Design Thinking and Its Importance in Business

This assignment discusses the concept of design thinking and its significance in modern business. It highlights the benefits of using design thinking in product development and customer needs assessment. The assignment also explores case studies from various industries that have successfully implemented design thinking to improve their products and services.

WHAT IS DESIGN THINKING AND
HOW IT CAN BE APPLIED?

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................1
Key concepts and theories......................................................................................................1
Design process and method in contribution to innovation in social, environmental and
economic needs......................................................................................................................2
Design thinking applied to different fields, shown by various case study and examples......3
Discussions.............................................................................................................................6
REFERENCES................................................................................................................................8

INTRODUCTION
Key concepts and theories
Design thinking is a method for practical, creative solutions to issues using strategies
used by designers during the entire process of designing successfully. It can be described as an
approach that helps to resolve problems outside of professional design practice. For an example,
business and social contexts. It can be considered as a methodology used by designers to solve
complex issues in order to determine desirable solutions for customers. A design mind-set is not
problem focused rather it is solution focused and action oriented towards making a preferred
future. Design thinking is also a systematic process of measuring which empowers even the most
traditional thinkers to develop new and innovative solutions towards issues at hand (Turner III,
2017). Everyone is able to be creative by following this process effectively.
There are five methods of design thinking process such as:
Empathise: The first stage refers to gain an empathic understanding of issues. This includes
consultation with experts to find out more about the area of concerns with the help of engaging,
observing and empathising with different people to determine their motivation and expectations.
Empathy is very important to a human centred procedure such as design thinking. Empathy helps
designing thinkers to set aside their own presumes regarding the world to increase insights into
customers and their requirements.
Define: This is a stage where, the information is gathered which is collected during empathise
stage. Designer analyses all observations in order to describe core issues identified earlier. They
seek to define issues as problem statements in a human centric manner (Hernández-Ramírez,
2018). The stage helps designers to gather ideas in order to establish functions, features and other
elements that allows solving issues or resolve it with minimum difficulties.
Ideate: This is the third stage, where designers are completely ready to start generating ideas
about the issues. It describes that designer is capable of understanding needs of customers in
empathise stage. This refers to start thinking outside the box to determine new solutions for
problem statements to look for alternative ways. In order to expand the problem space, there are
number of ideation techniques such as Brain-write, Brain-storm, SCAMPER, the Worst possible
ideas and sessions are available. It is crucial to generate as many ideas as possible towards
problems at the beginning of this phase.
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Prototype: This is a stage, where designers produce a number of inexpensive versions and
specific features related to the product that helps to investigate problems to generate solutions in
the ideation phase. Prototype is an experimental phase that aims to identify possible and the best
solution for each issue determined during the first three stages (Furman, 2016). In addition,
solutions are implemented within prototypes one by one and investigated for acceptance.
Moreover, they are also re-examined and improved or rejected on the basis of customer
experience. At the end of this stage, designers have better idea of constraints inherent within
product.
Test: The complete product is ready for the test using the best solution determined during the
previous stage. The results generated during this stage are often used to redefine more issues
related to the product and also inform about customers’ understanding and conditions of use in
terms of how they feel, behave and think to empathise. This is the final stage, where refinements
and alterations are made to rule out solutions for issues and derive as better understanding of
product and make it available for customers’ effectively.
It can be said that design thinking informs human centred innovation that begins by
understating of consumers’ requirements (Pitkänen and Andersen, 2018). It also minimises risk
and uncertainty of innovation by engaging consumers with the help of series of prototypes to
test, learn and refine concept effectively. Design thinkers rely on not just market research or
historical data but on customer’s insights and real world experiments as well.
Design methods and procedures are broad areas concentrated on exploring possibilities of
inherited solutions by using critical thinking through quantitative and qualitative research
methods to create better understanding of design solutions effectually. In addition to this, design
theory has been approached and interpreted in different ways from personal statement of design
principle, through construct of the philosophy of design to a search for a design science
(Cuthbert, Vaugh and Chambers, 2018). Design thinking is about how to adopt mindset,
approaches towards issues and integrate with the way to do marketing or advertising.
