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Design Thinking and Innovation at Apple
Submitted By- Section - B Group - 4 AMBATI GIRIDHAR RAVIKUMAR (2016PGP049) PRIYANKA MOHANTA (2016PGP288) RANSOTH NIKHIL RAJ (2016PGP307) RISHABH SAINI (2013IPM069) SWAGATIKA SAHU (2012IPM112)
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Background Jobs and Steve Wozniak founded the company in 1976
Radical Apple 2, their first personal computer premiered in 1978 and the firm had successful IPO two years later Apple’s products were developed from scratch and they had a proprietary operating system as well as unique hardware In 1984, Apple brought out Macintosh, but due to cloning from competitors like IBM, their market share declined In 1985, board axed Jobs’ operational role at Apple and then he started NeXT followed by animation production company PIXAR studios Some products like PowerBook(1990) became successful and many other products such as Newton failed In 1997, Apple acquired NEXTSTEP which marked the return of Steve Jobs Apple’s aim was to reduce complexity to make potential customers fall in love with Apple By 2012 Apple’s share price reached $600 with a market capitalization of US$ 550 billion Apple had highest revenue per square foot in retail sector by March 2012 This success can be attributed to their Design thinking and capability to innovate
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Simplicity in Design and Use
Design Thinking Design Thinking Simplicity in Design and Use Beyond Fashion Simplicity in Design and Use: Focused on what people would need and want & how they would interact with a computer Laid emphasis on minute of details Believed that “Simplicity is the ultimate sophistication” Ability to adapt new technologies and materials, Eg: Nano and Shuffle Beyond Fashion: Ability to tap into a zeitgeist- a sense of what is popular, fashionable and trendy at that moment Giving attention to detail Identifying the right target- NeXT software targeted education market No compromise between simplicity of use and functionality
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Innovation, Product Development Strategy, and Execution
Steve Jobs plan of action to reduce costs: (eliminating projects, shutting facilities, reducing product lines, reduced inventory from months to few days) on his return However, Apple’s core approach to development remained consistent : (working intimately with manufacturers and remaining attuned to customers) even during Steve Jobs absence in 2009 Innovation, Product Development Strategy and Execution Excellence in Execution Platform Strategy Beautiful Products Streamlined product portfolio and extensive reuse within product families iPhone, iPad, iPod are built on the same operating system i.e. OSX This strategy resulted in greater reliability and lower costs Commonality of user interfaces and design elements means customer face lower training hurdles Apple’s was able to change peoples perception regarding beautiful products i.e. in spite of iPod’s strong connection to pristine color, it was able to introduce new colors when mini was launched successfully
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The CEO as Chief Innovator
Steve Jobs and Apple seem like interchangeable terms as he was able to imprint his personal characteristics on the organisation He was well known for his temperament, his talent and his ability to inspire others Along with a great vision, his drive and his involvement in decision making, from strategy to product to service design to packaging have been reasons behind his success He believed Apple’s promise was an integral part of its relationship with customers
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Bold Business Experimentation
Forayed into retail when everyone else was going online Apple’s retail store generated highest revenue per square foot Company launched Apps store followed by a bookstore Apple designs its own chips for iPods, iPhones and iPads which is unique when compared to the way how computer industry has been evolving Develops and integrates its own software and hardware It has opened up to outside developer community to develop apps and put it on App store It enabled windows users to seamlessly access the iPod ensuring that their popular device is accessible to everyone
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The Future In 2011, Apple sold 172 million post-PC devices which accounted for 76% of fourth quarter revenue By March 2012, it had more than 362 retail stores that were visited by more than a million people everyday Apple’s share price increased by 60% since Tim Cook became CEO With iPhone 8 on the way, it is believed to be transitioning its iPhone design to an all-glass casing with features such as wireless charging Overall, Apple’s strategy to think innovatively and implement the same with perfection makes it unique and successful
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THANKYOU
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