Better by Measure: Geeking out on Research

BETTER BY MEASURE | WEEK 8: OCTOBER 23, 2014 !

BETTER BY MEASURE!DESIGNERS GEEKING OUT ON RESEARCH!Class 8 | October 23, 2014!!



OUTLINE!

2!

!SCIENCE LAB: DEVEOPING YOUR SUSTAINABILITY STRATEGY!!BUSINESS SCHOOL + SCIENCE LAB: GEEKING OUT ON DATA & RESEARCH!!SCIENCE LAB: MEASURING YOUR IMPACT!!STUDENT PRESENTATIONS!!!!!!

!


DEVEOPING YOUR SUSTAINABILITY STRATEGY!

SCIENCE LAB!



THE SUSTAINABILITY VALUE PROPOSITION!

4!

Q: What’s the difference between your value proposition & your sustainability value proposition?!!!!!!

A. There shouldn’t be any difference, they should be one in the same. !


THE SUSTAINABILITY VALUE PROPOSITION!

5!

Q: What’s the difference between your value proposition & your sustainability value proposition?!!!!!!

A. There shouldn’t be any difference, they should be one in the same. !

Your complete value proposition should:!•  Demonstrate what value you deliver to the customer!•  Demonstrate how your core social, environmental, and/or health goals (base

of your T) are tied to delivering value to the customer!

!!!!!


BUILDING SUSTAINABILITY INTO CUSTOMER DISCOVERY!

6!

FOC

US!

BET

TER

BY

MEA

SUR

E!

Eco/Social Hypothesis Testing:!By delivering your value proposition, what ecological/social values are created/eroded and how does this effect the customer?!

Designing for Sustainable Growth:!How might different growth scenarios affect ecological/social value creation/erosion? !!

Measuring Eco/Social Outcomes:!How can we measure and sustain or improve environmental/social outcomes of corporate activities?!

Co-Creating Eco/Social Solutions:!Can you co-create value which addresses both customer needs and ecological/social values?! !

- The Four Steps to the Customer Epiphany by Steve Blank!

Customer Discovery!

Customer Creation!

Customer Validation!

Company!Building!

Pivot!

BETTER BY MEASURE CUSTOMER DEVELOPMENT MODEL!

STOP STOP STOP


BUILDING SUSTAINABILITY INTO CUSTOMER DISCOVERY!

7!

2. Impacts!Identify impacts !using adapted canvases !

3. Materiality!Perform competitive!materiality assessment!

FOC

US! Customer

Discovery!Customer Validation!

Pivot!

STOP STOP

FOC

US!

Pivot!

Refine!

Eco/Social Hypothesis Testing:!By delivering your value proposition, what ecological/social values are created/eroded and how does this effect the customer?!

Co-Creating Eco/Social Solutions:!Can you co-create value which addresses both customer needs and ecological/social values?! !

1. Value Prop!Hypothesize & test!Base of T foci (sustainability value proposition) with !consumer!

LEA

N

SUST

AIN

AB

ILIT

Y ST

RAT

EGY! 4. Foci!

Hypothesize & test core Top of T foci with consumer; Quantitatively validate Base of T!


ELEMENTS OF LEAN SUSTAINABLITY STRATEGY!

8!

RELEVANCE TO YOUR BUSINESS!

REL

EVA

NC

E TO

SO

CIE

TY!

Impacts of!Low Materiality!

Impacts of !Moderate Materiality!

Impacts of!High !

Materiality!

KEY PARTNERS!

KEY ACTIVITIES!

VALUE PROPOSITIONS!

CUSTOMER RELATIONSHIPS!

KEY RESOURCES!

COST STRUCTURE!

REVENUE STREAMS!

CHANNELS!

CUSTOMER SEGMENTS!

SOCIAL IMPACTS!HEALTH IMPACTS!ENVIRONMENTAL !IMPACTS!

PAIN REIEVERS!

GAIN CREATORS!

GAINS!PAINS!

CUSTOMER JOB(S) !

PRODUCTS & SERVICES!

SOCIAL IMPACTS! HEALTH IMPACTS!ENVIRONMENTAL !IMPACTS!

TOO

LS/

FRA

MEW

OR

KS

USE

D!

IMPA

CTS

FR

OM

!W

HAT

A C

OM

PAN

Y D

OES!

IMPACTS FROM HOW A !COMPANY DOES WHAT THEY DO!

2. Impacts!Identify impacts !using canvases! !

3. Materiality!Perform competitive!materiality assessment!LE

AN

SU

STA

INA

BIL

ITY

STR

ATEG

Y!

Pivot!

Refine!

