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Wednesday, March 10, 2010

Your Smartphone Could be a Spy Phone

It can broadcast your location without your knowledge. There's no place to hide.


by Idris Mootee

Your Smartphone Could be a Spy PhoneI was watching Eagle Eyes last weekend, I was thinking what happened there is actually not unlikely - we're being watched every second. Forget about PC spyware, they're nothing compared with mobile phone spyware that enables call- and text-monitoring. But worst of all, mobile phone spyware allows anyone to tap into the phone remotely and activate its microphone, even when it is turned OFF.

So It doesn't matter if you have an iPhone, Blackberry or any Android phones. These spyware programs are not expensive (often free), or difficult to purchase or install. Your smartphone can also tell your location. We all need our mobile phones, so now there's no place to hide. There are several spy services out there for people who are desperate to monitor their children or employees. Companies such as Mobile Spy will help you monitor their call, mobile web browsing and text message activities. You can just log into your Mobile Spy account from any computer and see everything - including GPS locations too! Scary!

One popular spyware for mobile phones is Flexispy. It comes in four packages, with the high-end Flexispy Pro-X having features such as live-call listening, secret mobile GPS tracking, SMS message reading, phone call history, email, and the ability to secretly listen in on the phone's surroundings. The entry level product is Flexispy Bug which allows remote listening only. It turns your phone into a bug so someone else can listen to everything.

Are you safe? Probably not. A quick way to check if you phone is bugged, look for sudden drop in battery power, and then unusually billing activity with random numbers. If you for whatever reasons need to engage in a secret conversation, take the battery out of your smartphone.

As early as 1997, the National Reconnaissance Organization warned that any mobile phone can be turned into a microphone and transmitter for the purpose of listening to conversations in the vicinity of the phone. This is basically done by transmitting to the mobile phone a maintenance command on the control channel. This command places the mobile telephone in 'diagnostic mode'. When this is done, conversations in the immediate area of the telephone can be monitored over the voice channel. This diagnostic mode was originally designed for remote software update. Now with GPS, not only they can listen in, they can locate you within feet. So, when do they start making anti-spy software for cell phones?

Don't expect these privacy risks to go away. The reality is all governments have no desire to fix this problem or to make these products illegal. The more they can find out about you the better protected they feel. It is like 1984.


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Idris MooteeIdris Mootee is the CEO of idea couture, a strategic innovation and experience design firm. He is the author of four books, tens of published articles, and a frequent speaker at business conferences and executive retreats.

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Wednesday, March 03, 2010

The Dangers of Design Research

The Dangers of Design Research
by Idris Mootee

What is design research? It is generally referred to as the upfront contextual inquiry work that designers perform before they start ideation. Sometimes it involves some light ethnographic work and some interviews, but it is often not structured, comprehensive, or rigorous. Design research emerged only in the late 1960s with the goal of improving how we see consumers use the product and look for ways to improve the effectiveness of a product. It is pretty much a human factor investigation and is now widely practiced, but is now facing a few serious challenges.

Design research is more than just a design tool, and the truth is that 80% of the time, they are not designed and conducted properly.

The emergence of transdisciplinary design is changing what skills are needed by those who undertake research design. These required skills go beyond improving a physical product and now include knowing how to build the voice of customer into the design research process, either directly or indirectly. The ability to collect data is not the critical activity, but instead it is the ability to decode visual and non-visual data and translate emergent issues into concrete, actionable insights.

The effectiveness of design research is determined by the research team's ability to translate identified functional and emotional characteristics into unique innovation drivers. Ineffective design research activities are often characterized by the presence of assumptive decision-making, lack of immersion into the consumer's world and undifferentiated innovation drivers. Design research is lesser known than traditional market research among marketers, and they often misuse it as a market research tool instead of applying it as a product development or innovation tool.

Many organizations are only beginning to use an receive the full benefits of design research. Many see it as an unnecessary cost because the people who performed it in the past did not do it justice. Improperly done, many of the presented outputs are useless and unactionable. There are many reasons for this. First, most designers are trained to observe the insights for the purpose of applying them directly to their work, but are poorly trained to codify these insights, while also lacking the writing and analytical skills to make sense of what they see. Second, observation research and individual contact is very consuming, particularly when you need to see them performing non-daily routines. Feeding useful data input into the creative process is a critical skill, one that is an "intuitive learning process." During this process ideas 'evolve' or 'mature' and lead to the improvement of the previous idea.

Design research at Idea Couture is not just an observation exercise; it is often a participatory exercise. I can't talk more to our proprietary methodologies, but they are a lot more than just sending in two designers to learn about how a consumer uses a product. It is not productive to do that. Cross-disciplinary teams perform design research at Idea Couture and consider issues from multiple perspectives - from anthropological to human factors and brand influences. Design research for us is the starting point of reflective collaboration, getting D-School and B-School collaborating to solve wicked problems. It is fun. Designers often like the idea of involving users early and generally hate focus groups. Unfocus groups on the other hand are hard to manage and often discussions get side-tracked. Involving users is always a good idea, particularly when you need to gain a deeper understanding of cultural issues - such as lifestyles and wider issues beyond functional details. This is why you need anthropologists.

It is interesting to see that the contextual inquiry hype has been migrating toward the participatory/designer-led corner of the design research space the last few years as design-led methods such as visioning and storyboarding have been added to contextual inquiries. Finally, a lot of designers have difficulties moderating an unfocus group evaluation for a product idea that they designed, as the personal aspects involved often cause some uncomfortable situations. You can see why design research projects are so difficult to design and conduct properly.


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Idris MooteeIdris Mootee is the CEO of idea couture, a strategic innovation and experience design firm. He is the author of four books, tens of published articles, and a frequent speaker at business conferences and executive retreats.

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Wednesday, February 24, 2010

2010 - Beginning of a Touch and Gesture Future?

by Idris Mootee

2010 - Beginning of a Touch and Gesture Future?With the proliferation of multi-touch technologies and innovations, we face an exciting new future of physical interactivity that will be like doing tai-chi.

Will multi-touch become the mainstream interactive experience on small devices? The holy grail of touch interactivity is bringing together the simplicity of hand gestures with deep navigation. Will multitouch create a new user language much as we learn how to type? Imagine when multi-touch is deployed in home appliances such as washing machines and microwave ovens? Gestural commands can be much less obvious to users than those written on buttons and menus and can create a whole new set of challenges. It means more challenge for human factors people.

It is interesting to envision how a broad-based, mass-scale utilization of the technology beyond the iPhone/iTouch/iPad/iDesk. I want to see a digital desk where there are no computers, the surface is the computer and my smartphone connects to the cloud. And I want the desk to look like a Herman Miller Sense desk. I want to have a built-in Skype conference call widget and... oh yes, Facebook on my desk. I guess we need to retrain ourselves to use this, as we need to create a set of hand gestures standards in order to be productive with our digital desk.

