Post on 18-Jan-2015
description
(based on Anthony W Ulwick- What Customers Want)
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Innovation
Innovation = a systematic process for creating products or services that delivers new value
Customer Opportunity Offering
Market Research = New Product Failure (often)
PCjr of IBM
New Coke
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Do not ask Customers what solutions they want
Find out what jobs they want done
Find out what metrics the customer will use
Find out what outcomes/metrics are underserved.
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Customer Research Outcome Driven Approach
Find out what solutions (features) customers want
Find out what outcomes customers want to achieve
Customers do not know best about what is the optimum solution ….We should if we deserve our jobs
Innovation
Product/Service Innovation Existing Product/Service Focus on underserved success metrics
New Market InnovationNew Market/Service Focus on underserved outcomes
Operational InnovationNew/Improved OperationsFocus on outcomes in customer/employee interaction
Disruptive Innovation New Technology to disrupt an existing model Focus on overserved customers with low cost technology
ORFocus on new (underserved) csutomers with existing
technology5
All Customers are important
Consider End Users (especially if you sell to OEM)
Consider all relevant customers (not just your purchasers)
Consider inputs directly (do not accept proxy)
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Understanding customer outcomes ≠ Listening to the customer
Capturing Customer Needs
We are already listening to Customer
Benefits “Easy to use”
Needs“Durable”
Specifications“lighter”
Solutions“give me a sweeter drink”
Challenges:First : Customers are rarely qualified to define solutionsSecond: Benefits, Needs and Specifications are not precise enough
We need to ask and probe
What are the Jobs the Customers want to achieve?Jobs can be functional, personal, social.
What are the Desired Outcomes of the Job?Define metrics by breaking down the process of the job
What are the constraints?Constraints can be physical, regulatory or environmental
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Asking for the right inputs is important The method of seeking customer inputs is not
This examples are derived from my experience :
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Examples Drawn from …
1) From the area of Talent Management where I have worked for a decade
2) From the health and wellness industry where I have worked with a few entrepreneur friends
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Applying to Talent Mangement
Jobs Outcomes
Implement hikes (functional)
Minimize the effort in setting up goals
Minimize the effort of getting industry data
Search for skill sets Minimize the effort in getting competency maps
Minimize effort to capture on the job learning
Track recruitment efficiency?
Match performance evaluation with recruting?
Loop back on recruiting process?
Provide career ownership
Show career maps
Identify the talent crown jewels
Experiment with a upcoming technology
Get up and going quickly? 12
Could established organizations have foreseen rise of SaaS vendors?Can organizations develop a “break thru” integrated Talent Management apps
Applying to Health & Wellness
Jobs Outcomes
Reduce expenditure on health (functional)
Reduce the possibility of loss of income (functional)
Improve career prospects (functional)
Improve chances with the opposite sex (emotional)
Improve self esteem (emotional)
Improve sex life (functional)
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Constraints
Requires mental discipline
Requires motivation
Requires physical “push”
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What to specifically focus on
Existing products – focus on Outcomes
In other cases focus on Jobs and Constraints (generally!)
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Identifying Opportunities
Applying the Outcome Driven Model
Identify Opportunities
Opportunity arises when job, outcome or constraint is underserved (or over-served)
The Process of Identification: List all jobs, outcomes, constraintsRate importance of all aboveRate satisfaction of all aboveEnter data in algorithm:
Opportunity = Importance + max (Importance – Satisfaction)
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Importance
Satisfaction
Over Served
Under Served
Satisfaction >> Importance
Satisfaction << Importance
Adequately Served
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Outcomes
Company A
Company B
Company C
Outcome 1
Outcome 2
Outcome 3
Outcome 4
Satisfaction scores move over time Opportunities disappear as competitors/alternate options appear Competitive opportunities appear when a competitor shows a gap
Bring precision to the language of innovation
Wednesday, January 02, 2008