Presentation given at COMPUTEX 2010

1. Prof. Dr. Hartmut Esslinger, Founder frog design GROWTH IN CRISIS L O V E L I F E 4

2. A CRISIS LIBERATES CREATIVITY TO INNOVATE

3. SPLIT IMAGE: http://minnesota.publicradio.org/display/web/2008/09/16/aig_feds/ GREED VALUES VERSUS

4. SPLIT NUMBERS STRATEGY VERSUS

5. ILLUSIONS NATURE’S LAW VERSUS

6. 1. Strategy, Focus & Convergence aspire for more human-minded business 3. Co-Design & Crowd-Sourcing exploring new paths of creative collaboration 4. Open Source Design from exclusive to inclusive innovation 5. Green & Social Design innovate for a safer and better life

7. 1. Strategy, Focus & Convergence aspire for more human-minded business 2. Co-Design & Crowd-Sourcing exploring new paths of creative collaboration 4. Open Source Design from exclusive to inclusive innovation 5. Green & Social Design innovate for a safer and better life

8. 1. Strategy, Focus & Convergence aspire for more human-minded business 2. Co-Design & Crowd-Sourcing exploring new paths of creative collaboration 3. Open Source Design from exclusive to inclusive innovation

9. 1. Strategy, Focus & Convergence aspire for more human-minded business 2. Co-Design & Crowd-Sourcing exploring new paths of creative collaboration 3. Open Source Design from exclusive to inclusive innovation 4. Green & Social Design innovate for a safer and better life

10. http://en.wikipedia.org/wiki/Creativity CREATIVITY INNOVATION FOR Creativity is a mental and social process involving the generation of new ideas or concepts, or new associations of the creative mind between existing ideas or concepts. Creativity is fueled by the process of either conscious or unconscious insight. An alternative conception of creativeness is that it is simply the act of making something new .

11. THE CATALYST CREATIVE STRATEGIC DESIGN

12. THE CATALYST CREATIVE STRATEGIC DESIGN Science & Technology

13. THE CATALYST CREATIVE STRATEGIC DESIGN Science & Technology Finance & Business

14. THE CATALYST CREATIVE STRATEGIC DESIGN Science & Technology Humans, Communities & Society Finance & Business

15. THE CATALYST CREATIVE STRATEGIC DESIGN Science & Technology Humans, Communities & Society Finance & Business Ecology & Resources

16. DESIGN QUALITY IS NOT A MATTER OF DEMOCRACY

17. STRATEGY FOCUS CONVERGENCE L O V E L I F E 4 APPLE FOUNDERS STEVE WOZNIAK & STEVE JOBS

18. NOBODY CAN BE GOOD IN EVERYTHING

19. BASIC RESEARCH & INVENTIONS

20. BASIC RESEARCH & INVENTIONS PIONEERING APPLICATION TO PRODUCTS

21. BASIC RESEARCH & INVENTIONS PIONEERING APPLICATION TO PRODUCTS APPLICATION OF PROVEN TECHNOLOGIES

22. BASIC RESEARCH & INVENTIONS PIONEERING APPLICATION TO PRODUCTS APPLICATION OF PROVEN TECHNOLOGIES INNOVATING INTO HOLISTIC EXPERIENCES

23. BASIC RESEARCH & INVENTIONS PIONEERING APPLICATION TO PRODUCTS APPLICATION OF PROVEN TECHNOLOGIES INNOVATING INTO HOLISTIC EXPERIENCES BRAND & CONVERGENT DESIGN DNA

24. INNOVATIVE BUSINESS MODELS BASIC RESEARCH & INVENTIONS PIONEERING APPLICATION TO PRODUCTS APPLICATION OF PROVEN TECHNOLOGIES INNOVATING INTO HOLISTIC EXPERIENCES BRAND & CONVERGENT DESIGN DNA

25. INNOVATIVE BUSINESS MODELS BASIC RESEARCH & INVENTIONS PIONEERING APPLICATION TO PRODUCTS APPLICATION OF PROVEN TECHNOLOGIES INNOVATING INTO HOLISTIC EXPERIENCES BRAND & CONVERGENT DESIGN DNA

27. INNOVATIVE BUSINESS MODELS BASIC RESEARCH & INVENTIONS PIONEERING APPLICATION TO PRODUCTS APPLICATION OF PROVEN TECHNOLOGIES INNOVATING INTO HOLISTIC EXPERIENCES BRAND & CONVERGENT DESIGN DNA

29. INNOVATIVE BUSINESS MODELS BASIC RESEARCH & INVENTIONS PIONEERING APPLICATION TO PRODUCTS APPLICATION OF PROVEN TECHNOLOGIES INNOVATING INTO HOLISTIC EXPERIENCES BRAND & CONVERGENT DESIGN DNA