Asus already has a dual-screen laptop, still in concept stage, but with a touchscreen instead of a keyboard, opting for a virtual keyboard just like the iPhone. This is a step towards the digital desk. The dual panel offers a flexible working space in which users can adapt to suit their prevailing usage scenarios, for example adjusting the size of the virtual touchpad and keyboard. Through hand gestures, handwriting recognition and multi-touch, users are given with a control surface that is both flexible and intuitive.

The touchscreen display market will be growing from US$2.2 billion this year to US$3.4 billion in 2014 according to NanoMarkets, a research firm. The growing demand for touch-screen technologies in mobile and portable computing will create new opportunities for suppliers of conductive coatings, substrates and sensors in addition to the display firms themselves. Mainstream display makers have begun to develop their own "in-pixel" technologies as an alternative to the current industry practice in which third-party suppliers add a touch sensor subsystem on top of an LCD display and then sell to OEMs. Instead of supplying companies such as HP, LG, Samsung, Toshiba and Sony, these mid-size touchscreen OEM manufacturers may end up competing against them. These companies include FlatFrog, RPO, Microsoft, NextWindow, TouchCo and Vissumo.

In the next 24 months we can expect to see the increasing prevalence of physical and gestural interactivity, beyond the Wii and the iPad. One thing for sure is that we're all going to be dealing with the fun as well as the challenge of interacting with and designing devices in different ways. One big challenge is simply due to the lack of transparency into the "commands" or actions available with a given device or environment, we don't see a switch in the air and there is nothing for us to touch.

Looking into the exciting new future of physical and special interactivity, we will need to create idioms and new vocabulary that are as discoverable and useful as possible. We will find out in 10 years time whether these new touch-based interactive paradigms such as gestural interfaces will be making life easier for us or creating a new interactivity divide between those who can use it and whose who gave up on it. Instead of learning to type like my parent's generation, the next generation may be learning how to do the 'tai-chi' of interactive gestures. Human Factors guys now need to learn tai-chi.


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Idris MooteeIdris Mootee is the CEO of idea couture, a strategic innovation and experience design firm. He is the author of four books, tens of published articles, and a frequent speaker at business conferences and executive retreats.

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Wednesday, February 17, 2010

How Profitable are the iPad and Kindle?

by Idris Mootee

How Profitable are the iPad and Kindle?How much money are Apple and Amazon making from selling the iPad and the Kindle?

Get ready for the iPad to come to an Apple store near you, and for iTunes TV show downloads. Apple will be offering US TV shows for $1 each, as reported by the Financial Times. This coincides with the scheduled release of the iPad sometime in April in an attempt to boost adoption and pull sales through the channel. TV episodes are normally $1.99 for standard-definition and $2.99 for high-definition through iTunes. There was talk before the iPad launch that Apple might at last introduce an iTunes TV show subscription service, but it never happened. I am sure that is still on the table, but there are no further details about when this could come together.

Some wonder how much money Apple can make with the iPad. Obviously the higher end models are usually more profitable for Apple, and the iPad is no exception. I've done some quick and dirty research with OEM suppliers and whipped up some estimates. The high-end iPad model with 3G and 64 GB of storage will retail at $829 and produce a profit of $455 for Apple (and retailers), while the low-end iPad model with 16GB of storage (and no 3G) will retail at $499 and bring a profit of $213. My assumptions for marketing and customer support costs total $15. I have not included in the calculations any volume discounts that Apple might grant to corporate or educational buyers.


Apple iPad and Amazon Kindle DX costs
I have yet to confirm the components configuration but am using industry's current suppliers' prices. These costs will come down when volume increases, and memory prices fluctuate. The display is the most expensive component, followed by the NAND flash memory. If you drop your iPad, I am guessing the replacement cost would be $250-$270, although the net cost is $76 excluding labor. I've also included a quick comparison with the Kindle DX, which is not an apple-to-apple comparison, and is just there for reference. Kindle doesn't have many of the expensive components that the iPad has, but is an elegantly designed book reader. Remember the basic rule of design? Make sure you do at least one thing really, really good. Kindle makes the downloading experience so easy. Anywhere in the world, your 3G can work to download books in the background.

All cost calculations here are based on our estimates only, not sources from Apple or Amazon and no one has confirmed if these numbers are close or off. I think they are close.

Considering the Kindle DX selling for $489 produces a profit of $297. There are costs for some free content not included in the Kindle DX costs. There will likely be many iPad clones in the market selling in the $180-$250 range. The margin for iPad clones will be as thin as $30-$40, but you can't really compare the iPad with those poor cousins. Let's see what the iPad's net contribution to Apple will be by the end of the year.


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Idris MooteeIdris Mootee is the CEO of idea couture, a strategic innovation and experience design firm. He is the author of four books, tens of published articles, and a frequent speaker at business conferences and executive retreats.

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Wednesday, February 10, 2010

Will Spiderman be real soon or is it just hype?

by Idris Mootee

Every time there is a new product launch, there is always hype around how innovative the product is. Not all innovative new products deliver on the hype like Apple. Although the Segway was a big engineering achievement, it didn't live up to the hype. Its sophisticated system of dynamic stabilization certainly showcases electronic engineering excellence and did deserve some hype, but not to the level it soared.

Paul Graham's recent essay about why the Segway failed to change the world is interesting. He focuses mainly on the fact that the Segway basically makes people look dorky - and that a better design might have helped more people find it enticing. But at the end he notes:


"Curiously enough, what got Segway into this problem was that the company was itself a kind of Segway. It was too easy for them; they were too successful raising money. If they'd had to grow the company gradually, by iterating through several versions they sold to real users, they'd have learned pretty quickly that people looked stupid riding them. Instead they had enough to work in secret. They had focus groups aplenty, I'm sure, but they didn't have the people yelling insults out of cars. So they never realized they were zooming confidently down a blind alley."


The Segway Human Transporter (HT) was no question one of the most hyped engineering projects of the last 12 or 30 years. Starting with "managed leaks" to the press, the secret $100 million "Ginger" project that VC John Doerr said "could be bigger than the Internet." I can't think of anything bigger than the Internet. People then were guessing it was some sort of space program.

Apple's new iPad was also very hyped before it launched. It is a great product no question, but essentially the iPad is a big iTouch, or iPhone, doesn't have a camera, doesn't use facial recognition and doesn't have any advanced interactions design or high definition video.

But not all interesting ideas get over-hyped...

