Mark Watson Design Providence

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Presentation transcript:

Mark Watson Design Providence The Value of Design Mark Watson Design Providence

What is value ? The Value of Design

"Try not to become a man of success but rather try to become a man of value." (Albert Einstein) The Value of Design

The traditional view on value Economic / Monetary The Value of Design

The Australian Design Review - 1995 The Value of Design

The Value of Design

Findings Design is essential to the process of innovation and a source of competitive advantage to industry. It can improve industry performance, add value, secure market positions, lead to lower product cost and increase revenue and profits. Broadly, the design process can be thought of as the skilled integration of intelligence and resources to meet the requirements of consumers, industry and the national interest. The Value of Design

The challenge facing Australian industry is to exploit its design potential in order to redress an unacceptable balance of trade performance. This potential exists in the way we compete in both export and domestic markets. It represents opportunity for both small and large businesses. The Value of Design

'While 80% of professionally designed products are profitable, fewer than 2% of innovations succeed overall‘ and 'While design may represent 5% of the new product investment, the design governs 70% of the subsequent production cost.‘ 'Some 90% of consumer decisions at point of sale are based on design appeal criteria with only 10% on technical and operational The Value of Design

Design Management Institute Hertenstein & Platt 2001 The Value of Design

The Value of Design

The Value of Design

The Value of Design

The Value of Design

The Value of Design

population 2002 = 4.9m The Value of Design

The Value of Design

The Value of Design

The Value of Design

population 2005 = 16.3m population 2005 = 59.6m population 2005 = 8.9m The Value of Design

population 2005 = 5.4m The Value of Design

The Value of Design

For Holden, one of General Motors smallest subsidiaries and most profitable, the Monaro project marks many revolutionary changes in concept design, product development, product design and engineering. “We had a reputation before the Monaro of being the Commodore Car Company,” said Holden Design Director Mike Simcoe. “Holden was not at the time concept oriented; we were production oriented.” A point not lost on the fact that Holden’s last concept reveal was more than 20 years ago. The Value of Design

Commercial versus Domestic Manufacture factors The Value of Design

The Value of Design

The Value of Design

The triple bottom line The Value of Design

Value no. 2 - Social The Value of Design

Value no. 3 - Environmental The Value of Design

Case studies in Best Practice Design Management in the Victorian Furniture Industries The Value of Design

Research question Which design management practices and strategies have a significant and positive effect on innovation performance in the Australian and European Furniture Industries? The Value of Design

Proposition 1 Australian Furniture Manufacturing Management has little understanding operationally of New Product Development best practice. The Value of Design

Proposition 2 Design Management best practice will bring Management in the Australian Furniture Manufacturing new tools in NPD. The Value of Design

Proposition 3 Management in Australian Furniture Manufacturing, through experience in design management best practice will control NPD with greater confidence.