avatarPaul Myers MBA

Summary

Startups integrate design thinking into their core operations to foster innovation, focusing on human-centered approaches, rapid prototyping, co-creation, diverse projects, flexible budgeting, and talent scouting.

Abstract

The article outlines how startups effectively utilize design thinking to disrupt industries and maintain a competitive edge. By adopting a human-centered mindset, startups prioritize understanding consumer behavior and needs to drive innovation. They engage in rapid experimentation, creating minimum viable products (MVPs) and embracing a culture of "fail fast, learn faster." Co-creation with various stakeholders allows for a broader innovation ecosystem, while a mix of short- and long-term projects ensures continuous momentum. Startups manage their budgets flexibly to support the pace of innovation, and they actively seek interdisciplinary talent to push the boundaries of their solutions. The agile nature of startups enables them to move through the stages of design thinking quickly, from ideation to execution, often within weeks or months.

Opinions

  • Design thinking is not just a process but an ethos for startups, guiding their existence and direction from the outset.
  • Observational research is crucial for human-centered design, leading to unexpected insights and more precise product features.
  • Startups believe in the power of rapid prototyping and continuous feedback to maintain velocity in innovation.
  • Co-creation with suppliers, customers, and partners is seen as a way to crowdsource innovation and dilute costs.
  • A diverse portfolio of projects, ranging from incremental improvements to revolutionary ideas, is essential for maintaining innovation momentum.
  • Startups reject rigid budgeting cycles, preferring flexible funding approaches that support ongoing discovery and opportunity exploration.
  • Training non-designers with the right attributes in design thinking is considered valuable for fostering innovation across all roles.
  • Regular role changes and project assignments in startups are part of a strategy to keep the design process dynamic and efficient.

How to Make Design Thinking Part of Your Startup

Learn how Startups employ design thinking to disrupt industries

Photo by Christina @ wocintechchat.com on Unsplash

Startups adopt a design thinking process from the outset. It underpins their ethos, their existence. Sometimes before they set any direction in motion.

Design thinking is a method that Entrepreneurs use to explore more ideas and iterations, faster than industry competitors, cumbersome corporations.

Here are six approaches that Startups deploy.

1. Human-Centered Approach

In addition to business and technology considerations, Startups tend to approach everything with a “human-centered design mindset” (Pink, 2012).

The most critical part of Innovation is extracting insights from human behavior, human needs, and consumer preferences.

Human-centered design is enhanced by using observational research.

This strategy captures new and even unexpected insights to produce innovative elements, more precise features that reflect what consumers want.

2. Test, Fail, Learn and Repeat

Startups create an expectation of rapid experimentation for prototyping.

The output is an MVP.

Many entrepreneurial teams even create a prototype in the first week of a project, and measure progress frequently:

  1. Average time to build a prototype
  2. The number of users tested for each prototype
  3. Insights captured and implemented

A continuous feedback loop maintains velocity for rapid prototyping.

3. Co-Create

Startups develop an innovative ecosystem.

For example, they seek out opportunities to collaborate, co-create with suppliers, customers, partners, and consumers.

In effect, Startups crowdsource their innovation team, diluting their cost.

4. Project Variety

A portfolio of innovative projects can be enriched when big and small collide — Projects that stretch over a few weeks, for incremental improvements, to long-term revolutionary ideas.

Startups expect teams to own and drive incremental innovation at every opportunity.

This approach maintains momentum, initiating revolutionary innovation down the line, in parallel with mini-projects in the short-term.

5. Budget at Pace

A rapid prototype process is, yes, you guessed it — it's fast.

Design thinking can happen quickly, however, the route to market can be more cumbersome, unpredictable and takes time.

Startups don’t constrain the pace at which they innovate by adhering to rigid budgeting cycles or overly complex budget approval.

Startups rethink their funding approach and sources on a regular basis

They do so to ensure that project teams can continue on their journey of discovery and uncover more opportunities.

6. Scout Talent

Startups reach far and wide to uncover raw talent, graduates from interdisciplinary programs — design institutes or progressive business schools.

Also, people with conventional design backgrounds “can push solutions far beyond your expectations” (Brown, 2008).

Startups also train non-designers, those with the right type of attributes, to develop and excel in their design-thinking regardless of their roles.

Final Thoughts

At many Startups, people move roles or join a new project every 6 to 24 months — so time is an important factor.

Design projects can take time to go from ideation through to implementation.

Startups plan assignments in bite-size chunks so that designers and design thinkers leap from inspiration, ideation, implementation to execution. And do so in a matter of weeks or months.

Remember, thinking like a startup can accelerate any project or venture.

References

  • Brown, T. (2008). Design Thinking. [online] Harvard Business Review. Available at: https://hbr.org [Accessed 23 Feb. 2020].
  • Pink, D. (2012). A whole new mind. London: MC, Marshall Cavendish.
  • Stanford d.school. (2020). Stanford d.school. [online] Available at: https://dschool.stanford.edu/ [Accessed 23 Feb. 2020].
Photo by Goh Rhy Yan on Unsplash
Startup
Entrepreneurship
Innovation
Leadership
Design Thinking
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