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Organization Design for Design Organizations - CanUX 2015

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Peter Merholz
Peter Merholz

My keynote from Canux 2015. How to build effective in-house teams.

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Organization Design for Design Organizations Peter Merholz e: peterme@peterme.com t: @peterme
To deliver great user experiences… I just need to get the design right strategy organization
Why are companies investing more in design? Generates new business value Software is eating the world
The Expanding Role 
 of Design
All design is service design
Definition Execution Definition / Requirem ents Iterative design Im plem entation Strategy and plan, 
 aka “Build the right thing.” Working through tradeoffs to deliver optimal solution, 
 aka “Build the thing right.” Ideation/Generation Understand the market Product Strategy Prototype Customer empathy Ideation Experience strategy Prototype solutions Flesh out solution Refine Sketch options Test prototypes User test Build design makes strategy concrete design supports delightful, engaging experiences Plan Ship Analyze By Peter Merholz, http://peterme.com. If you use it, please attribute it. Thanks. Initial Insight
Design informs planning Henrik Kniberg
The Three-Legged Stool product/service business technology design Adapted from Don Norman
Organizational Models for Design Teams
Capability Assessment 1 ft Surface Typography, color, layout, interface design, spacing, animation, transitions 40% 10,000 ft 1,000 ft The Big Picture Integrated view of company’s entire offering, brand traits 5% 100 ft Strategy Requirements, briefs, desired results, planning, vision, 
 campaign concepts 15% 10 ft Structure Flows, service blueprints, wireframes, wayfinding, navigation, 
 brand standards and guidelines, visual language 40%
Centralized Internal Services Your in-house agency Project-based, organized by function PROS Strong design community Clear lines of authority Wide range of projects Interface consistency Efficiencies of work product Optimized headcount
 CONS Design is not strategic Little influence on important “upstream” decisions Designers easily dismissed Us vs Them Business unit disconnection
D D DP P P P P P E E E E E E E E E E E E E E E E E E E E DE DESIGN 
 PRODUCT
 MGMT ENGINEERING Search/ Browse Product Page CheckoutPersonalizationUGC/ Reviews D D DDD Leadership Decentralized and Embedded
Decentralized and Embedded Everyone Gets A Designer! Program-based PROS Business units gain control Part of the team Design included throughout entire lifecycle Feeling of ownership Quick iterations post-launch
 CONS One narrow problem for a long time Lonely Fractured user experience Less efficient use of time and people
So, you’re screwed either way?
D D DP P P P P P E E E E E E E E E E E E E E E E E E E E DE DESIGN 
 PRODUCT
 MGMT ENGINEERING Search/ Browse Product Page CheckoutPersonalizationUGC/ Reviews D D DDD Leadership
S S DP P P P P P E E E E E E E E E E E E E E E E E E E E DE D D D DD DESIGN 
 PRODUCT
 MGMT ENGINEERING Search/ Browse Product Page CheckoutPersonalizationUGC/ Reviews Leadership
S S DP P P P P P E E E E E E E E E E E E E E E E E E E E DE D D D DD DESIGN 
 PRODUCT
 MGMT ENGINEERING Search/ Browse Product Page CheckoutPersonalizationUGC/ Reviews Leadership Centralized Partnership
Centralized Partnership Best of both worlds 
 Designers supported in career, development, 
 and day-to-day. Design teams maintain commitment across a meaningful set of products/features. Yet centralization helps maintain a holistic view across the entire customer experience. Freedom to shift after ‘tours of duty’. Not disrupted by inevitable re-organizations.
Think in terms of design teams
Structure of each design team 4-7 folks Singular strong leadership • Manages down – gets the most and best out of their team • Manages across – collaborates with cross-functional partners • Manages up – presents to executives and other stakeholders Best organized around business problems, not functions Spread of skills – strategy, planning, research, IxD, IA, visual design, prototyping 10,000 ft 1 ft 10 ft 100 ft 1,000 ft S S D D D DD
Definition Execution Understand the market Product Strategy Prototype Customer empathy Ideation Experience strategy Prototype solutions Flesh out solution Refine Sketch options Test prototypes User test Build Initial Insight Plan Ship Analyze By Peter Merholz, http://peterme.com. If you use it, please attribute it. Thanks.
Definition Execution Understand the market Product Strategy Prototype Customer empathy Ideation Experience strategy Initial Insight By Peter Merholz, http://peterme.com. If you use it, please attribute it. Thanks. Plan
That said...
Definition Execution Understand the market Product Strategy Prototype Customer empathy Ideation Experience strategy Initial Insight By Peter Merholz, http://peterme.com. If you use it, please attribute it. Thanks. Plan It’s better to iterate here... ...than here
Organize for the customer journey
If you’re designing for this... Then it is senseless to have marketing and product/UX design on different teams. It’s all the same customer journey.
Keep teams focused on user types Search / 
 Browse Details Purchase List Offering Enter Details Redeem Redeem Review Analyze BUYER SELLER Sell item
Keep teams focused on user types Search / 
 Browse Details Purchase List Offering Enter Details Redeem Redeem Review Analyze BUYER SELLER Sell item
Search / 
 Browse Keep teams focused on user types Details Purchase List Offering Enter Details Redeem Redeem Review Analyze BUYER SELLER Book Update
 Calendar Make a 
 Reservation Sell item
Where does Design report?
Creative Operational photo: David Shankbone
Designers can keep a lot
 of other people busy
S S DP P P P P P E E E E E E E E E E E E E E E E E E E E DE D D D DD DESIGN 
 PRODUCT
 MGMT ENGINEERING 6 21- 31
With a 1) centralized partnership, 2) teams with strong leadership, 3) influencing definition, and 4) a relatively small team, you have leverage.
Leverage = Power There’s no reason design can’t be the driving force. We just need confidence, evidence, and commitment.
One more thing...
D D DP P P P P P E E E E E E E E E E E E E E E E E E E E DE DESIGN 
 PRODUCT
 MGMT ENGINEERING Search/ Browse Product Page CheckoutPersonalizationUGC/ Reviews D D DDD Leadership Decentralized and Embedded
S S DP P P P P P E E E E E E E E E E E E E E E E E E E E DE D D D DD DESIGN 
 PRODUCT
 MGMT ENGINEERING Search/ Browse Product Page CheckoutPersonalizationUGC/ Reviews Leadership Centralized Partnership
Technology Features Experience
S S DP P P P P P E E E E E E E E E E E E E E E E E E E E DE D D D DD DESIGN 
 PRODUCT
 MGMT ENGINEERING Search/ Browse Product Page CheckoutPersonalizationUGC/ Reviews Leadership Still stuck in a “features” world
S S Design 
 Team D D D DD Shopping Experience Gifting Merchandising Sharing Social Wishlists In-store pickup Style guide PLUS Search/ Browse Product Page CheckoutPersonalizationUGC/ Reviews
Thank you for your consideration. Peter Merholz e: peterme@peterme.com t: @peterme