Here's a good idea which has the right ingredients for hyping up. A bunch of engineers have invented an adhesive technology has taken its cue from the gravity-defying gecko, but the Cornell team looked elsewhere - to a beetle native to Florida that can stick to a leaf's surface, through wet adhesion, with a force 100 times its own weight. What does this mean? We are talking about the possibility to mass-produce Spiderman capability. Cornell University researchers Paul Steen and Michael Vogel are working on a palm-size liquid-adhesion device that could enable movements just like Spierman's arachno-riffic moves. The design is based on bonding methods observed in the beetle. Their research was funded by the Defense Advanced Research Projects Agency (DARPA) and the National Science Foundation.

The first application may be for the military. It is highly likely that there will be a 'Spiderman' team. Not sure they will adopt the stretchy red and blue tights. The mechanism includes a flat metal plate with micron-size holes and sits atop another piece holding a liquid reservoir. In between is a porous layer. An everyday 9-volt battery pumps tiny droplets of liquid through to the top layer and the surface tension of the exposed drops makes the device grip another surface. Just make sure you don't run out of battery while you're outside 29th floor of a building.

Many science and technology innovations are hyped by the media. Nanoscience and Nanotechnology are hailed as some of the most exciting areas of science with promised to our current and future problems. But translational research in the emerging areas of nanoscience and nanotechnology is sophisticated, complex and expensive and the hype around the technological advance often overstates the applications of nanotechnology. But in this case, Spiderman may soon be real...


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Idris MooteeIdris Mootee is the CEO of idea couture, a strategic innovation and experience design firm. He is the author of four books, tens of published articles, and a frequent speaker at business conferences and executive retreats.

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Wednesday, February 03, 2010

Are MBAs becoming irrelevant?

Are MBAs becoming irrelevant?
by Idris Mootee

Are business schools preparing students for a flat world where organizations and national boundaries are becoming blurred?

Looking at this year MBA rankings by Financial Times, there aren't many changes in the Top 10 list. The surprise is that #10 is a Hong Kong Business School and #12 is an Indian Business School. Other top schools (some are more local) in the rankings: IMD (Swiss) ranks 15, HEC (French) ranks 18, CEIBS (Chinese) ranks 22, Haas (American) ranks 28, Cornell (American) ranks 38, Ivey (Canadian) ranks 49. Here's the latest FT Global Top 10 MBA Rankings for 2010:
  1. London Business School
  2. University of Pennsylvania: Wharton
  3. Harvard Business School
  4. Stanford University GSB
  5. Insead
  6. Columbia Business School
  7. IE Business School
  8. MIT: Sloan School of Management
  9. University of Chicago: Booth
  10. Hong Kong UST Business School

There are a lot of criticisms around MBA programs on different fronts. I was advising some folks that this is still the best all round business education. The last three months, I have written 4 recommendations for some folks. One was accepted by London Business School, one by Stanford Business School, one by Chicago Graduate School of Business and one by MIT Sloan. I am happy for all of them. I still think it is one of best paths to change the world.

There are arguments around whether it needs to be two years and almost all European MBAs are one year with only exception of LBS. The traditional two-year MBA curriculum, grounded in the core functional disciplines — strategy, marketing, organizational behavior, accounting, finance etc. — has been in existence since it was first pioneered in the US in the late 50s. MBAs were very much an American thing. US companies placed more value in an MBA than European companies. In the UK, a general management program combined with solid work experience is generally accepted to be sufficient.

The world of business is on the verge of transformation, a transformation, and so should business education. Where technological advance, geo-political forces, rapid globalization are all putting pressure on the business education system. I attended an event a while back at the Yale School of Management; there were 20 education institutions from around the world all struggling with the relevance of the MBA to 21st century organizations. Everyone sees the need for transformation but not many knows what and how to transform. Asking any B-school's Dean the question how their business schools must change to better prepare our students for the challenges that they will face in a hyper competitive and uncertain world is a good start.

Yes the world is flat. Organizations are becoming increasingly flat, and social technologies are blurring the boundaries of a corporation. Leaders of modern enterprises competing in the global economy need to look for truly global managers who are capable of leading and managing across the boundaries of function, geography, and organizations and industries. Are business schools ready for this? Or should we change the old paradigm that an MBA is an elitist qualification which can enable the holder of the degree to fast-track his/her career to power and fortune? An MBA should mean less as a qualification. It is a sense of empowerment and commitment for an individual to take on big challenges, transform oneself and create win/win strategy for shareholder, employees and societies.

Check out the lively discussion that has broken out in our Continuous Innovation group around this article - http://ow.ly/16hTy (join the group and see the 30+ responses)


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Idris MooteeIdris Mootee is the CEO of idea couture, a strategic innovation and experience design firm. He is the author of four books, tens of published articles, and a frequent speaker at business conferences and executive retreats.

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Wednesday, January 27, 2010

Rethinking the Design of Kitchen Appliances

by Idris Mootee

Rethinking the Design of Kitchen AppliancesMy kitchen is overcrowded. There is no end in sight as we continue to invent new kitchen gadgets.

I have always wondered why many small kitchen appliances are so poorly designed both in form and function. Cooking is an art form and the appliances should reflect that. I've spent an hour at John Lewis' basement looking at their kitchen appliances. John Lewis' has better designs than what we see at Sears or Macy's. I guess B&O should start designing toasters.

Last year Electrolux Icon appliances and Interior Design Magazine held a competition with winner Marcello Zuffo's futuristic kitchen that featured movable components that can be reconfigured to adapt to the task at hand and incorporated a contemporary sculptural component contrary to a typically rectangular floor plan.

Designing a kitchen is an art, combining form and function while reflecting on the personality of the owner or designer. The kitchen has now become a place which is as much for cooking as it is a place to entertain guests while preparing a meal. Designer kitchens have been sprouting for decades now. More and more homeowners have been renovating and remodeling their homes to include designer kitchens. In kitchen designs and even appliances, Europe is at the forefront of kitchen design and designer kitchen innovation. In the US, unless you're prepared to throw a lot of money at the problem, you're pretty much stuck with some mass-market solution. And then the question is do you want stainless steel? It that going to go out of fashion soon or it is here to stay? Didn't everyone think black, and then white, were going to be classics?

Anyhow, most of the stuff we see out there in the US is pretty poorly designed. Europe is a little better. But they need to think "system" instead of individual products. James Dyson now wants to compactify our kitchens. And hopefully beautify them in the process. In a US patent application filing, Dyson and his colleagues Peter Gammack and David Campbell describe a smart way to save space on overcrowded kitchen worktops by radically changing the design of the gadgets that typically clutter them.

