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IN A DIGITAL WORLD
2
PROTOTYPINGIS JUST LIKEMAKING PANCAKES
3
LONG BEFORE THE DIGITAL AGE …
4
… COMPANIES AND PEOPLE EXPERIMENTED WITH TESTING THEIR IDEAS
5
MANY OF THE BEST INVENTIONS OF TODAY STARTED ALMOST RUDIMENTARY …
6
… AND ONLY DEVELOPED ON THE BACK OF SOLID CUSTOMER VALIDATIONTHROUGH PROTOTYPING
7
AGENDA
08.30 INTRODUCTION
08:40 WHY PROTOTYPING IS A CRITICAL
09.00 DIFFERENT TYPES OF PROTOTYPING & COOL CASES TO LEARN FROM
09:50 BREAK & GO TO BREAK OUT SESSIONS
10:00 A. PUTTING PROTOTYPING TO WORK
10:00 B. PROTOTYPING BETTER WELFARE
10:00 C. PROTOTOTYPING & THE CORPORATE STARTUP
10:00 D. PROTOTYPING IN THE REAL WORLD
11:00 BREAK & BACK IN PLENUM
11:20 HOW TO GET INSIGHT INTO DECISION MAKING
11.45 WRAP-UP AND GRAB & GO LUNCH
WHYIS CRITICALFOR YOUR ORGANIZATION
9
WE OFTEN SUSTAIN OR EVEN ENHANCE BUREAUCRACY TO AVOID RISK & FAILURE
10
HOWEVER, BUREAUCRACIES ARE RISKY …
11
… BECAUSE THEY ASSUME THAT THE FUTURE CAN BE PREDICTED AND CONTROLLED
18/11/2
The world is …
VVolatile
UUncertain
CComplex
AAmbiguous
IN A VUCA WORLD CHOICE-MAKING BASED ON DATA ABOUT THEPAST IS AN TO THE FUTURE
11/18/2
80% 70%of all new product
launches are cancelled or deemed a failure within the first year
of a solution's life-time costs are a consequence of
decisions made in 1st quarter of an innovation project
DON’T PLAN FORTHE FUTURE.
DESIGN IT.
16
WHEN WE DESIGN THE FUTURE WE MAKE CHOICES BASED ON A LOTOF ASSUMPTIONS
DESIRABILITYDo people want it?
VIABILITYCan we earn money of it?
ADAPTABILITYIs the market
ready?
FEASIBILITYCan webuild it?
18
STATISTICAL TOOL TO IMPROVE OURODDS OF WINNING
The function of a prototype is to be a
in a VUCA world
19
IT’S ABOUT IMPROVING OUR WAVE COUNT
PRESENT
What is true?
FUTURE
What would have to be true?
What could be?
What if…?
21
COULD WE BUILD IT?
SHOULD WEBUILD IT?
22
BENEFITS
BETTER RISK/ REWARD RATIO
INCREASED IMPACT
AMPLIFIED AGILITY
If you win, you can scale up the earnings. If you fail, you can leverage the learnings.
You think implementation from day 1, closing the
strategy/implementation gap.
You create a climate where people are rewarded for
justified experiments.
WHYIS CRITICALFOR YOUR ORGANIZATION
24
WE OFTEN SUSTAIN OR EVEN ENHANCE BUREAUCRACY TO AVOID RISK & FAILURE
25
HOWEVER, BUREAUCRACIES ARE RISKY …
26
… BECAUSE THEY ASSUME THAT THE FUTURE CAN BE PREDICTED AND CONTROLLED
27
WHEN YOU DESIGN THE FUTURE YOU MAKE CHOICES BASED ON A LOTOF ASSUMPTIONS
28
STATISTICAL TOOL TO IMPROVE THEODDS OF WINNING
The function of a prototype is to be a
in a VUCA world
29
EVERY CHOICE HAS TO START WITH A DREAM OF A possible FUTURE …
30
... WHICH CAN BE CRAFTED, TESTED AND VALIDATED AS OUR preferable FUTURE
31
BENEFITS
BETTER RISK/ REWARD RATIO
INCREASED IMPACT
AMPLIFIED AGILITY
If you win, you can scale up the earnings. If you fail, you can leverage the learnings.
You think implementation from day 1, closing the
strategy/implementation gap.
