What Customers Want: Using Outcome-Driven Innovation to Create Breakthrough Products and Services Using Outcome-Driven Innovation to Create Breakthrough Products and Services

by Ulwick, Anthony

• ISBN13: 9780071408677
• ISBN10: 0071408673
• Edition: 1st
• Format: Hardcover
• Copyright: 2005-09-06
• Publisher: McGraw Hill

Summary

A world-renowned innovation guru explains practices that result in breakthrough innovations Twenty years into the customer-driven innovation movement, breakthroughs are rare and these failures cost Fortune 1000 companies between $50 million and $800 million each year.Growing out of Anthony Ulwick's revolutionary Harvard Business Review article and featured in Clayton Christensen's new bestseller, The Innovator's Solution, What Customers Want describes a groundbreaking approach that improves on the conventional methods for product and service innovation.

Author Biography

Anthony Ulwick (Lantana, FL) and his innovation practices were recognized by HBR editors as some of the best business ideas of 2002. Through his company, Strategyn, Ulwick has implemented his innovation approach at organizations such as Microsoft, Hewlett-Packard, and Pfizer.

Table of Contents

Acknowledgments	xi
Introduction: Moving Beyond the Customer-Driven Paradigm	xiii
Chapter 1 Formulating the Innovation Strategy: Who Is the Target of Value Creation and How Should It Be Achieved?	1	(14)
What Types of Innovation Are Possible?	2	(4)
What Growth Options Should Be Considered?	6	(3)
Where in the Value Chain Should We Focus to Maximize Value Creation?	9	(4)
How Do We Handle Multiple Constituents with Potentially Conflicting Outcomes?	13	(2)
Chapter 2 Capturing Customer Inputs: Silence the "Voice of the Customer"—Let's Talk Jobs, Outcomes, and Constraints	15	(24)
Why Should Companies Gather Customer Requirements?	16	(1)
What Three Issues Plague the Requirements-Gathering Process?	17	(2)
What Types of Data Do Companies Commonly Collect from Customers?	19	(4)
What Customer Inputs Are Needed to Master the Innovation Process?	23	(9)
What Methods Should Companies Use to Obtain the Necessary Information?	32	(3)
How Do You Know Which of the Three Types of Inputs You Should Capture?	35	(4)
Chapter 3 Identifying Opportunities: Discovering Where the Market Is Underserved and Overserved	39	(22)
What Is an Opportunity?	40	(1)
What Three Common Mistakes Are Made in Prioritizing Opportunities?	41	(3)
How Should Companies Prioritize Opportunities?	44	(4)
How Do You Identify Underserved and Overserved Markets?	48	(4)
How Does Value Migrate Over Time?	52	(2)
What Implications Does the Outcome-Driven Paradigm Have for Competitive Analysis?	54	(7)
Chapter 4 Segmenting the Market: Using Outcome-Driven Segmentation to Discover Segments of Opportunity	61	(22)
What Is the Purpose of Segmentation?	62	(1)
How Has the Practice of Segmentation Evolved?	63	(3)
Why Are Traditional Segmentation Methods Ineffective for Purposes of Innovation?	66	(2)
What Is Different About Outcome-Based Segmentation?	68	(1)
How Is Outcome-Based Segmentation Performed?	69	(5)
How Does Outcome-Based Segmentation Address Development and Marketing Challenges?	74	(6)
How Is Job-Based Segmentation Different, and When Should it Be Used?	80	(3)
Chapter 5 Targeting Opportunities for Growth: Deciding Where to Focus the Value Creation Effort	83	(16)
What Is Different About Targeting for Innovation?	84	(1)
What Types of Broad-Market Opportunities Are Likely to Be Attractive?	85	(5)
What Segment-Specific Targeting Strategies Are Effective?	90	(4)
How Does a Targeting Strategy Result in a Unique and Valued Competitive Position?	94	(1)
Why Do Companies Fail to Target Key Opportunities?	95	(4)
Chapter 6 Positioning Current Products: Connecting Opportunities with Valued Product Features	99	(20)
Why Does Messaging Often Fail to Tout a Product's True Value?	101	(2)
What Are the Prerequisites for an Effective Messaging Strategy?	103	(4)
What Messaging Will Be Most Effective?	107	(2)
Should a Company Message Along an Emotional or Functional Dimension?	109	(5)
How Does the Sales Force Have Immediate Impact on Revenue Generation?	114	(1)
What Is the Advantage of an Outcome-Based Brand?	115	(4)
Chapter 7 Prioritizing Projects in the Development Pipeline: Separating the Winners from the Losers	119	(18)
What Issues Do Companies Face When Prioritizing Projects?	120	(3)
What Method Is Used to Identify the Winners and the Losers?	123	(5)
Which Efforts Should Get Top Priority?	128	(5)
What Other Factors Affect Project Prioritization?	133	(4)
Chapter 8 Devising Breakthrough Concepts: Using Focused Brainstorming and the Customer Scorecard to Create Customer Value	137	(30)
Why Does Traditional Brainstorming Often Fail to Produce Breakthrough Ideas?	139	(1)
How Are Breakthrough Concepts Successfully Generated?	140	(3)
What Are the Mechanics Behind Focused Brainstorming?	143	(4)
Why Do Traditional Concept-Evaluation Methods Fail?	147	(4)
How Is the Customer Scorecard Used to Evaluate Product and Service Concepts?	151	(3)
How Are These Methods Applied in Practice?	154	(9)
What Is the Role of R&D in the Innovation Process?	163	(4)
Epilogue: Tactical Tips for Managers	167	(10)
Glossary	177	(12)
Bibliography	189	(2)
Index	191