Design-driven Culture

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Framework Primer
Design-driven Culture
Presentation created by
True
Customer
Under-
standing
Empathy
in the
Organization
Streamlined
Design
Process
Quick
Action

2This document is an exclusive document available to FlevyPro members - http://flevy.com/pro
Contents
Templates
Overview
1. True Customer Understanding
2. Empathy in the Organization
3. Streamlined Design Process
4. Quick Action
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FlevyPro members can download the full document here:
http://flevy.com/browse/flevypro/design-driven-culture-2802

To deliver excellence in Customer Experience, we need to adopt a 4
Design-driven Culture—which is driven by 4 core elements
Presentation Overview
Over time, we are seeing the growing importance of Customer Experience. As it
becomes more and more difficult to separate the experience of buying and using the
product, we are seeing many cases where customers prioritize the buying
experience to the performance of the product itself.
To truly prioritize and deliver excellence in Customer Experience, our organization
needs to adopt a Design-driven Culture. In this presentation, we discuss the 4 core
elements to a Design-driven Culture:
Additional topics discussed include Competitive Advantage, Customer Decision
Journey, Braided Design Model, Four Wall Approach, Minimum Viable Product, and
others. This deck also includes templates for your own business presentation.
The foundation of Design Thinking is using empathy to place customers at the center of our
problem solving process.
1
2
3
4
True Customer Understanding
Empathy in the Organization
Streamlined Design Process
Quick Action

There are 4 elements to Design-driven Culture—Customer Understanding,
Empathy in the Organization, Streamlined Process, and Quick Action
4 Elements of Design-driven Culture
Design-driven organizations maintain a significant stock market advantage—outperforming
the S&P 500 by 200+% over the past decade.
Source: Good Design Drivers Shareholder Value, Design Management Institute, 2015; Building a Design-driven Culture, McKinsey, 2015
Most organizations strive to
improve the Customer
Experience.
However, making design a
Core Competency that drives
growth and is a source of
Competitive Advantage
requires changing the
corporate culture to be
design-driven.
There are 4 core elements to
a Design-driven Culture:
True
Customer
Understanding
Empathy
in the
Organization
Streamlined
Design
Process
Quick
Action

Here are 4 key questions to ask when transforming and adopting a
Design-driven Culture
Key Questions to Design-driven Culture Transformation
Adopt the tech startup mentality –remember, speed is better than perfection.
1
QUESTION
Do we have a senior
design leader with real
authority?
Hire a Chief Design Officer (CDO) or Vice President of Design Strategy. This
person should hold a seat in the C-suite and has the backing of the CEO. We
should ensure that design factors with customer implications are part of any
corporate strategy.
Transforming our organization to adopting a Design-driven Culture can be a challenging process.
Here are 4 important questions to consider when making the shift to being design driven:
Are we continuously
reviewing our metrics
and KPIs?
We must go beyond just reviewing design metrics and KPIs regularly to
reviewing them continuously (ideally in real time), testing them, and changing
your actions in a constant “test-and-learn cycle.”
2
QUESTION
Are designers working
with the right people in
our organization?
Assign designers to critical functions so that design is actively contributing to
business decisions and experience development across the entire customer
decision journey. Identify and implement our first Four Wall Approach with
design, engineering, or IT operations, and project management.3
QUESTION
Do we really understand
what motivates our
customers?
Create a map of customer journey and use Human-centered Design (HCD)
research techniques to interact with customers and uncover pain points and
opportunities to delight.
4
QUESTION

Contents
Templates
Overview
4. Quick Action

If we want to put the customer first, we need to first develop a true
understanding of our customer
This understanding of the customer should be plotted out to a Customer Decision Journey
to identify opportunities for creating delightful experiences.
All companies assert they put the customer first. However, the truth is rarely the case. We
find most organizations’ performance management systems are not tied to customer metrics.
Management decisions are often don’t consider the impact on customers. To be a Design-driven
Culture, this must change and we must develop a true understanding of the customer.
EXAMPLE
Cosmetics retailer Sephora were
observing how millennials were
shopping on their site and realized
that, prior to purchase, the customers
would often go to YouTube to look for
videos of people using the product.
This led Sephora to create its own
videos to serve this customer need.
A design-driven company goes beyond understanding
what the customer wants to truly uncovering why they
want it.
Design-driven organizations utilize ethnographers and
cultural anthropologists to develop a more empathetic
view on customer understanding. These researchers
conduct more in-depth studies to observe, listen, and
learn how customers actually use and experience
products, which include:
Contextual one-on-one interviews
Shopper-shadowing exercises
“Follow me homes”