You create a climate where people are rewarded for
justified experiments.
DIFFERENT TYPES OF PROTOTYPING
45
IN THAT SPIRIT,LET’S STOP TALKING AND START PROTOTYPING!
We spend 90%of our time indoors
without enough fresh air, which affect our ability to learn and perform.
OUR SENSORY SYSTEM IS UNABLE TO REGISTER MOST HARMFUL AIR POLLUTANTS.
WHAT IF TECHNOLOGY COULD MEASURE WHEN SOMETHING IS WRONG AND SUGGEST ACTIONS THAT IMPROVE OUR ABILITY TO LEARN AND PERFORM?
JOIN THEBREAKOUTSESSION TO FIND OUT
LET'S LOOK AT SOME DIFFERENT TYPES OFPROTOTYPING THAT WE USE OURSELVES
BUILD / MEASURE / LEARNAt different levels of fidelity
Time & Cost
Cer
tain
ty
SOME ADVICE BASED ON OUR EXPERIENCE
START SKETCHING! LOW-FIDELITY FTW
DON'T WORRY ABOUT
LOOKING STUPID
ASSESS THE TECH...CAN YOU BUILD IT?
MORE IMPORTANTLY...SHOULD YOU BUILD IT?TEST WITH USERS
OUR FRIENDS ATGOOGLE ARE GIVING'FAST PROTOTYPING'A WHOLE NEW MEANING
2 APPS A WEEK x 30 WEEKS = 60 VR EXPERIMENTS / YEAR
CAN A PROTOTYPECURE DEPRESSION?LET'S FIND OUT...
PAUSEABLE CASE
OUR PARTNER PAUSEABLE IS A MENTAL WELLNESS PRODUCT AND SOLUTION COMPANY.THEY HELP PEOPLE TAKE CONTROL OF THEIR ENERGY AND ATTENTION WITH OUR PATENTED INTERACTIVE APPROACH.
FIRST PROTOTYPE FOCUS ON BASIC INTERACTION MECHANISM
"IT GOT ME OUT OF MY VICIOUS CIRCLE"- PENG, PAUSEABLE
PARTNERED UP WITH USTWO NORDICS
900,000DOWNLOADS
EDITOR'S CHOICEAPPLE
#1 PAID APPIN 18 MARKETS (INCLUDES US, CHINA, UK)
TOP 10TIME MAGAZINE • 2015
FINALISTHEALTH CATEGORY
INNOVATION BY DESIGN AWARD 2016,FAST COMPANY
25,000DOWNLOADS
MARKETING COLLABORATIONAPPLE
BEST HEALTH & LIFESTYLE APPMOBILE UX AWARDS 2017
FINALISTIXDA DESIGN AWARD 2018
WATCH THIS SPACE!
64
PUTTING PROTO-TYPING TO WORK
A
11
SNAPSHOTS FROM BREAKOUTSESSION- Putting prototyping to work
Idea: Improve forecast mix on campaign items via collecting of demand expectations from all O&O store managers
THE CONCEPT CONSIST OF THREE ELEMENTS
TOLL ENGINE GAMIFICATION
Transforming crowd data into forecast
Hot Very Hot
Flamingo silver charm with fancy pink cubic zirconia, teal cubic zirconia and light green crystal
792117CZS
FUNCTIONALITY IDEAS
• Sliding picture to right or left moves the dot on the slider
• The picture can be release in original vertical and horizontal position and nothing happens
• Lifting picture from that picture in any vertical position above/below, right or left of original position will releasing the picture and lock the slider slider, removes picture and displays the next picture
• Maybe animated removal of picture, e.g. sending it further out in the direction away from original position, or just fade away in “sinus like curve”
• Repress the picture halts removal of picture
• The user steps through all pictures, maybe 30-40 in total
• The slide position has a number between 0 and 100 with two decimal, slide position is used to rank the pictures
• Color on buttom of card could represent category (ring, sharm, bracelet, earring, …)
• Vibration or sound to indicate the level of “hot” while holding the picture
• In up direct picture disappear underneath the slider (not over it)
• Hard press on picture (feedback screen) pops up the card
YOU
Way to go Spot on
Actual You Crowd
Drop 5, 2017Drop 5, 2017
CATEGORY CHARMS
Other possible variants….