Design process and method in contribution to innovation in social, environmental and economic
needs
Design for social innovation can be described as a practice applied to the creation of new
product, service or model that supports in determining complex social and environmental
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challenges facing by the society, government, business and humanity. Social innovation is
everywhere and all over the place. Social design is mindful towards the role and responsibility of
designer in the society where the use of design process is to bring modifications. Social design is
described as a design process that helps to contribute to improve and develop human well-being
and livelihood. Moreover, production growth and innovation bring various benefits for both
customers and business. Wages of employees increases with rising production and they have
more money to purchase goods (Glen, Suciu and Baughn, 2014). Design thinking also helps to
determine environmental issues such as climate, weather, population trends and further changes
in taste and preferences in order to make strategies and plans to adopt changes accordingly and
effectively.
Design process and method assists by providing contribution to social, economic and
environmental needs of a society. For an example, a retail business firm uses design process and
technique that will produce quality goods for customers as per their requirements which will
produce quality services for society and also enhance sales, which will provide more
opportunities to business to increase its workforce by producing employment opportunities.
Effective and quality services will also increase well fare towards environmental issues to reduce
them effectively. Advertisement requires innovative thinking in order to attract customers that
unique pattern of advertising helps to retain attention in the market.
Design thinking applied to different fields, shown by various case study and examples
There are a lot of examples and case studies which represent effectiveness of design
thinking. It can be said that design thinking is adopted by many organisations to improve and
develop their products and services with the help of innovation (Barker and Milivojevich, 2016).
Some of them are described below:
Nike released Air force one in the mid of 80's which was the first sneaker to have air
technology for athletes to perform better. It was the surprising moment that the shoe became
instant fashion sensation for people on the New York streets. It is a perfect example of how sport
and design collided. Nike displayed one iconic design by hearing passion of people regarding
luxury materials and ways the shoe impact on athletes' performance (Preece, Rogers and Sharp,
2015). Design concept is followed by business in order to make regular sustainable changes in
their products. This has a great positive impact on Nike and the concept of moving forward
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became the biggest theme for firm effectively. The business is also trying to push boundaries
with the help of innovation. This involves improvement in products to increase performance of
athletes and push ahead as an exclusive fashion brand. Designers believe that this method will
help them to infuse everything. Nike is focused on filling needs of loyal customers who are
likely to purchase products from brand. In the end, it was analysed that style and fashion is
important along with quality as innovation is required to make crucial changes that help to attract
new and potential customers effectively.
Apple is one of the leading firms known for its unique brand and products. There is an
emotional connection between customer and its product. It can be said that Apple products are
different from other businesses as it manages innovation efficiently. Design thinking has a great
impact on business that it is a solution for them used to accomplish innovation with
consideration about customer at the heart of all improvement phases (Huq and Gilbert, 2017).
The CEO of IDEO, Tim Brown said that design thinking is a human centred approach that helps
to achieve innovation to integrate people requirements, technology possibilities and for
business’s success. Design thinking refers to technology feasibility, business viability and human
values usability and desirability. Strategy is developed by business in order to manage a unique
portfolio towards customers in the market (Levy, 2017). Functions and features are managed to
improve quality of product and design thinking is adopted to make improvements in future
products and services. Apple also used design thinking in order to advertise their products and
services in the market towards customers in a unique way effectively.
Teaching Kids about design thinking always pay attention in solving the issues of
children. Moreover, this refers to education of American students which has to be improved with
advanced technology and methods. They brought changes in learning process for making their
future bright and colourful. Design thinking in teaching kids is made inclusive instead of
exclusive. Prototype Design Camp invented by C. Long in improving visionary and collaborative
skills of students. These changes helped in motivating children in terms of co-operation and trust
among others. They also invented a new visual, spatial and literal language that helps them in
improving their communication skills.
