Strategy to Execution - shipping products while adapting to new information - web version

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Transcript of Strategy to Execution - shipping products while adapting to new information - web version

1. 1 STRATEGY TO EXECUTION Shipping products while adapting to new infomation JONNY SCHNEIDER Principal, ThoughtWorks UK Service Design and Product Strategy @jonnyschneider jschneider@thoughtworks.com 2. 2 Predicting the future is hard. http://upload.wikimedia.org/wikipedia/commons/0/03/Edison_and_phonograph_edit1.jpg 3. 2 Predicting the future is hard. http://upload.wikimedia.org/wikipedia/commons/0/03/Edison_and_phonograph_edit1.jpg The phonograph was imagined only for dictation, not entertainment In 1908, he remarked that the aircraft had no future In 1912, his vision for concrete furniture and homes wasnt shared Even Thomas Edison got it really wrong 4. 3 many plans are built on projections of future prices and costs that are almost invariably wrong Michael E. Porter https://www.ickr.com/photos/worldeconomicforum/5397052359 5. 4 43% Average project cost over-run 71% came in over budget exceeded time estimates underestimated scope $ 55b Annual waste https://www.ickr.com/photos/jonathancohen/4766990832 Chaos Report, Standish Group, 2004. of projects 6. Adapt, dont predict. https://www.ickr.com/photos/jonathancohen/4766990832 7. business design 8. business design My job is to create viable digital products Im Jonny Schneider That people love to use 9. 7 Technology 10. 7 Technology I work with Technology teams, because I like to ship Also, engineering is design 11. EXPLOREUNDERSTAND CREATEDEFINE strategy and tactics initial vision solution LEARN BUILD MEASURE DEFINE STRATEGY EXECUTE SOLUTION Understand why & dene how Create the outcome Adapted and extended from British Design Council. A way of thinking, not a framework The Double Diamond, adapted from Industrial Design Brings strategy closer to execution 12. 9 Divergent ConvergentEmergent Youll never nd anything unless youre looking for something. Dave Gray, xPLANE 13. 10 AGILE Build the thing right LEAN Build the right things +DESIGN THINKING Explore problem/solution + 14. EXPLORE CREATEDEFINEUNDERSTAND Observe customer behaviour, business processes and technology A search for meaningful questions Paint a picture of the ecosystem 15. Designers dont search for a solution until they have determined the real problem, and even then, instead of solving that problem, they stop to consider a wide range of potential solutions. Only then will they converge upon their proposal. Donald Norman 16. EXPLORE CREATEUNDERSTAND DEFINE Formulate the rst expression a strategy for future success Synthesise new knowledge and assess the opportunities Do just enough to enable action to occur 17. Strategy is about action, about doing something there is no greater tool for sharpening strategic ideas than the necessity to act. Richard P. Rumelt 18. CREATEEXPLOREUNDERSTAND DEFINE Try something, learn something, invest incrementally to pursue success Clear goals frame a search for the right solutions 19. EXPLOREUNDERSTAND DEFINE CREATE Rene, hone and optimise the proposition As the right solution becomes clear, focus on delity Go to market, but dont stop learning 20. 17 Theory into practice. 21. 18 TRIGGER REDUCE COST OF ACQUISITION SIMPLIFY THE BUSINESS BUSINESS IMPERATIVES It starts with high-level imperatives This helps us to understand the current condition 22. 18 TRIGGER REDUCE COST OF ACQUISITION SIMPLIFY THE BUSINESS UNDERSTAND CURRENT CONDITION OBSERVATION AND JOINING THE DOTS BUSINESS IMPERATIVES Theyre often vague, and not immediately actionable So, we need to go see, make observations, and join the dots 23. 18 TRIGGER Process Analysis Operational Research Observation Customer Research Behavioural Analysis Value Stream Mapping Customer Archetypes Design Thinking Ideation Context Map Service Blueprint & OPPORTUNITIES EMERGENT PROBLEMS REDUCE COST OF ACQUISITION SIMPLIFY THE BUSINESS UNDERSTAND CURRENT CONDITION OBSERVATION AND JOINING THE DOTS BUSINESS IMPERATIVES There are a lot of ways to do that When we do, opportunities emerge from understanding 24. 18 TRIGGER Process Analysis Operational Research Observation Customer Research Behavioural Analysis Value Stream Mapping Customer Archetypes Design Thinking Ideation Context Map Service Blueprint & OPPORTUNITIES EMERGENT PROBLEMS ASSESS VIABILITY, SELECT FOR IMPACT DEFINE TARGET CONDITION REDUCE COST OF ACQUISITION SIMPLIFY THE BUSINESS UNDERSTAND CURRENT CONDITION OBSERVATION AND JOINING THE DOTS BUSINESS IMPERATIVES Based on new insight, how might we succeed? Assess and select the most promising options Formulate your hypotheses 25. 