Flamingo silver charm with fancy pink cubic zirconia, teal cubic zirconia and light green crystal
792117CZS
Orchid silver charm with purple cubic zirconia and orchid ename
792074EN69
Flamingo silver charm with fancy pink cubic zirconia, teal cubic zirconia and light green crystal
792117CZS
Orchid silver charm with purple cubic zirconia and orchid ename
792074EN69
My favouriteFlamingo silver charm with fancy pink cubic zirconia, teal cubic zirconia and light green crystal
792117CZS
Silver clip with Swiss blue crystal, clear cubic zirconia, royal blue crystal and silicone grip
791817NSBMX
Ocean life silver charm with frosty mint, clear cubic zirconia and blue enamel
792075ENMX
Starfish and shell silver dangle with frosty mint cubic zirconia and clear cubic zirconia
792076CZF
Submitzirconia and light green crystal
792074EN69
Hot Very Hot
Flamingo silver charm with fancy pink cubic zirconia, teal cubic zirconia and light green crystal
792117CZS
Drop 5, 2017
• Swipe right/left to set to expectation from hot to very hot.
• Swipe up to replace my favourite
• Swipe down, left or right to remove from stack and keep the shown favourite
• The one left I would by
• Display two pictures, select the preferred one.
• Remove both pictures, then two display two new pictures
• Roll through Categories, one by one
GRADIATION OF SALES VOLUME
Orchid silver charm with purple cubic zirconia and orchid ename
792074EN69
Flamingo silver charm with fancy pink cubic zirconia, teal cubic zirconia and light green crystal
792117CZS
Flamingo silver charm with fancy pink cubic zirconia, teal cubic zirconia and light green crystal
792117CZS
• Swipe up/right or up/left to substitute my preferred
• Or swipe left, right, down to remove charm if I do not like it
• The two left are the ones I would by
My favourites
WHICH TWO ITEMS WOULD I BUY?
WHICH ITEM WOULD I BUY?
RANK THE TOP SELLERS
CLICK THE ONE I LIKE THE MOST
• Moving cards up and down individually
• Ranking of ionic cards, list of 35-40 cards
• Could be mixed catogory
How to bridge from Crowd data to forecast volume?
Crowd data input
Category Forecast CALCUATION
ENGINE
Empiricalmodels and tuning factors, …
Charms
Ear rings
Glass bits
Bangles
Sales volumes by items
Regional compensationSegment compensationCategory compensationAxis interpretation alignment… ???
202.930
150,100
110,000
75,000
122,210
30,000
125,700
12.200
12,300
11.000
75,000
8,200
5,300
103
50.000
100.000
150.000
200.000
250.000
50.000 100.000 150.000 200.000 250.000
Current forecast process
Supported by crowd input
FORECAST
Risk of re-melt, discount
DEMANDLost sales
66
PROTOTYING BETTER WELFARE
B
67
11
CASES IN PRACTICAL APPLICATION
Tangible product & Service Innovation
Abstract business model or leadership model innovation
Testing solution design
Pushing problem definition
Børneriget
Digital patient Journey
Integrated welfare
2
13
0
500.000
1.000.000
1.500.000
2.000.000
2.500.000
3.000.000
3.500.000
4.000.000
Fra borger nr. 18.520 er omkostningen 0
Number of citizens : 1.499 Total cost: 673 mio. kr.
Avg. Cost : 448.979 kr.
3 PERCENT
51 %
Number of citizens : 2.499 Total cost: 831 mio. kr. Avg. Cost: 332.661 kr.
5 PERCENT
64 %
Number of citizens: 500
Total cost: 401 mio. kr.
Avg. Cost: 803.337 kr.
1 PERCENT
31 %
Number of citizens : 49.973
Total welfare cost 1.307 mio. kr.
Avg. Cost: 26.154 kr.
ALL CITIZENS
100 %
BUILDING THE RIGHT THING?
RAPID PROTOTYPING
& THE CORPORATE STARTUP
71
VS.
72
Core corporate beliefLEADING FROM THE FRONT
Core corporate beliefLEADING FROM THE FRINGE
CHOICE #1What type of innovation are you incubating?