Cuboid ApplianceYes, think "system." The team says the trouble with today's kettles, toasters, juicers, food mixers and coffee grinders is that each type of gadget tends to have a different space-hogging design. Kettles tend to be jug or dome-shaped, with a protruding handle and flex on one side, and a spout on the other. Toasters are generally box shaped, with the timing and toast ejection mechanisms protruding from one end. That means users must leave a large "footprint" around each appliance so that their handles and controls can be reached easily. That's a very smart way to start. Kudos to the Dyson team!

In their patent filing, the idea is simple: make all free-standing gadgets like kettles, toasters, juicers and food mixers in the shape of tall cuboids that can easily be pushed together on a worktop, with no wasted space between them. As the controls could be recessed in their flat lids or on the front panels, no space-wasting side access is required. The patent also suggests connecting the appliances together - presumably using a common power supply. Why haven't people thought of that before?


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Idris MooteeIdris Mootee is the CEO of idea couture, a strategic innovation and experience design firm. He is the author of four books, tens of published articles, and a frequent speaker at business conferences and executive retreats.

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Wednesday, January 20, 2010

Will Apple or Microsoft Dominate Home Energy Management?

by Idris Mootee

Home energy management is hot and I've seen more than a dozen of companies having a very similar approach. It is almost hopeless for small start-ups to play this same, as many deep pockets have been working on this for a long time. Whirlpool and energy retailer Direct Energy have joined forces to showcase what the energy efficient home of the future will look like at the CES. I've seen some cool stuff from them.

I don't think anyone have nailed it yet. Whirlpool Home Energy Manager (HEM) includes appliances that tap into a unified network to communicate how much energy they are using, when, why, and how much it is costing. This type of data transmission is what will eventually make it possible for your clothing dryer to know to turn on after your washing machine has finished the cycle. Or let you finish watching your 7.2 Dolby home movie before the oven starts baking. The goal is to optimize the use the of energy between all appliances.


Whirlpool Home Energy Manager?
User experience design is still one big challenge and OpenPeak is doing a pretty decent job. They have an iPhone like touch-screen dashboard to manage appliances to run at certain times, use that to change settings and to display consumption data. There are many other players such as Tendril, EnergyHub, People Power, Control4, and OPOWER. Whirlpool appliances, Lennox thermostats and OpenPeak dashboards together create the product package and Direct Energy will be testing the market in Houston.


The latest player, guess who, is Apple. They just filed an application this week called the Intelligent Power Monitoring that allow people to reduce energy use by giving them tools to manage how connected devices are powered. Users could get recommendations on when to schedule gadget charging to take advantage of off-peak rates, for example. Or the electronics controller could put devices in hibernate mode after a set amount of time. Users could have a display, such as an LCD screen, or a movable projector to control these tasks and monitor electricity use. No question this will be the coolest one.


Apple Home Energy Monitoring
Apple talks about power management in its patent application as: "Some personal computers sometimes are being left on simply to serve as power supplies for the charging of the aforementioned portable devices via connections, such as USB connections, that provide power in addition to data (rather than charging those devices from the household electric service using their dedicated chargers), even though the power supply of a personal computer is much larger than is needed for such a function, and as such draws much more power than such a function would otherwise demand. As the price of electricity increases, such uses of power can cost users more."


Microsoft Hohm
This is definitely going to be another platform play, both from a standard and user experience perspectives. Microsoft is also active in this space and giving away its energy management tool Hohm to consumers for free. Distribution is a key factor here and both Apple and Microsoft has no apparent advantages. Is this going to be Microsoft vs Apple all over gain?


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Idris MooteeIdris Mootee is the CEO of idea couture, a strategic innovation and experience design firm. He is the author of four books, tens of published articles, and a frequent speaker at business conferences and executive retreats.

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Wednesday, January 13, 2010

CES 2010 Report

by Idris Mootee

CES 2010 Report - Parrot DroneMore than 10,000 people attended the show, and funny enough there was another show running next door - the Porn Show. I don't know if were are any vendors who showcased products in both. One thing that deserves mention is Nokia's announcement of the Growth Economy Venture Challenge. Nokia is going to invest $1 million in a developer who comes up with an idea that uses mobile technology to improve the lives of people in the poorest parts of the world, and that the idea doesn't even need to use Nokia technology. I wonder if anyone will submit an iPhone-to-save-the-world idea. The winners will be announced in June and it will be very interesting to see what ideas people come up with.

TV technology pretty much dominated the show with 3D HDTV attracting the most interest. I don't think 3D television will become mainstream anytime soon (if at all). Surround sound was first invented and introduced 30 years ago with two key players pushing different standards, I think they were JVC and... I forgot the other. JVC was pushing CD-4, a proprietary decoding technology to bring four-channel surround sound to the living room. The buzz lasted for less than two years. Only after home theater became popular and affordable 20 years later did that technology finally became mass market. 3D HD TV may be a repeat story. 3D content is an issue, the other is the glasses. I cannot imagine everyone wearing 3D glasses at home, can you? And, the cost is way too high. They are at least 5 years away.

The adoption of innovative technologies has always been impacted by micro-economic determinants, because it has proved to be the most useful in explaining the broad patterns of innovation diffusion. With the top three brands announcing 3D TVs, it is more about competing for noise. Panasonic, which has been promoting 3D for more than a year, expects to be among the first to launch. One of Panasonic's guest speakers was Jon Landau, producer of the 3D movie Avatar, which partnered with Panasonic last year to promote both the movie and 3D technology. Samsung announced that 50% of its LED LCD TV introductions this year will be 3D models, many using a new "inspired by nature" design scheme. The top of the line is the ultra-slim 9000 Series. These sets achieve their svelte profiles by housing the TV's electronics circuitry inside the stand and come with a unique touch-screen Wi-Fi remote that doubles as a second display, so you can watch a TV program on the remote while a Blu-ray movie is playing on the TV.

In the meantime everyone is still making improvements to their LCD TVs - making them bigger, thinner and sharper. LG has some cool technology, such as sound coming from the screen, although for most people, this doesn't matter as they have external speakers for that. But still a cool innovation with sound and visual integrated from one source.

And what is the coolest product? I think it is the Parrot AR.Drone, a remote-controlled helicopter with a twist. It's controlled over WiFi from an iPhone or iPod Touch, and it has a camera in its snout that streams to your iPhone's screen. It is perfect for domestic use to send out to survey your neighbors to get a sense of what others are doing. It is great way to increase your conversation capital and popularity. The thing is computer-stabilized so not too difficult to manage and no training required. Not sure if these are designed as little brothers of the military ones. For $500, you can comfortably sit in your home and fly your drone for 15 minutes before it requires recharge. It gives new meaning to "Neighborhood Surveillance". It will be available this fall.