31. INNOVATIVE BUSINESS MODELS BASIC RESEARCH & INVENTIONS PIONEERING APPLICATION TO PRODUCTS APPLICATION OF PROVEN TECHNOLOGIES INNOVATING INTO HOLISTIC EXPERIENCES BRAND & CONVERGENT DESIGN DNA

33. INNOVATIVE BUSINESS MODELS BASIC RESEARCH & INVENTIONS PIONEERING APPLICATION TO PRODUCTS APPLICATION OF PROVEN TECHNOLOGIES INNOVATING INTO HOLISTIC EXPERIENCES BRAND & CONVERGENT DESIGN DNA

35. 8% Global Market Share 32% Global Profits 92% Global Market Share 68% Global Profits YES PAYS CONVERGENCE

36. YES PAYS DESIGN

37. Strategic Business Phase ~ 0.1 % Conceptual Design ~ 5% Detailed Design ~ 10% Procurement/Production ~ 85% Operations/Support PRODUCT LIFECYCLE PHASES Source: DARPA RaDEO project on industrial productivity PLM Investment Source: Mike Hammer / Re-Engineering SW & HW IMPLEMENTATION THE MODEL OLD

38. Strategic Business Phase ~ 0.1 % Conceptual Design ~ 5% Detailed Design ~ 10% Procurement/Production ~ 85% Operations/Support PRODUCT LIFECYCLE PHASES Source: DARPA RaDEO project on industrial productivity PLM Investment Source: Mike Hammer / Re-Engineering SW & HW IMPLEMENTATION THE MODEL OLD “… we may need to talk to a Designer…”

39. Strategic Business Phase ~ 0.1 % Conceptual Design ~ 5% Detailed Design ~ 10% Procurement/Production ~ 85% Operations/Support BUSINESS CONSULTING People, Technology, Markets PLM Investment Source: Mike Hammer / Re-Engineering STRATEGY Business Concepts Trend Research Tech-Scouting Synthesis WHERE HAPPEN DECISIONS

40. Strategic Business Phase ~ 0.1 % Conceptual Design ~ 5% Detailed Design ~ 10% Procurement/Production ~ 85% Operations/Support BUSINESS CONSULTING People, Technology, Markets PLM Investment Source: Mike Hammer / Re-Engineering STRATEGY Business Concepts Trend Research Tech-Scouting Synthesis WHERE HAPPEN DECISIONS “… what can we do for better business…?”

41. Strategic Business Phase ~ 0.1 % Conceptual Design ~ 5% Detailed Design ~ 10% Procurement/Production ~ 85% Operations/Support BUSINESS CONSULTING People, Technology, Markets PRODUCT LIFECYCLE PHASES Source: DARPA RaDEO project on industrial productivity PLM Investment Source: Mike Hammer / Re-Engineering BUSINESS TRANSFORMATION STRATEGY Business Concepts Trend Research Tech-Scouting Synthesis Co-Design with Retail & Customers/Users INNOVATION CONVERGENT DESIGN Customer Experience Brand Building Software & UI Hardware SW & HW IMPLEMENTATION THE MODEL INTEGRATED

42. Strategic Business Phase ~ 0.1 % Conceptual Design ~ 5% Detailed Design ~ 10% Procurement/Production ~ 85% Operations/Support BUSINESS CONSULTING People, Technology, Markets PRODUCT LIFECYCLE PHASES Source: DARPA RaDEO project on industrial productivity PLM Investment Source: Mike Hammer / Re-Engineering BUSINESS TRANSFORMATION STRATEGY Business Concepts Trend Research Tech-Scouting Synthesis Co-Design with Retail & Customers/Users INNOVATION CONVERGENT DESIGN Customer Experience Brand Building Software & UI Hardware SW & HW IMPLEMENTATION THE MODEL INTEGRATED “ .. WOW!...”

43. only the best most effective smartsourcing outsourcing ? OPTIMIZE STRATEGY YOUR

44. only the best most effective smartsourcing outsourcing WIN FOCUS BY !

