Manifesto for Better by Measure, a class from the Products of Design masters program at the School of Visual Arts taught by Jen van der Meer and Rebecca Silver. Better by Measure will explore how startups can build value by critically embracing civic, environmental, and human health challenges. Follow us at BetterbyMeasure.com
Better by Measure: Becoming Better by Measure (Class 1, SVA Products of Design 2014)
1. BETTER BY MEASURE
BECOMING BETTER BY MEASURE
Class 1 | September 4, 2014
BETTER BY MEASURE | WEEK 1: SEPTEMBER 4, 2014
2. BETTER BY MEASURE
MANIFESTO PART ONE
BETTER BY MEASURE | WEEK 1: SEPTEMBER 4, 2014
3. MANIFESTO FOR BETTER BY MEASURE
BETTER BY MEASURE | WEEK 1: SEPTEMBER 4, 2014
3
WE ARE TRANSITIONING BETWEEN TWO WAYS OF
SEEING THE WORLD.
4. MANIFESTO FOR BETTER BY MEASURE
BETTER BY MEASURE | WEEK 1: SEPTEMBER 4, 2014
4
FROM:
• Organization as machine
• “The purpose of a business is to increase shareholder value.”
• Hierarchy in control
• Scarce resources
TO:
• Society as ecosystem
• The purpose of a business is to create value for stakeholders
• Collaboration and co-creation
• Zero marginal costs, abundant resources
5. “THE PURPOSE OF A BUSINESS IS TO INCREASE
SHAREHOLDER VALUE.”
BETTER BY MEASURE | WEEK 1: SEPTEMBER 4, 2014
6. “THE PURPOSE OF A BUSINESS IS TO INCREASE
SHAREHOLDER VALUE.”
BETTER BY MEASURE | WEEK 1: SEPTEMBER 4, 2014
7. MANIFESTO FOR BETTER BY MEASURE
BETTER BY MEASURE | WEEK 1: SEPTEMBER 4, 2014
7
We’re optimistic.
We were born before you (probably), but we are millenials.
Purposeful.
Mission-driven.
Entitled to create.
Optimistic.
8. MANIFESTO FOR BETTER BY MEASURE
BUT WE HAVE BEEN LIVING MOSTLY IN THE WORLD
OF “FROM.”
BETTER BY MEASURE | WEEK 1: SEPTEMBER 4, 2014
8
ARAL SEA: 1989
ONE OF LARGEST
FOUR LAKES IN
THE WORLD.
ARAL SEA: 1989
10% OF ORIGINAL
SIZE.
9. WHERE WE’RE FROM
REBECCA SILVER
JENNIFER VAN DER MEER
BETTER BY MEASURE | WEEK 1: SEPTEMBER 4, 2014
10. REBECCA SILVER: I AM A MICHIGANDER
LANSING WAS THE HOME OF OLDSMOBILE FROM 1897 - 1998.
1970 to 2010 POPULATION: 131,500 to 114,000 = 13% decrease
1970 to 2010 MANUFACTURING JOBS: 32,100 to 18,400 = 43% decrease
THIS PROBLEM IS SYSTEMIC. MICHIGAN IS THE ONLY STATE WITH A
DECREASING POPULATION.
BETTER BY MEASURE | WEEK 1: SEPTEMBER 4, 2014
10 10
11. WHAT HAPPENED?
THE CLEAN AIR ACT PASSED IN 1970 AND IN THE 1973 ARAB OIL EMBARGO
SHOOK THE AUTO INDUSTRY.
LARGE, GAS-GUZZLING CARS GAVE WAY TO SMALL, FUEL-EFFICIENT
JAPANESE IMPORTS.
TODAY WE OUTSOURCE OUR ENVIRONMENTAL IMPACTS.
BETTER BY MEASURE | WEEK 1: SEPTEMBER 4, 2014
11 11
12. MAKING BETTER THINGS NOT MAKING THINGS BETTER
I WORK WITH COMPANIES TO REFRAME SUSTAINABILITY AS A
BUSINESS OPPORTUNITY, TO CREATE VALUE RATHER THAN TO
REDUCE IMPACT.
