Design and Innovation at Apple

By Akash Patel Bibin K Baby

Apple at a Glance

Leading Designer of Computer Hardware and Software

“ March 15 2012 “ Share Price – US $600

Apple = 3 x General ElectricsApple = 25 x Sony

Changed Scenario:

• Computer• Music • Mobiles and • Retail Industries

Success Mantra - “ Understanding how people use Computing Devices and desire to develop great products”

Design Thinking

Innovation

Development Strategy and

Execution

Bold Business experiments

Deep Commitment

Apple Way

Design Thinking

• The Goal of Apple was to Design a computer that is both supported and fostered individual work.

• Apple paid heed to Smallest detail and even the packaging of the product

• The design team were focusing on the inside - out characteristics.

• Sleek appearance of iPhone, iPad, iPod etc has created a sense of what is Popular and Vogue. “ Simplicity is the Ultimate Sophistication”

Set Backs For Apple

Apple saw a Turbulent period from 1985 when Jobs left

Market share of Apple started to decline

• Faced massive competition from IBM clones

• Rapid changes in Technology

• Venture capital investment of New competitors.

• Business market dominated by ‘Wintel’

• Shifts in strategies by Different CEOs between 1985 and 1997.

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“ Debate revolving whether to compete in ‘cloning space’ ”

Marketing Requirement

Engineering Document

User-Experience Document

Excellence in Execution

Platform Strategy

Iterative Customer

Involvement

Beautiful Products

Traditional Approach - 1992 - 1997

Stratergical Approach

After 1997 – The Right way for Apple

Product Development Strategy and Execution

Excellence in Execution

• Jobs Immediate Action – Closing two divisions, Eliminating 70% Projects, Direct Sales Website.

• Core Approaches:• Working intimately with

manufacturers and being accustomed to customers

• Interest in Material Selection

Platform Strategy

• Design the initial product as a platform, with an architecture that will accommodate development of derived products

• Premium Design• 1 - Save Resource & Time• 2 – Reuse assemblies • 3 - More stable design• 4 - Requires less Service

Iterative Customer Involvement

• Insistent on integrating customer experience into design and development

• Participatory Design and usability tests

• Belief in the Interface to be appropriate for the users

• More user testing implies smoother execution

Beautiful Products

• Importance of design as a motivation for continued innovation

• Illustrated by the iPod being intensely connected to the ‘pristine white’ colour

• Attempt to get ‘bolder’ and not ‘play it safe’

• “iPod Mini” – Shifting from poly carbon Plastic to Aluminium.

Product Development Strategy and Execution

The CEO as the Chief Innovator

Steve Jobs’ ‘design sense’ was confident and refined and his sensibility was dominant

His temperament showed that he had a larger vision in mind and would go to any length to achieve it

His vision emphasized on across-the-board excellence, right from aesthetics to superior operations

Emphasis on the timely launch of high-quality products

The ideology was to put individuals and their problem-solving efforts above everything else

The End Result: ‘Beautiful elegant solutions that work’

The Bold MoveApple ventured into retail stores which required painstaking efforts

Dell followed the concept of mass customization

Apple launched the itunes music store and the Apps

Entire music and movie industry were able to access inexpensive music.

Conclusion

• Apple faced Setbacks but bounced back to the success path providing customer service in terms of design and user inferface.

• Apple Believed – “Simplicity is the ultimate Sophistication” Thus Indirectly focusing on Psychological Behavior of Consumer.

• Apple Uses the 4P’s of Marketing .

• Apple Products are the best examples of Delighters and Satisfiers.

• Apple’s Operational strategy to focus on the design aspect gave an extra edge to support its Cooperate and Business Strategy

• Apples Future Depends on Carrying on the Legacy of Steve Jobs’ Innovative Strategies.

Thank You