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

\\

1

STRATEGY TO EXECUTIONShipping products while adapting to new infomation

JONNY SCHNEIDER Principal, ThoughtWorks UK Service Design and Product Strategy @jonnyschneider [email protected]

mailto:[email protected]

2

Predicting the future

is hard.

http://upload.wikimedia.org/wikipedia/commons/0/03/Edison_and_phonograph_edit1.jpg


2

Predicting the future

is hard.


The phonograph was imagined only for dictation, not entertainmentIn 1908, he remarked that the aircraft had no future

In 1912, his vision for concrete furniture and homes wasn’t sharedEven Thomas Edison got it really wrong


3

…many plans are built on projections of future prices and costs that are

almost invariably wrong

—Michael E. Porter

https://www.flickr.com/photos/worldeconomicforum/5397052359

https://www.flickr.com/photos/worldeconomicforum/5397052359

4

43% Average project cost over-run

71%→ came in over budget → exceeded time estimates → underestimated scope

$55b Annual waste

https://www.flickr.com/photos/jonathancohen/4766990832

Chaos Report, Standish Group, 2004.

of projects


Adapt, don’t predict.



½ business

½ design

½ business

½ design

My job is to create viable digital products I’m Jonny Schneider

That people love to use

7

Technology

7

Technology

I work with Technology teams, because I like to ship

Also, engineering is design

EXPLOREUNDERSTAND CREATEDEFINE

strategy and tactics

initial vision solution

LEARN BUILD

MEASURE

DEFINE STRATEGY EXECUTE SOLUTIONUnderstand why & define how Create the outcome

Adapted and extended from British Design Council.

A way of thinking, not a frameworkThe ‘Double Diamond’, adapted from Industrial Design

Brings strategy closer to execution

9

Divergent ConvergentEmergent

You’ll never find anything… unless you’re looking for something.— Dave Gray, xPLANE

10

AGILE

Build the thing right

LEAN

Build the right things

+DESIGN THINKING

Explore problem/solution

+

EXPLORE CREATEDEFINEUNDERSTAND

Observe customer behaviour, business processes and technologyA search for meaningful questions

Paint a picture of the ecosystem

Designers don’t 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

EXPLORE CREATEUNDERSTAND DEFINE

Formulate the first expression a strategy for future successSynthesise new knowledge and assess the opportunities

Do just enough to enable action to occur

Strategy is about action, about doing something… there is no greater tool for sharpening strategic ideas than the necessity to act.

—Richard P. Rumelt

CREATEEXPLOREUNDERSTAND DEFINE

Try something, learn something, invest incrementally to pursue successClear goals frame a search for the right solutions

EXPLOREUNDERSTAND DEFINE CREATE

Refine, hone and optimise the propositionAs the right solution becomes clear, focus on fidelity

Go to market, but don’t stop learning

17

Theory into practice.

18

EXPAND incremental product

TRIGGER

REDUCE COST OF ACQUISITION

SIMPLIFY THE BUSINESS

BUSINESS IMPERATIVES

It starts with high-level imperativesThis helps us to understand the current condition

18


TRIGGER



UNDERSTAND CURRENT CONDITION

OBSERVATION AND JOINING THE DOTS


They’re often vague, and not immediately actionableSo, we need to go see, make observations, and join the dots

18


TRIGGER

Process Analysis

Operational Research

ObservationCustomer Research

Behavioural Analysis

Value Stream Mapping

Customer Archetypes

Design Thinking Ideation

Context Map Service Blueprint

& OPPORTUNITIES

EMERGENT PROBLEMS






There are a lot of ways to do thatWhen we do, opportunities emerge from understanding

18


TRIGGER

Process Analysis





Customer Archetypes



& OPPORTUNITIES

EMERGENT PROBLEMS

ASSESS VIABILITY, SELECT FOR IMPACT

DEFINE TARGET CONDITION






Based on new insight, how might we succeed? Assess and select the most promising optionsFormulate your hypotheses