I HAVE WORKED FOR ADIDAS, THE NRDC, THE CFDA, WALMART, EDF
AND OTHERS. I TEACH AT SVA & PARSONS.
BETTER BY MEASURE | WEEK 1: SEPTEMBER 4, 2014
12 12
BFA IN INDUSTRIAL DESIGN (RISD).
MBA & MS IN BUSINESS & ENVIRONMENTAL SCIENCE (UofM).
I THINK VISUALLY & SCIENTIFICALLY.
SHOW ME THE EVIDENCE THEN COMMUNICATE IT BEAUTIFULLY.
13. JEN VAN DER MEER
BETTER BY MEASURE | WEEK 1: SEPTEMBER 4, 2014
13 13
14. About Jen
REASON STREET
ORGANIC INC.
ECONOMIST
BETTER BY MEASURE | WEEK 1: SEPTEMBER 4, 2014
14
TECH ANALYST
MBA – HEC
MOM
ITP PITCHFEST
OPEN DATA
DRILLTEAM
LUMINARY
LABS
DACHIS
WEST VILLAGE
DESIGNERS
ACCORD
SYSTEMS
THINKING
SUBURBAN
CHILDHOOD
FROG DESIGN
SUSTAINABILITY
BA COMP
RELIGION
16. BETTER BY MEASURE
MANIFESTO PART TWO
BETTER BY MEASURE | WEEK 1: SEPTEMBER 4, 2014
17. PROVOCATION
YOU HAVE THE ENTHUSIASM, SKILLS AND
WORLDVIEW TO MAKE THE CHANGE YOU WANT TO
SEE IN THE WORLD.
BETTER BY MEASURE | WEEK 1: SEPTEMBER 4, 2014
17
18. WHAT WILL STOP YOU
BETTER BY MEASURE | WEEK 1: SEPTEMBER 4, 2014
18
Incumbent thinking.
Unquestioned heuristics about how the business world works.
Mindless observance of guidelines and measures.
Low expectations.
Pessimism.
Despair.
19. WHAT WE WILL GIVE YOU
BETTER BY MEASURE | WEEK 1: SEPTEMBER 4, 2014
19
Leadership skills.
Persuasion, influence.
Hope.
Measurement.
Argument building: evidence that your path is the true way forward.
20. THERE WILL BE MATH
BETTER BY MEASURE | WEEK 1: SEPTEMBER 4, 2014
20
21. EVIDENCE BUILDING IS A SKILLSET
BETTER BY MEASURE | WEEK 1: SEPTEMBER 4, 2014
21
You will use valid sources. Wikipedia is not a valid source.
You will document all sources and embed the sources in your presentations.
You will document your assumptions carefully.
You will document data gaps.
You will document all calculations and you will show your math.
You will edit and spellcheck your work or we will make you do it again.
And we will help you build and practice these skills.
22. WHAT WE EXPECT OF YOU
BETTER BY MEASURE | WEEK 1: SEPTEMBER 4, 2014
22
Academic integrity.
Hard work (ask the graduates).
Learning through doing, and hope will come later if you do not have it yet.
23. THE CLASS WILL RUN AS A START-UP ACCELLERATOR
BETTER BY MEASURE | WEEK 1: SEPTEMBER 4, 2014
23
CONGRATULATIONS, YOU HAVE BEEN ACCEPTED
INTO BETTER BY MEASURE’S FALL ‘14 CLASS.
BETTER BY
MEASURE
24. BETTER BY MEASURE: OVERVIEW
BETTER BY MEASURE | WEEK 1: SEPTEMBER 4, 2014
24
PART 1 – CONCEPT: Breaking down business models + concept development
• September 4: Introductions
• September 11: Value Creation
• September 18: Measured Risk
• September 25: Intro to Lean
PART 2 – VALIDATE: Building business models back up + validation
• October 2: Lean Customer Discover 1
• October 9: Lean Customer Discovery 2
• October 16: Measured Impact
• October 23: Midterm
PART 3 – CHARETTE: Iterative redesign through stakeholder charettes
• October 30: Design for Trees and Bees (Environment)
• November 6: Design for Jane Jacobs (Civic Engagement)
• November 13: Design for the Body (Health)
• November 20: Physical Prototype Critique
PART 4 – PROTOTYPE: Prototype, test, demo day
• November 27: Thanksgiving (No Class), One-on-ones
• December 4: Prototype Test Critique (Prep for Final)
• December 11: Marketing Test Critique (Final)
25. NOW ENOUGH ABOUT US.
BETTER BY MEASURE | WEEK 1: SEPTEMBER 4, 2014
25
INTERVIEW TIME.