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Further, design thinking refers to bring innovations in learning and teaching style to
students. They also teach kids by displaying models and images of particular subject in the
school. Moreover, in this creation camp of Prototype Designing, kids from more than 30 high
schools participated in it which shows success of them in learning new sources. They were
taught collaborative methods instead of consumption in information. Finally, they designed
thinking skills in form of K-12 landscape which affected the current status of education system.
Design thinking in PepsiCo refers to technology and advanced desirability. Indra Nooyi
as a CEO of this company, drives innovation in their entire system. The team of PepsiCo brought
creation in manufacturing, packaging and labelling. They adapted gigantic iPad on machine
which helps in attracting more customers’. Additionally, this advance technology also results in
higher profitability of company. This machine reflects the flavour that has been selected last time
and helps in selecting new flavour at present. As it is the fastest growing company, PepsiCo
brought flavours in bottled system (Giachetti, 2016). To maintain hygiene in society, they
redesigned the bottle in modern way. Referring to design thinking, PepsiCo brought difference in
juice content and added new flavours to it. Moreover, the calories are also reduced from the
product for attracting more consumers’. In this modern world, design thinking and innovation in
PepsiCo evaluated with an increase of 9% of their net revenue in firm. Mauro's team which
involves almost 50 people supported in packaging goods attractively and effectively. With
design thinking in PepsiCo which is now being produced with long term sustainability and also
in response to satisfy society. They added innovation by serving Tropicana, Quaker Oats, etc.
with less sugar, salt and fate in it.
Desirability and advancement in designing the healthcare facilities improves the health of
society. Design thinking in healthcare is now applying human- centred approach in their
innovative works. Moreover, this advance technique in healthcare focuses on human problems
and also search solutions of it. Danielle Schlosser changed the treatment of schizophrenia for
improving an individual's health. They brought innovation in healthcare by three mind-set shifts
which is focused on human's health. Shifts to Value-based Care, shift from Being Reactive to
Proactive and Balance High Regulation with Experimentation that are methods effectively
performed in hospitals (Luchs, Griffin and Swan, 2015). In addition to this, one of the examples
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in innovation is Dahlia Campus which adapted the needs of the society with reference to their
health. This campus brought innovation in food and resources which has to be healthy and
hygienic.
Design thinking is a process of solving complex issues in order to understand
requirements of people. This involves making solutions, testing and judging before creating. One
of the most effective benefits of design thinking that it can be used again and again on the same
solution. A few variations are made in some stages in order to bring changes (Royalty,
Ladenheim and Roth, 2015). Thus, every business uses design thinking for the initial purpose of
making unique products and way of advertisement for them effectively.
Journalism also uses this approach that new stories are created without customers and
involved decisions that helps to shape product (story). Newsrooms create stories which they can
serve to audience but don't know whether they are right or wrong towards the investments made.
It means a lot of time and money is wasted in this process. Finally, they implemented five
methods of design thinking process. They took questions from audience and invited them to help
to define what should be covered. When the story is determined, it is time to find answers for
those questions. In the prototyping phase, they are able to understand which information is
important (Meyers, Gamst and Guarino, 2016). At the end, the best solutions are identified and
used to implement the final story.
Discussions
In my opinion, design thinking is a great way from which all organisations are able to
increase their productivity by providing solutions according to the requirements of customers in
the market effectively. Decision-making is a concept that centres around applying innovation and
creativity in actions. It involves both imagination and analysis that is linked to improve and
develop future. The success rates improve any organisation, if design thinking is used or applied
to innovation and strategy. It helps to create unified framework for businesses that helps to
provide opportunities to learn concept of design thinking. Design thinking is also used in
advertisement that unique thinking is required to accomplish customer satisfaction and mind set
effectively.
As per my view, design thinking is a systematic process of thinking or measuring
solutions for customers that empowers the most conventional thinkers to develop new and
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innovative solutions towards issues at hand. In addition to this, empathy which is also very
important to a human centred design procedure support to set aside their own assumptions
effectively.
