what is happening?
Disrupt or be disrupted
Volatility, uncertainty, complexity, and ambiguity (VUCA) are the factors behind the death of businesses - startups and corporations alike. Disruptions caused by hypercompetitive market, liquid social values, technology advancement, environmental degradation, and political roadblocks are triggered by social revolution and industrial revolution 4.0. This is the era where businesses are pressured to constantly re-think and adapt their strategy at a rapid pace in order to survive.
Kodak went into irrelevance and eventually to bankruptcy as it failed to anticipate and monetize the digital camera and imaging opportunities. It was already too late when Kodak transitioned its business model. Kodak's digital camera was a major flop. At the same time, the market was becoming matured with new market leaders who were not previously known in camera industry.
Kodak was getting disrupted from VUCA.
how do businesses win?
Design is the new competitive advantage
Businesses win either by being a low-cost leader or by being different. Since there can only be one true low-cost winner in every market, the only winning option is through differentiation. To be different, businesses must innovate to gain competitive advantage. To innovate, businesses must have the ability to design. However competitive advantage is transient, hence the necessity to continuously innovate to grow. This requires an innovation culture and process led through design.
iPod, iPhone, iPad, iMac. Apple made it known to the world that good design means good business. It is also a prime example of how the mighty can fall when they fail to continuously innovate. In the recent years, Apple is facing its second fall after the passing of Steve Jobs.
Apple needs to re-gain market leadership through innovation.
Why is design important to businesses?
Design is a key strategic driver for innovation and growth.
App design, interior design, designer shoes. This conventional understanding of design is becoming outdated. Design is evolving in three ways.
1. Shifting Role of Design
Design is shifting from noun to verbs. From "what is" to "how it works". From silo to multi-disciplinary approach. Design is rapidly recognized more than an aesthetic layer to be placed at the end of process. It's true potential lies in designing experiences and systems for businesses, governments, and non-profits, as a strategic driver for innovation and growth.
2. Hybrid Thinking
Business thinking will always be required, but it no longer reigns alone. Two types of thinking are emerging with an increasingly recognizable value - design thinking and futures thinking. They are becoming prevalent for companies to solve complex problems and future-proof against trends disruptions. Hybrid thinking must be nurtured to lead in the 21st century.
3. Merging of Disciplines
Design thinking, lean startup, business model innovation, branding, innovation management and business planning are proven disciplines valuable at different stages. Although their values are specific, each possesses overlapping approaches with one another. Companies are not fully aware of all disciplines, but they are crucial to drive growth without knowledge bias of one.
What is wrong with the current practice?
Cautionary pitfalls of practicing innovation
Disciplines including are valuable. Through successful applications that discipline practitioners claim that their respective discipline is the key missing value-added tool to aid business growth. This is not completely true however.
Every discipline provides a specific value at different stages of the business, but never all. For example, design thinking is a great front-end innovation approach to generate new solutions, but it lacks the continuity to business operations.
This is where practitioner's single-mindedness may be misleading as they fail to see the big picture and draw connections on how one discipline is connected to each other, and how the approaches overlaps.
Businesses need to apply all disciplines, but not only restricted and practiced by one. This led to the creation of Business Innovation Design synthesizing all approaches, disciplines, mindset, methods, and tools into a framework that provides clarity to make better decisions.
a system to innovate
Business Innovation Design
How is it different?
All in one, one in all
Business Innovation Design seamlessly connects various disciplines in a framework tied by methods and tools. Every block consists of its own tools that gives decision-making clarity from various perspectives. It's modular approach enables the utilization of multiple processes designed for continuous innovation.
Holistic in Knowledge
Integrating proven disciplines (from Design Thinking, Lean Startup, etc) enables Business Innovation Design to have multiple approaches not fixed by one discipline.
Modular in Process
Unlike most methodologies, Business Innovation Design is not a linear process. It is a system to develop processes through a combination of methods and tools.
Iterative in Workflow
Designing solutions and businesses are never finished. There are always improvements to be made. Business Innovation Design is based on cycle-based approach consisting of 3 phases in each cycle.
Design in cycles of iteration
3 Phases of Business Innovation Design
Any solutions and businesses can be designed in the 3 phases. One cycle contains 3 phases, whereby a cycle represents a process to achieve certain outcomes. The idea is to design in cycles of iteration, as designing is never finished.
Understand the Context
Analyze business hindsight, user insights, and future foresight within the relevant context to identify valuable market opportunities and strategic directions.
Design the Value
Create new value propositions in the form of products, services, processes and brand experiences, integrating them to the core business ecosystem.
Orchestrate for Growth
Develop new business models, go-to-market strategy, capabilities, and management system to enable implementation and sustainable growth.