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Design thinking Can save management education?. Copyright GB Marine Art My deep dive Goals Business education Design foundations Design thinking, doing,

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Presentation on theme: "Design thinking Can save management education?. Copyright GB Marine Art My deep dive Goals Business education Design foundations Design thinking, doing,"— Presentation transcript:

1 design thinking Can save management education?

2 Copyright GB Marine Art My deep dive Goals Business education Design foundations Design thinking, doing, feeling Design education A design practicum Goals again Goals Business education Design foundations Design thinking, doing, feeling Design education A design practicum Goals again

3 My goals Distinguish between design and design thinking Provide some insights about design thinking Show how design thinking may be relevant for business schools Provide an example of a design-based business course

4 Business education A crisis or same old?

5

6 Application trends: FT MBA

7 What business schools do well Analytical tools Economic models Breadth of exposure to business situations Develop connections Presentation skills Work under deadlines Analytical tools Economic models Breadth of exposure to business situations Develop connections Presentation skills Work under deadlines

8 Critiques of business schools At the same time that management science and technique have grown increasingly in power and prestige, there has been a persistent and growing awareness of the importance of an art of managing which reveals itself both in crucially important situations of uncertainty, instability and uniqueness, and in those dimensions of everyday practice which depend on the spontaneous exercise of intuitive artistry.

9 Critique 1: values … by propagating ideologically inspired amoral theories, business schools have actively freed their students from any sense of moral responsibility. Business education … is devoted overwhelmingly to technical training. This is ironic, because even before Enron, studies showed that executives who fail … rarely do so from a lack of expertise. Rather, they fail because they lack interpersonal skills and wisdom … Thomas Lindsay, University of Dallas

10 By the end of the first year of study, students have shifted from customer mode to manager mode. As a result, shareholder value gains in importance as a measure of a successful business and as the primary responsibility of the company. All three waves of MBAs define a well–run business as one that attracts and retains exceptional people and provides excellent customer service. Comparing Waves I and II, there is an increase in emphasis on offering high shareholder returns and a decrease in emphasis on producing high–quality goods and services. When asked about the primary responsibilities of the company, students give greatest attention to shareholder return a reflection of the powerful place shareholders occupy in the first–year curriculum. Responsibilities to the local community and environment are seen as less critical. By the end of the first year of study, students have shifted from customer mode to manager mode. As a result, shareholder value gains in importance as a measure of a successful business and as the primary responsibility of the company. All three waves of MBAs define a well–run business as one that attracts and retains exceptional people and provides excellent customer service. Comparing Waves I and II, there is an increase in emphasis on offering high shareholder returns and a decrease in emphasis on producing high–quality goods and services. When asked about the primary responsibilities of the company, students give greatest attention to shareholder return a reflection of the powerful place shareholders occupy in the first–year curriculum. Responsibilities to the local community and environment are seen as less critical. The aspen study Wave 1: entering business school Wave 2: end of 1st year Wave 3: graduating Wave 1: entering business school Wave 2: end of 1st year Wave 3: graduating

11 Defining a well-run company

12 Critique 2: relevance Some of the research produced (by business schools) is excellent, but because so little of it is grounded in actual business practices, the focus of graduate business education has become increasingly circumscribed – and less and less relevant to practitioners.

13 Wicked problems Difficult to define No stopping rule Involve tradeoffs between multiple stakeholders Can never really be solved Symptoms of other problems Each essentially unique Difficult to define No stopping rule Involve tradeoffs between multiple stakeholders Can never really be solved Symptoms of other problems Each essentially unique In a clearly defined and stable situation, when the feasible alternatives are well known, a decision attitude may be the most efficient and effective way to approach problems solving. But when these conditions do not hold, a design attitude is required.

14 Critique 3: pedagogy It is time to recognize conventional MBA programs for what they are – or else to close them down. They are specialized training in the functions of business, not general education in the practice of managing. Using the classroom to help develop people already practicing management is a fine idea, but pretending to create managers out of people who have never managed is a sham.

15 A famous MBA graduate

16 My wish list for business students Spend much more time understanding why we do things as well as how we do them Focus their energy on deeply understanding and helping customers Pay more attention to the system-wide implications of decisions Truly collaborate in diverse groups Open to alternative perspectives Spend more time thinking about what might be possible tomorrow, not just what can be done today. Spend much more time understanding why we do things as well as how we do them Focus their energy on deeply understanding and helping customers Pay more attention to the system-wide implications of decisions Truly collaborate in diverse groups Open to alternative perspectives Spend more time thinking about what might be possible tomorrow, not just what can be done today. ? ?

