apple's one-page customer plan: how steve jobs/apple dream up and execute magical ideas that...

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APPLE’S ONE-PAGE CUSTOMER PLAN: Customer Ecosystem Innovation Dream Up and Execute Magical Ideas That Positively Change the World Copyright 2012. Dr. Rod King. [email protected] & http://businessmodels.ning.com & http://twitter.com/RodKuhnKing DREAM/ VISION: Ideal Final Result (IFR) Requirements for Insanely Great Customer Experience FRACTAL ECOSYSTEM: An Ecosystem of (Product/Service) Ecosystems Past: PC Desktop Present (2001) - Laptop/Network/Internet Future Digital Hub Lifestyle

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On August 20, 2012 Apple became the most valuable company in the world with a market capitalization of $623.5 billion. Contrast this with the late 1990s when Apple went nearly bankrupt. How did Apple manage to move from the near death experience of bankruptcy to an insanely great experience of being the most valuable company on earth? No doubt, the answer largely lies with the late Steve Jobs and the Apple team that he put in place. But how did Steve Jobs/Apple (team) dream up and execute the insanely great ideas that positively changed our world? This presentation tells uses the lens of the One-Page Customer Plan to tell you how. The visual framework and tools of the One-Page Customer Plan helps individuals and organizations to dream up and execute magical ideas that positively change the world. If you want to make a large and positive difference in the world, use the One-Page Customer Plan.

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Page 1: Apple's ONE-PAGE CUSTOMER PLAN: How Steve Jobs/Apple Dream Up and Execute Magical Ideas That Positively Change the World

ITENN

APPLE’S ONE-PAGE CUSTOMER PLAN: Customer Ecosystem Innovation

Dream Up and Execute Magical Ideas That Positively Change the World

Copyright 2012. Dr. Rod King. [email protected] & http://businessmodels.ning.com & http://twitter.com/RodKuhnKing

DREAM/ VISION:

Ideal Final Result (IFR)

Requirements for

Insanely Great Customer

Experience

FRACTAL ECOSYSTEM: An Ecosystem of (Product/Service) Ecosystems

Past: PC Desktop Present (2001) - Laptop/Network/Internet Future – Digital Hub Lifestyle

Page 2: Apple's ONE-PAGE CUSTOMER PLAN: How Steve Jobs/Apple Dream Up and Execute Magical Ideas That Positively Change the World

ITENN

Template for ONE-PAGE CUSTOMER PLAN: Overview

CUSTOMER/CLIENT: ………………………………………………………………………………… Date:……………………………………

PROBLEM/GOAL/NEED/JOB: ………………………………………………………………………………………………………………………

Copyright 2012. Dr. Rod King. [email protected] & http://businessmodels.ning.com & http://twitter.com/RodKuhnKing

Past Present Future

DREAM/ VISION:

Ideal Final Result (IFR)

Requirements for

Insanely Great Customer

Experience

FRACTAL ECOSYSTEM: An Ecosystem of (Product/Service) Ecosystems

Page 3: Apple's ONE-PAGE CUSTOMER PLAN: How Steve Jobs/Apple Dream Up and Execute Magical Ideas That Positively Change the World

STEVE JOBS’ LAW FOR CUSTOMER ECOSYSTEM INNOVATION

Dream Up and Execute Magical Ideas That Positively Change the World

Start with The Ideal Final Result (IFR) for

The Customer Experience And

Work Backwards To The Design of

The Products/Services As Well As Customer and Business Ecosystems

Paraphrased from a Steve Jobs’ Quote

Copyright 2012. Dr. Rod King. [email protected] & http://businessmodels.ning.com & http://twitter.com/RodKuhnKing

Page 4: Apple's ONE-PAGE CUSTOMER PLAN: How Steve Jobs/Apple Dream Up and Execute Magical Ideas That Positively Change the World

IDEAL FINAL RESULT (IFR): Definition, Requirements, and Features

Dream Up and Execute Magical Ideas That Positively Change the World

Copyright 2012. Dr. Rod King. [email protected] & http://businessmodels.ning.com & http://twitter.com/RodKuhnKing