Initial
Consideration
Set
Moment of
Purchase
Active Evaluation
Post-purchase Experience
Ongoing exposure
The McKinsey Customer Decision Journey is a framework we can leverage
to map, analyze, and understand the customer journey and experience
1. True Customer Understanding – McKinsey Customer Decision Journey
For more on this framework, as well as Accenture’s Customer Journey framework, look at
this FlevyPro framework: https://flevy.com/browse/flevypro/customer-experience-2252.
1
3
2
4
Source: Consumer Decision Journey, McKinsey & Co., 2009
1. Initial Consideration Set
When the customer first conceives
the notion of buying a product, she
will develop an initial set of brands to
consider buying.
2. Active Evaluation
In the evaluation phase, the
customer is seeking information and
shopping around to make an
informed purchase decision.
3. Moment of Purchase
This is the point in the time when the
customer goes to the retailer and
makes the purchase.
4. Post-purchase Experience
After the purchase, the customer
builds expectations based on her
experience that will impact her next
purchase journey. This creates the
circular nature of the journey.

Contents
Templates
Overview
4. Quick Action

Customer empathy must permeate all functions throughout our
organization
With performance metrics tied to the customer, our goal is to track the depth of the
relationship between customer and our brand over time.
In a design-driven company, customer empathy must permeate all areas of the business—IT,
finance, marketing, operations, etc. This means customer advocacy and customer-centric
empathy should be extended to more roles in the organization.
EXAMPLE
Deutsche Bank require all employees
to use products that its customers
used as a way for everyone to
understand (and empathize with) what
customers were experiencing.
We must first have a “Chief Design Lead” at the seat
at the table where strategic decisions are made. This
person can be the Chief Design Lead, Chief Digital
Officer, or Chief Marketing Officer. This person’s
responsibility is the primary customer advocate – this
person bring the customer’s point of view to business
decisions and help translate business goals to
customer-friendly initiatives. Perhaps most
importantly, this person needs to help foster a culture
where employees think about how what they do
impacts our customers.
A designer should be a core part of any product of
service development. We also need to build a design-
driven process around individual customer journeys.

Contents
Templates
Overview
4. Quick Action

To streamline the design process, we can use 2 powerful techniques—the
Braided Design Model and Four Walls Approach
The Four Wall Approach creates a workshop setting and mindset – and supports on-the-fly
decision making.
The process of developing Customer Decision Journeys requires input and coordination from
a multitude of functions. To streamline this process, utilize the Braided Design Model and
Four Walls Approach.
BRAIDED DESIGN MODEL FOUR WALL APPROACH
To mitigate against process inefficiencies that arise from dealing with so many
different functions and skill sets, leverage the Four Wall Approach.
The name of this approach is fairly literal. From day 1, set up a war room and
bring in people from design, engineering/IT, operations, and project management
who are working on the process. Depending on offering, bring in the relevant
people with backgrounds in research, user experience, industrial design,
interaction and visual design, service design, and rapid prototyping.
The 4 walls represent:
Customer Journey and Experience
Technology
Operations and Process
Team Planning
The walls become an ordered “mosaic” of post-it notes that capture tasks, actions,
progress, people, ideas, etc., visible for all to see and modify. Team members
can walk across the room, get their questions answered, come to a decision, and
move forward.
This “braided” approach combines Design, Business Strategy,
and Technology as the core working group. These functions
collaborate to achieve the following:
Make decisions
Ensure the designed journey aligns with the strategy and
delivers value
Keep the Customer Experience as a top-of-mind issue
These functions work in lockstep across the process areas of:
Frame
Cocreate
Prototype
Validate
Govern