18 TRIGGER Process Analysis Operational Research Observation Customer Research Behavioural Analysis Value Stream Mapping Customer Archetypes Design Thinking Ideation Context Map Service Blueprint & OPPORTUNITIES EMERGENT PROBLEMS ASSESS VIABILITY, SELECT FOR IMPACT DEFINE TARGET CONDITION REDUCE COST OF ACQUISITION SIMPLIFY THE BUSINESS Kano Analysis Value Proposition Opportunity Assessment Hypothesis Elaboration Devils Advocate Innovation Accounting Weighting Matrix Evaluation Frameworks Pirate Metrics Prioritisation UNDERSTAND CURRENT CONDITION OBSERVATION AND JOINING THE DOTS FIRST EXPRESSION OF STRATEGY BUSINESS IMPERATIVES Again, there are many ways to do that Now dene the target condition and rst expression of strategy Accept that its fuzzy and incomplete 26. VISION AND STRATEGY (HYPOTHESES) FIRST EXPRESSION OF STRATEGY 27. VISION AND STRATEGY (HYPOTHESES) prototypes quantitative analytics qualitative eldwork marketing experiments innovation lab co-design FIRST EXPRESSION OF STRATEGY EXPERIMENTS EXPLORE WITH EXPERIMENTS This is about reducing uncertainty, not absolute truth Experiments are a cheap way to get more information Try something. Learn. Invest in the next experiment 28. VISION AND STRATEGY (HYPOTHESES) prototypes quantitative analytics qualitative eldwork marketing experiments innovation lab co-design FIRST EXPRESSION OF STRATEGY REFINE AND ADAPT STRATEGY EXPERIMENTS EXPLORE WITH EXPERIMENTS Rene and adapt to what is learned As learning increases, delity increases 29. VISION AND STRATEGY (HYPOTHESES) prototypes quantitative analytics qualitative eldwork marketing experiments innovation lab co-design FIRST EXPRESSION OF STRATEGY REFINE AND ADAPT STRATEGY CREATE SOFTWARE SOLUTIONS do PLAN AND MANAGE DELIVERY check EXPERIMENTS EXPLORE WITH EXPERIMENTS As condence increase, create the real solution Move from exploring opportunities, to exploiting product solutions 30. VISION AND STRATEGY (HYPOTHESES) prototypes quantitative analytics qualitative eldwork marketing experiments innovation lab co-design FIRST EXPRESSION OF STRATEGY REFINE AND ADAPT STRATEGY new discoveries WORKING SOLUTIONS CREATE SOFTWARE SOLUTIONS do PLAN AND MANAGE DELIVERY check EXPERIMENTS EXPLORE WITH EXPERIMENTS Even though were building a solution, its still an experiment Continue to rene, adapt and experiment 31. 20 Lessons From The Trenches (Global Blue Experience Report) Lessons from the trenches. 32. 21 LessonOne Test the right things, in small chunks, within a real system. 33. bit.ly/hypothesis-driven Good start, but its harder than it sounds 34. This sounds okay, but its not very easy to test 35. evolved version of hypothesis template 30 AWARE, INFORMED AND ON-BOARDED We believe that Better informing travellers about Tax Free Refund steps and process ! Will result in an increase in repeated usage of the Global Blue app We will know weve succeed when IN PROTOTYPE REAL Number of active/engaged users increases by Accuracy of submitted forms increases by PLAN Acquisition 6% 30% This was to measure customer acquisition All experiments are not created equal But its not about product/market t at all Its about optimising the execution of a sign-up ow 36. LessonTwo Aim for learning, not validation. 37. Aspirational Customer Journey 38. Aspirational Customer Journey Product Hypotheses 39. Aspirational Customer Journey Product Hypotheses Design Experiments 40. Aspirational Customer Journey Product Hypotheses Design Experiments User Story Map 41. Aspirational Customer Journey Product Hypotheses Design Experiments User Story Map Data/feedback 42. 10 HUNDREDS of ideas 12 FOUNDATION HYPOTHESES maximum reach foundation touch-points mapped to revenue funnel 3 OF 12 validated 4 OF 12 in progress 5 OF 12 to be started 43. LessonThree Changing people is harder than changing software. 44. 2015 ThoughtWorks, Ltd. All rights reserved. HEAD OF CUSTOMER SUCCESS FOUNDER TECHNOLOGY DISRUPTOR PRACTICALLY CURIOUS SYNTHETIC THINKER BUILDER OF BRIDGES MASTER OF GETTING WORK DONE PRAGMATIC DETERMINATION FLEXIBLE RULE BENDER BOUNDARY PUSHER EMOTIONALLY INTELLIGENT AFFABLE PURSUES COMMON VISION RELATIONSHIP MAVEN FRONT-END ENGINEERING INTERACTION DESIGN VISUAL DESIGN CUSTOMER RESEARCH SERVICE DESIGN DIGITAL PRODUCT STRATEGY BUSINESS ARCHITECTURE TECHNOLOGY ARCHITECTURE SOFTWARE DEVELOPMENT RETAIL STRATEGY ORGANISATION DESIGN DELIVERY ASSURANCE DIGITAL TRANSFORMATION right PEOPLE right SKILLS Change needs to be owned, not imposed Know your limits, dont be a hero Dierent phase of product development require dierent mindsets 45. 2015 ThoughtWorks, Ltd. All rights reserved. A few good reads from friends http://bit.ly/uxscot-lean http://bit.ly/uxscot-insights 46. 31 Lessons From The Trenches (IAG Experience Report) A few other helpful things. 47. 32 Saddle Row Example Get familiar with lean techniques Practice Customer Development on a ctitious business Train your team to think big, start small, and act fast 48. 33 2 DESCRIPTION AND NOTES: write, draw or sketch how your idea works. 1 CATEGORY OPERATIONAL BENEFIT CONVERSION FUNNEL PRIMARY FOCUS STREAMLINE OPERATIONS cost reduction Acquisition Activation Retention Revenue Referral Commercial (viability, nancial) process improvement CUSTOMER ARCHETYPE TYPE OF BENEFIT IMPROVE EXIS