17 A thesis Design thinking has elements and perspectives that are missing from conventional business thinking and can lead to better decisions; Management students can benefit from design thinking; Design schools can offer management schools some ideas for curriculum and teaching methods.

18 The interviews Personal interviews with: –Design thinking experts –Designer/managers –Design educators –Business educators Conducted in person and by phone, Data were interpreted by clustering and searching for common themes

19 Design Cognition: Abductive reasoning Systems thinking Attitude: Failure Constraints Empathy Practices: Thought tools Ethnography Prototyping Creativity Reflection Teams Organizational Foundations: Project-based workflow Intrinsic reward systems Diversity Collaboration A framework Design thinking Design feeling Design doing Design foundations

20 Design foundations

21 Traditional firms and design shops FeatureFrom Traditional Firm …To Design Shop Flow of Work LifeOngoing tasks Permanent assignments Projects Defined terms Source of StatusManaging big budgets and large staffs Solving wicked problems Style of WorkDefined roles Wait until it is right Collaborative Iterative Mode of ThinkingDeductive Inductive Deductive Inductive Abductive Dominant AttitudeWe can only do what we have budget to do Constraints are the enemy Nothing cant be done Constraints increase the challenge and excitement

22 Collaboration doesnt manage itself If I have a more diverse group, but I dont also countervail that with a more sophisticated set of integrated methodologies, Im probably actually increasing my risk of failure even though I might increase the diversity of ideas being generated by the group. How many times do you get a blinding insight out of your own head? You get to blinding insight when you listen to somebody and take that little snippet of logic or data or whatever, merge it with something that is in your head and whammo, out comes a new interesting thought. That is where the out of the box ideas come from, and you systematically prevent yourself from getting there by being dismissive of users, dismissive of clients, dismissive of colleagues who dont agree with you. ? ?

23 Design thinking

24 Deduction, induction and abduction Engineering, medicine, business, architecture and painting are concerned not with the necessary but with the contingent - not with how things are but with how they might be - in short, with design.

25 Russell Ackoff and systems thinking Analysis focuses on structure: it reveals how things work. Synthesis focuses on function; it reveals why things operate as they do. Therefore, analysis yields knowledge; synthesis yields understanding. The former enables us to describe; the latter, to explain. ? ?

26 Design doing

27 A reflective conversation with the situation Surface problem frame Reframe/reshape Engagement with the problem space Frame testing experiment Implications of reframing New meanings/ideas Surface problem frame Reframe/reshape Engagement with the problem space Frame testing experiment Implications of reframing New meanings/ideas Sometimes you have to take this top down approach. Start at the top and then … sometimes you have to go to the bottom and start assessing the pattern and all the details so you get an understanding of the top level; so constantly jumping back and forth is important for looking at complex problems.

28 What a concept: putting users at the centre Make it easy to determine what actions are possible at any moment. Make things visible, including the conceptual model of the system, the alternative actions, and the results of actions. Make it easy to evaluate the current state of the system. Follow natural mappings between intentions and the required actions; between actions and the resulting effect; and between the information that is visible and the interpretation of the system state. Make it easy to determine what actions are possible at any moment. Make things visible, including the conceptual model of the system, the alternative actions, and the results of actions. Make it easy to evaluate the current state of the system. Follow natural mappings between intentions and the required actions; between actions and the resulting effect; and between the information that is visible and the interpretation of the system state.

29 Creativity is enhanced by structure One common way of thinking of creativity and imagination is that its free play and unstructured. I think it can be dramatically enhanced by structuring it … for example consciously looking at things from different points of view. [Human effectiveness is] getting people to expect exceptional performance from the collective actions of the group. And then you build on it by saying, how do we hold one another accountable for exceptional performance? How do we listen to one another and how do we build on one anothers contributions, but not in the brainstorming way that is rather dangerous and simplistic.

30 Problem framing/reframing is critical Standard innovation … begins with doing business analytics; our hypothesis and the structure of our program reverses that order. It starts out with user immersion. What needs do you discover? From those needs…what new needs do you discover? Then the second part of the program deals with the second part of imagination…how do you visualize and prototype those concepts? Then the third part is once youve gone through that process and created the activity system, you do a business assessment. Standard innovation … begins with doing business analytics; our hypothesis and the structure of our program reverses that order. It starts out with user immersion. What needs do you discover? From those needs…what new needs do you discover? Then the second part of the program deals with the second part of imagination…how do you visualize and prototype those concepts? Then the third part is once youve gone through that process and created the activity system, you do a business assessment. Even while theyre doing research, they are doing sketches…first they do research, then analysis, then sketch ideas. It happens all throughout.

