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

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\ \ 1 STRATEGY TO EXECUTION Shipping products while adapting to new infomation JONNY SCHNEIDER Principal, ThoughtWorks UK Service Design and Product Strategy @jonnyschneider [email protected]

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

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    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]

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    Predicting the future

    is hard.

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

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

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    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 entertainmentIn 1908, he remarked that the aircraft had no future

    In 1912, his vision for concrete furniture and homes wasnt sharedEven Thomas Edison got it really wrong

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

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    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

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    43% Average project cost over-run

    71% came in over budget exceeded time estimates underestimated scope

    $55b Annual wastehttps://www.flickr.com/photos/jonathancohen/4766990832

    Chaos Report, Standish Group, 2004.

    of projects

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

  • Adapt, dont predict.

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

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

  • business

    design

  • business

    design

    My job is to create viable digital products Im Jonny Schneider

    That people love to use

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    Technology

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    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

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    Divergent ConvergentEmergent

    Youll never find anything unless youre looking for something. Dave Gray, xPLANE

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    AGILE

    Build the thing right

    LEAN

    Build the right things

    +DESIGN THINKINGExplore

    problem/solution

    +

  • EXPLORE CREATEDEFINEUNDERSTAND

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

    Paint a picture of the ecosystem

  • 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

  • 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 dont stop learning

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    Theory into practice.

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    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

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    EXPAND incremental product

    TRIGGER

    REDUCE COST OF ACQUISITION

    SIMPLIFY THE BUSINESS

    UNDERSTAND CURRENT CONDITION

    OBSERVATION AND JOINING THE DOTS

    BUSINESS IMPERATIVES

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

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    EXPAND incremental product

    TRIGGER

    Process Analysis

    Operational Research

    ObservationCustomer 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 thatWhen we do, opportunities emerge from understanding

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    EXPAND incremental product

    TRIGGER

    Process Analysis

    Operational Research

    ObservationCustomer 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 optionsFormulate your hypotheses

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    EXPAND incremental product

    TRIGGER

    Process Analysis

    Operational Research

    ObservationCustomer 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 thatNow define the target condition and first expression of strategy Accept that its fuzzy and incomplete

  • VISION AND STRATEGY (HYPOTHESES)

    FIRST EXPRESSION OF STRATEGY

  • VISION AND STRATEGY (HYPOTHESES)

    prototypes

    quantitative analytics

    qualitative fieldwork

    marketing experiments

    innovation lab

    co-design

    FIRST EXPRESSION OF STRATEGY

    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

  • VISION AND STRATEGY (HYPOTHESES)

    prototypes

    quantitative analytics

    qualitative fieldwork

    marketing experiments

    innovation lab

    co-design

    FIRST EXPRESSION OF STRATEGY

    REFINE AND ADAPT STRATEGY

    EXPERIMENTS

    EXPLORE WITH EXPERIMENTS

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

  • VISION AND STRATEGY (HYPOTHESES)

    prototypes

    quantitative analytics

    qualitative fieldwork

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

  • VISION AND STRATEGY (HYPOTHESES)

    prototypes

    quantitative analytics

    qualitative fieldwork

    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 experimentContinue to refine, adapt and experiment

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    Lessons From The Trenches (Global Blue Experience Report)

    Lessons from the trenches.

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

  • bit.ly/hypothesis-driven Good start, but its harder than it sounds

    http://bit.ly/hypothesis-driven

  • This sounds okay, but its not very easy to test

  • evolved version of hypothesis template

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    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 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 its not about product/market fit at all Its about optimising the execution of a sign-up flow

  • Lesson TwoAim for learning, not validation.

  • Aspirational Customer Journey

  • Aspirational Customer Journey

    Product Hypotheses

  • Aspirational Customer Journey

    Product Hypotheses

    Design Experiments

  • Aspirational Customer Journey

    Product Hypotheses

    Design Experiments

    User Story Map

  • Aspirational Customer Journey

    Product Hypotheses

    Design Experiments

    User Story Map

    Data/feedback

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    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, dont be a hero

    Different phase of product development require different mindsets

  • 2015 ThoughtWorks, Ltd. All rights reserved.

    A few good reads from friends

    http://bit.ly/uxscot-lean

    http://bit.ly/uxscot-insights

    http://bit.ly/hypothesis-drivenhttp://bit.ly/hypothesis-driven

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    Lessons From The Trenches (IAG Experience Report)

    A few other helpful things.

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    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

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    2

    DESCRIPTION AND NOTES: write, draw or sketch how your idea works.

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    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

    http://bit.ly/hypothesis-driven

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    Questions?

    http://thedogist.com

    http://thedogist.com

  • JONNY SCHNEIDER

    Principal, ThoughtWorks UK Service Design and Product Strategy

    @jonnyschneider [email protected]

    THANKS

    mailto:[email protected]