An “Ideal Final Result (IFR)” Is

An Object, Ecosystem, or a System That

Completely Resolves Customer Trade-offs Has Auto-Functionality, Almost Perfect Quality, and Versatility Is Weightless; Occupies Zero Space; Is Invisible Uses Internal Resources to Resolve Trade-offs in Zero Time Is Completely Interactive and Personalizable Delivers Insanely Great Customer Experience on Demand Has Almost Infinite Delight (Benefit; Useful Effect) Has Almost Zero Pain (Cost; Harmful Effect); Is Free

Page 5: Apple's ONE-PAGE CUSTOMER PLAN: How Steve Jobs/Apple Dream Up and Execute Magical Ideas That Positively Change the World

A P

Steve Jobs Focused On Answering

The Two Customer Greatness Questions

For Creating Insanely Great Customer Experiences:

1. Who is the most valuable customer in the present and future ecosystem? 2. How to viably create an insanely great

customer experience or a zero trade-off?

THE 2 CUSTOMER GREATNESS QUESTIONS

Basic Secret for Dreaming Up and Executing Magical Ideas That Positively Change the World

Copyright 2012. Dr. Rod King. [email protected] & http://businessmodels.ning.com & http://twitter.com/RodKuhnKing

Page 6: Apple's ONE-PAGE CUSTOMER PLAN: How Steve Jobs/Apple Dream Up and Execute Magical Ideas That Positively Change the World

a

ENTERPRISE Ecosystem (Product/Solution/Tool) HOW TO VIABLY CREATE AN INSANELY GREAT CUSTOMER EXPERIENCE (IGCE) OR A ZERO TRADE-OFF?

CUSTOMER Ecosystem (Market/Problem/Job) WHO IS THE MOST VALUABLE CUSTOMER (MVC) IN THE PRESENT AND FUTURE ECO- SYSTEM?

THE 2 CUSTOMER GREATNESS QUESTIONS

Hypotheses vs. Reality

Copyright 2012. Dr. Rod King. [email protected] & http://businessmodels.ning.com & http://twitter.com/RodKuhnKing

THE 2 CUSTOMER GREATNESS QUESTIONS: Visual Worksheet

CUSTOMER/CLIENT: ………………………………………………………………………………… Date:……………………………………

PROBLEM/GOAL/NEED/JOB: ………………………………………………………………………………………………………………………

Page 7: Apple's ONE-PAGE CUSTOMER PLAN: How Steve Jobs/Apple Dream Up and Execute Magical Ideas That Positively Change the World

Disruption Spot

Luxury Spot

Strategic Choice

Sweet Spot Model

Blue Ocean (Value Innovation)

Model

Luxury Spot (Differentiated/

Sustaining-[R]evolutionary)

Model

Disruption Spot/Lean (Disruptive Innovation)

Model

Copyright 2012. Dr. Rod King. [email protected] & http://businessmodels.ning.com & http://twitter.com/RodKuhnKing

Market Segment (Customer Job/Crisis/Goal): ………………….……..……………….………… ………………………………………………………………………………………..…………….………….………….

ASPIRATION MAP: Template for Documenting & Evaluating Customer Experience

Customer Ecosystem and Business Model Archetypes for Trade-off of Pain vs. Delight

Volcano Model

Green Ocean Model

Red Ocean Model

No-Man’s-Island Model

Oasis (‘Stuck-in-the-middle’)

Model

(-): PAIN

(Cost)

(+): DELIGHT

(Benefit/Revenue)

Insanely Great Experience Ideal Final Result (IFR) Infinite Shared Greatness

Key High Level of Customer Experience Low Level of Customer Experience

6 10 3

6

10

3

Page 8: Apple's ONE-PAGE CUSTOMER PLAN: How Steve Jobs/Apple Dream Up and Execute Magical Ideas That Positively Change the World

CUSTOMIZATION Customization; Personalization Interactivity/Immersion/Control Entertainment; Fun; Fascination Interface; Desired Shape

INACCESSIBILITY Inaccessibility; Inconvenience Unavailability; Inflexibility; Rigidity Friction; Noise; Temperature Unscalability

PERFORMANCE/REVENUE Functionality; Useful Effect Performance/Effectiveness/Rev. Strength; Speed; Illumination; Adaptability; Automation; Ubiquity