On the other hand, I observed that design process and method is also providing
contribution to innovation in social, environmental and economic needs. Economic elements
such as employees’ salary and wages also improve with rising rates in production. It is analysed
by me that design thinking is adopted by many organisations in order to improve and develop
their products and services with help of innovation in order to attract customers by assessing and
filling their needs.
In addition to this, there are different theories and concepts associated with design
thinking. The process also helps by distinguishing the design thinking process with usual
innovation procedures.
Innovation process includes 4 stages such as ideate, define, design and develop. On the
other hand, design thinking process consists 5 stages such as empathise, define, ideate, prototype
and test. The method and process helps to analyse the situation before starting the process of
design and also sort out issues that needs to be addressed effectively. This is the first stage,
where empathic understanding of issues is gained to solve it. A brief introduction about the issue
is made and research is made on it. Possible solutions are also identified to select a preferred
solution. In addition to this, working drawings and plans are made ahead to construct a
prototype. Finally, the solution is tested before implementation to determine whether it is
successful or not towards the issue identified in the earlier stage. Advertisement also requires
innovative thinking in order to make a unique path to reach customers in the market.
In my opinion, organisation must use the design thinking in order to make their products
and services innovative that helps to consider customer requirements to make them loyal towards
brand. It can be said from the above case studies and examples of famous companies working in
different sectors that design thinking helped them to enhance their productivity by producing
goods according to the customer needs. Thus, as per the discussion made by me conclude that
design thinking is one of the important aspects in the current world that helps businesses to
enhance their ability to consider needs of customers in the market. It is an innovative process
which works as a strategy for organisations to empower their production and profitability.
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REFERENCES
Books and Journals
Barker, T. B., & Milivojevich, A. (2016). Quality by experimental design. CRC Press.
Cuthbert, B., Vaugh, T., & Chambers, F. C. (2018). What is design thinking? A case study of
using design thinking in a sports coaching context. In Learning to Mentor in Sports
Coaching (pp. 40-70). Routledge.
Furman, W. (2016). Teaching with Design Thinking.
Giachetti, R. E. (2016). Design of enterprise systems: Theory, architecture, and methods. CRC
Press.
Glen, R., Suciu, C., & Baughn, C. (2014). The need for design thinking in business
schools. Academy of Management Learning & Education 13(4) 653-667.
Hernández-Ramírez, R. (2018). Design thinking, bullshit, and what thinking about design can do
about it.
Huq, A., & Gilbert, D. (2017). All the world’sa stage: transforming entrepreneurship education
through design thinking. Education+ Training 59(2) 155-170.
Levy, M. (2017, June). Design thinking in multidisciplinary learning teams: Insights from
multidisciplinary teaching events. In International Conference on Advanced Information
Systems Engineering (pp. 101-109). Springer, Cham.
Luchs, M. G., Griffin, A., & Swan, S. (Eds.). (2015). Design thinking: new product development
essentials from the PDMA. John Wiley & Sons.
Meyers, L. S., Gamst, G., & Guarino, A. J. (2016). Applied multivariate research: Design and
interpretation. Sage publications.
Pitkänen, K., & Andersen, H. V. (2018, June). Empowering Teachers and New Generations
through Design Thinking and Digital Fabrication Learning Activities. In Proceedings of
the Conference on Creativity and Making in Education (pp. 55-63). ACM.
Preece, J., Rogers, Y., & Sharp, H. (2015). Interaction design: beyond human-computer
interaction. John Wiley & Sons.
Royalty, A., Ladenheim, K., & Roth, B. (2015). Assessing the development of design thinking:
from training to organizational application. In Design thinking research (pp. 73-86).
Springer, Cham.
Turner III, D. E. (2017). A case study in Design Thinking applied through Aviation Mission
Support Tactical Advancements for the Next Generation (TANG) (Doctoral dissertation,
Monterey, California: Naval Postgraduate School).
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