Design Thinking and Innovation at Apple
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Apple was founded in 1976 with the goal of creating computers that were easy for individuals to use. Through design thinking and a focus on simplicity, Apple aimed to make computers people fell in love with. After Steve Jobs returned in 1997, he renewed Apple's focus on excellence in product execution, platform strategy, customer involvement, and beautiful design. Jobs played a key role as the chief innovator through his hands-on product design and dramatic product launches. Apple has achieved ongoing success by boldly experimenting while staying true to Jobs' vision of elegant solutions.
Design Thinking and Innovation at Apple
- 1. Design Thinking and Innovation at Apple -Manas Ranjan Tripathy MBA International Business
- 2. Apple • During 1970’s, computers were used by Governments or Large Companies and were mostly handled by specialists • The notion that computers can be used for individual use was unimaginable • Apple Computer, Inc was founded in 1976 by Steve Jobs, Steve Wozniak and Robert Wayne with a goal to create computers that supported and fostered individual work • Their aim was to reduce complexity to make potential customers fall in love with the computer
- 3. Design Thinking • Design Thinking is a solution-oriented method used by designers to solve complex problems, and find desirable solutions for clients
- 4. Apple’s Aim To create computers for individual use Make computers simple to use Make people fall in love with their products
- 5. Apple’s Approach • Simplicity in Design and Use: Figure out the needs of people Achieve it technically through creativity and innovation Take care of smallest details No compromise on functionality “Simplicity is the ultimate sophistication” E.g.- The simple iPod design had unreplicated success • Beyond Fashion: Create product that can express itself on the outside as well Tap into popular and fashionable trends E.g.- G4 Cube
- 6. Apple Timeline • 1976- Founded • 1978- Apple II • 1984- Macintosh Ad (Superbowl) • 1985- Steve Jobs Axed from Operations Role • 1985-1997- Varied Regimes (Dwindling Profits) • 1997- Steve Jobs Returns • 1998- IMac debut Apple II 1984 Superbowl Ad IMac
- 7. Product Development Strategy and Execution • Early Years: Products developed from scratch and had unique hardware with proprietary OS Apple’s market share fell after IBM entered the PC Market and Steve Jobs was axed • During 1985-1997: Constant change in strategy due to change in regime On account of competition from IBM-cloned devices, company was not able to decide which products to develop and produce Debates on licensing Mac OS and entering unknown segments like the Business Market (dominated by Windows and Intel) Some success like the PowerBook (1990) Many failures like the Newton PDA Approaches resembling other companies were seen Complexity and confusion increased for Apple and its Customers (Too many products developed)
- 8. Product Development Strategy and Execution (After Jobs Return) Excellence in Execution Immediately after return Licensing Program was stopped, 70% of New Projects were scrapped, manufacturing was moved abroad and a website was launched for direct sales Quest for “Insanely Great Products” resumes Tim Cook assigned to clean up manufacturing and distribution Platform Strategy Create a Platform or Architecture that can accommodate development and production of derivative products (Both H/W and S/W) Shared or Reuse of Assemblies High Efficiency, Lower Costs, Simplicity Benefits to Apple, its Suppliers and its Customers Customer Involvement Design based on Users needs and Desires Participatory Design More User Testing creates smoother software Cut-Paste and editable Dialog Box were innovations which cropped up due to Customer involvement Beautiful Products Passion and close attention to new materials and manufacturing techniques to continuously create beautiful products After making the successful ‘pristine white iPod’, they went on to create colorful iPods using different materials and a new production technique
- 9. CEO as Chief Innovator • Jobs ‘Design Sense’ was Confident and Refined • He was committed to finding “a beautiful elegant solution that worked” • Because of him Apple focused on problem solving for individuals when the trend in 1980s was creating enterprise solutions • Jobs had hands on involvement in decision making, from strategy to product and service design to packaging • Jobs was the Front Man to dramatically introduce products to the customers in extravagant events
- 10. Bold Experimentations • “Play it safe, that’s the most dangerous thing we can do. We have to get bolder…” • Entered Retail business at a time when everyone was moving online • Stores opened at prime locations with Tech Repair Guys called “geniuses” who serviced phones at the “bar” • The concept took off as foot traffic (Apple and Non- Apple customers) were drawn to these elegant surroundings that hosted beautiful products • Apple Stores generated highest revenue per square foot in entire retail sector
- 11. The Path Less Trodden • Even as the rest of the world moved towards open source systems, Apple still makes softwares and chips in-house • They keep product launches secret • Very few apps have been developed by Apple for its App Store • Apple has eliminated features in the name of progress • Still Apple is able to create and sell products people want by constantly learning and adapting
- 12. The Way Ahead for Apple • In order to sustain itself, Apple will have to continue to come out with innovative products • It should try to expand to newer segments as it has done before • It should continue to stick to the ideologies of Steve Jobs and create elegant solutions
- 13. What to take away from the case? • Be solution oriented and innovative • Adapt to changes • Take Risks
Editor's Notes
- #6: Sophistication- Class complexity