customer centric innovation @ lead user

8/6/2019 Customer Centric Innovation @ Lead User

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Customer Centric

InnovationLead User

Warothai5350040

Sorawit

5350042

Jirattipan5350028

Tipsuda

5350033


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Case Study :


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Wh at is Customer Centric Innovation (CCI) ?

Outside-In


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CCI Approac h

1

2

3

4

4


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Wh y use CCI?More flexibility to apply wit h present economy situation

Addressing customers need lead to t h e kind of innovation t h at closes t h e growt h gapEmployee intense engage result in decrease turnover

rate.Th e detailed knowledge of customers advantage over competitors


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P roduct-Focus to Customer Centric


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Advance Customer Value P roposition


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Wh at is Lead user?Users w h o innovate aroundexisting products to satisfy t h eir unique requirement


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Why use Lead user?

Faster Ch eaper Exposure


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Lead user approach

O pportunities recognitionTransfer of distance to target domainCompetencies ( P rofessional in t h eir field)MotivationContextual

Initial entrepreneurial activities


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Lead user approach

ContO pportunities exploitationBarrier SaleJoint venture


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Case studyO

rth

opilotInnovation : first computer assistnavigation system for ort h opedicP roblem : Inaccurate positioning of kneeendoprot h esesLead user : O rth opedic surgeon


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Traditional innovation way atTraditional innovation way at 3 3M(M(11))P roduct team comprise tec h nical individualsP roduct team comprise tec h nical individuals

involve process engineersinvolve process engineersensure t h e particular product under development could beensure t h e particular product under development could be

efficiently madeefficiently madeprovided feedback aboutprovided feedback about 33 Ms manufacturing capabilitiesMs manufacturing capabilities

Allowed for tec h nical employees to take matters Allowed for tec h nical employees to take mattersin th eir own h ands.in th eir own h ands.

Marketing input traditionally came from currentMarketing input traditionally came from currentcustomers and sales representatives.customers and sales representatives.P roduct developer focus on finding new angles or P roduct developer focus on finding new angles or twists on t h e early trends.twists on t h e early trends.


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Tools to identify market needs and trend by productTools to identify market needs and trend by productdevelopers of developers of 33 MM

Data from sales representative wit h daily contact wit h Data from sales representative wit h daily contact wit h ph ysicians or registered nurses.ph ysicians or registered nurses.Gat h er someGat h er some 30 30 nurses biannually from across t h e nationnurses biannually from across t h e nationin a room to obtain reactions to proposed products.in a room to obtain reactions to proposed products.Customer evaluation of currently marketed products.Customer evaluation of currently marketed products.Site visits to observe p h ysicians and nurse at work, wit h Site visits to observe p h ysicians and nurse at work, wit h th e intent to identify unforeseen needs.th e intent to identify unforeseen needs.Data on risk factors for diseases.Data on risk factors for diseases.

Traditional innovation way atTraditional innovation way at 3 3M(M(22))


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DisadvantageDisadvantageHiring out for market researc h created too manyHiring out for market researc h created too manyinterfaces between development teams and customersinterfaces between development teams and customers

Information obtained was not necessarily proprietaryInformation obtained was not necessarily proprietaryanyone could open up a medical textbook to find key risk factor anyone could open up a medical textbook to find key risk factor for diseases.for diseases.

Understanding customer and market needs would notUnderstanding customer and market needs would notsufficesuffice

customers were somew h ere blind about t h eir own needs, andcustomers were somew h ere blind about t h eir own needs, andth us could not provide clues about developing revolutionaryth us could not provide clues about developing revolutionaryproducts.products.

Traditional innovation way atTraditional innovation way at 3 3M(M(33))

SHOULD BE INNOVATED!!


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Wh yWh y 33 M want to use Lead User M want to use Lead User

Met h odMet h odTh ey want to product a breakt h roug h Th ey want to product a breakt h roug h products.products.

