Designer genes

Embedding design into your organisation’s DNA could unlock that meaningful two-way conversation that is the key to innovation

By Jennifer Storey

12 June, 2009

Most companies state that they listen and respond to customers; that they are customer focused. However, very few have truly embraced customer design as a fundamental tenet of their existence.

A paradox exists between what companies say they are doing and what they actually do. Design provides organisations the opportunity to truly deliver on the promise of being customer focused, to align strategy with what they do and what they say.

Internal revolution
Changing a corporate culture is both critical and usually a natural outcome at companies that have embraced a customer design focus.

Tom Key, senior consultant at strategy and user experience consultancy, 2nd Road says, “Design changes company culture. Many people walk in the door to work and they forget that they are customers; they leave that understanding at the door”.

Customer design methodology was introduced at Suncorp in 2006, to give the organisation a competitive advantage. Design practice was embedded into Suncorp for two reasons; firstly, for the obvious outcomes of creating outstanding products, services and innovations. However, it was recognised that there is immense value in doing design, regardless of the outcome.

Engaging in genuine two-way conversations with customers is a challenge for traditionally risk adverse financial services companies. Accepting that not every idea will work is a leap for many organisations.

By accepting this and embedding design into the organisational DNA, Suncorp has experienced a phase of staff engagement, collaboration, coherence, strategic alignment accountability, learning and shared vision.

Revolutions in progress
Suncorp executive manager of design, Peter Vozvoteca explains, “The fact that design has taken on a life of its own within Suncorp is testament to its perceived value. We began with an opt-in educational program. Now more than one thousand are active in our Design Community.”

The newest player in the personal insurance market, The Buzz, from IAG is a company built from the ground up using customer design methods. The use of online customer engagement forums as well as rapid prototyping, feedback, testing and refinement was used to design the product, servicing and propositions.

“It was a hand selected team,” explains The Buzz CEO, Jacki Johnston. “Finding the right people who thrive in the ambiguity of designing, prototyping and testing was essential. Yet they still needed to find the balance of customer design insights with governance and compliance frameworks.”

Suncorp and The Buzz report deep cultural changes that have allowed these organisations to deliver.

Tangible results
New to market, The Buzz is the result of a year-long journey. Developing an online forum to engage in two-way conversations and test prototypes, theories and ideas is an example of a co-creation process with customers.

The Buzz provides an end-to-end online solution. Quoting, purchasing, policy management and claiming is provided online. No other insurer has designed a detailed online claims service. This was the result of a customer stating: “Why can I track a parcel online yet I can’t track my insurance claim online?”

Suncorp has an array of success stories across banking and insurance that are a result of design including Claimants Welcome Kits for CTP customers, reporting for GIO worker’s compensation, the broker front-end interface for commercial insurance and the e-Options retail deposits account.

Another is the Suncorp Kids Savings account, launched in November 2008 and designed by spending time with customers to truly understand their unmet needs. It has exceeded all expectations; Suncorp is on track to open its 10,000th Kids Savings deposit account by the end of June.

The role of online
The internet and social media have changed customer expectations. Most financial services organisations are monitoring what is being discussed about their brands but there are greater opportunities lurking.

It has been said that internet trends can be predicted by what is being blocked by corporate IT firewalls. Yet blocking popular and interactive services such as Twitter and Facebook is limiting exposure to real customer conversations. Indeed, some companies are beginning to use Facebook as a prototyping platform to engage customers and to assess and refine ideas.

“Real customer insights can be discovered online,” says Key. “Risk aversion causes companies to shoot themselves in the foot. We should be asking ourselves, ‘what can be learned from Facebook about people’s unmet and unarticulated needs?’”

Unmet vs. unarticulated needs
Identifying unmet needs and responding is fundamental to being customer focused. However, liberating unconscious needs is where true innovation opportunities lie.

“You cannot rely on customer focus groups to come up with the answers. They will articulate their unmet needs. To discover unarticulated needs requires much greater commitment,” says Key.

“The real conversation about customer design in financial services hasn’t started yet. Someone will start a meaningful conversation and that will catch everyone by surprise,” continues Key.

But it shouldn’t.

Jen Storey is the director of strategy & communications consultancy, OutsideInsights.