitments (including doing nothing)

Must lso be fair, honest, just,and respectful of others’ intrests

Sharing requires clearcommunication, care, andpersonal investement.

Declarations are acts thatchange expectations foraction.

Visions, declarations, &offers which aren’t clearcannot be committed to.

...regardless of authority,from anywhere inside oroutside an organization.

Anyone clearly declaringa vision others want tofollow becomes a leader...

Language is the primarymechanism for changingbehavior and the future.

Both requestor & promisorreset expectations of thefuture due to commitments.

The future is changed bypromises of action focusedon new possibilities.

Those who make offerscommit to be satisfied whenthose commitments are delivered.

People commit to fulfill offers made and acceptedby others.

Conversations for change come from outside the organization (context).

An organization’s structure &conversations determine how and how quickly it changes.

AREORGNIZ-ATIONS BETWEEN OF

PEOPLECONVER-SATIONS

ENTRE-PRENEURS

Entrepreneurs seek opportunities outside the organization.

MANAGERS

Managers seek efficiency and look inside for opportunities.

CREATESAWARENESS CHOICE

A PRACTICE IS:• pattern of behavior• exercise of a profession or discipline• development of skill by repetition• name of a space of human interactions> recurrent actions that have outcomes• performed by indiviuals or groups• performed at differen skill levels• cope with breakdowns• embodied (not set rules) include mental processes, emotional states, and body reaciontsembedded in context and history of communities

Execution:• setting context and generating possibilities• managing conversations for action• managing the network of conv to coordinate fulfillmnet and deal with change and breakdowns• inviting the right people to be in those conversations and establishing a network of coordination• managing all conv to keep actions moving forward• ensuring that all performers (incuding oneself) have the capacity to deliver• building trust in the promise and its performers• managing breakdowns, changes, and dissatisfaction

ACTION

VALUES

MEANING

ASSESSMENT

OF REALITYWHOSE

ISGROUNDED

FORFRAME DOMAIN PURPOSEWITH THE

PROPERAND

SUPPORTING

EXPRESSION

MANIFESTS IN

ASSERTIONS

(does the assessment fitthe listiner’s beliefs?)

(to what community,event,discourse, discussion, orsituation, does it apply?)

Should be relevant to the domain and purpose andconsistent with common standards.

A judgment; it ís never true or false; it shapes your posture towards a future possibility.ìThis product is really a tough sell.îThe speaker will now orient herself with that interpretation in mind, which will either close down or open up certain possibilities in how she

A fact for which you offerto provide evidence ifrequested.

(what’s the point andconcerns? does anyonecare?)

PRIORITI-ZATION

RESULTFROM

DOMAINBLINDNESS

COGNITIVEBLINDNESS

BREAK-DOWNS

ORNEGLECTINGTO MODIFY

COMMIT-MENTS

LACK OFLEADERSHIPCONTINUITY(failing to discontinue or

modify obsolete practicesor business models)

acceptance, performance,conditions of satisfaction,etc.)

(missing conversations, cutomers, performers, requests, promises,

The conditions people askothers to commit to so thattheir concerns are taken care of.

Does the performer or speaker display confidence,authenticity, & centeredness?

Teams coordinate actionstoward shared promisesand satisfying customers.

Outcomes:• tangible result• state of the world• new practice• any condition of satisfaction

A team is constituted by a shared promise.Commitments that generate an effective team are commitments to:1. A shared vision, mission, and values.2. Coordinating action for the sake of a shared promise and satisfying the customers of the team.3. Owning the shared promise.4. Fulfilling their role in the teamís structure of promises.5. Developing and carrying on practices for anticipation (planning, learning, innovation)6. The teamís structure of authority and to the declarations of authority in the team.7. Evoking and producing trust.8. A mood for success in the mission and fulfilling the teamís promise. 9. The teamís standards for assessment.9. The teamís standards for assessment.10. The future of the company, the team, and peopleís careers.

Must lso be fair, honest, just, and respectful of others’ intrests

performer + individul listener + performer’s promise + background of obviousnss + conversation for action

for some future action (to accept, decline, etc.) and time, resources to have a promise fulfilledcompared to other possibble commitments (including doing nothing)

DRIVES CONVER-SATIONS

SATIONSWHICH

ENABLE ACTIONSCOMMITMENTSDRIVES CONVER-SATIONS

SATIONSWHICH

ENABLE ACTIONSCOMMITMENTS

practices create new possiblilities through conversations that reveal opportunities.