18


TRIGGER

Process Analysis





Customer Archetypes



& OPPORTUNITIES

EMERGENT PROBLEMS

ASSESS VIABILITY, SELECT FOR IMPACT

DEFINE TARGET CONDITION



Kano Analysis

Value Proposition

Opportunity Assessment

Hypothesis Elaboration

Devil’s Advocate

Innovation Accounting

Weighting Matrix

Evaluation Frameworks

Pirate Metrics Prioritisation



FIRST EXPRESSION OF STRATEGY


Again, there are many ways to do thatNow define the target condition and first expression of strategy Accept that it’s fuzzy and incomplete

VISION AND STRATEGY (HYPOTHESES)



prototypes

quantitative analytics

qualitative fieldwork

marketing experiments

innovation lab

co-design


EXPERIMENTS

EXPLORE WITH EXPERIMENTS

This is about reducing uncertainty, not absolute truthExperiments are a cheap way to get more information

Try something. Learn. Invest in the next experiment


prototypes




innovation lab

co-design


REFINE AND ADAPT STRATEGY

EXPERIMENTS


Refine and adapt to what is learnedAs learning increases, fidelity increases


prototypes




innovation lab

co-design



CREATE SOFTWARE SOLUTIONS

do

PLAN AND MANAGE DELIVERY

check

EXPERIMENTS


As confidence increase, create the real solutionMove from exploring opportunities, to exploiting product solutions


prototypes




innovation lab

co-design



new discoveries

WORKING SOLUTIONS

CREATE SOFTWARE SOLUTIONS

do

PLAN AND MANAGE DELIVERY

check

EXPERIMENTS


Even though we’re building a solution, it’s still an experimentContinue to refine, adapt and experiment

20

Lessons From The Trenches (Global Blue Experience Report)

Lessons from the trenches.

21

Lesson OneTest the right things, in small chunks, within a real system.

bit.ly/hypothesis-driven Good start, but it’s harder than it sounds

http://bit.ly/hypothesis-driven

This sounds okay, but it’s not very easy to test

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 we’ve succeed whenIN PROTOTYPE REAL

Number of ‘active/engaged’ users increases by

Accuracy of submitted forms increases by

PLANAcquisition

6% 30%This was to measure customer acquisition

All experiments are not created equal

But it’s not about product/market fit at all… It’s about optimising the execution of a sign-up flow

Lesson TwoAim for learning, not validation.

Aspirational Customer Journey


Product Hypotheses


Product Hypotheses

Design Experiments


Product Hypotheses

Design Experiments

User Story Map


Product Hypotheses

Design Experiments

User Story Map

Data/feedback

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

Lesson ThreeChanging people is harder than changing software.

© 2015 ThoughtWorks, Ltd. All rights reserved.

HEAD OF CUSTOMER

SUCCESSFOUNDER

TECHNOLOGYDISRUPTOR

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 imposedKnow your limits, don’t be a hero

Different phase of product development require different mindsets

31

Lessons From The Trenches (IAG Experience Report)

A few other helpful things.

32

Saddle Row Example

Get familiar with lean techniquesPractice Customer Development on a fictitious business

Train your team to think big, start small, and act fast

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, financial)process improvement

CUSTOMER ARCHETYPE TYPE OF BENEFIT

IMPROVE EXISTING PROPOSITION

Digital Natives Family Traveller Affluent Indulger

Mainstream Traveller Value Vacationer

Purposeful Business High Flying Globe Trotter

Flying Practitioner Air Warrior

Value Business __________ __________ __________

pain relief Technology (feasibility, innovation)

CREATE NEW PROPOSITION gain creator Experience

(desirable to customer)

TITLE:

A little structure can goes a long way

http://bit.ly/uxscot-idea-cards


34

Questions?

http://thedogist.com

http://thedogist.com

JONNY SCHNEIDER

Principal, ThoughtWorks UK Service Design and Product Strategy

@jonnyschneider [email protected]

THANKS

mailto:[email protected]

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

Design

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