Monday, 30 September 2019

What do you mean by Design Thinking Business Strategy?

   
 
        Design thinking is a great framework for synthesizing the collective expertise to develop a realistic solution and focuses on end-user engagement. It is a methodology that provides a solution-based approach to solving the problems. The problems can be the human needs, human-centric problem framing, creative brainstorming and prototyping into testing. It is unique compared to other problem-solving and non-linear process focused on outcome and delivery. There are 2 modes of thinking,
   *  Divergent Thinking
   *  Convergent Thinking
            Divergent thinking refers to many possible solutions to the given problems or issues. It is demonstrated in the idealization phase. Convergent Thinking is coming up with the single best solutions to the given problem. Design Thinking has a strong focus on human-centric solutions for understanding customer motivation and empathy. It minimizes the risk of uncertainty and failures. In the Wicked problem, the solutions working in this market today may not be working tomorrow in that market. These problems are common in the business environment. Climate Change is a great example of wicket problems. So, When thinking about business solutions to respond to climate change, it is essential to use design thinking principles. This will enable the business to build consensus around clarifying the problems and solutions.

Prototyping: It is critical to test early and often to spend time and money getting something that no one wants in the market first place. To kick it off, you need to know the prototype. Prototyping is all about the representation of your solution to test and play around the solution. It is not necessarily functional. But, it does generate much feedback and validate from your user assumptions. It is focused to develop on usability and tests the solution that actually makes the need and identify the problem definition statement. It is usually developed to validates the assumption before the Minimum Viable Product(MVP). There are high fidelity and low fidelity prototypes. High fidelity is a realistic example of the end product and the user can interact with whereas low fidelity prototypes are a visual representation of the end product.

 Product Ideation: Ideation is part of the design strategy framework. It is to come up with an inspirational problem definition statement and synthesize the ideas to innovative practical solutions in advance. The ideation process is generating the ideas and form the roadmap to address the problem definition statement. Ideation occurs before developing the MVP. Each ideation process is likely its own prototype or modified prototype. A prototype is designed for the feasibility of the solution or part of the solution. It focuses on end-user need. Ideation requires participants purposefully engage some specific behaviors and characteristics. For ex, you may need to think barriers and obstacles as opportunities or explore the new experiences and put yourself out of your comfort zone to learn something new or visualize a new way to turn the abstract ideas into real and achievable possibilities etc.,
    Ideation process can be grouped as follows,
     - Problem to Solution: This is common form of ideation. It is simply to identify the problem and matching the logical solution.
     - Revolutionary: It is taking the existing idea or solution to a completely new perspective framework
     - Derivation: It is more adapting to the existing solution of an existing problem. But, improving the solution.
     - Targeted Discovery: It is deliberate and iterative process when solution is clear, but a pathway to achieving the solution is unclear.
     - Serendipitous Discovery: It is when you have an unintended solution into one problem was searching a solution to the other problem.
    - Artistic Innovation: It completely disregards all manner of practicality and innovate and iterate without constraints or boundaries.   

Minimum Viable Product(MVP): MVP is the most basic and rudimentary version of the product or service. It is an effective version of idea with minimum functionality in order to test your hypothesis. Prototype is a tool to test the feasibility of your entire or part of the solution and it is not market-ready and adopted the early adopters. MVP has the valuable purpose that people who purchase the product and services. Also, you can retain the early adopters. MVP uses the early adopters to gain product feedback and add additional features in a modular manner until you reach a full product offering. The types of MVPs are,
   * Wireframes
   * Mockups
   * Explainer Videos
   * Landing Pages
   Wireframes are visual outlines of your products. They generally used to articulate the idea like layouts, navigational systems. But, it does not include color or significant design work. Mockups are an extension of the wireframe. It may be basic branding or colors added that are more interactive. Explainer videos are the ones to show on how the solutions work. The idea behind the solutions and the benefits of the solutions to the users. It is a cost-effective way of getting your potential customers, users, consumers, and stakeholders. Landing Page is the website placeholder that can inform people about your solution. It contains the product and services of the key benefits and features. You can use a landing page to host your Explainer Videos or Mockups too.

Scope of MVP: Before committing to the development of MVP, you need to work out for what you want in the product like the product features, importance of each feature etc., It is the feature set of your product and need to prioritize for the Must-have features. Also, you need to decide on what type of MVP to create in order to test these key features.

Design Strategy: It is the term used to describe the mix between corporate strategy and design thinking. Design thinking is a solution-based approach to solving problems by engaging end-users. It is a process or approach that can be applied to many different circumstances and used to create a product. There are 5 steps in design thinking. Those are
1. Empathize
2. Define
3. Ideate
4. Prototype
5. Testing
Often, people and organizations apply these principles to develop the product. The important element of the corporate strategy is to create the request for the feedback from the customer. It is how the executive get to understand what the customer really experience in order to communicate directly and authentically?

Design Strategy Framework: The business model canvas is the globally recognized tool for developing a new business model for segmenting and understanding the existing business. This visual tool allows the firm to segment as input, output, and stakeholders. It converts the boring business plan to one-page overview and explores the key elements of the business.