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Organization Design for Design Organizations - CanUX 2015

  • 1. Organization Design for Design Organizations Peter Merholz e: peterme@peterme.com t: @peterme
  • 2. To deliver great user experiences… I just need to get the design right strategy organization
  • 3. Why are companies investing more in design? Generates new business value Software is eating the world
  • 4. The Expanding Role 
 of Design
  • 5. All design is service design
  • 6. Definition Execution Definition / Requirem ents Iterative design Im plem entation Strategy and plan, 
 aka “Build the right thing.” Working through tradeoffs to deliver optimal solution, 
 aka “Build the thing right.” Ideation/Generation Understand the market Product Strategy Prototype Customer empathy Ideation Experience strategy Prototype solutions Flesh out solution Refine Sketch options Test prototypes User test Build design makes strategy concrete design supports delightful, engaging experiences Plan Ship Analyze By Peter Merholz, http://peterme.com. If you use it, please attribute it. Thanks. Initial Insight
  • 10. Capability Assessment 1 ft Surface Typography, color, layout, interface design, spacing, animation, transitions 40% 10,000 ft 1,000 ft The Big Picture Integrated view of company’s entire offering, brand traits 5% 100 ft Strategy Requirements, briefs, desired results, planning, vision, 
 campaign concepts 15% 10 ft Structure Flows, service blueprints, wireframes, wayfinding, navigation, 
 brand standards and guidelines, visual language 40%
  • 11. Centralized Internal Services Your in-house agency Project-based, organized by function PROS Strong design community Clear lines of authority Wide range of projects Interface consistency Efficiencies of work product Optimized headcount
 CONS Design is not strategic Little influence on important “upstream” decisions Designers easily dismissed Us vs Them Business unit disconnection
  • 12.
  • 13. D D DP P P P P P E E E E E E E E E E E E E E E E E E E E DE DESIGN 
 PRODUCT
 MGMT ENGINEERING Search/ Browse Product Page CheckoutPersonalizationUGC/ Reviews D D DDD Leadership Decentralized and Embedded
  • 14. Decentralized and Embedded Everyone Gets A Designer! Program-based PROS Business units gain control Part of the team Design included throughout entire lifecycle Feeling of ownership Quick iterations post-launch
 CONS One narrow problem for a long time Lonely Fractured user experience Less efficient use of time and people
  • 15.
  • 16. So, you’re screwed either way?
  • 17.
  • 18. D D DP P P P P P E E E E E E E E E E E E E E E E E E E E DE DESIGN 
 PRODUCT
 MGMT ENGINEERING Search/ Browse Product Page CheckoutPersonalizationUGC/ Reviews D D DDD Leadership
  • 19. S S DP P P P P P E E E E E E E E E E E E E E E E E E E E DE D D D DD DESIGN 
 PRODUCT
 MGMT ENGINEERING Search/ Browse Product Page CheckoutPersonalizationUGC/ Reviews Leadership
  • 20. S S DP P P P P P E E E E E E E E E E E E E E E E E E E E DE D D D DD DESIGN 
 PRODUCT
 MGMT ENGINEERING Search/ Browse Product Page CheckoutPersonalizationUGC/ Reviews Leadership Centralized Partnership
  • 21. Centralized Partnership Best of both worlds 
 Designers supported in career, development, 
 and day-to-day. Design teams maintain commitment across a meaningful set of products/features. Yet centralization helps maintain a holistic view across the entire customer experience. Freedom to shift after ‘tours of duty’. Not disrupted by inevitable re-organizations.