1. Value Prop!Hypothesize & test!Base of T foci (sustainability value proposition) with !consumer! !

IMPA

CTS

FR

OM

!W

HAT

A C

OM

PAN

Y D

OES!

4. Foci!Hypothesize & test !core Top of T foci !with consumer; !Quantitatively !validate Base of T!


REFINING SUSTAINABLITY VALUE PROPOSITION!

9!

THE SUSTAINABILITY PART OF YOUR VALUE PROPOSITION = BASE OF T: WHAT A COMPANY DOES!!Initiatives embedded in value proposition:!•  Positive impacts a company is intentionally

creating, or !•  Negative impacts a company is intentionally

mitigating or adapting to!

Guidance: This should reflect the one-two impacts which are the most material, and which are most aligned with the rest of your value proposition.!!

IMPA

CTS

FR

OM

!W

HAT

A C

OM

PAN

Y D

OES!



REFINING SUSTAINABLITY VALUE PROPOSITION!

10!IM

PAC

TS F

RO

M !

WH

AT A

CO

MPA

NY

DO

ES!


KEY IMPACTS A COMPANY SHOULD ADDRESS TO SUPPORT VALUE PROPOSITION = TOP OF T: HOW A COMPANY DOES WHAT THEY DO!!Initiatives which allow value proposition to be delivered:!•  Positive impacts a company is is intentionally or

unintentionally creating, or !•  Negative impacts a company is intentionally or

unintentionally mitigating or adapting to!•  Ideally sustainability initiatives/positive impacts

should reinforce value proposition!•  Prevention of impact creation in other areas of

business!

Guidance: During initial customer development you should focus in on the one-three impacts which are the most material, and which are most support the rest of your value proposition.!!!


UBER: A CASE OF INCONSISTENT VALUES!

11!

VS.!Via Business Insider: http://www.businessinsider.com/uber-avions-de-chasse-promotion-with-hot-chick-drivers-2014-10!

Via engadget: http://www.engadget.com/2014/10/23/uber-flu-shots/!


EXERCISE: BECOMING EVIL!

12!

Based on the concept you have right now, spend 3 minutes to brainstorm about how your new business concept could be used for EVIL.!

!

What could go wrong?!


EXERCISE: BECOMING EVIL!

13!

How do the results of your evil exercise reflect in the impacts you’ve identified as being the “most material?” !


FORMING A SUSTAINABILITY STRATEGY BEYOND LEAN!

14!

C. Estimate Risk/Benefit!Collect data &

analyze results!

D. Define Strategy!Define

strategic foci!

E. Develop Programs!

Define internal & external initiatives!

F. Report Out!Measure results &

report!

STRATEGIC!PHASE!

TACTICAL!PHASE!!

ANALYTICAL!PHASE!!

A. Perform Materiality

Assessment!Identify impacts!

B. Define Hypothesis/

Priorities!Test strategic foci & scope!


1. Value Prop!Identify sustain-!ability value prop.!

FORMING A (LEAN) SUSTAINABILITY STRATEGY!

15!






analyze results!


strategic foci!

E. Develop Programs!

Define internal & external initiatives!

F. Report Out!Measure results &

report!

STRATEGICPHASE!

4. Foci!Hypothesize & test core !Top of T foci with consumer; !Quantitatively validate Base of T!

2. Impact!Identify impacts !using canvases! !

3. Materiality!Perform competitive!materiality assessment! Pivot or refine!

TACTICAL!PHASE!

ANALYTICAL!PHASE!


LEAN SUSTAINABLITY INTEGRATION WITH CUSTOMER DEVELOPMENT!

16!

LEA

N M

ETH

OD!

(FO

R M

IDTE

RM

)!






analyze results!


strategic foci & measure!FU

LL S

TRAT

EGY

DEV

ELO

PMEN

T!(F

OR

FIN

AL)!

Review & Reposition!

2. Impacts!Identify impacts !using canvases! !

3. Materiality!Perform competitive!materiality assessment! Refine!

1. Value Prop!Hypothesize & test!Base of T foci (sustainability value proposition) with !consumer!

4. Foci!Hypothesize & test !core Top of T foci !with consumer; !Quantitatively !Validate Base of T!


ROBUST EVIDENCE UNDERLIES SUSTAINABILITY STRATEGY… AND ALL OTHER TYPES OF STRATEGY!

17!






analyze results!


strategic foci & measure!FU

LL S

TRAT

EGY

DEV

ELO

PMEN

T!(F

OR

FIN

AL)!

Qualitative Research & Analysis!

Quantitative Research & Analysis!M

EDH

OD

S!&

SK

ILLS

R

EQU

IRED!