Business Model canvas comprises of 9 sections of boxes. It can be described business as a whole, or business strategic plan, or the specific product the firm is trying to sell. So, you should methodologically fill in the boxes that are relevant to the strategic plan or product that you want to segment. The key partners are the 3rd party people in order to deliver value to the customer or solutions. It is to think about you need to work with to deliver the solutions.  Key Activities are the actions that you must take to deliver value to the customer. So, what activities do you need to undertake to deliver value? Do you need to develop a new product or service? Key Resources are the things that your organizations need in order to deliver value to the customer. What physical (ex, equipment, infrastructure, tools, materials), non-physical(ex, technology, people, customer relation distribution channel)resources do you need to deliver value? Value Propositions is the benefit that you are going to deliver to your customers and the pain points that you are going to resolve. It could be qualitative like improving the customer experience or quantitative like process optimization, time-savings etc., Customer Relationships is the relationships that you want to have with your customer, what the customer expects of you and costs (ex. marketing, distribution etc., )associated with the relationships. Actually, the customer(ex, user, employee) will be internal to your organization. Channels are the way to service your customer. So, you may have different channels and map each channel with the appropriate segment. Different products and services appeal to different customers. In order to run the business effectively, you must understand the Customer Segments that your products and services appeal to. There are many ways organizations generate Revenue. For instance, they can charge a one-off fee for products or services, monthly or annual subscriptions, commissions etc., The Revenue Generation depends on the customer segments that you are servicing. Their needs and preferences in areas of business. All businesses incur a Cost to deliver value. In order for the business to be profitable, it must cost more than generating value. Businesses can be Cost-Driven where the organizations focus on reducing the cost as much as possible or Value-Driven where firms focused on delivering the value.
      Using the business model canvas, you can understand the organization strategic plan and parts of the organization fit together and deliver value to the customer segments. You can set your company's strategy to address this gap and design strategy to generate effective solutions around it.

Corporate Strategy: It is a method that businesses and similar entities used to identify a plan and achieve long-term objectives or goals. It includes different modes and strategies. There are some important components of corporate strategy. Those are,
   * Risk Management
   * Financial Strategy
   * People & Culture
   * Customer Acquisition & Sales
     There is a level of risk with every business decisions are made and many risks in business space like opportunity risk, uncertainty risk, and hazard risk. Risk management Strategy identifies and mitigates the known risk. The corporate financial strategy includes the historical review of entities financial position like balance sheet, income statement, cash flow, and financial projections. People and culture strategy includes the road map to the desired workplace culture. Remember, you need a great team to build a great product &Services. The Customer Acquisition strategy is the stronger alignment to marketing and communications. It is ultimately bring the sales through brand recognition, community identity or website traffic etc.,
     Integrated strategic planning is the methodology that suggests each of the corporate planning developed in a collaborative manner and each document should be live, but not simply updated. It recommends the planning process to be an outward focus that includes stakeholders, partners, customers.


Sunday, 15 September 2019

How does BlockChain works for the Business?

     

       Blockchain is a distributed database, and unchangeable record of asset Ownership. It is primarily defined as a shared immutable ledger. It is global, peer-to-peer and distributed immutable record of transactions. It is used to transfer and permanently record any changes of assets between two or more parties without intermediaries. We can manage any types of assets like tangible and intangible assets in blockchain. Assets are defined as anything of value that requires accountability of ownership. ie, crytpocurrency, money, identity, personal property, real estate etc., Blockchain extensively uses the Ledger which is 7000 year old technology to document important events. The development and implementation of ledgers allowed human societies to grow and expand beyond simple village. We simply add a new record to the end of the ledger indicating that the previous data point is no longer in the current status or situation. In order to update this ledger and to keep in sync across all nodes across the network, the network needs to compare all the different ledger copies and determine the version of participants have in common. This is known as group consensus. Blockchain uses the cryptography which is the study of how to encrypt or encode messages so that two people communicate safely and securely in the presence of adversary bad actor. Blockchain uses the cryptographic hashes that are unique identifiers for piece of data and compelling solutions architecture using peer-to-peer format. Whatever the data we commit is that the participants are nodes on the network must agree upon.
        Blockchain is a record keeping system to record or keep records regarding the transfer of digital assets of cryptocurrencies of items. It can be used to store medical data on updating medical record, to record ownership of non-monetary assets like house or car. It is widely used to document the fact that you have achieved certain things like certification, test results meeting certain standards etc. Blockchain is an event tracking system that we can record when significant event occur and then take action on those events. Smart Contract that we can write on the blockchain gets invoked and executed anytime a certain type of event is recorded.

