Design of Management
Transcript of Design of Management
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Introduction to DesignManagement
Author:
Arlene Gould, MBA, FRSA
Department of Design,
York University
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Design Management: DefinitionDesign Management is the practice of
managing design resources effectively at
all levels of company activity
Design Management connects designobjectives, with business, environmental
and social (user-driven) objectives to helpcompanies to achieve strategic goals andto contribute to the quality of life.
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A Tipping Point forDesign
Organizations can no longer count on quality, performance,
or price alone to sustain leadership in the global
marketplace.
Design has emerged as a new competitive weapon and key
driver of innovation.
Roger Martin, Dean
Rotman School of Management
University of Toronto
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History of Design Management The benefits of Design Management
practices to line managers in
manufacturing companies were promotedby Peter Gorb, at London Business School
in London, UK in the early 1980s.
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History of Design Management At the Dutch conglomerate, Philips, Robert
Blaichs early use of design management
practices became a model for othermanufacturers. By managing design at all
levels, Blaich improved product quality,
established unity across product lines and
helped Philips to challenge international
competitors like Sony.
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Basic Principles The strategic management of design resources
is a core competency and key differentiator formanufacturing companies.
Managing design in manufacturing involvesmobilizing the creativity and problem-solvingskills of designers to:
expand innovation, reduce environmental impacts and
improve commercialization success.
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Basic Principles To connect design to sustainable business
success, manufacturers need to involvedesigners in R&D and in the early stages of
product production.
Design Management integrates design capabilitywith engineering and other strategiccompetencies in product development and
production.
Manufacturers should encourage closercollaboration between engineers and designers.
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Canadas Design Capability Canada is strong in design capability, with
a high number of expertly-trained
designers in thelabour force.
A recent study by the Design IndustryAdvisory Committee (DIAC) showed that
Ontario, (the countrys manufacturing hub),has the highest concentration of designers.
www.diac.on.ca
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TOP 15 NORTH AMERICAN CITIES(POPULATION: 1 MILLION+)
Design Design
Employment Index
1 New York San Francisco
2 Boston Boston
3 Toronto New York
4 Chicago Toronto5 Los Angeles Montral
6 Montral Seattle
7 San Francisco Vancouver
8 Detroit Columbus
9 Philadelphia Milwaukee
10 Seattle Portland11 Minneapolis-St. Paul Ottawa-Hull
12 Dallas Minneapolis-St. Paul
13 Atlanta Detroit
14 Washington West Palm Beach
15 Phoenix Denver Note: Excludes self-employed individuals.Source: Statistics Canada, 2001.
Census of Population; Bureau of Labour
Statistics, 2001. Occupationa
lEmp
loyment
Statistics Program.
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Best Practices Design Leadership from the Top
CEO should be the company design champion.
Put Someone in Charge Appoint a Design Manager to lead the design team
and to connect all design activities (product,communications, facilities) to strategic objectives inthe company.
Allocate reasonab
le resources to design timelines and budgets should be generous enough to
encourage breakthrough results.
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Best Practices (contd) Invest in designers, not just design
even the best design solution can be quicklycopied. Building long-term relationships with
designers helps companies to keep ahead of thecompetition.
Focus on the process, not just end products designers can help to revise or to reinvent
production processes to cut time and costs and to
mitigate environmental impacts. Train employees in design-awareness
design management practices: empower and motivate employees
help to attract and keep the best talent
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Building the Company Brand
Managing design strategically involves
connecting the work of product designers with
communications design, architecture andfacilities design.
An integrated approach to design helps
companies to project a strong, unified brand to
the world.
Strong brands build customerloyalty and expand
export success.
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Design forSustainability (DfS) Designers can help manufacturers to reduce
environmental impacts of production whileincreasing competitiveness.
Design decisions on materials sourcing, newproduction processes, distribution andcommunications systems can all impact onreducing the environmental footprint ofmanufacturing activities.
Manufacturers can get ahead of the curve onenvironmental performance by working withdesigners to make critical improvements at everystep in their process.
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Design forSustainability (contd) Even small steps, like a materials reduction
program to minimize waste or reducingpackaging content, can make a big difference.
Small and medium-sized enterprises (SMEs) canbe more innovative in using design strategies tocapture a business advantage while also
improving their environmentalperformance.
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Case Studies for DfS A case study research project started by the
Schulich School of Business at York University
has been documenting these small business
success stories.
Graduate students in business, environmental
studies and design management have done the
research. Cases can be viewed at:
www.design4sustainability.org
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Benefits of Design Management
Companies that use design strategically can:
Develop and commercialize more customized,unique and compelling products and servicesfor domestic and global markets.
Develop more user-centred products.
Reduce costs in product development,implementation and distribution.
Minimize environmental impacts in every stepin the manufacturing process.
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Benefits of Design Management Expand brand awareness.
Ref lect and integrate company vision and
values through all products, services andcommunications.
Increase employee engagement and
motivation.
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Design and Business SuccessIndustry Canadas Strategis website states:
Effective, innovative design is a critical factor foreconomic growth. Through the application ofsound design practices, design practitioners areable to increase the value of products, services,communications and physical spaces, while atthe same time reduce costs, improve efficiency
and increase productivity.http://strategis.ic.gc.ca/epic/internet/indsib-
dsib.nsf/en/Home
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Economic Value of Design UK Design Council analyzed the stock
market performance of design-led
companies versus their peers over a 10year period.
They demonstrated that companiesinvesting in design were more competitive
at all stages in the business cycle.Design Council (2004)
www.designcouncil.org.uk