  • 22. Think in terms of design teams
  • 23. Structure of each design team 4-7 folks Singular strong leadership • Manages down – gets the most and best out of their team • Manages across – collaborates with cross-functional partners • Manages up – presents to executives and other stakeholders Best organized around business problems, not functions Spread of skills – strategy, planning, research, IxD, IA, visual design, prototyping 10,000 ft 1 ft 10 ft 100 ft 1,000 ft S S D D D DD
  • 24. Definition Execution Understand the market Product Strategy Prototype Customer empathy Ideation Experience strategy Prototype solutions Flesh out solution Refine Sketch options Test prototypes User test Build Initial Insight Plan Ship Analyze By Peter Merholz, http://peterme.com. If you use it, please attribute it. Thanks.
  • 25. Definition Execution Understand the market Product Strategy Prototype Customer empathy Ideation Experience strategy Initial Insight By Peter Merholz, http://peterme.com. If you use it, please attribute it. Thanks. Plan
  • 27. Definition Execution Understand the market Product Strategy Prototype Customer empathy Ideation Experience strategy Initial Insight By Peter Merholz, http://peterme.com. If you use it, please attribute it. Thanks. Plan It’s better to iterate here... ...than here
  • 29. If you’re designing for this... Then it is senseless to have marketing and product/UX design on different teams. It’s all the same customer journey.
  • 30. Keep teams focused on user types Search / 
 Browse Details Purchase List Offering Enter Details Redeem Redeem Review Analyze BUYER SELLER Sell item
  • 31. Keep teams focused on user types Search / 
 Browse Details Purchase List Offering Enter Details Redeem Redeem Review Analyze BUYER SELLER Sell item
  • 32. Search / 
 Browse Keep teams focused on user types Details Purchase List Offering Enter Details Redeem Redeem Review Analyze BUYER SELLER Book Update
 Calendar Make a 
 Reservation Sell item
  • 35. Designers can keep a lot
 of other people busy
  • 36. S S DP P P P P P E E E E E E E E E E E E E E E E E E E E DE D D D DD DESIGN 
 PRODUCT
 MGMT ENGINEERING 6 21- 31
  • 37. With a 1) centralized partnership, 2) teams with strong leadership, 3) influencing definition, and 4) a relatively small team, you have leverage.
  • 38. Leverage = Power There’s no reason design can’t be the driving force. We just need confidence, evidence, and commitment.
  • 40. D D DP P P P P P E E E E E E E E E E E E E E E E E E E E DE DESIGN 
 PRODUCT
 MGMT ENGINEERING Search/ Browse Product Page CheckoutPersonalizationUGC/ Reviews D D DDD Leadership Decentralized and Embedded
  • 41. S S DP P P P P P E E E E E E E E E E E E E E E E E E E E DE D D D DD DESIGN 
 PRODUCT
 MGMT ENGINEERING Search/ Browse Product Page CheckoutPersonalizationUGC/ Reviews Leadership Centralized Partnership
  • 43. S S DP P P P P P E E E E E E E E E E E E E E E E E E E E DE D D D DD DESIGN 
 PRODUCT
 MGMT ENGINEERING Search/ Browse Product Page CheckoutPersonalizationUGC/ Reviews Leadership Still stuck in a “features” world
  • 44. S S Design 
 Team D D D DD Shopping Experience Gifting Merchandising Sharing Social Wishlists In-store pickup Style guide PLUS Search/ Browse Product Page CheckoutPersonalizationUGC/ Reviews
  • 45. Thank you for your consideration. Peter Merholz e: peterme@peterme.com t: @peterme