Benefits of Blockchain: In Blockchain, you have the data which can be publically verifiable. If you need to build a solution where you are accountable to large audiences or customers or end users, the blockchain is a attractive platform to build that solution. It is incredibly secure platform. This is an essential solution when you compare the traditional database where the data only exists in one place and if that data hacked or corrupted or altered. In Blockchain, we have so many copies of data floating around on that network. Also, it is a great platform for tracking origin of items and ensuring certain level of quality exists. The blockchain is the good platform when you need to build a solution for your customers, stakeholders, vendors, partners etc., to uphold a certain standard of quality and allows businesses to operate faster. When you use blockchain, you get a solution which is fully distributed that means it has a unlimited fault tolerance as long as two nodes on the blockchain network that are able to communicate and transact anybody on the planet.
      If you are running a blockchain node or miner or if you have a node on the network then you need to keep the copy of the ledger every time a transaction is announced. That transaction gets broadcasted to all participant of nodes on that network. Each participant updates the copy of the ledger they add in that new transaction. It means once we reach group consensus and set of data that is shared by majority of participants then we can query that data from any node on the network and get the same answer. If different nodes on the network gave different answers, then we wouldn't reach consensus. These consensus can be achieved through proof of work or proof of stake.

Types of Blockchain: We can simply read the data in the blockchain which has already been committed and add new data. We chain all of these blocks of data together by including a hash or digital thumbprint of data of the previous block inside the header of the current one. As you get into the blockchain, there are,
    *  Public Vs Private  (Who can Write data to the Blockchain?) and
    *  Open Vs Closed (Who can Read data from the blockchain?)
       It is helpful for you and your stakeholders to think about where it is the bulk of the solution lie. In public blockchain, everyone or large audiences have the ability to WRITE data to the blockchain. It doesn't have no native sense of identity and don't know who our users are. So, there are
two choice that we can elect to show none of the data to anybody at anytime. The second approach doesn't add a value of open public platform like ethereum have opted to show all participants at all times in the world. For ex., Etherscan.io shows the real time transactions against the ethereum blockchain and who is trading back and forth, particular wallet of transactions that gone through the account and the account interacted with. In real world, the usecases like music, and content distribution where you want to sell your work directly to your fans and consumers rather than going through a publishing company to publish a new chapter of book in every 2 weeks. Your fans subscribe your work on a chapter by chapter basis. This also removes much of time delay in traditional content publishing.
       In Blockchain solution, you must first know the identity of the users. If you don't the know the identity of the user, it is impossible to determine what permissions or abilities should applied to that user. In the private blockchain, certain participants or small audiences have the ability to create new record. Hyper ledger is  an example for private closed permission platform. In Open Blockchain platform, where everybody consumes or extremely large audiences are able to consume or read data of the ledger whereas closed platforms allows small populations or groups consume that ledger data. In private closed platforms like hyper ledger which aim for blockchain enterprise solutions. It gets lot of attention in inventory management. How do manufactures and suppliers share inventory data and consumption rates on truly shared infrastructures and How do we allow manufactures to operate even more on lean than they currently are etc.,

Block Creations in Blockchain: We can think of block as a sheet of paper with 25 recorded transactions. Now, we are going to document transactions that occur as they're announced to us. If we are all staying in sync, every 25 transactions we will have a filled up a page. If the data recorded on our page is shared by the majority(ex. >51% of participants) then that version represents the truth. If any participant has different version of data, it will discard their version and get a copy of our most recent sheet of paper. Blocks in the Blockchain are numbered in ascending order, 0 is the first and oldest. The number is the height of the block. When we create a new block, we cryptographically link each new block to the one that came before it. So, there is traceable and unbreakable link from most recent block all the way back to the very first block where the genesis block it is known. Once we validated a block and we seal it and add it to the blockchain which are read only it gets committed to the permanent ledger where it never be updated or deleted. Blocks are created against a schedule. For ex, In bitcoin, we strive to create a block in every 10 minutes and ethereum aiming to create a new block every 14 sec as possible. We store a hash of all the block data a digital thumb print of a unique identifier which can be generated by the data contained on that block. The blocks are chained together on the blockchain by the hash stored inside the header. Meta data is the version number of the software protocol that is being used. Merkle Trees and Merkle roots simply gives the index that we can access the data in a consistent time. It is like an index in textbook which is easy to find a piece of data. The block header contains the timestamp when the block gets created. It contains a piece of data called the nonce which is the proof of consensus.

Blockchain and Web 3.0: It is a 3rd generation of internet of value communication for the smart devices and programmable money. It removes the intermediaries that we were needed to gain access to the financial services in order to do things that large organizations can do. This new business model opens up in web 3.0 are going to see individual consumers being able to do things that are traditionally reserved by richest organizations. The area that is getting lot of focus is identity management. Having a reputable identity management solution is a cross cutting concern to so many interesting and compelling blockchain usecases. Blockchain is safe, secure and reliable identity management store.
        Blockchain provides single shared infrastructure and one source of truth to design a solution. We need the blockchain technology when we could not use the traditional database to meet your needs. It is a powerful platform and enables to solve many types of problem as well as existing problems. Blockchain is a tool which you need at secure network transfers that has high degree of value or assets expressed as digital objects. It is great platform to automate the business process to build a solution around QA/Compliance/Audit might use to review your activities and your business. Hyper Ledger will be used when you need to share different parts of your data with different participants in the network at different times under different conditions. Ethereum built-in architecture provides fractional asset ownership of token or digital coin that represent the platform utility.