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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]
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Predicting the future
is hard.
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 wasn’t sharedEven Thomas Edison got it really wrong
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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
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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.
https://www.flickr.com/photos/jonathancohen/4766990832
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
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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
You’ll never find anything… unless you’re looking for something.— Dave Gray, xPLANE
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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
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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
They’re 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
Devil’s 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 it’s 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 we’re building a solution, it’s 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 it’s harder than it sounds
This sounds okay, but it’s 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 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
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, don’t 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
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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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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
JONNY SCHNEIDER
Principal, ThoughtWorks UK Service Design and Product Strategy
@jonnyschneider [email protected]
THANKS