COST (PRICE) Cost; Price; Quantity; Labor; Tool Weight; Mass; Material; Density Size; Volume; Length; Area; Defect Energy; Effort; Stress; Equipment PROCESS TIME/DELAY Process Time; Delay; Duration Age; Inactivity; Immobility Lifecycle Disposability

BRANDING Ergonomics; Beauty; Design Color/Visual; Multi-sensory Power; Prestige; Fascination Recognition; Loyalty

CUSTOMER EXPERIENCE

REQUIREMENTS

- Delight - Pain

COMPLEXITY Complexity; Info; Difficulty Support; Training; Repair Range; Inventory Risk; Harmful Effect; Pollution

QUALITY Quality; Durability Reliability; Stability; Safety Accuracy; Precision Efficiency; Productivity; Speed

ELEMENTS AND DESCRIPTIONS OF CUSTOMER EXPERIENCE REQUIREMENTS

Dream Up and Execute Magical Ideas That Positively Change the World

Copyright 2012. Dr. Rod King. [email protected] & http://businessmodels.ning.com & http://twitter.com/RodKuhnKing

Page 9: Apple's ONE-PAGE CUSTOMER PLAN: How Steve Jobs/Apple Dream Up and Execute Magical Ideas That Positively Change the World

Copyright 2012. Dr. Rod King. [email protected] & http://businessmodels.ning.com & http://twitter.com/RodKuhnKing

ONE-PAGE CUSTOMER PLAN: …………..………………………………………… (Ecosystem/Industry/Theme/Tool) Client/Customer (Segment/Persona): …………..……………………..……………………………………………………………..…… PROBLEM/NEED/GOAL/JOB: ………………….…………………………………………………. Date: …………..……………………

CONSTRAINTS: (What are constraints/obstacles/barriers/problems that prevent full realization of future system/vision/ dream/Ideal Final Result (IFR)?

DREAM/ VISION/ Ideal Final Result (IFR): Value (+/-)

PRESENT SYSTEM/EXPERIENCE (Where currently are we?)

VALUE TRANSFORMATION TOOL - Evolve, Explore, or Disrupt: What if … we

(Eliminate/Reduce/Increase/Create)

FUTURE SYSTEM/EXPERIENCE (Where must we go?)

Short/Medium/Long-term

Zooming

Page 10: Apple's ONE-PAGE CUSTOMER PLAN: How Steve Jobs/Apple Dream Up and Execute Magical Ideas That Positively Change the World

Copyright 2012. Dr. Rod King. [email protected] & http://businessmodels.ning.com & http://twitter.com/RodKuhnKing

ONE-PAGE CUSTOMER PLAN For Improving Customer Experience: Digital Music ECOSYSTEM Client/Customer (Segment/Persona): High end Technologist-Artist (Luxury Spot) PROBLEM/NEED/GOAL/JOB: Reinvent the ecosystem of digital music players Date: 2001

CONSTRAINTS: (What are constraints/obstacles/barriers/problems that prevent full realization of future system/vision/ dream/Ideal Final Result (IFR)?

DREAM/ VISION/ Ideal Final Result (IFR): Value (+/-)

PRESENT SYSTEM/EXPERIENCE (Where currently are we?)

PRODUCT

VALUE TRANSFORMATION TOOL - Evolve, Explore, or Disrupt: What if … we

(Eliminate/Reduce/Increase/Create)

FUTURE SYSTEM/EXPERIENCE (Where must we go?)

Short/Medium/Long-term

Big/Clunky/Ugly/Difficult-to-use/… CD Players Flash Players MP3-CD Players Hard Drive Jukebox Players Illegal music download from Internet

What if … we DISRUPT: Eliminate: • Usual control buttons; On-off switch; Traditional gray/black color Reduce: • Size/thickness; Weight; Complexity in usage; Learning curve; Manual Increase: • Price; Simplicity of use; Battery life; Storage capacity; Functions/Form/Design Create: • LCD Screen; Packaging; Scroll wheel; Fast download; Disruption/Unique Ads

• Seamless music experience • Thousand songs in your pocket Cool design/form/useability Simple and easy to use Ultra-portable; Ultra-light Enough skip protection Long battery life “Cool” & disruptive ads (on TV) Fast and legal music download

TRADITIONAL DIGITAL MUSIC PLAYERS

CLASSIC IPOD

Zooming

Page 11: Apple's ONE-PAGE CUSTOMER PLAN: How Steve Jobs/Apple Dream Up and Execute Magical Ideas That Positively Change the World

Copyright 2012. Dr. Rod King. [email protected] & http://businessmodels.ning.com & http://twitter.com/RodKuhnKing

ONE-PAGE CUSTOMER PLAN For Improving Customer Experience: Business Ecosystem Client/Customer (Segment/Persona): ………………………………….…………………………………………………………………… PROBLEM/NEED/GOAL/JOB: ………………………………………………………………………….. Date: ………………………..