Finding the right problemKnown New
Find
ing
the
right
sol
utio
nK
now
nN
ew
EVOLUTIONALExpand existing
and build new business
EVOLUTIONALExpand existing
and build new business
INCREMENTALImprove and
optimize existing business
RADICALLearn and place
bets on emerging options
73
Search for the customerTHE RIGHT PLAYING FIELD
Approach with a compelling story THE UNIQUE VALUE PROP
CHOICE #2Where will we compete and what is our unique way to win?
Winning aspiration?
Where-2-play?
How-2-win?
Capabilities?
Management systems?
74
AnchoringPRIMARY OWNERSHIP FOR CREATION OF NEW BUSINESS?
AuthorityDEDICATED FUNDING OR ADHOC?
CHOICE #3What type of incubator will support your strategic goal?
Organisationalownership
Diffused FocusedR
esou
rce
auth
ority
Ad
hoc
Ded
icat
ed
THE ENABLERProvides funding and executive attention to
incubated opportunities(Ex. Google)
THE ADVOCATEStrongly evangelises for
incubation, but BUsupport and fund(Ex. Alm. Brand)
THE OPPORTUNISTNo deliberate and firm
approach to opportunity selection and allocation
THE PRODUCEREstablishes a full-service
incubation with a mandate for entrepreneurship
(Ex. MobileLife)
75
CHOICE #4How do you organise the incubator?
ACROSSOne incubation unit across several
categories/brands. High innovation maturity level inside each category/brand and joint
KPIs between the incubation unit and categories/brands to increase probability of
success.
PARALLELIncubation originates from outside the categories/brands and is subsequently
inherited by non-innovating categories/brands. Innovation becomes a
business area in itself with freedom to think outside normal category/brand logic.
SUPPORT
Incubation unit with limited room to maneuver. Easy to reduce risk but requires
vertical co-ordination and centraliseddecision-power with little mandate
empowering leadership lower in the hierarchy.
AUTONOMYIncubation is separated from old routines and
benefits from less category/brand rigidness and bureaucracy. It provides equal possibilities to
focus on the full span of transforming innovations. However, new initiatives will be
pushed through senior management.
GOVERNINGCategories/brands are parented by an
incubation unit. Requires corporate mandate with direct report to the CMO/CEO where business innovation is the key driver
and KPI for success.
EMBEDDEDIncubation originates from inside each category/brand and is implemented by
business innovators. Hence, these innovators are recognized as being truly
embedded in the categories/brands.
76
CHOICE #5How do you lead incubation?
Leadership 1.0
Controlling
Top-down leadership
Failure = Embarrassment
Finger-pointing
Evaluating
Leadership 2.0
Coaching
Empowered & trusted team
Collaborative leadership
Failure = Learning
Advocates for team
77
BUILDING BLOCKS DESIGN
AMBITION Facilitate entrepreneurial teams in incubation Populate incubator with teams and arm them with the right tools
Establish self-supporting incubator maturing and venturing growth opportunities
DECISION MAKINGTeams are given full mandate to drive own decisions Funders (corp. VCs) make decisions based on pitches Decisions are made by funders in a strict stage-gate
process
INPUTMVPs with proved traction Ideas (with a significant following) Strategic priorities or widely known customer/consumer
needs
OUTPUT Established business with significant revenue and a scaled customer base
First MVP launched Validated business model + case
SETTINGAd-hoc co-location Internal “war room” External lab/garage
FUNDING Pre-funding (upfront) VC-funding (on-going) Gate-funding
DURATION90 days 180 days +1 year
CAPABILITY Leverage business innovation mind-set, tools and process Leverage entrepreneurship and support them in accelerating growth opportunities
Build unit and develop lasting leadership mindset, entrepreneurial capabilities and alumni network
PROCESSTeams follow the same normative and firm process every time
A well-proven process functions as a starting point but is refined/adapted continuously based on needs
Each team will decide on and tailor their own processbefore they start and on an on-going basis
MENTORINGAd-hoc support by dedicated coaches Coach-the-coach support Led by coaches
TEAM ALLOCATIONAd-hoc allocation based on needs and expertise Core team is 75% allocated and crowd identified Full team is 100% allocated
REWARD Exit Funding Acceleration
SOLUTION INTEGRATIONSolutions with high dependency on current systems and knowledge
Solutions with medium dependency on current systems and knowledge
Solutions with no dependency on current systems and knowledge
DASHBOARDHow to design the incubator
78
DO’S & DON’T’SThis is what you need to avoid and excel in
BEST PRACTICE TOXINS
Encourage appropriate risk-taking and creative thinking Lack of sponsor involvement and direction-setting
Build and manage a portfolio of growth options for incubation Avoiding to nurture and pave the way for each incubation
Balance core, adjacent and new growth to maximize upsides Applying same way of working across the portfolio
Allocate talent, capital and time intensely to top priorities Putting all efforts into one basket at a time
Drive adjacent and new growth through smart experiments Not setting standards for when to move forward or kill initiatives
Fence off incubations that challenge the existing core business Not acting decisively due to cannibalisation and short-term’ism
Make small investments to drive progress towards milestones Missing window of opportunity due to lack of big bets
Set KPIs that exhibit patience for growth but impatience for profits Not recognising when there is no real market traction
Focus on validating critical assumptions that needs to hold true Not challenging the solution and waiting too long for perfect data
Coach towards focus on solutions and getting out of the building Not building a sufficient foundation of insights
PROTOTYPING IN THE REAL WORLD
THE QUICK ROAD TO TESTING, VALIDATING, LEARNING AND ITERATING
LEARNING BY DOING
The process consists of many iterations which each time adapts the previous learnings to improve, build and test the next working version of the MVP.