Review & Reposition!

AKA EVIDENCE TO SUPPORT YOUR

STRATEGY!


GEEKING OUT ON DATA & RESEARCH!

BUSINESS SCHOOL MEETS SCIENCE LAB!



BEYOND THE “INTERVIEW”!

19!

Interviews are great, but its time to consider how other forms of research can help you build evidence to :!

•  Refine your value proposition!

•  Refine your target customer segment!

•  Define your sustainability strategy (your T-Shaped strategy)!

!

!

!


TO DEMONSTRATE POTENTIAL VALUE YOU NEED EVIDENCE!

20!

How do we begin to build evidence? By conducting qualitative and quantitative research, then analyzing and deriving insight from results. !

•  INCREASED RIGOR: For the rest of the semester you’ll ramp up your research efforts in terms of rigor. !

•  MORE MATH: You’ll move from hypothesis testing, to building things, modeling behaviors and quantifying results in order to build a case for furthering your startup concepts.!

!

To start let’s create some ground rules about conducting research.!

!


RESEARCH 101!

21!

What’s design research?!

What’s the difference between primary and secondary research?!

What are common types of secondary research? !

What are common types of primary research?!

!

!

!


PRIMARY RESEARCH!

22!

WHAT IS IT: Research that is originally collected by you, like the interviews you’ve been conducting. !!EXAMPLES: Survey research, interviews and ethnography!!WHEN TO CONSULT PRIMARY RESEARCH: !•  When the results anticipated or the data derived from the research may be of

strategic or financial value to your company!•  When the data/information doesn’t exist elsewhere or if it does exist

elsewhere doesn’t specifically suit your needs!

!

!


TYPES OF PRIMARY RESEARCH!•  INTERVIEWS: Fact finding, uncovering insights and probing for deep expertise; Direct

& indirect observation in one-on-one or group conversations!

!

What other methods constitute primary research? !

As designers what tools do you have available to you? (Getting scrappy)!

23!


TYPES OF PRIMARY RESEARCH!•  INTERVIEWS: Fact finding, uncovering insights and probing for deep expertise; Direct

& indirect observation in one-on-one or group conversations!

•  SURVEY RESEARCH: Fact finding and uncovering patterns of reported behavior; Indirect observation of specific actors, groups and/or systems!

•  FOCUS GROUPS: Fact finding and probing for insights; Direct & indirect observation of individuals or groups within a controlled setting!

•  ETHNOGRAPHY: Uncovering hidden behaviors and values; Direct observation of individuals or groups within culturally relevant environments!

•  SCIENTIFIC OBSERVATION: Understanding patterns of behavior; Direct observation of actors, groups and/or systems within specific boundaries and controlled environments!

•  METERING: Capturing material, energy and activity flows; Direct observation of specific natural or built systems/environments!

24!


EXERCISE: CONDUCTING PRIMARY RESEARCH!1. SURVEY: Take five minutes to devise three or more survey questions which could help you either refine your value proposition or refine your target customer segment. How would you distribute the survey?!

25!

2. LANDING PAGE: Take five minutes to:!•  Sketch out a landing page for your company (if you don’t already have one)!•  Write an appealing one liner which will give you email addresses for potential

customers to help you validate your customer segment.!!

4. STORYBOARDING (INSIGHTS FROM RESEARCH): Take five minutes to draw one storyboard for how a specific type of customer/user would incorporate your product/idea into their day. Draw a one pager with 3 panels (cells).!

3. SOCIAL MEDIA: Take three minutes to compose a tweet or facebook post which poses a question to users that will help you either refine your value proposition or refine your target customer segment. How would you incentivize people to respond?!!


TOOLS TO HELP YOU DO THIS!Lots of free trials for all of these !•  Survey Monkey or Google Forms!•  Test sketch using https://popapp.in/!•  Invision.com invite users to comment on individual screens!•  https://validately.com/!•  Zurb.com!•  Ubertesters or Applause to validate the UX!•  Mechanical Turk (though hard to parse user types from this)!•  For usability: Usabila, chalkmark!

Ask for more!! We (Jen, Rebecca, Ajay) have ideas.!

26!

BETTER BY MEASURE | WEEK 8: OCTOBER 23, 2014 ! 27!

INFERENCE VS. OBSERVATION: !•  There are limits to what you can directly observe!•  One can almost never study all possible instances of something!•  Data/results often must be inferred rather than directly measured!

OTHER KEY OBSTACLES: !•  Cost, time and resources!!In these instances we can often rely on secondary research.!

THE LIMITS OF PRIMARY RESEARCH!