45. YES PAYS CREATIVITY APPLE’s Revenues are 62% of DELL’s APPLE’s EBIT is 204% of DELL’s Q4 2008 APPLE: $10B Revenue $1.6B EBIT DELL: $16B Revenue $784M EBIT

46. | Lynx System BUILD BRAND YOUR

48. CONTACT SERGIO KLAUS-PETER VOIGT Chief Operating Officer eMail: kpv@telefunken.de

49. CO-DESIGN WITH CHILDREN 4 L I F E 4 L O V E

50. EVERY HUMAN IS BORN AS A CREATIVE BEING

51. CULTURE = PROFITS + PROCESS RETAIL Best Buy Wal*Mart Circuit City Target Radio Shack CompUSA Pre-Orders Margin: ~21 - 32% ODM R&D INDUSTRIALIZATION Production Components Sub-Assembly Logistics, Service Margin: 5 - 8% frog Fee from Distributor & 20% of Disney’s % BRAND: DISNEY… Royalty: ~ 8% (video) to 12% (audio) =50% of Brand Premium @ Retail DISTRIBUTION MemCorp & MEDION Carries Inventory Risk Margin: ~4%

52. KIDZ DREAMS WANT

53. KNOW NUMBERS THE

54. CO-DESIGN WITH DENTISTS L I F E 4 L O V E

55. CUSTOMERS SMART ARE $5500

56. CROWD SOURCING 2.0 4 L I F E 4 L O V E

62. OPEN SOURCE DESIGN L I F E 4 L O V E

63. MOST THINGS ARE MORE ALIKE THEN DIFFERENT

65. SYSTEM HISTORY

66. http://www.baileyana.com/home.php

67. SYSTEM HISTORY TECHNICAL OPTIMIZATION

69. SYSTEM HISTORY TECHNICAL OPTIMIZATION SAFETY & STANDARDS

71. SYSTEM HISTORY TECHNICAL OPTIMIZATION SAFETY & STANDARDS MARKET COMMODITIZATION

73. SYSTEM HISTORY TECHNICAL OPTIMIZATION SAFETY & STANDARDS MARKET COMMODITIZATION BRAND & DESIGN DNA

74. ARCHETYPES MINI 1 VW GOLF 1

76. SYSTEM HISTORY TECHNICAL OPTIMIZATION SAFETY & STANDARDS MARKET COMMODITIZATION BRAND & DESIGN DNA INNOVATION

77. SEMI-OPEN: INNOVATING BY COMBINING PROVEN TECHNOLOGY iTUNES

78. APPLE OPEN SOURCE STARTED BY At the Homebrew Computer Club in Palo Alto, California (in Silicon Valley), Steve Wozniak, a 26 year old employee of Hewlett-Packard and a long-time digital electronics hacker, designed his APPLE ONE as an Open Source concept.

79. A TYPEWRITER HISTORIC

80. THE TYPEWRITER LAST

81. THE RECYCLED DESIGN VALENTINE COMPUTER: „design recycling“ of Ettore Sottsass‘ & Perry King‘s Olivetti typewriter by ID2/Vienna

82. ~0.8% of the Lifecycle-Investment are for Design ~80% of customer’s buying decisions are by Design

83. Ewald Neuhofer, Alex Gufler, Marko Doblanovic FOCUS ON USABILITY: COCKPIT 16-21 YEARS

84. GREEN & SOCIAL DESIGN L I F E 4 L O V E

86. GREEN INNOVATIVE IS Electric Scooter VeSPA: Niklas Wagner @ ID2/Vienna

87. GREEN EMOTIONAL IS „ ZEVS“ ELECTRO BIKE: „Convergent Mobility“ concept by Rudolf Stephanich, August Kittelsen & Bernhard Ranner @ ID2/Vienna

88. LOCUSTS PEACE FOR PEACE ROBOT: drone concept by Benjamin Cselley, Jupin Ganbhari, Donimik Premauer & Jelena Stojkovic@ ID2/Vienna

89. EASY LEARNING MUSIC TOKEN: Gesture Synthesizer by Jori Krauss @ ID2/Vienna

90. KNOWING WE EAT WHAT

91. SMART SHOPPING WINDOW

92. HIV TEST HOME Project Masiluleke

93. HUMAN ROBOTICS BENEFIT CARRIER: exo-set wheelchair by Julia Kaisinger, Bilge Demiric, Mathias Mayrhofer, Niki Iranmanesh, Xulian Benesch @ ID2/Vienna PLACEHOLDER IMAGE

94. HELP PEOPLE WEAKER NOLI: anti-abuse device by Joachim Kornauth | Bernhard Ranner | Mathias Mayrhofer | Erol Kursani | Lukas Dön @ ID2/Vienna

95. THINK CREATIVE MORE BRAIN ENHANCER: creativity boosting device by Ewald Neuhofer @ ID2/Vienna

96. RE-CONNECT WISDOM GENERATIONAL Concept by Georg Milde | Kristina Chudikova | Christoph Döttelmayer | Julia Kaisinger | Martin Strohmeier @ ID2/Vienna

97. PROVEN WISDOM CHINESE … if you do not change direction, you may end up where you are heading. Lao Tzu

98. [email_address] FORM FOLLOWS EMOTION L I F E 4 L O V E