CONSTRAINTS: (What are constraints/obstacles/barriers/problems that prevent full realization of future system/vision/ dream/Ideal Final Result (IFR)?

DREAM/ VISION/ Ideal Final Result (IFR): Value (+/-)

PRESENT ECOSYSTEM (Where currently are we?)

“SEMPORCES” Chain

VALUE TRANSFORMATION TOOL - Evolve, Explore, or Disrupt: What if … we

(Eliminate/Reduce/Increase/Create)

FUTURE ECOSYSTEM (Where must we go?)

Short/Medium/Long-term

S – Suppliers/Inputs/Partners S – Suppliers/Inputs/Partners

E – Employees/Culture/Brand/IP E – Employees/Culture/Brand/IP

M – Machinery/Techn/Tool/Infra M – Machinery/Techn/Tool/Infra

P – Process/Strategy/Job To Be Done P – Process/Strategy/Job

O – Output (Product/Service) O – Output (Product/Service)

R – Retailers/Distributors/Channels R – Retailers/Distributors/Channels

C – Customers/Consumers C – Customers/Consumers

E – Environment (Global) E – Environment (Global)

S – Shared Dream/Mission/Result S – Shared Dream/Mission/Result

Zooming

Page 12: Apple's ONE-PAGE CUSTOMER PLAN: How Steve Jobs/Apple Dream Up and Execute Magical Ideas That Positively Change the World

Copyright 2012. Dr. Rod King. [email protected] & http://businessmodels.ning.com & http://twitter.com/RodKuhnKing

ONE-PAGE CUSTOMER PLAN For Improving Customer Experience: Customer Ecosystem Client/Customer (Segment/Persona): ………………………………….…………………………………………………………………… PROBLEM/NEED/GOAL/JOB: ………………………………………………………………………….. Date: ………………………..

CONSTRAINTS: (What are constraints/obstacles/barriers/problems that prevent full realization of future system/vision/ dream/Ideal Final Result (IFR)?

DREAM/ VISION/ Ideal Final Result (IFR): Value (+/-)

PRESENT ECOSYSTEM (Where currently are we?)

“SEMPORCES” Chain

VALUE TRANSFORMATION TOOL - Evolve, Explore, or Disrupt: What if … we

(Eliminate/Reduce/Increase/Create)

FUTURE ECOSYSTEM (Where must we go?)

Short/Medium/Long-term

S – Suppliers/Inputs/Partners S – Suppliers/Inputs/Partners

E – Employees/Culture/Brand/IP E – Employees/Culture/Brand/IP

M – Machinery/Techn/Tool/Infra M – Machinery/Techn/Tool/Infra

P – Process/Strategy/Job To Be Done P – Process/Strategy/Job

O – Output (Product/Service) O – Output (Product/Service)

R – Retailers/Distributors/Channels R – Retailers/Distributors/Channels

C – Customers/Consumers C – Customers/Consumers

E – Environment (Global) E – Environment (Global)

S – Shared Dream/Mission/Result S – Shared Dream/Mission/Result

Zooming

Page 13: Apple's ONE-PAGE CUSTOMER PLAN: How Steve Jobs/Apple Dream Up and Execute Magical Ideas That Positively Change the World

PERIODIC TABLE AND JIGSAW PUZZLE FOR MAPPING AN ECOSYSTEM

Tools, Theories, and Methodologies for Product/Service, Business Model, and Customer Ecosystem Innovation

S E M P O R C E S Suppliers/ Inputs

Employees/ Culture/ Brand/IP

Machinery/ Technology/ Infra’

Processes/ Strategies

Output: Product/ Service

Retailers/ Distributors/ Channels

Customers/ Consumers (Problems/Job)

Environ-ment

Shared Greatn./ Impact

Partners (Suppliers/Materials/ Info/Energy)

Key Resources Activities (Processes)

Internal Value Proposition (Solution)

Customer Relationship Management

Industry/ Trends

SHARED VALUE/ PROFIT (Pain: - Delight: +

CAPABILITIES: CORE COMPETENCIES LOCAL ENVIRONMENT (Demand)

GLOBAL ENV.