FORTHAT

WHICHYOU

CANONLY

AREWHEREYOUR

ENERGYFOLLOWS

ANINNOVATE LEADERS

YOU ATTENTION

DRIVES

GENERATE

ACTION

WITH A

REQUEST

BASEDON

CONVER-SATIONS

ARE MET WITH AN OFFER FOLLOWED

BY A PROMISEDECLAR-ATIONS

WHICH ENABLE

WHICHDRIVEACTIONS RESULTSCARE IS THE OF COMPETENCESINCERITYRESULT AND TOLERANCE

FOR RISKRELIABILITYTRUST

ASSESSMENT

RELATIONSHIP

THATPROVOKES

GENERATIVEA MAP OF INNOVATION

is action, not intent. You ony care for those things in which you invest energy, time, or sometimes money.

DRIVESDRIVESDRIVESDRIVESMAKE ACONDITIONS

FORSATISFACTION

DRIVESDRIVESDRIVESDRIVESWITH PERFORMERSDRIVESDRIVESDRIVESDRIVESWHICHCUSTOMERS

There are types: functional, financial, emotional, identity, meaningful

The root cause of all out-comes (positive and negative), are the conversations we (effectively or not) have or don’t have.

Awareness and attention shape the kind of oservers and actors we are.

• passion and ownership• lack of commitment• compliance & obligation

If you don’t change actions, you can’t change results.

opinion based on evidencemade by a listner/customer,assessebt of a promise’s impact on the listener’s ability (power) to take care of their concenrs in the future, and is an additional assessment of what the listener is willng to commit to have this promis fulfilled compared to other potential promises they can commit to

Anatomy of a Promise:1. Speaker and Hearer (identity). The Speaker is in the role of Performer, the Hearer is in the role of Customer. Future action is performed by the Speaker.2. Conditions of Satisfaction in accordance with the standard practices of a community.3. Background of obviousness. 4. Specified time for fulfillment of the promise.

COMMIT-MENTS

WHICHCREATE

Many things cannotbe measured butcommitments can.

Conversations for Actioninclude: a request forparticipation, negotiation,performance, & acceptance.

define...

WITHINA

Generative systemsnaturally generate change &interaction by their use.

Innovation is the adaptationof a new practice within acommunity.

Innovation processes involve:• Sensing: bringing forth new possibilities that bring value to the community • Envisioning: building compelling stories of how things could be• Offering: presenting a proposed practice to community (leaders), who commit to consider it• Adopting: community members commit to trying the new practice for the first time• Sustaining: (Adopting) for its useful life• Executing: carrying-out action plans that produce and sustain adoption• Leading: Proactively working to produce the outcomes of the previous 6 practices and overcoming the struggles along the way • Embodying: achieving a level of skill at each practice that makes them automatic, habitual, and effective even in chaotic situations.

MEETWITH A DECLINEPROMISE OR

COMMITTO

COMMITCOUNTER-

COUNTER-OFFER

(defer until later)

COMMITTO

COMMIT(defer until later)

DURING A

AFTER A ANDNEGOTI-ATION

CUSTOMERS

ACCEPT

CUSTOMERS CANCELCANSTILL APERFORMERS REVOKECAN

CHANGECONDITIONSIFPROMISE

DECLARE

COMPLETION

DECLARE

SATIS-FACTION

(or disatisfaction, in whichperformers can takeaddittional action to satisfy)

WITH A

DECLARE A FUTURE TO WHICH OTHERS

GROUPS

SHARED COMMITLEADERS CLEARLY

CARES: all of the issues that drive people to action and occupy their attentions. People are not open to innovation on issues they do not care aboutCONCERNSPRACTICES: taking on new possibilities or changing habits for new outcomes and benfits

ASSESSMENTS: People make choices based on opinions, evaluations, or judgements they have about their situation, futures, actions available to them, and their possibilities. They make three key assessments when considering offers: Value (they see sufficent new value opportunities), Trust (the are willing to bet that the future will tur out all right)., Satisfaction (they expect outcomes will meet or exceed agreed-upon standards and expectations.

Resistences: los of power or reputation, blinf or ineffective at containing or seducing those who resist, poorly managing expectations., cross

A judgment; it ís never true or false; it shapes your posture towards a future possibility.ìThis product is really a tough sell.îThe speaker will now orient herself with that interpretation in mind, which will either close down or open up certain possibilities in how she moves.

Elements of a Request:1. Speaker (identity) and Hearer. Future action is performed

2. Conditions of Satisfaction in accordance with the standard practices of a community.3. Background of obviousness. 4. Specified time for fulfillment.* For a request to be effective (allowing for commitment to providing satisfaction) also articulate the concern that the request is intended to take care of.

share a vision, mission,values, trust andcommitments..