In the Braided Design Model, the functions of Design, Strategy, and
Technology work in lockstep
3. Streamlined Design Process – Braided Design Model
Source: Building a Design-driven Culture, McKinsey, 2015
Design
Strategy
Technology
Prototype
Build rapid prototypes
Iterate design as required with customer
feedback
Create technology-development (agile) plan
Build business case
Frame
Map business opportunity and strategy based
on market and organizational factors
“Trendscape”; identify user needs and define
experience principles
Identify technology developments; assess
current technology environment
Cocreate
Reframe problem statements based on
customer feedback
Define value proposition
Conduct workshops with customers and
experts to co-create optimal experience
Identify data and technology
Govern
Role model best-practice innovation process
tied to business strategy
Build government model for ongoing
investment and evolution
Validate
Test usability
Assess technology, process, and organizational
needs for realization
Validate with overall business strategy

With the Four Wall Approach, we have cross-functional teams collaborate
in the same room simultaneously—each wall tracks a specific topic
3. Streamlined Design Process – Four Wall Approach
Business-operation &
process wall
Technology wall
Team-planning wall
Personas
Journey mapping
Research insights
Inspirational trends
Architecture maps
Data structures
System diagrams
Application flows
Internal organization &
process owners
Internal processes (before &
after)
Critical business decisions
Inputs to business case
Key performance indicators
Master plan
Project timeline
Team-member names
Daily priorities
Status of tasks
Customer-journey &
experience wall

Contents
Templates
Overview
4. Quick Action

To get our product to market quickly, we leverage a number of agile
practices—in particular, we should first release a Minimum Viable Product
4. Quick Action
A design-driven organization is not afraid to release a product that’s less than perfect.
Source: iPhone Photo App Instagram Nabs 100K Users in One Week, Mashable, 2010
Although it may seem counterintuitive, good design is also fast design.
EXAMPLE
Instagram launched by rolling out a
product, learning which features were
most well received and te relaunched
with a stripped-down version. The
company receive 100K downloads in
less than a week and 7MM registered
users within the app’s first 9 months..
We need to get our product to market quickly. To do
this, we can rely on a number of leading agile
practices:
Rapid prototyping
Frequent iteration
Adjustments based on real-time customer feedback
We should first release a Minimal Viable Product
(MVP). A MVP is the most stripped-down version of
the product that can still accomplish the task and
satisfy early adopters. The final, complete set of
features is only designed and developed after
considering feedback from the product's initial users
and learning from the mistakes of the MVP. The rapid
returns from the MVP pilots also help secure early
support from stakeholders and the broader
organization.

Contents
Templates
Overview
4. Quick Action

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4 Elements of Design-driven Culture – TEMPLATE
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True
Customer
Understanding
Empathy
in the
Organization
Quick
Action
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Streamlined
Design
Process

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4 Elements of Design-driven Culture – TEMPLATE ALTERNATE
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Empathy
in the
Organization
Streamlined
Design
Process
Quick
Action
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True
Customer
Understanding

Initial
Consideration
Set
Moment of
Purchase
Active Evaluation
Post-purchase Experience
1
3
2
4
Ongoing exposure
Insert headline
McKinsey Customer Decision Journey – TEMPLATE
Source: Consumer Decision Journey, McKinsey & Co., 2009
Insert bumper.

Insert headline
Four Wall Approach – TEMPLATE
Insert bumper.
Business-
operation &
process wall
Customer-journey
& experience wall
Technology wall
Team-planning wall

Insert headline
Four Wall Approach – TEMPLATE ALTERNATE
Insert bumper.
Business-operation &
process wall
Customer-journey &
experience wall
Technology wall
Team-planning wall
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1
Flevy (www.flevy.com) is the marketplace
for premium documents. These
documents can range from Business
Frameworks to Financial Models to
PowerPoint Templates.
Flevy was founded under the principle that
companies waste a lot of time and money
recreating the same foundational business
documents. Our vision is for Flevy to
become a comprehensive knowledge base
of business documents. All organizations,
from startups to large enterprises, can use
Flevy— whether it's to jumpstart projects, to
find reference or comparison materials, or
just to learn.
Contact Us
Please contact us with any questions you may have
about our company.
• General Inquiries
support@flevy.com
• Media/PR
press@flevy.com
• Billing
billing@flevy.com

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