Design thinking vs business thinking

Alex Osterwalder
March 16, 2006
#
 min read
topics
Business Strategy
Design Thinking

I've been more deeply into the topic of design thinking for several months now. One thing I have always wanted to do was to compare more traditional "business thinking" with the "design thinking" trend that is currently captivating the business world.

Luckily, Luke Wroblewski has given this a try on his blogpost title "A Difference of Design".

I really like the table in which he opposes the "business approach" with the "design approach", though I don't think the world is as black and white, as Luke describes it.

I copied the table below (though the formatting didn't really want to follow my design wishes)

Business approach

  • Problem solving approach: 
    Definitive. Relies on equations for “proof”
  • Validation through: 
    What customers say: often a combination of qualitative(focus groups) and quantitative (surveys) research.
  • Informed by:
    Market analysis and aggregate consumer behavior.
  • Completed:
    Completion of strategy phase marks the start of product development phase.
  • Focused on:
    An understanding of the resultsof customer activities.
  • Tools used to communicate strategic vision:
    Spreadsheets and PowerPoint decks.
  • Described through:
    Words (often open to interpretation).
  • Team members:
    Vertical expertise and individual responsibilities.
  • Work patterns:
    Permanent jobs, on-going tasks, and fixed hours.
  • Reward structure:
    Corporate recognition based on the bottom line.

Design Approach

  • Problem solving approach:
    Iterative. Relies on a “build to think”process dependent on trial and error.
  • Validation through:
    What customers do: often direct observation andusability testing.
  • Informed by:
    Direct consumer observation and abductive reasoning(“what might be”).
  • Completed:
    Never: continually evolving with customers.
  • Focused on:
    An understanding of customer activities.
  • Tools used to communicate strategic vision:
    Prototypes, films, and scenarios.
  • Described through:
    Pictorial representations and direct experienceswith prototypes.
  • Team members:
    “T-shaped” expertise: a principal verticalskill and a horizontal set of secondary skills. Collaborative (team) responsibilities.
  • Work patterns:
    temporary projects with associated tasks and flexible hours.
  • Reward structure:
    Peer recognition based on the quality of solutions.

I think this reflection on the difference between business thinking and design thinking is a good start to understand how strategy, business, and management is shifting the information age (numbers, facts & info dominate) towards the conceptual age (relationships and understanding dominates).

I will come up with more in-depth reflection when I have the opportunity to dig even deeper into this topic.

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About the speakers

Alex Osterwalder
Entrepreneur, speaker and business theorist

Dr. Alexander (Alex) Osterwalder is one of the world’s most influential innovation experts, a leading author, entrepreneur and in-demand speaker whose work has changed the way established companies do business and how new ventures get started.

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Alex Osterwalder
March 16, 2006
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Design thinking vs business thinking
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Design thinking vs business thinking

March 16, 2006
#
 min read
topics
Business Strategy
Design Thinking

I've been more deeply into the topic of design thinking for several months now. One thing I have always wanted to do was to compare more traditional "business thinking" with the "design thinking" trend that is currently captivating the business world.

Luckily, Luke Wroblewski has given this a try on his blogpost title "A Difference of Design".

I really like the table in which he opposes the "business approach" with the "design approach", though I don't think the world is as black and white, as Luke describes it.

I copied the table below (though the formatting didn't really want to follow my design wishes)

Business approach

  • Problem solving approach: 
    Definitive. Relies on equations for “proof”
  • Validation through: 
    What customers say: often a combination of qualitative(focus groups) and quantitative (surveys) research.
  • Informed by:
    Market analysis and aggregate consumer behavior.
  • Completed:
    Completion of strategy phase marks the start of product development phase.
  • Focused on:
    An understanding of the resultsof customer activities.
  • Tools used to communicate strategic vision:
    Spreadsheets and PowerPoint decks.
  • Described through:
    Words (often open to interpretation).
  • Team members:
    Vertical expertise and individual responsibilities.
  • Work patterns:
    Permanent jobs, on-going tasks, and fixed hours.
  • Reward structure:
    Corporate recognition based on the bottom line.

Design Approach

  • Problem solving approach:
    Iterative. Relies on a “build to think”process dependent on trial and error.
  • Validation through:
    What customers do: often direct observation andusability testing.
  • Informed by:
    Direct consumer observation and abductive reasoning(“what might be”).
  • Completed:
    Never: continually evolving with customers.
  • Focused on:
    An understanding of customer activities.
  • Tools used to communicate strategic vision:
    Prototypes, films, and scenarios.
  • Described through:
    Pictorial representations and direct experienceswith prototypes.
  • Team members:
    “T-shaped” expertise: a principal verticalskill and a horizontal set of secondary skills. Collaborative (team) responsibilities.
  • Work patterns:
    temporary projects with associated tasks and flexible hours.
  • Reward structure:
    Peer recognition based on the quality of solutions.

I think this reflection on the difference between business thinking and design thinking is a good start to understand how strategy, business, and management is shifting the information age (numbers, facts & info dominate) towards the conceptual age (relationships and understanding dominates).

I will come up with more in-depth reflection when I have the opportunity to dig even deeper into this topic.

related reads
No items found.
Design thinking vs business thinking

I've been more deeply into the topic of design thinking for several months now. One thing I have always wanted to do was to compare more traditional "business thinking" with the "design thinking" trend that is currently captivating the business world.

Thanks for your interest in 
Design thinking vs business thinking
Design thinking vs business thinking
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