SECONDARY RESEARCH!

28!

WHAT IS IT: Research that has been collected by someone else. !!EXAMPLES: Industry reports, scientific studies, reference books and online forums!!WHEN TO CONSULT SECONDARY RESEARCH: !•  When there’s strategic or financial value in having an external party own/

manage the results of the research or data!•  When the research already exists and is tailored to your needs!•  When the ability to conduct primary research is costly or otherwise limited!

!

!


SOURCES FOR SECONDARY RESEARCH!RELIABLE SOURCES !

POTENTIALLLY RELIABLE SOURCES (CHECK FOR ACCURACY/BIAS)!!

29!


SOURCES FOR SECONDARY RESEARCH!RELIABLE SOURCES !•  Academic resources/research tools!•  Peer reviewed journals, papers, books, and patents!•  Government & intergovernmental documents, reports, databases, and

clearinghouses!•  Reference books!•  Technical specifications of equipment and controlled processes!

POTENTIALLLY RELIABLE SOURCES (CHECK FOR ACCURACY/BIAS)!•  Industry generated data or reports !•  Other publicly available databases or clearinghouses (not listed above)!•  Information and data from trade associations!•  Individual expertise !

30!


TERTIARY RESEARCH!

31!

WHAT IS IT: Research that has been aggregated from OTHER primary & secondary resources. !!EXAMPLES: White papers, news summaries, landscape audits, lit reviews. !!WHEN TO CONSULT TERTIARY RESEARCH: !•  When you’re trying to understand how much research exists in the space

already!•  When you want to know the focus of different questions (what’s already been

asked and what hasn’t)!•  What’s “known” and “unknown” at a high level!

!

!


RESEARCH METHODS SUPPORT EACH OTHER!

Secondary Research!Understand whether research which has been performed by others can accomplish your research goal, before conducting original (primary) research!

Primary Research!Performing original research, then identifying research gaps and looking to fill these gaps with tertiary and secondary research !

Tertiary Research!Understand how much research on a given topic has already been performed, and/or to identify secondary research sources which may fulfill your research goals!


Sampling bias: Small sample sizes (not statistically significant for quantitative data), and choosing cases that are not representative of a whole. One generally chooses a random sample or "representative" sample to avoid this.!•  Example: Only interviewing classmates (or alum) and friends when testing hypothesis

could result in sampling bias as interviewees may likely have relatively similar profiles/perspectives.!

Omission & personal bias: Avoid “cherry picking” information, leaving out critical indicators/information or citing studies which may have done so, or devising leading questions.!•  Example: Citing reports by only climate change skeptics as representing the majority

view on the subject of climate change.!

Contextual/representational bias: Not measuring what you think you’re measuring – doesn’t back up core concept of study.!•  Example: Using energy use data from one region to represent another. Fuel sources

differ by region and each fuel source and combustion method has different greenhouse gas emissions factors which can skew models and results if not accounted for.!

!

!

!

AVOIDING BIAS IN RESEARCH!


MIDTERM PRESENTATION!

DUN DUN DUN….!



PREPARE A 12 MINUTE PRESENTATION:!1.  SYSTEMS: Document the systems you outlined (for the company you evaluated, your company and

its place in the broader system you’re hoping to engage in/disrupt)!2.  RESEARCH: Document the history of your research, assumptions, hypotheses, and pivots.!3.  VALUE PROPOSITION: Fully validate your primary value prop (inclusive of sustainability). Describe.

Demonstrate.!4.  CUSTOMER SEGMENT: Fully validate your primary customer segment. Describe your persona in

detail.!5.  MATERIALITY: Summarize the top impacts you uncovered by conducting the materiality assessment

for your competitors. Provide evidence for why you selected these.!6.  IMPACTS: Identify which key impacts (positive or negative) you’ve chosen to focus on (both the base

and top of your T). Define how they relate to your value proposition. What’s the scope for the impacts. How do you propose to measure the scale of the impacts. !

!

MAKE SURE TO INCLUDE IN THE APPENDIX:!1.  CANVASES: Adapted value proposition & business model, i.e. incorporating social & environmental

impacts). Write words, not just pictures (so we can understand these later).!2.  MATERIALITY ASSESSMENT: Refined materiality assessment for competitive companies.!3.  ANY AND ALL SOURCES!4.  ANY AND ALL CALCULATIONS (and/or link to Google spreadsheet with calculations)!

MIDTERM PRESENTATION – NEXT WEEK!

35!

Better by Measure: Geeking out on Research

Design

health impacts

social impacts

negative impacts

key impacts

measure week

complete value proposition

yourvalue proposition

piv value prop