Idris MooteeIdris Mootee is the CEO of idea couture, a strategic innovation and experience design firm. He is the author of four books, tens of published articles, and a frequent speaker at business conferences and executive retreats.

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Wednesday, January 06, 2010

Emerging Computing Paradigms

by Idris Mootee

Emerging Computing ParadigmsHCI (Human-Computer Interactions) science is fast evolving to deal with emerging computing paradigms. Today it is a little Cognitive Science and AI, a lot of anthropology and Social Psychology.

HCI is a fascinating discipline; the field has its origin in the 80s primarily in computer science and cognitive psychology. Today it exists in a confluence with design as a discipline that owes to traditions including human factors, industrial design, architecture, information design and graphic design. HCI contains a number of semi-distinct fields of research and practices in human-centered informatics. One example is the Sixthsense from the MIT Media Lab. An augmented reality (AR) project, that aims to seamlessly integrate digital information with our everyday physical world. A very cool HCI concept, your hands movements are the interfaces.

HCI is about people, interactions and system interfaces... First, people do what people are good at, such as observation, interpreting, determining what is important, and making the final decisions. There are situations human decisions need to be assisted by data visualizations. Second, computers do what they are good at, which are repetitive tasks and routine. Neither people nor computers are forced to do what the other does better. HCI integrates the two so they can compliment each other to achieve more productivity.

MIT Wearable ComputingThere are a few challenges in applying universal design in the context of HCI in order to provide the formative insight needed to design interactive products that can be experienced by the mass in different contexts. The distinctive characteristics of these products may be identified by briefly considering the changes in the socio-technical paradigm, from the early days of computing to the 21st century human interfaces intended to provide a gateway into the world of distributed information paradigm, the scope and context of use of the computer (hard to define what a computer is these days, or what power is required to achieve the distinction), as it becomes a mediating tool for increasing different types of human (both business and personal) activities.

In another 10 years, mini computing devices will be everywhere as medical and consumer devices reach mass adoption. While HCI is still in its infancy, some HCI practitioners are trying to break away from common conception of an "average" user interacting with a laptop in the office to get work done, and to engage in a conscious effort to develop new understanding, methodologies and tools, in order to understand the following:
  1. How emerging new distributed computational paradigms will create new challenges for HCI designs? How do we research behavior that does not exist today?

  2. How new interaction /interface design can be effectively used to serve an increasing range of system-mediated human activities?

  3. When does interactions / interface design cross the line and becoming service design? Interactive artefacts are now being introduced into service settings in a larger degree.

  4. How new visceral interactions that driven by interactive paradigms rather than user needs emerge, beyond the imagination of the novice users.

  5. What are the emerging threats to privacy that force us to rethink some fundamental concepts in HCI when attackers, ranging from the curious to the highly malicious, might abuse or subvert the system.



Idris MooteeIdris Mootee is the CEO of idea couture, a strategic innovation and experience design firm. He is the author of four books, tens of published articles, and a frequent speaker at business conferences and executive retreats.

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Wednesday, December 30, 2009

Should We Revive Dying Brands and Companies?

Or are we better off creating new ones? Does "The Circle Of Life" apply here?


by Idris Mootee

Should we revive dying brands and companies?We make assumptions that it is the management team responsibility to extend or prolong the life of any companies even they have fewer reasons to exist. Management is different from practicing medicine, although sometimes I am called the strategy doctor. Instead of wasting resources and energy to save a company or a brand, should we just take whatever assets and redeploy them? In life, the cycle of life is the natural order of things.

Although we do live longer now, death is inevitable. Technology is the same. Should corporations be the same? Saab is at the end of life. Should it deserve a second life? Apple had its near death experiences and came back stronger. Many argued at that time Apple should be sold to Sony. Wang Computers thought they were beating IBM and could become the next IBM. IBM was also close to disappearing from the scene just 15 years ago.

Management consultants usually have a keen preference for prolonging corporate life. I guess to keep them spending. The pharma companies don't want patients to die, just stay sick. Why do we care about extending the life of large companies or big brands? Is it because they can afford our fees? Or we have a love for them. Yes, build to last. Business schools love transformation stories because they make great business cases, and portray CEOs as heroes. For many large companies, transformation and renewal is the only source of survival.

The world of fashion has a lot of comeback stories, although they are generally not sophisticated from a management capability perspectives compared to the GEs of the world. Think how Burberry, Adidas, Dior, and Abercrombie & Fitch all have found prosperity in their new life. Many business school case studies have been written about of how brands were "brought back from the graveyard." Unfortunately, however, the lessons are often so idiosyncratic. There 100 times more cases where companies tried revitalizing old brands by hiring new CMOs and advertising agencies and throwing big money towards advertising, hoping to rebuild a great brand even when there wasn't a relevant product or service or a sound business model behind it.

For those fashion companies, it is about hiring the right designer (call Tom Ford or Marc Jacob) and for other businesses, whom do you call? The designer is often viewed as the critical component to reengineering a brand, and total attention must be paid to the brand in an effort to return to its essence and reason for being successful in the first place. It used to be case that you could recruit a top CMO and things will work out. This is not working anymore. You need a master strategist, a great storyteller and a change agent, all in one person (call Indra Nooyi or Steve Jobs). In fashion, you go back to the essence of the brand. In other business what do you do? How do you rediscover your core or find a new core?

Successful transformation and re-invention rests on two major premises: first, that our time is characterized by a rare confluence of new behavior and economic disruption, and second, that the "new global reality" is turning toward a "whole new emphasis on innovation". I was speaking to a group of graduating Ivey MBAs on global strategy. You can check them out at slideshare below:




Idris MooteeIdris Mootee is the CEO of idea couture, a strategic innovation and experience design firm. He is the author of four books, tens of published articles, and a frequent speaker at business conferences and executive retreats.

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Wednesday, December 23, 2009

Watch Out Nintendo

Apple Is Pushing The Limits Of "Interactivity" And Going 3D


Apple planning to go 3D
by Idris Mootee

Apple is going to push the limits of "interactivity" and planning to go 3D. Using a camera to detect a user's position and overlay it onto an any on-screen object, giving the impression of a "reflection" and creating a more immerse experience. Apple's latest technology would address that through the use of a camera or appropriate "sensing mechanism."

Apple is filing a patent on this innovation. The technology is capable of defining the visual properties of different types of surfaces and decide on how well it would reflect light. Using this, images of the user and their environment could be recreated on the screen with effects added. "Using the detected position of the user, the electronic device may use any suitable approach to transform the perspective of three-dimensional objects displayed on the display," the application reads. "For example, the electronic device may use a parallax transform by which three-dimensional objects displayed on the screen may be modified to give the user the impression of viewing the object from a different perspective."

