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A short presentation based on my experience of convincing companies and users of changing habits, using new tools and features. It all boils down to them understanding What's In it for Them. My public IBM profile: http://ibm.co/bjellerup
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© 2012 IBM CorporationThis material was used by IBM during an oral presentation; it is not a complete record of the discussion.
Useful or just cool?
On what makes innovations great
Peter Bjellerup – GBS S&T CoC for Social Business
© 2012 IBM Corporation
© 2012 IBM Corporation
Two questions keep coming back
Why should I use it?
Why should I pay for it?
© 2012 IBM Corporation
There are only two kinds of innovations
1. Make something possible that was not before
2. Make something better that was possible before
© 2012 IBM Corporation
People want ROI – Return on Investment. But on which investment?
Costs– Initial costs– Operational costs– Knock-on costs and investments
• Financial, technological, organizational....
Time invested– In learning– In changing habits (your’s and others you depend on)– In bug resolution and de-confusing
Risk taking– Being an early adopter
© 2012 IBM Corporation
When do you get that return on investment?
When you power on?– Sometimes, but rarely
When people use the invention?– Most of the time– Instead of the predecessor.....
© 2012 IBM Corporation
Therefore, inventions and investments depend on people wanting to use them, not only on them becoming available
The purpose of IT Products is to produce benefits for the companies that provide them
Business benefits
Individual benefits
BUSINESS
USERS
The audience use the IT Products because this use produce benefits for them, not because of the benefits for the company
The reasoning in this and the following slide, on business and individual benefits, is based on “Effektstyrning av IT” by Ingrid Ottersten and Mijo Balic 2004, ISBN 91-47-07450-7. Only available in Swedish as far as I know
© 2012 IBM Corporation
Therefore, inventions and investments depend on people wanting to use them, not only on them becoming available
The definition of the expected benefits is made from the company’s perspectiveBusiness
benefits
Individual benefits
BUSINESSDefinition of benefits
Realization of benefits
USERS
But for the company to realize its benefits, it is necessary that the users want to use the IT Product to realize their benefits
© 2012 IBM Corporation
Therefore, inventions and investments depend on people wanting to use them, not only on them becoming available
The possibility of realizing any benefits depend on the availability and functionality of supporting technology.
Business benefits
Individual benefits
USERS
BUSINESS
TECHNOLOGY
Definition of benefits
Realization of benefits
© 2012 IBM Corporation
Therefore, inventions and investments depend on people wanting to use them, not only on them becoming available
The three key factors for success of the IT Product bring each their components to the final mix to be assessed.
Business benefits
Individual benefits
USERS
BUSINESS
TECHNOLOGY
Definition of benefits
Realization of benefits
• Purpose, Ambition• Financial framework• Decisions, Policies• Responsibility
• Individual goals• IT Maturity• Mindset:
– References– Context
• Functional enablement• Resource requirements
– Initial– Running
• Integration• Delivery performance
As in the original definition of an IT Product, assessing an existing one requires an understanding of these factors and their components, albeit not as deep
© 2012 IBM Corporation
Conclusion: The success of your invention depends on the willingness of people to want to use it (most of the time)
And that fit starts with your ability to understand their needs and their context their way – to ”walk a mile in their shoes” – also called Empathy
© 2012 IBM Corporation
Competition is more than just choosing between suppliers
Different supplier of a similar offering Which travel agency shall I use for my ski trip by bus this winter?
Different technology to fulfil the same need Or should I go by air instead?
Different approach to satisfy the same need Ooops. My fiancé wants to go to the beach instead
Different priorities to use limited resources (time, money)
But maybe we could save the money to buy a flat together?
© 2012 IBM Corporation
Summing up
Why should people use and pay for your invention?
How and when does it pay back on investments
Do you start from the need or from the feature?
What’s in it for the user?
What is the extended competition like?