ENTERPRISE (SYSTEM/VALUE CHAIN/Supply: Inside the Enterprise)

Design

Needs

Aspiratns

EXTENDED ENTERPRISE

(SUB-ECOSYSTEM; INDUSTRY/SUPPLY CHAIN)

GLOBAL COMPETI-TIVE FORCES

COMPE-TITIVE ADVAN-TAGE

INPUT PROCESSING OUTPUT EXTERNAL ENVIRONMENT RESULT (Impacts/ Effects) SUPERSYSTEM (Cause)

ECOSYSTEM

D N A

Copyright 2012. Dr. Rod King. [email protected] & http://businessmodels.ning.com & http://twitter.com/RodKuhnKing

Page 14: Apple's ONE-PAGE CUSTOMER PLAN: How Steve Jobs/Apple Dream Up and Execute Magical Ideas That Positively Change the World

Copyright 2012. Dr. Rod King. [email protected] & http://businessmodels.ning.com & http://twitter.com/RodKuhnKing

ONE-PAGE CUSTOMER PLAN: Complete Overview

Dream Up and Execute Magical Ideas That Positively Change the World

Design

Needs

Asp.

Suppliers/ Inputs/ Partners

Employees/ Culture/ Brand/IP

Machinery/ Technol./ Infra’

Process/ Strategy

Output (Product/ Service)

Retailers/ Channels/ Distributors

Customers/ Customer Rel. Management

Environ-ment: Global

Shared Greatness (Profit)

D A N

IDEALS/DREAMS/ VISION/VALUE/PROFIT

S M E P R C E O S

PAST Customer Ecosystem

PRESENT Customer Ecosystem

FUTURE Customer Ecosystem

Page 15: Apple's ONE-PAGE CUSTOMER PLAN: How Steve Jobs/Apple Dream Up and Execute Magical Ideas That Positively Change the World

Infant (Experimental/Startup)

CUSTOMER ECOSYSTEM

Growing (Scalable)

CUSTOMER ECOSYSTEM

Matured (“Red Ocean”)

CUSTOMER ECOSYSTEM

Tipping Point; Chasm

Fault line

LIFECYCLE OF A CUSTOMER ECOSYSTEM (BUSINESS MODEL)

4 Stages or Acts in the Evolution of a Customer Ecosystem or Business Model (Living Organism)

Customer Validation “Cleft” (Environmental Fitness)

Copyright 2012. Dr. Rod King. [email protected] & http://businessmodels.ning.com & http://twitter.com/RodKuhnKing

Declining (Dying)

CUSTOMER ECOSYSTEM

Customer Idea (“Egg”; DNA; Genetic Code)

ENVIRONMENT (Shared Dream/Vision/Value/(Result: -/+)

DREAMS/ IDEALS/ GREATNESS Mission/ Vision

Page 16: Apple's ONE-PAGE CUSTOMER PLAN: How Steve Jobs/Apple Dream Up and Execute Magical Ideas That Positively Change the World

Tipping Point; Chasm

Fault line

EVOLUTION OF MOST VALUABLE CUSTOMERS (MVC)

Customer Segments for 4 Stages in the Evolution of a Customer Ecosystem or Business Model

Customer Validation “Cleft” (Environmental Fitness)

Copyright 2012. Dr. Rod King. [email protected] & http://businessmodels.ning.com & http://twitter.com/RodKuhnKing

Visionaries

(Delighted by Novel Functionality and “Cool” Uses)

Regular Users

(Delighted by Better Quality, Performance, and Cost as well as

Accessibility and Simplicity)

Upgraders

(Delighted by Customized Improvements, Brand, Extensions and Total Solutions)

Retirees (Dissatisfiers: Overserved/Underserved)

Leads/Prospects (Non-customers) - Low/High-end Dissatisfiers from Competitors - Early Evangelists/Adopters

DREAMS/ IDEALS/ GREATNESS Mission/ Vision

ENVIRONMENT (Shared Dream/Vision/Value/(Result: -/+)

Page 17: Apple's ONE-PAGE CUSTOMER PLAN: How Steve Jobs/Apple Dream Up and Execute Magical Ideas That Positively Change the World

APPLE’S CUSTOMER ECOSYSTEM INNOVATION

How World-class Innovators Dream Up and Execute Magical Ideas That Positively Change the World

Customer Planning Questions: Where currently are we/they? Where must we/they go? How should we/they get there? What are constraints?