"To further enhance the user's experience, the detected environment may be reflected differently along curved surfaces of a displayed object (e.g. as if the user were actually moving around the displayed object and seeing his reflection based on his position and the portion of the object reflecting the image." It's a kind of a virtual reality, crossing over the real world with a digitally created one, but giving the visual perception that an object is real.

This provide game developers new ways to use their imagination to come up with new games that cross the two worlds. It is a direct challenge to Wii. Nintendo has a lot to worry about. Gaming will go 3D very soon. The Blu-ray Disc Association released its finalized 3D specifications. 3D playback will be "display agnostic," meaning that the format will be compatible across "any compatible 3D display." What exactly a "compatible 3D display" is still an unknown, but I believe we need to get a new TV to watch 3D. PS3 is probably ahead in the game.


Editor's note: Will Apple incorporate this kind of technology into the rumored Apple tablet?



Idris MooteeIdris Mootee is the CEO of idea couture, a strategic innovation and experience design firm. He is the author of four books, tens of published articles, and a frequent speaker at business conferences and executive retreats.

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Wednesday, December 16, 2009

Sex and Creativity

Is there a connection? Study shows number of sexual partners corresponds to creative output.


by Idris Mootee

Link Between Creativity and SexCreative people are fun. Creative people are likeable. But many creative minds are unorganized and sometimes deficient in handling complex logic. Some creative minds are highly analytical too, although the processing was sort of in the back and you don't see it.

Creative people are more social than others. Here's a case in point. Psychologists at the University of Newcastle upon Tyne and the Open University found that professional artists and poets have about twice as many sexual partners as other people. The study also shows that the average number of sexual partners increased as creative output went up. So the more creative you are, the more sexual partners you should have. You tell me if this true. Now I understand why so many people want to be a creative director.

More on creativity and sex drive. The desire to be creative or feel creative, whether expressed in music, industrial design, art, fashion or photography or film, coexists with the primal urge to commit the sex act, and other layers in between. It is like onions that we have many layers. What if your desire for sex is weak, does it mean you are less creative than others? If you buy the above argument, then this should the case. When sex is suppressed in some cultures, does this in effect force the libido up into "higher" forms, and thereby further enhance creativity? I don't know.

I believe our creative motivations are often based on some of our most primal passions, such as joy, fear, anger, love and lust. In an article "Creative Juice - A Dozen Key Lessons for Creative Dreamers", Suzanne Falter-Barns quotes Deepak Chopra:


"Creativity is ultimately sexual - I'm sorry - but it is!"


I am not a Chopra fan, but he may be right this time. Love and lust make us think differently in that they trigger global processing, which in turn promotes creative thinking. Love and lust are good for creativity.



Idris MooteeIdris Mootee is the CEO of idea couture, a strategic innovation and experience design firm. He is the author of four books, tens of published articles, and a frequent speaker at business conferences and executive retreats.

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Wednesday, December 09, 2009

Is Search Killing the Planet?

Everytime you search on Google, you are adding to the consumption of 1% of the world's energy



by Idris Mootee

Apple Data CenterHere is a lesser-known fact. Data centers use up tons of energy just for cooling, and in a typical data center only 40-45% of energy use is for the actual computing - the rest is used mostly for cooling down the servers. Data centers' emissions of carbon dioxide have been running at around one third of those of airlines, but are growing 10% a year and now approach levels of entire countries such as Argentina or the Netherlands.

Apple is building its own server farm. Apple has secured a $300 million tax cut from North Carolina politicians in exchange for investing $1 billion over nine years for a so-called technology "hub." Wonder why Apple needs such a big server farm? There's only one reason, Apple is contemplating a large-scale strategic shift to deliver multiple applications as a service on an enhanced Apple device, which I think will be entertainment related.

Back to the energy saving topic, here's one of the greenest data centers on earth which will be housed in a massive cave beneath an orthodox Christian cathedral in Helsinki. It is a former bomb shelter carved into the rock by the fire brigade in World War Two as a refuge for city officials from Russian air raids. Excess heat from hundreds of computer servers will be captured and fed into the district's heating network, a system of water-heated pipes used to warm homes in the city. This makes perfect sense and I don't see why these server farms need to be in California. Should we move all our servers to Scandinavia, Northern Canada and Alaska?

Data centers such as those run by Google already use around 1% of the world's energy, and their demand for power is rising fast with the trend to outsource computing. Every time you search on Google, you are adding to the consumption of that 1%. Research firm Gartner issued four recommendations for improving energy management for corporations:
  • Raise the temperature at the server inlet point up to 71 to 75 degrees Fahrenheit (24 degrees Celsius), but use sensors to monitor potential hotspots.

  • Develop a dashboard of datacenter energy-efficient metrics that provides appropriate data to different levels of IT and financial management.

  • Use the SPECpower benchmark to evaluate the relative energy efficiency of servers.

  • Improve the use of the existing infrastructure through consolidation and virtualization before building out or buying new/additional datacenter floor space.

Some called this the Moore's Law of data centers, the growth of cooling requirements parallels the growth of computing power, which roughly doubles every 18 months. That has brought the energy challenge of data centers to the top of the list. Have you come across any innovation allows waste heat from servers or data centers to be recycled (or managed) in a non-traditional way that conserves energy? There must be a solution.



Idris MooteeIdris Mootee is the CEO of idea couture, a strategic innovation and experience design firm. He is the author of four books, tens of published articles, and a frequent speaker at business conferences and executive retreats.

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Wednesday, December 02, 2009

70 Years of ATM Innovation

Still Struggling To Make Them Scam Proof


Early Cash Machine - ATM
by Idris Mootee

It is all about the human factors.

I find that people are over-concerned with online security every time there is a piece of news about identity theft on TV. It is really not that bad and we need to accept the fact that it will not go away. Whatever security mechanism being put can fix one hole but usually create another hole. Let me take the example of the ATM, it is a very mature technology (probably about 30 years). Not many people know the first mechanical cash dispenser was developed and built by Luther George Simjian and installed in 1939 in New York City by the City Bank of New York, but removed after 6 months due to the lack of customer acceptance. No customer wanted to get money from a machine. It was a failed innovation.

I remember the one ATM card (Standard Chartered Bank) I used. Every time I used it the machine will eat the card and mail it back to me. I'm not sure what security design reason caused the behavior. So I can only use it once until they send it back in two days. It is designed to prevent fraud.

30 years later, there are still many ATM scams. Japan is still trying to figure out a way to stamp out ATM frauds. Chiba Bank has installed phone signal jammers at four unnamed ATMs at bank branches in the Tokyo region, I am not sure what exactly the criminals were able to convince people to do via mobile. I think there is too many cases criminals instruct victims to withdraw cash from the ATM through the cell phone. The often target the elderly, often telephoned by perpetrators claiming to be relatives and in need of some emergency funds. A new innovation is Aichi Bank is now ATMs will now no longer allow consumers to complete the transaction until they hang up. So you cannot be talking to your friends while getting your money.