We will be matching teams for our accellerator class based on skills, interests, and
motivations. We will now be interviewing each one of you to compose startup teams.
Are you a Maker, Marketer, or Mover Shaker?
26. CLASS RULES
JUST A FEW
BETTER BY MEASURE | WEEK 1: SEPTEMBER 4, 2014
27. CLASS RULES
BETTER BY MEASURE | WEEK 1: SEPTEMBER 4, 2014
27
• Questions are always welcome so ask them at any time.
• Be ready on time for class, including having presentation materials up on the board or
loaded on the class computer prior to the start of class.
• No laptops, lids down.
• No phones during class.
• Food is just fine, except when there are guests/speakers present.
• EMAIL IN ADVANCE OF CLASS if you will be late or miss a class.
29. BREAKING DOWN A BUSINESS MODEL
BETTER BY MEASURE | WEEK 1: SEPTEMBER 4, 2014
29
30. RESEARCH & PRESENT THE ANSWERS TO:
BETTER BY MEASURE | WEEK 1: SEPTEMBER 4, 2014
30
HOW DOES THE COMPANY MAKE MONEY?
WHAT DO THEY DO FOR THE WORLD THAT IS GOOD?
THEN CREATE A BUSINESS MODEL CANVAS FOR THE COMPANY.
SUBMIT TO THE DROPBOX BY 4PM ON THE DAY OF CLASS.
31. THE BUSINESS MODEL CANVAS
BETTER BY MEASURE | WEEK 1: SEPTEMBER 4, 2014
31
KEY PARTNERS KEY ACTIVITIES VALUE PROPOSITIONS
CUSTOMER
RELATIONSHIPS
KEY RESOURCES
CHANNELS
COST STRUCTURE REVENUE STREAMS
CUSTOMER
SEGMENTS
Who are our key partners?
Who are our key suppliers?
Which key resources are we
acquiring from our partners?
Which key activities do our
partners perform?
What value do we deliver to the
customer?
Which one of our customers’
problems are we helping to
solve?
What bundles of products and
services are we offering to each
segment?
Which customer needs are we
satisfying?
What is the minimum viable
product?
For whom are we creating
value?
Who are our most important
customers?
What are the customer
archetypes?
What key activities do our value
propositions require?
Our distribution channels?
Customer relationships?
Revenue Streams?
What key resources do our
value propositions require?
Our distribution channels?
Customer relationships?
Revenue Streams?
How do we get, keep, and grow
customers?
Which customer relationships
have we established?
How are they integrated with
the rest of our business model?
How costly are they?
Through which channels do our
customer segments want to be
reached?
How do other companies reach
them now?
Which ones work best?
Which ones are most cost-effective
How are we integrating them
with customer routines?
What are the most important costs inherent to our business model?
Which key resources are most expensive?
Which key activities are most expensive?
For what value are our customers really willing to pay?
For what do they currently play?
What is the revenue model?
What are the pricing tactics?
SOURCE: www.businessmodelgeneration.com//canvas | Canvas concepts developed by Alexander Osterwalder and Yves Pigneur.
Notes de l'éditeur
Formerly one of the 4th largest lakes in the world, the lake is now 10% of its original size.
Last year detroit filed for bankruptcy. There are an estimated 78,000 abandoned buildings in the city. 40% of the street lights don’t work.
The Photo on the left is on a clear day over china (my trip there in 2012).
http://www.theguardian.com/world/2009/dec/04/china-manufacturing-factories-africa
Rules – you’re assigned a product but you can trade; by end of class you must commit to your product
Rules – you’re assigned a product but you can trade; by end of class you must commit to your product
Rules – you’re assigned a product but you can trade; by end of class you must commit to your product