Throughout most of history, companies and business strategies have been shaped around quantitative types of values like functional and financial. Together we will analyze the common steps behind the transformation strategy of companies like Apple, Google, Samsung, Nokia, and Sony, and how these companies were able to create and nurture a design-driven group capable of delivering a rich and meaningful experience with the ultimate goal of building a long-lasting relationship with their customers.

1. How a
design-driven company
can multiply
its business value
Andrea Picchi
Sony Design
www.andreapicchi.it
@andreapicchi

2. www.andreapicchi.it - @andreapicchiHow a Design-Driven Company can Multiply its Business Value www.andreapicchi.it - @andreapicchiHow a Design-Driven Company can Multiply its Business Value
April 9, 2012
san francisco, california

3. Facebook
acquires Instagram
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4. 85M
book value
35M one week prior to acquisition
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5. 1.1B
total value
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6. Relationship Business
if you don’t remember anything, remember this!
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Extract
Commodities
Make
Goods
Deliver
Services
Stage
Experience
Relevant
NEEDS
Irrelevant
Differentiated
COMPETITIVENESS
Undifferentiated
PRICING PremiumMarket
Economic value
evolved
Pine & Gilmore, The Experience Economy, 1999)

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Experience
is pervasive and intimate

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Experience
mutated
Day
1997 - 2007

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Experience
mutated
Day
2007 - Today

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Expectations
raised
CONNECTIONS
ECOSYSTEM
USERINTERACTION
Relationship

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Design
is the practice of generating value through problem-solving

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Designers
don’t directly control the experience
Value Perception
EXPERIENCEDESIGN
PROBLEM
SOLUTION
TRIGGER
TRIGGER

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Value
5 types meaningful *
identity
emotional
financial
functional
QUANTITATIVE
QUALITATIVE
+
* This is governed by 15 core meanings
(Diller, Shedroff, and Rhea, 2008)

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Value
quantitative: identified by the question
Does this do what I need?
Functional
Does this have a good cost/benefit ratio?
Financial

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Value
qualitative: identified by the question
How does this make me feel?
Emotional
Does this reflect myself?
Identity
Does this fits into my world?
Meaningful

18. Qualitative Value
emotional
identity
meaningful
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19. Premium Value
how much more a customer would pay for one product or service
over an equivalent replacement
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20. Premium Value
intangible but real
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21. Premium Value
it’s an effective competitive advantage because it’s hard to copy
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22. Design
is a human-centered mindset
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Design thinking
is more than just “thinking”

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3 dimensions
of design
DESIGN ENVIRONMENT
DESIGN
DOING
DESIGN
THINKING
Design-Driven Culture
C=f(P/E)

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Deep and holistic human understanding
Visualization of new possibilities
Creation of a new activity system
3 components
of design
DESIGN
DOING
DESIGN
THINKING
DESIGN
ENVIRON.

26. DESIGN THINKING
DESIGN DOING
DESIGN ENVIRONMENT
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Scaling design
across the organization
DESIGNER NOT-DESIGNER
NOT-DESIGNERNOT-DESIGNER

27. How a Design-Driven Company can Multiply its Business ValueHow a Design-Driven Company can Multiply its Business Value
Who is the most senior designer advocate
in the organization?
Scaling design
question 1
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28. How a Design-Driven Company can Multiply its Business ValueHow a Design-Driven Company can Multiply its Business Value
Are you calling it design thinking?
Scaling design
question 2
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DESIGN THINKING… GIVE ME A BREAK!

29. How a Design-Driven Company can Multiply its Business ValueHow a Design-Driven Company can Multiply its Business Value
Do you have a training program for non-designers?
Scaling design
question 3
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WTF IS DESIGN THINKING?!?

30. WHERE AM I SUPPOSED TO DO IT?!?
How a Design-Driven Company can Multiply its Business ValueHow a Design-Driven Company can Multiply its Business Value
Do you have a physical space that supports the
design practice?
Scaling design
question 4
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31. How a Design-Driven Company can Multiply its Business ValueHow a Design-Driven Company can Multiply its Business Value
Do you have a process and a team structure that
supports the design practice?
Scaling design
question 5
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HOW AM I SUPPOSED TO DO IT?!?

32. How a Design-Driven Company can Multiply its Business ValueHow a Design-Driven Company can Multiply its Business Value
Did you align the different department priorities
under a shared vision and reward scheme?
Scaling design
question 6
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IT’S CRAP!WE HAVE TO SHIP

33. How a Design-Driven Company can Multiply its Business ValueHow a Design-Driven Company can Multiply its Business Value
Are you rewarding the group or the individuals?
Scaling design
question 7
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WAS A TEAM EFFORT!

34. How a Design-Driven Company can Multiply its Business ValueHow a Design-Driven Company can Multiply its Business Value
Are you speaking the business language?
Scaling design
question 8
www.andreapicchi.it - @andreapicchi
LESS IS MORE… WHAT?!?

35. How a Design-Driven Company can Multiply its Business ValueHow a Design-Driven Company can Multiply its Business Value
Do you measure the impact of design?
Scaling design
question 9
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FEELS BETTER KNOW WHAT DO YOU MEAN?

36. www.andreapicchi.it - @andreapicchiHow a Design-Driven Company can Multiply its Business Value www.andreapicchi.it - @andreapicchiHow a Design-Driven Company can Multiply its Business Value
Are you talking about or demonstrating the value
of design?
Scaling design
question 10
DESIGN, BLAH, BLAH, BLAH SO WHAT?!?

37. Premium value can multiply the company’s total value.
People are looking for premium relationships.
Design can be used to generate premium value in the context of a relationship.
Design is a human-centered mindset that can be adopted by anyone in the company.
Design can be scaled if we acknowledge and support its 3 dimensions.
Scaling design requires some critical changes.
Andrea Picchi
Sony Design
www.andreapicchi.it
@andreapicchi
Summary