How does it work? A metallic film around the ATM will block access if it detects mobile phone waves. Essentially ATMs will become out of range for mobiles. Not only might this prevent the criminals from relating their information, it also helps to provide a break for the consumer to think carefully about the transaction.

While others are jamming cell phones, BT Broadband is converting 2,500 ATM machines to serve as free Wi-Fi hotspots. And for some places like Tibet, people are blessed (literally) with money with their ATM withdrawals. A relatively new addition to Lhasa's old city urban infrastructure an ATM machine - including the red pasted duilian - effectively blessing every transaction that passes through this machine. It is a way to making money clean (legally). Here's another real customer unmet need.



Idris MooteeIdris Mootee is the CEO of idea couture, a strategic innovation and experience design firm. He is the author of four books, tens of published articles, and a frequent speaker at business conferences and executive retreats.

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Wednesday, November 25, 2009

Time for Innovation in Trains?

Warren Buffet Is Betting His Farm Investing In A 190 Years Old Innovation Platform


Innovation in Trains

by Idris Mootee

I love trains. I remember how happy I was when my Dad bought me the first expensive German made Minitrix train set (I was about 8). I was fascinated for months by different freight and passenger trains and had the catalog under the pillow going bed every night dreaming about them. Whenever I see trains, I think about him even sadly he is not around anymore. It is funny how toys can have so much sentimental value.

Anyone know when the railroad was invented? It depends on how you look at it. The invention of the steam engine was critical to the invention of the modern railroad and trains. In 1803, a man named Samuel Homfray decided to fund the development of a steam-powered vehicle to replace the horse-drawn carts on the tramways (it is a performance-driven innovation).

Richard Trevithick (1771-1833) built that vehicle, the first steam engine tramway locomotive. On February 22, 1804, the locomotive hauled a load of 10 tons of iron, 70 men and five extra wagons the 9 miles between the ironworks at Pen-y-Darron in the town of Merthyr Tydfil (Wales) to the bottom of the valley called Abercynnon. It was a two hours trip and was a slow train. Then in 1821, an Englishman Julius Griffiths first patented a passenger road locomotive - another great British innovation!

Almost 20 decades later Warren Buffett sees the same opportunity and decided to invest heavily in railroad; he is paying US$44 billion for a 19th century innovation the railroad that moves things from one place to another. (I don't want to bet against him, given his track record, Its stock is up 84% over the past decade, while the S&P 500 is down by 18%). He is smart. Doesn't matter what innovation coming next, people still need to move goods around in the most energy (and cost) efficient means. At least before some one crack teleporting.

Why the railroad? It is not because of nostalgic reason that the train was one of his favorite childhood toys. I am sure that's not the reason. It is not toy money. "It's an all-in wager on the economic future of the United States. I love these bets," said Beffet "Railroads are among the most energy-efficient modes of mass transportation to date. And also due for a major upgrade". What is Mr. Buffet betting on? He is betting on three things:
  1. Oil pries will remain high. If oil prices regain its upward momentum, trains will be more productive then trucks in that environment when oil is king, rail is queen. His money can fuel a massive upgrade of the railroad with the most advanced innovative technologies.

  2. US economy will recover and that demand will resumes for transportation. According to Buffet: I basically believe this country will prosper and more people will be moving more goods 10, 20, 30 years from now and the rails will benefit."
  3. China economic progress will continue at a fast pace. Commodities fuel such as coal powers the economic engine of China (the factory to the world). US coal and goods are shipped via rail to Pacific ports and then shipped to China. Buffet believes China will further integrate with the US economy.



Idris MooteeIdris Mootee is the CEO of idea couture, a strategic innovation and experience design firm. He is the author of four books, tens of published articles, and a frequent speaker at business conferences and executive retreats.

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Wednesday, November 18, 2009

Are Facebook And Twitter Bad For Your Brain?

Are Twitter and Facebook bad for the brain?

Or Does It Actually Make You A Better Person?


by Idris Mootee

Here is an old vision of a high-tech future. It is old magazine illustration in 1969 a Japanese Sunday magazine, which show life in the future, pervaded by computers. This illustration "The Rise of the Computerized School," by Shigeru Komatsuzaki is an illustrated scenario of what schools will be like in the future. Sort of Webex type of online delivery and interactive learning via a tablet.

I always find it fascinating to go back to see the future, comics and movies are the best place to see the future. In those worlds, there are always concern of the computer taking over of the Big Brother is controlling everything. Funny I've never seen an illustration, comic of movie that have anything similar to the Facebook or Twitter of the world. I guess it is never easy imagining the future. There are things we simply cannot imagine. With kids and grown-ups spending so much time in the social networking world, we never really understand the full implications on us. Twitter is everywhere. And yes, Twitter is coming to the X-box.

Does Facebook make us better persons or more sociable? And the idea that our most of our private lives are now semi-public, at least to our friends. Everyone knows what I was doing this weekend, good thing or bad thing? With camera phone being a standard feature, with the tap of a screen your life story is now shared by tens of thousands of people, some you know and some you don't. Your thoughts and feelings are broadcasted to the world; I'm talking about the immediacy and accessibility of Twittermessages that make private conversations public. The space between public and private are dangerously blurred.

What about kids? Neuroscientist warns that social networks harm children's brains. He suggests that sites such as Facebook, Twitter and Bebo are said to shorten attention spans, encourage instant gratification and make young people more self-centered. The claims from neuroscientist Susan Greenfield will make disturbing reading for the millions whose social lives depend on the stream of messages coming in everyday. I don't think it is just young people, we all have Blackberry or iPhone addictions. I am always constantly my Blackberry just to see if I've missed anything from the 83 groups that I joined. I called it staying in touch.

Baroness Greenfield, an Oxford University neuroscientist and director of the Royal Institution, believes repeated exposure could effectively 'rewire' the brain. Computer games and fast-paced TV shows were also a factor, she said. We know how small babies need constant reassurance that they exist. My fear is that these technologies are infantilizing the brain into the state of small children who are attracted by buzzing noises and bright lights, who have a small attention span and who live for the moment. I don't buy it. I would argue it allows kids to adapt to the fast moving world of data overload and learn to make fast decisions based on multiple sources of data feeding to them. It is like training a fighter pilot when one is 16, it is a lot easier as they can handle all input and perform real-time sense-making.