W ant to find new waysW ant to find new waysIdentify leadingIdentify leading- -edge customer needsedge customer needsDevelop concepts for breakt h roug h products andDevelop concepts for breakt h roug h products andservicesservicesCustomer Customer- -focused product development processfocused product development process


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Lead User Meth

od(Lead User Meth

od(11

))Def initionDef initionMet h od : An accurately forecasting marketMet h od : An accurately forecasting marketopportunity by taping t h e expertise base of leadopportunity by taping t h e expertise base of lead

users.users.Lead User Lead User

Th e people w h ose experience areTh e people w h ose experience are ah e adah e ad of th e marketof th e marketsegment.segment.Th ey may lead in eit h er Th ey may lead in eit h er targ e ttarg e t or or analogousanalogous market.market.Th ey may be involved wit h just one or moreTh ey may be involved wit h just one or more attribut e sattribut e s of th eof th eproblems users met.problems users met.

P urpos eP urpos euneart h product development opportunities.uneart h product development opportunities.


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Advantage: Advantage:rich er and more reliable informationrich er and more reliable informationbetter products and service conceptsbetter products and service concepts

acceleration of t h e product and service developmentacceleration of t h e product and service developmentprocessprocessNecessary Elements:Necessary Elements:

supportiv e manag e m e ntsupportiv e manag e m e ntaa c rossc ross- -dis c iplinary t e amdis c iplinary t e am of h igh skilled peopleof h igh skilled peoplea understanding of t h e principles of Lead User researc ha understanding of t h e principles of Lead User researc h

Compose:Compose:44 --6 people from marketing and tec h nical department6 people from marketing and tec h nical department1212 --15 h ours per week spent on t h e project15 h ours per week spent on t h e project

project typically takes 5project typically takes 5 --6 mont h s6 mont h s

Lead User Meth

od(Lead User Meth

od(22

))


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Lead User processLead User process

P roject P lanningP roject P lanningStage 1Stage 1

Trends/Needs IdentificationTrends/Needs IdentificationStage 2Stage 2

P reliminary Concept GenerationP reliminary Concept GenerationStage 3Stage 3

Final Concept GenerationFinal Concept GenerationStage 4Stage 4


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StageStage11

--P

rojectP

lanningP

rojectP

lanning44 --6 weeks6 weeksIdentify t h e types of market, new productsIdentify t h e types of market, new productsof interest, and t h e innovation levelof interest, and t h e innovation levelIdentify key business constraintsIdentify key business constraintsInterviewing industry experts to h elpInterviewing industry experts to h elpfocus in key market trendsfocus in key market trends


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StageStage 22 --Trends/NeedsTrends/Needs

IdentificationIdentification55 --6 weeks6 weeksSelect a specific needSelect a specific need- -related trendsrelated trends

Digest t h e information from stage 1Digest t h e information from stage 1

FindFind top ex p e rtstop ex p e rts

Development a good understanding of Development a good understanding of major trendsmajor trends

Ques tionnair e Teleph on e

Networking Scan lit erat u r e

C on su lting in- house coll eag ue


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StageStage 33 --P reliminary ConceptP reliminary ConceptGenerationGeneration

55 --6 weeks6 weeksTh e group acquires a more preciseTh e group acquires a more precise

understanding of th

e needs ith

as selectedunderstanding of th

e needs ith

as selectedas t h e area focus.as t h e area focus.Seek to informally assess business potentialSeek to informally assess business potentialfor t h e product or service being conceptualized.for t h e product or service being conceptualized.

Interview lead user experts for tec h nicalInterview lead user experts for tec h nicalknowledge t h at pertains to concept generation.knowledge t h at pertains to concept generation.Meet wit h key managers toMeet wit h key managers to c on f irm thatc on f irm thatn ee ds and c on c e pts f it w e ll withn ee ds and c on c e pts f it w e ll withbusin e ss int e r e sts.busin e ss int e r e sts.


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StageStage 44 --Final concept GenerationFinal concept Generationand learn from lead user and learn from lead user

55 --66 weeksweeksTh e team takes t h e preliminary conceptTh e team takes t h e preliminary conceptdeveloped toward completion.developed toward completion.

Seek to ensure t h at all possible solutionsSeek to ensure t h at all possible solutionsh ave been explored.h ave been explored.

Lead user works h opLead user works h op

brainstorming tobrainstorming to arriv e at c ons e nsus onarriv e at c ons e nsus onth e c on c e ptsth e c on c e pts ((11 --2 2 days)days)Evaluates t h e concepts in terms of tec h nicalEvaluates t h e concepts in terms of tec h nicalfeasibility, market appeal, and managementfeasibility, market appeal, and managementpriorities.priorities.

customer centric innovation @ lead user

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