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Hank Delcore & Jim MulloolyHank Delcore & Jim Mulloolyaka aka “TheAnthroGuys” @“TheAnthroGuys” @
www.TheAnthroGuys.comwww.TheAnthroGuys.com
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What about knowing matters most to you?
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Do you want to know what everyone knows or what none of us know?
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Which matters:–Knowledge or Ignorance
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If we compare knowledge to matter than why are we fixated on the smallest fraction of reality? –Ordinary matter 5% –dark matter & energy 95%.
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Astronomers theorize that the faster expansion rate is due to a
mysterious dark force that is pushing galaxies apart.
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Astronomers theorize that the faster expansion rate is due to a
mysterious dark force that is pushing galaxies apart.
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Astronomers theorize that the faster expansion rate is due to a
mysterious dark force that is pushing galaxies apart.
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Courage, cleverness, innovation
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Innovation?
Innovation is not the product of logical thought, even though the final product is tied to a logical structure - Albert Einstein
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Innovation in Business Innovation in Business (Schumpeter, 1934)(Schumpeter, 1934) 1. Introduction of a 1. Introduction of a new/improved goodnew/improved good 2. Introduction of a 2. Introduction of a new methodnew method of of
productionproduction 3. Opening 3. Opening new market or new market or territory territory 4. Conquest of a 4. Conquest of a new sourcenew source of raw of raw
materialsmaterials 5. New type 5. New type of organizationof organization
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Innovation in Business Innovation in Business (Schumpeter, 1934)(Schumpeter, 1934) 1. Introduction of a 1. Introduction of a new/improved goodnew/improved good
Sweet Chocolate
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Innovation in Business Innovation in Business (Schumpeter, 1934)(Schumpeter, 1934)
2. Introduction 2. Introduction of a of a new methodnew method of productionof production
Henry Ford’s Assembly Line
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Innovation in Business Innovation in Business (Schumpeter, 1934)(Schumpeter, 1934)
3. Opening 3. Opening newnew market or market or territory territory
Sushi in US
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Innovation in Business Innovation in Business (Schumpeter, 1934)(Schumpeter, 1934)
4. Conquest of a 4. Conquest of a new new sourcesource of raw materials of raw materials
Sugar Beets in 1870s
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Innovation in Business Innovation in Business (Schumpeter, 1934)(Schumpeter, 1934)
5. New type 5. New type of organizationof organization
Japanese Automotive
Administration
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Innovation in Business Innovation in Business (Schumpeter, 1934)(Schumpeter, 1934) 1. Introduction of a 1. Introduction of a new/improved goodnew/improved good
Sweet Chocolate
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Introduction of a Introduction of a new/improved goodnew/improved good
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Introduction of a Introduction of a new/improved goodnew/improved good
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Introduction of a Introduction of a new/improved goodnew/improved good
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Introduction of a Introduction of a new/improved goodnew/improved good
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Steve JobsSteve JobsMaster of
Innovation as improvement of
an existing good
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How How Personal Personal
Computers Computers were Usedwere Used
(1984)(1984)
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How Music How Music devices devices
were Usedwere Used(2001)(2001)
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How Smart How Smart Phones Phones
were Usedwere Used(2007)(2007)
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How Tablet How Tablet Computers Computers were Usedwere Used
(2010)(2010)
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BUTBUTApple is a Apple is a Software Software Company Company
(Steve Jobs)(Steve Jobs)
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Apple is a Software Company (Apple is a Software Company (JobsJobs))
The Macintosh Interface
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Apple is a Software Company (Jobs)
The Ipod’s Itunes Store
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Apple is a Software Company (Jobs)
The Iphone’s App Store
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Apple is a Software Company (Jobs)
The Ipad’s App Store
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How can you find these opportunities?
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Through
Induction
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What is Induction?What is Induction?
Deductive ApproachesDeductive Approaches– Hypothesis Hypothesis Data Collection Data Collection
AnalysisAnalysis from general to specific from general to specific
Inductive ApproachesInductive Approaches– Data Collection Data Collection Analysis Analysis
HypothesisHypothesis from specific to generalfrom specific to general
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What is Induction?What is Induction?
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A generalization is the conceptualization of cause and effect; i.e., inducting may be described as measurement omission applied to causal connections.FROM: The Logical Leap: Induction in Physics, By David Harriman
What is Induction?What is Induction?
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InspirationalInduction
Feel that “ah ha”momentwhen you
see something
unexpected
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Induction
vs
Inspirational Analytical
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Inspirat ional Induction Analyt ic Induction
Work Workaround
Engineer Reverse Engineer
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"The ability to observe consumers in context, without preconceptions, and then deliver a market-worthy innovation." -Hank DelcoreConcise (i.e. biz-friendly) definition of "analytic induction"?
AnthroGuy HimselfProfessor Hank Delcore
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QUESTION: What do you do with dirty clothes?
CASE 1: Dirty
Laundry
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Proctor & Proctor & GambleGamble ObservedObserved People doing People doing
laundrylaundry
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Found
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CASE 2: Global
Markets
QUESTION:How can you compete?
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ObservedObserved
Indians Indians outsideoutside
Americans in bathrooms Americans in bathrooms (running water)(running water)
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US concern: a close shave more blades;Indian concern: clean blades, not cutting themselves.
