Innovation By Design -- Organize

introduction

context

attitude

methods

organize

Friday, February 19, 2010

innovation is an inherently

organization problem


organization fails to innovate not because of lack of good ideas


most organizations are designed not to innovate, but to

produce


innovations are seen as activities


by selected few


for a short period of time


product evolution


juggling three balls

bouncing separately

People(culture & behaviors)

Business(structure &

strategy)

Technology(products &

services)


keep them in sync


a story of IDEO


Sony Case


what was the symptom of the problem


why could not Sony build “walkman” iPod?


strong product organizations


fiefdoms


language


mental model


innovation processes


Sony is not alone in this struggle


the problem of organization becoming


creates new competitive space with

new customers and competitors


personal computer

personalcalculator

potential new market through expansion of meanings

of computers


fundamental questions that all leading companies are asking


who’s your customer?


what do you sell?


who are you?


the history of the phone


what are you designing now?


NOT just product design problems


organization design problems


NTT DoCoMo


the 2nd largest company in Japan


mobile phone services


phone needs to be more than a phone


phone that gives “joy”


i-mode


phone as a wallet


phone as an e-mail


phone 67%e-mail 100%

web 67%


most popular application

JR time table


DoCoMo a bank?


is a mobile phone a phone?


life style infrastructure


perfect incompleteness


heterogeneity


7 : 3


2 questions


identity


innovation is aquestion of identity


is Nike a computer company?


is Apple a shoe company?


or does it matter?


the story of Erco Light


1st generation: light bulbs


2nd generation: lighting solutions


3rd generation: tune the lights


radical restructuring


from 2200 processes


2 processes


launching a projectmanaging a project


new digital infrastructure


change of culture and people


thing-focused people


verb-focused people


3 years12 million euro


1 year payback18-20% productivity

gain


structure


how are you going to organize yourself?


about 6 people

about 42 people


who you are is what you design


designing of continuing innovation

a gallery of structures


innovations require both specialized expertise and integrations of knowledge


Geographicfocus

Product/Customer focus

Functional focus

ideally,


Geographicfocus


Functional focus

in reality,


Geographicfocus


Functional focus

leadership should focus their energy on


“What happened was, the designers came up with this really great idea. Then they take it to the engineers, and the engineers go, ‘Nah, we can’t do that. That’s impossible.’ And so it gets a lot worse. Then they take it to the manufacturing people, and they go, ‘We can’t build that!’ And it gets a lot worse.”


“What happened was, the designers came up with this really great idea. Then they take it to the engineers, and the engineers go, ‘Nah, we can’t do that. That’s impossible.’ And so it gets a lot worse. Then they take it to the manufacturing people, and they go, ‘We can’t build that!’ And it gets a lot worse.”

Steve Jobs, Oct 14, 2005


Apple’s solution


deep collaboration


cross pollination


concurrent engineering


design engineering manufacturing


design

engineering manufacturing


Functional structure Lightweight team

Heavyweight team Autonomous, “tiger” team

MarketConcept

MarketConcept

MarketConcept

Source: Kim Clark and Steven Wheelwright Revolutionizing New Product Development

not all project teams are created equal


Functional focus

Product/Customerfocus

“Heavy weight” teams

“Tiger” teams

“Light weight” teams


Functional focus

Product focusGeographicfocus

Centers of excellence:Different parts of the Mirmare organized in differentways: line authority issplit

Matrices:Everyone has “two bosses”:both functions and products/customers have line authority

other alternatives


IBM

OneIBM with global matrix


matrix organization

Function 1

Function 2

Function 3


NASA

OneNASA with centers of excellence


centers of excellence

Function 1

Function 2

Function 3


HP

Front and Back


Computers

non-computing

consumer market

enterprise market


importance of aligning incentive and power


there is no silver bullet


23 practical suggestions


1. put design as a part of every strategic

discussion


2. have designers in every project and let

them visualize what you think


3. encourage people to draw their ideas


4. ban bullet point presentations and let them tell the stories


5. prototype, prototype, prototype


6. invite top designers from different field and have a company-wide

talk


7. create design award


8. create the position of Chief Design Officer


9. keep a design notebook


10. develop internal Flickr to share photos

of everyday experiences


11. develop a design wiki


12. set up design cops and remove all the ugly

ones (anything)


13. insist multiple models


14. search for verbs -- replace your nouns

with verbs


15. share the fish moment


16. reward the most obnoxious customers


17. reward rebels


18. reward spectacular failure and punish mediocre success

-- Tom Peters


19. training design principles and design

methods -- to everyone starting from the top


20. keep reinventing the wheel


21. give your employees

unforgettable experiences


22. let employees design their own space


23. keep it fun


conclusion


world-makers


artificial world


clumsy place


tinkering with it


re-invent it


drawing on “unhappy consciousness”


ability to think what is NOT there


thinking plausible future


to leave the world as a better place to live than

we found it


moral responsibility


what is possible


what is desirable


[email protected]


http://yoo.cwru.edu

http://yoo.cwru.edu

Innovation By Design -- Organize

Technology

Transcript of Innovation By Design -- Organize