Any number of people cancollaborate but they aren’tautomatically a team.

for some future action (to accept, decline, etc.) and time, resources to have apromise fulfilledcompared to other possibble commitments (including doing nothing)

Must lso be fair, honest, just,and respectful of others’ intrests

Sharing requires clearcommunication, care, andpersonal investement.

Declarations are acts thatchange expectations foraction.

Visions, declarations, &offers which aren’t clearcannot be committed to.

...regardless of authority,from anywhere inside oroutside an organization.

Anyone clearly declaringa vision others want tofollow becomes a leader...

Language is the primarymechanism for changingbehavior and the future.

Both requestor & promisorreset expectations of thefuture due to commitments.

The future is changed bypromises of action focusedon new possibilities.

Those who make offerscommit to be satisfied whenthose commitments are delivered.

People commit to fulfill offers made and acceptedby others.

Conversations for change come from outside the organization (context).

An organization’s structure &conversations determine how and how quickly it changes.

AREORGNIZ-ATIONS BETWEEN OF

PEOPLECONVER-SATIONS

ENTRE-PRENEURS

Entrepreneurs seek opportunities outside the organization.

MANAGERS

Managers seek efficiency and look inside for opportunities.

CREATESAWARENESS CHOICE

A PRACTICE IS:• pattern of behavior• exercise of a profession or discipline• development of skill by repetition• name of a space of human interactions> recurrent actions that have outcomes• performed by indiviuals or groups• performed at differen skill levels• cope with breakdowns• embodied (not set rules) include mental processes, emotional states, and body reaciontsembedded in context and history of communities

Execution:• setting context and generating possibilities• managing conversations for action• managing the network of conv to coordinate fulfillmnet and deal with change and breakdowns• inviting the right people to be in those conversations and establishing a network of coordination• managing all conv to keep actions moving forward• ensuring that all performers (incuding oneself) have the capacity to deliver• building trust in the promise and its performers• managing breakdowns, changes, and dissatisfaction

ACTION

VALUES

MEANING

ASSESSMENT

OF REALITYWHOSE

ISGROUNDED

FORFRAME DOMAIN PURPOSEWITH THE

PROPERAND

SUPPORTING

EXPRESSION

MANIFESTS IN

ASSERTIONS

(does the assessment fitthe listiner’s beliefs?)

(to what community,event,discourse, discussion, orsituation, does it apply?)

Should be relevant to the domain and purpose andconsistent with common standards.

A judgment; it ís never true or false; it shapes your posture towards a future possibility.ìThis product is really a tough sell.îThe speaker will now orient herself with that interpretation in mind, which will either close down or open up certain possibilities in how she

A fact for which you offerto provide evidence ifrequested.

(what’s the point andconcerns? does anyonecare?)

PRIORITI-ZATION

RESULTFROM

DOMAINBLINDNESS

COGNITIVEBLINDNESS

BREAK-DOWNS

ORNEGLECTINGTO MODIFY

COMMIT-MENTS

LACK OFLEADERSHIPCONTINUITY(failing to discontinue or

modify obsolete practicesor business models)

acceptance, performance,conditions of satisfaction,etc.)

(missing conversations, cutomers, performers, requests, promises,

The conditions people askothers to commit to so thattheir concerns are taken care of.

Does the performer or speaker display confidence,authenticity, & centeredness?

Teams coordinate actionstoward shared promisesand satisfying customers.

Outcomes:• tangible result• state of the world• new practice• any condition of satisfaction

A team is constituted by a shared promise.Commitments that generate an effective team are commitments to:1. A shared vision, mission, and values.2. Coordinating action for the sake of a shared promise and satisfying the customers of the team.3. Owning the shared promise.4. Fulfilling their role in the teamís structure of promises.5. Developing and carrying on practices for anticipation (planning, learning, innovation)6. The teamís structure of authority and to the declarations of authority in the team.7. Evoking and producing trust.8. A mood for success in the mission and fulfilling the teamís promise. 9. The teamís standards for assessment.9. The teamís standards for assessment.10. The future of the company, the team, and peopleís careers.

QUANTITATIVE

Business Model Generation, Alexander Osterwalder businessmodelgeneration.com

} 44The Business Model Canvas

Cost Structure

Key Partners

Key Resources

Channels

Key Activities

Value Proposition

Customer Relationships

CustomerSegments

Revenue Streams

Waveline

Opportunities Opportunity 1 Opportunity 2 Opportunity 3 Opportunity 4

Touchpoints

USEEXPLORATION SETUPPURCHASE

Lorem ipsum dolor sit amet, consec-tetur adipiscing elit. Duis lacinia lacinia mauris non faucibus. Cras sed mattis lectus. Nunc ac ornare risus. Nulla rutrum commodo odio, et vestibulum augue aliquet nec.