Found 1Found 1
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Found 2Found 2HEADLINE:
“Gillette's Latest Innovation in Razors: the 11-Cent Blade”
For its part, P&G has doubled the percentage of its roughly $20 billion in annual revenue coming from emerging markets since 2000 to about 40 percent (October 2013).
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All of these cases illustrate one overarching observation:
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What People What People Say They DoSay They Do
and What They and What They DoDo are are DifferentDifferent
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The Business Case for User-The Business Case for User-Driven InnovationDriven Innovation Unprecedented Unprecedented
specialization and specialization and segmentationsegmentation, multiplied , multiplied many times over by many times over by domestic and domestic and international cultural international cultural diversity.diversity.
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The Value of the The Value of the Use CaseUse Case Entrepreneurs cannot Entrepreneurs cannot
assume they are socially assume they are socially or culturally close to users or culturally close to users and they cannot keep up and they cannot keep up with consumer trends with consumer trends unless they seek user-unless they seek user-centered insights.centered insights.
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Democratization of Democratization of Knowledge Knowledge 11
Driven by the internet Driven by the internet and information and information technology in generaltechnology in general
Armed with lots of information and the ability to buy Armed with lots of information and the ability to buy from companies all over the globe, consumers no from companies all over the globe, consumers no longer consider longer consider the price/quality trade-offthe price/quality trade-off as the sole as the sole driver of choice.driver of choice.
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Democratization of Democratization of Knowledge Knowledge 22
Instead, consumers increasingly Instead, consumers increasingly consider how a company and its consider how a company and its products match their own products match their own personal values, behaviors and personal values, behaviors and needs.needs.
To get at this, To get at this, successful companies must successful companies must include users include users in the innovation processin the innovation process..
Trained to be Inductive Intuitively Inductive Keen observers, see opportunit ies
We are not that different
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If I have ever made any valuable discoveries, it has been owing more to patient attention, than any other talent.
Isaac Newton: (1642-1727)
THE ASSIGNMENT: Pay AttentionTHE ASSIGNMENT: Pay Attention
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Where Observation is Concerned, chance favors the prepared mind. -Louis Pasteur (1882-1895)
THE ASSIGNMENT: THE ASSIGNMENT: Preparation
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THE ASSIGNMENTTHE ASSIGNMENT 1) Conduct some sort of 1) Conduct some sort of “inductive “inductive
observation”, observation”, 2) analyze your notes, then 2) analyze your notes, then 3) expand those notes into a brief 3) expand those notes into a brief
report about what you found.report about what you found.
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DESCRIPTIONDESCRIPTION– Rather than looking into a completely Rather than looking into a completely
innovative idea (service or product), the innovative idea (service or product), the goal is to goal is to 1) observe something that 1) observe something that already works; 2) observe it in great already works; 2) observe it in great detail; then 3) begin to understand detail; then 3) begin to understand it in it in such detail that you can such detail that you can 4) make 4) make concrete suggestionsconcrete suggestions about improving it. about improving it.
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In Other Words In Other Words (not your pet idea)(not your pet idea)– Rather than looking for how consumers Rather than looking for how consumers
COULD use a NEW service/product, the COULD use a NEW service/product, the goal is to goal is to observe how consumers DO observe how consumers DO use a EXISTING service/productuse a EXISTING service/product with the with the intention of intention of looking for opportunitieslooking for opportunities to to improve or improve or “add value”“add value” to that to that experience.experience.
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StepsSteps– 1. Find a routine, taken-for-granted 1. Find a routine, taken-for-granted
task/service/product,task/service/product,– 2. 2. “Hang out” and “thickly describe” it in a “Hang out” and “thickly describe” it in a
notebook, notebook, – 3. 3. In a 2-3 page pitchIn a 2-3 page pitch, suggest some sort of , suggest some sort of
innovation that will add value. DUE: Wednesday innovation that will add value. DUE: Wednesday Oct 16rd by 3:00pm in class. Email to Eric.Oct 16rd by 3:00pm in class. Email to Eric.
– The best observations will be published on our The best observations will be published on our blog and presented in class on the Wednesday blog and presented in class on the Wednesday after that.after that.
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This will be your Assignment 4.This will be your Assignment 4. Email it directly to Tim and AkshayEmail it directly to Tim and Akshay Part I - 3/11/15Part I - 3/11/15
Due Date 11/18/15Due Date 11/18/15 Part II - 11/25/15Part II - 11/25/15
Send questions to Prof. Mullooly at Send questions to Prof. Mullooly at [email protected]@csufresno.edu
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Ethnographic Opportunity Ethnographic Opportunity Analysis Analysis part 1part 1
Hank Delcore & Jim MulloolyHank Delcore & Jim Mulloolyaka aka “TheAnthroGuys” @“TheAnthroGuys” @
www.TheAnthroGuys.comwww.TheAnthroGuys.com
Thanks for your Time
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Ethnographic Opportunity Ethnographic Opportunity Analysis Analysis part 2part 2
Hank Delcore & Jim MulloolyHank Delcore & Jim Mulloolyaka aka “TheAnthroGuys” @“TheAnthroGuys” @