31 Implementation is integral to thinking, not a consequence of it What we call build to think is making stuff in order to reiterate your ideas. When designers are working at the beginning of the process theyre doing that incredibly quickly. Often dozens of ideas. And then as you get further down the process you start doing physical prototypes. Appearance prototypes tend to happen late in the process... but how do you know youre working on the right thing in the first place? … As business is paying more and more attention to not just making incremental change but bigger changes, then appearance prototypes are insufficient, and you need conceptual prototypes much earlier in the process. ? ?

32 Design feeling

33 Design is about attitude as much as aptitude [The decision attitude] starts with an assumption that the alternative courses of action are already at hand – that there is a good set of options already available, or at least readily obtainable … the design attitude, in contrast, is concerned with finding the best answer possible, given the skills, time and resources of the team, and takes for granted that it will require the invention of new alternatives. Designers generally take an inherently human view of the world. Theyre generally looking at what the people want and need, desire, and so when theyre looking for inspiration, theyre not in the lab tinkering around with electronics, theyre out in the world looking at what people do.

34 We choose to go to the moon in this decade and do the other things, not because they are easy, but because they are hard, because that goal will serve to organize and measure the best of our energies and skills, because that challenge is one we are willing to accept, one we are unwilling to postpone, and one we intend to win.

35 ? ?

36 Design education

37 Design education by Business Week B-Schools teach people how to take an existing problem and break it down into its parts to solve it. D- Schools teach people how to define a problem, search for possible solutions by integrating information and iterating options.

38 Business education needs systems thinking, user focus, abductive reasoning I read once that the chairman of Toyota was trying to characterize why he wasnt worried about American automotive manufacturers. He said itll take them a decade to understand … The American auto manufacturers thought it was just about quality, but we now know that systems thinking was the core nuclear reactor in Toyotas ascension, and I remember being converted back to design thinking. For a long time, I was in the business of trying to show objectively what people were doing and why they were doing it … [but] realized that actually if [teams] can get [user experience] at a visceral level they get completely engaged, their imaginations are fired up about potential solutions. Its a totally different kind of creative experience that comes from some capacity to connect with other peoples experience

39 A design-based MBA Curriculum Problem framing Ethnographic research Abductive reasoning Synthesis Collaboration Curriculum Problem framing Ethnographic research Abductive reasoning Synthesis Collaboration Teaching Wicked problems Real-world projects Diverse teams Partnerships with other fields Collaboration Teaching Wicked problems Real-world projects Diverse teams Partnerships with other fields Collaboration ? ?

40 Tweaking or revolution? What the critics are doing is to critique in a business-school way, using business-school logic. … I get that from some faculty: But you are saying we dont have to teach them the models and they dont have to know double entry accounting by the time they get out of here. But it is not either/or: as students become designers, they will still need to learn the models. Some examples: Stanford s d.school Rotman School of Management s designworks Institute of Design, Illinois Institute of Technology Zollverein School of Management and Design Some examples: Stanford s d.school Rotman School of Management s designworks Institute of Design, Illinois Institute of Technology Zollverein School of Management and Design

41 A design practicum

42 The course Taught to business students at Johannes Kepler University, Linz, Austria, in May 2007 Consisted of a design practicum: design process and tools applied to 3 projects: –Financial service for students –New type of zoo –Art gallery/supermarket Assessment based on –Final presentation –Personal diary –Personal innovation process Taught to business students at Johannes Kepler University, Linz, Austria, in May 2007 Consisted of a design practicum: design process and tools applied to 3 projects: –Financial service for students –New type of zoo –Art gallery/supermarket Assessment based on –Final presentation –Personal diary –Personal innovation process

43 Credit: Institute of Design Our process Statement of intent 1.0 Biz Market User Context Design Techno Statement of intent 2.0 Research Analysis and synthesis Concept development and prototyping Business model development Reflection, reframing

44 Learning to love mess The redefinition of our research question helped us to focus the problem. So I learned the right question can help me to [understand] the problem and to focus on the pain points … Each redefinition made us get two steps ahead. It is important to be able to express the thoughts and emotions not only with words, but even with pictures and other creative techniques. Only if there is something … your colleagues can touch, can they start to understand the meaning of the idea.

45 Goals again

46 My goals Distinguish between design and design thinking Provide some insights about design thinking Show how design thinking may be relevant for business schools Provide an example of a design-based business course ? ?


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