Having said that, I strongly urge readers not to check your Facebook or Twitter during a bath. And if for whatever reasons you do, don't be like this 17-year-old Romanian girl and risk your well-being to Tweet. Maria Barbu was, in fact, in the tub while using Twitter when she likely reached to plug in her charger with a wet hand, electrocuting herself in the process. It is called Twittercide. Yes, social networking can be dangerous.



Idris MooteeIdris Mootee is the CEO of idea couture, a strategic innovation and experience design firm. He is the author of four books, tens of published articles, and a frequent speaker at business conferences and executive retreats.

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Wednesday, November 11, 2009

Twitter Devices and Business Model Design

Industrial Design, Busness Model Design And Design For Change


by Idris Mootee

Twitter and Business Model DesignI was chatting with some members of our design research team just yesterday next to the cooler the other day. We were talking about how the iPhone is such a bad phone and a great media player, and the Backberry is such a great email gadget but a terrible browser. The conclusion was that phones were not designed to handle the 'social' functions and so they are just add-ons. What does a true 'social' gadget looks like? I will ask our design team to come up with some crazy ideas and I'm sure our clients will love to see them.

As more and more people use Twitter or Facebook as their core communications vehicle, what are the best gadgets designed for that? Is there a gadget that lets them tweet, reply, retweet, send direct messages, and connect with followers easily?

Here comes the Twitter Peek which sells for $99 or $199 (with service plan). But, users can also view TwitPics by clicking the "view content" option from the Twitter Peek menu. If users choose to pay $99 at the time of purchase, they will get the Twitter Peek device and six months of Peek service. After that, they need to pay $7.95 per month for network access. If customers plunk down $199, they'll get the device and service for the life of the product. In either case, Twitter Peek allows for unlimited tweeting. It has one key limitation - it can only support one account at a time.

An important industrial design discipline that they teach in school - Do we design something for a singular or more important function or something that does everything?

The preference is to design something with a purpose in mind. Is the Twitter Peek really necessary in the marketplace? Or do we need a Facebook device?

Twitter Peek
The deep satisfaction of design is when you find an elegant solution to a problem that has, until now, had a hindering effect on our quality of life (or experience or environment). The function should be super obvious - a straightforward solution to a meaningful problem. But, it is not that simple.

Industrial design is understood to be a part of engineering design, or as running parallel to engineering design (and increasingly interface design). However, when industrial design activity is engaged in the more aesthetic or style concerns of a product, it can be understood as running parallel with marketing and brand activity. And when industrial design is engaged and running parallel with business strategy activity, it becomes a very different game.

There is not a right or wrong or simple answer here, there is a lot of room for ambiguity and misunderstanding and many designers are confused about design themselves.

Many designers love to talk business model design, but I'm not sure how many are qualified to discuss this subject. My experience is that even among MBAs that I have hired, anyone with less than ten years of solid experience doesn't understand the real implications of these business model discussions.

My response to them is:


"How exactly do you change a business model without understanding the industrial and distribution economics and the individual players' competitive dynamics? There is always game theory at play in these moves."


One interesting thought is that traditional industrial designers came into being as mass production raised output and producers wanted to match market demand. This is still true, but not entirely the case. If industrial design comes within a marketing function and marketers buy the creative services of an industrial design consultant on an occasional basis for a special project, this is quite different than if industrial design is a part of the manufacturing function. And if industrial design comes within a strategy firm and executives buy the innovative services of a firm that has strategy + design capabilities (like Idea Couture), then it is part of the corporate strategy undertaking. That's design thinking in action, not design talking. Am I confusing you?



Idris MooteeIdris Mootee is the CEO of idea couture, a strategic innovation and experience design firm. He is the author of four books, tens of published articles, and a frequent speaker at business conferences and executive retreats.

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Wednesday, November 04, 2009

When Wal-Mart Enters the Funeral Business

The Funeral Business is About to Change



Wal-mart Funeral Business
by Idris Mootee

Will Amazon.com Follow? What's The Latest Innovation In The Funeral Business?

Some survey stated that the average person's greatest fear is having to give a speech in public. That's not it for me, but I am sure it is for many. I remember one guy telling a story about how he when he was put on stage in front of 800 people, the dead silence was like death itself. Giving a speech in public ranked higher in the survey than death (third on the list). So, you're telling me that at a funeral, most people would rather be the guy in the coffin than have to stand up and give a eulogy?

The first baby boomers are entering their mid-60s, and the death rate in the U.S. is expected to rise from 8.1 people per thousand in 2006 to 9.3 in 2020 (according to the National Center for Health Statistics). Yet the traditional funeral industry is hardly healthy: The Federated Funeral Directors of America, an accounting firm for independently owned funeral homes, found that in the past 20 years, its clients' profit margins have been cut nearly in half. Some 44% of funeral home directors, up from 28% in 2006, blame the increasing popularity of cremations and alternative burials for sinking profits. Some funeral homes have responded by more innovation such as themed funerals, from backyard barbecues to mini concerts.

The $11 Billion industry is forced to innovate when Wal-mart enters the business. Wal-mart has started selling coffins online at prices that undercut many funeral homes. People can choose from fourteen different models, from the $895 "Dad Remembered" steel model, to the exclusive "Sienna Bronze" model for $2,899. Why did Wal-mart decide to enter the coffin market?

Well, in fact this is a response to Costco's move to sell coffins online (not in bulk thank God) with delivery within twenty-four hours. I guess people don't want to wait for this category. I think it is a good idea. The funeral home industry is overcharging and often people don't know what these things should cost. With Wal-mart you need only to pay $1,000 versus three or four times more through a funeral home.

The funeral homes industry has reason to be concerned. I am sure their argument is these funeral homes can provide full service (like gas station) and ability to provide comfort and empathy, but it comes at a price. If it works for Wal-mart, the next one to join would be Target. They would invite Stella McCartney or Phillipe Starke to design caskets that costs just a little more, but with a lot more style. Amazon.com will follow with online customization that you can pick your favorite patterns or engraved your family crest on it. And for those creative types who are big thing art lovers, forget the traditional wooden box, you want something very special. A company called Crazy Coffins can pretty much order any design you want. There isn't a lot they can't make. The bespoke coffins are made by two carpenters and costs between $3,000 and $10,000.

And when you decide to spend more on a coffin, may be you should consider an upgrade to Louis Vuitton or Karl Lagerfeld. And for those die hard rock fans, they used to sell a KISS goodbye with the "Kiss Kasket". It is decorated with the logo and pictures of the band members; plus: it is waterproof. The Kiss Kasket went on sale in 2001 until 2006 and now it's no longer available from Kiss' website. I'd like to see a Beatles one.



Idris MooteeIdris Mootee is the CEO of idea couture, a strategic innovation and experience design firm. He is the author of four books, tens of published articles, and a frequent speaker at business conferences and executive retreats.

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