This is repeated until a viable design or product is reached and ready for launch.
TELL ME AND I FORGETTEACH ME AND I REMEMBERINVOLVE ME AND I LEARN
MINIMIZE RISK
Make what will bring value to the business and the users. Focus on what matters and deliver fast and often.
By stating and testing assumptions continuously, we can validate them to remove risk throughout the process.
To remove risk during the process we need to verify and test often –each sprint adapts previous learnings to improve.
LO FIDELITYPROTOTYPING
It doesn't have to be beautiful, it needs to be functional.
Prototyping is about communicating ideas and about panning them out, making sure they work.
Thinking about the function and different steps, mapping them out to find out how to navigate is the base line.
A low fidelity prototype can easily be digitized to better demonstate flows and functions – in order to collect feedback and iterate.
SKETCHING• Sketch – and start over if needed.
Sketching is about trying ideas – not making a perfect picture.
• Discuss your idea – and define the flow and the different steps.
• Try to make the story as simple as possible. Details can be filled in later.
LET'S DO THIS!
1. VALUE PROPOSITION/ SKETCHINGHOW CAN WE MAKE USE OF THE DATA IN THE PROTOTYPE?A DIGITAL SERVICE? AN APP? A PHYSICAL PRODUCT?A CLOUD SERVICE? HOW WILL IT WORK?
❑ COME UP WITH AN IDEA❑ MAKE SKETCHES❖ 10 MIN
™*
2. DIGITIZE THE EXPERIENCE❑ MAKE A SHORT VIDEO OF HOW IT WORKSOR❑ USE THE POP PROTOTYPING TOOL (MARVEL)*AND❑ MAKE LINKS BETWEEN THE PICTURES, THINK ABOUT FLOWS
❖ 10 MIN
*(If you want to register to the POP app, do NOT use an email-address already connected to a Marvel account!)
3. USER TEST❑ SHOW YOUR PROTOTYPE TO ANOTHER GROUP/PERSON.❑ TAKE NOTES ON THE FEEDBACK.❑ TAKE TURNS. 5 MIN EACH.❖ 10 MIN
4. REFLECT❑ IN THE FEEDBACK GROUPS: TAKE A ROUND AND SHARE YOUR
REFLECTIONS ON THE EXPERIENCE.❑ WHAT CHANGES WOULD YOU DO TO YOUR PROTOTYPE RELATED
TO THE FEEDBACK YOU GOT?❑ WHEN WOULD RAPID DIGITAL PROTOTYPING BE USEFUL TO YOU?
❖ 5 MIN
79
11
One prototype beats a thousand meetings
80
START PROTOTYPING
81
WIN A 3 HOUR WIN ROOM
82
WE WANT TO TAKE OUR OWN MEDICINE
161
IMwithUsTwo.com
Rene Bach
Phone: +45 60 29 94 25
Email: [email protected]
Contact
THANK YOU
Peter Harding
Phone: +45 61 24 63 72
Email: [email protected]
Marcus Woxneryd
Phone: 0703848938
Email: [email protected]