Lorem ipsum dolor sit amet, consec-tetur adipiscing elit. Duis lacinia lacin-ia mauris non faucibus. Cras sed mattis lectus. Nunc ac ornare risus. Nulla rutrum commodo odio, et vestib-ulum augue aliquet nec.

Lorem ipsum dolor sit amet, con-sectetur adipiscing elit. Duis lacinia lacinia mauris non faucibus. Cras sed mattis lectus. Nunc ac ornare risus. Nulla rutrum commodo odio, et vestibulum augue aliquet nec.

Lorem ipsum dolor sit amet, con-sectetur adipiscing elit. Duis lacinia lacinia mauris non faucibus. Cras sed mattis lectus. Nunc ac ornare risus. Nulla rutrum commodo odio, et vestibulum augue aliquet nec.Lorem ipsum dolor sit amet, con-

sectetur adipiscing elit. Duis lacinia lacinia mauris non faucibus. Cras sed mattis lectus. Nunc ac ornare risus. Nulla rutrum commodo odio, et vestibulum augue aliquet nec.

Confusion

Anxiety

Frustration

Boredom

T I M E

3 Beauty Wonder Creation Accomplishment

Ideal ConsumerExperience Waveline

Customer Segment 1

Computer crashes

All the touchpointsare important

Retail confusionaround products

Which computershave integrativefeatures

Struggling to setupWiFi

The excitement ofa new computer

Exploring new features

New products andintegration

Company Experienceafter productupgrades

Adjusting to newproduct betas

The forum takes youright to the answer

Form vs Function

Company & Tech

On software things just disappear

Just search it...

How information is presented vs howpeople really learn

Explaining the keytouchpoints duringexploration

PC LearningExperienceVideo

Getting diverseopinions

Exploring thetouchpoints

PC LearningExperiencePowerpoint

Strategic FocusCorporate

Meaning Priorities

Team & Partner Meaning Priorities

Customer Meaning Priorities

Competitors’ Meaning Priorities

MEANING STRATEGY

INTEGRATED BOTTOM LINE

MBA IN DESIGN STRATEGY MBA IN STRATEGIC FORESIGHT

DESIGN THINKING DESIGN RESEARCH

“NEW BUSINESS” NEW LEADERSHIP

SYSTEMS THINKING SUSTAINABILITY

Nathan Shedroff Chair, Design MBA Programs California College of the Arts nathan@nathan.com @nathanshedroff

designmba.cca.edu@designmba

THANK YOU

M A K E I T S O Interaction Design Lessons from Science Fiction

b y N AT H A N S H E DR OF F & C H R I S TOP H E R NOE S S E L

foreword by Bruce Sterling

Many designers enjoy the interfaces seen in science fiction films

and television shows. Freed from the rigorous constraints of designing

for real users, sci-fi production designers develop blue-sky interfaces

that are inspiring, humorous, and even instructive. By carefully studying

these “outsider” user interfaces, designers can derive lessons that make

their real-world designs more cutting edge and successful.

“Designers who love science fiction will go bananas over Shedroff and Noessel’s delightful and informative book on how interaction design in sci-fi movies informs interaction design in the real world. . . . You will find it as useful as any design textbook, but a whole lot more fun.”

ALAN COOPER“Father of Visual Basic” and author of The Inmates Are Running the Asylum

“Part futurist treatise, part design manual, and part cultural analysis, Make It So is a fascinatinginvestigation of an often-overlooked topic: how sci-fi influences the development of tomorrow’s machine interfaces.”

ANNALEE NEWITZEditor, io9 blog

“Shedroff and Noessel have created one of the most thorough and insightful studies ever made of this domain.”

MARK COLERANVisual designer of interfaces for movies (credits include The Bourne Identity, The Island, and Lara Croft: Tomb Raider)

“Every geek’s wet dream: a science fiction and interface design book rolled into one.”

MARIA GIUDICECEO and Founder, Hot Studio

www.rosenfeldmedia.com

MORE ON MAKE IT SOwww.rosenfeldmedia.com/books/science-fiction-interface/

E IT SO

by NATH

ISTOPH

OESSEL

Experience Design 1.1a manifesto for the design of experiences

by Nathan Shedroff

user behavior 116

100 years 22

information 42

takeaways 28

data 36

knowledge 48

subjectivity 78

consistency 96

navigation 84 Design Strategy in ActionEdited by Nathan Shedroff

A publication from the MBA in Design Strategy programCalifornia College of the Arts

www.slideshare.net/NathanShedroff/bridging-the-innovation-culture-divide

Bridging the innovation culture divide

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