TIME

(Arrow of Time: Past/Present/Future)

Journey, Invisible Hand, or Fractal S-Wave of Innovation for Ecosystem (Supersystem/Economy/Value Network/Supply Chain/Market/ Industry Trends, Expectations, or Demand)

1st Wavelet of Innovation: VALUE CHAIN (PRODUCT/SERVICE/ENTERPRISE) Innovation (Value Chain/Product: Functionality, Quality, Simplicity, Differentiation, and/or Cost-focus) Examples: Personal Computer; Printer – Apple I; Apple II; MacIntosh; iMac; Apple TV

2nd Wavelet of Innovation: BUSINESS MODEL Innovation (Business Model/Marketing Engine: Scalable Revenue & Profit-focus) Examples: Internet Software – iTunes; eStore; App Store

Copyright 2012. Dr. Rod King. [email protected] & http://businessmodels.ning.com & http://twitter.com/RodKuhnKing

3rd Wavelet of Innovation: CUSTOMER ECOSYSTEM Innovation (Ecosystem/Industry/Platform: Shared Value-focus) Examples: Digital Lifestyle - iPod; iPod Touch; iPhone; iPad

EXPERIENCE: Shared Happiness (Experience = Happiness = Value = +/- = Delight/Pain ~ Revenue/Cost = Differentn/Cost = 1/Trade-off)

Birth

Maturity

Growth

Customer Segment/Persona: …………………………………………...…………… Customer Goal/Job To Be Done/Tool: …………….……………………………………….….

Page 18: Apple's ONE-PAGE CUSTOMER PLAN: How Steve Jobs/Apple Dream Up and Execute Magical Ideas That Positively Change the World

ONE-PAGE MBA FOR CUSTOMER ECOSYSTEM INNOVATORS

How World-class Innovators Dream Up and Execute Magical Ideas That Positively Change the World

Customer Planning Questions: Where currently are we/they? Where must we/they go? How should we/they get there? What are constraints?

TIME

(Arrow of Time: Past/Present/Future)

Journey, Invisible Hand, or Fractal S-Wave of Innovation for Ecosystem (Supersystem/Economy/Value Network/Supply Chain/Market/ Industry Trends, Expectations, or Demand)

1st Wavelet of Innovation: VALUE CHAIN (PRODUCT/SERVICE/ENTERPRISE) Innovation (Value Chain/Product: Functionality, Quality, Simplicity, Differentiation, and/or Cost-focus) Examples: IBM (Computers); Xerox; Motorola; RIM (Smartphone); Borders; Segway

2nd Wavelet of Innovation: BUSINESS MODEL Innovation (Business Model/Marketing Engine: Scalable Revenue & Profit-focus) Examples: Dell; Netflix; Cirque du Soleil; IKEA; Nintendo (Wii); Southwest Airlines; ZipCar; Ford/GM/Chrysler/Toyota; Samsung

Copyright 2012. Dr. Rod King. [email protected] & http://businessmodels.ning.com & http://twitter.com/RodKuhnKing

3rd Wavelet of Innovation: CUSTOMER ECOSYSTEM Innovation (Ecosystem/Industry/Platform: Shared Value-focus) Examples: Apple; Wal-Mart; Microsoft; Cisco; eBay; Amazon; Google; Facebook; GE; P & G; IBM (Services)

EXPERIENCE: Shared Happiness (Experience = Happiness = Value = +/- = Delight/Pain ~ Revenue/Cost = Differentn/Cost = 1/Trade-off)

Birth

Maturity

Growth

Customer Segment/Persona: …………………………………………...…………… Customer Goal/Job To Be Done/Tool: …………….……………………………………….….