Module 5 : Design Thinking in IT

https://labs.sogeti.com/using-design-thinking-to-design-business-models/
https://www.testingxperts.com/blog/agile-methodology
http://tryqa.com/what-is-agile-model-advantages-disadvantages-and-when-to-u
se-it/

Page 1
Design thinking to business process modeling

• Design thinking is a user-centered design philosophy based on building empathy to guide the search for
breakthrough innovation.

• Design thinking helps businesses better identify, understand, and address the problems that
outbreak businesses and their customers.

• It values solutions over processes and creativity and innovation over traditions

Page 2
Business Model Design

• Business model design sets out to define how an enterprise creates, delivers and captures market value.

• The interrelationship between those three planes is key to understanding how a business model can be invented to
define a new venture.

Page 3
Business Model Canvas

• A valuable tool to use for prototyping a business model is the Business Model Canvas.

• The Business Model Canvas is a strategic management asset to describe, design, and invent business models
using an ontology developed by Alexander Osterwalder.

• The Business Model Canvas provides a visual representation for the main aspects that define how an
enterprise creates, delivers and captures value.

• The canvas can be developed using paper prototyping techniques where each of the elements are represented
by note cards and modified easily during the design process.

Page 4
Page 5
Value Propositions

• On the Business Model Canvas, Value Propositions are the product or service that will offer value to customers
based on novelty, performance, risk reduction, cost efficiencies, customization, or other desired outcomes.

• Essentially, these are the reasons customers will pay for an enterprise’s offering that solves a problem or satisfies a
particular need and serve as the basis for Revenue Streams.

Page 6
Customer Segments
• Customer Segments identify the target market which realize benefits from Value Propositions that are specifically
designed that intended audience.
•

Customer Relationships
• Customer Relationships define the nature of the ongoing engagement between the enterprise and customers.

• They define the frequency of interaction as well as the mechanisms by which customers will derive value from doing
business with the enterprise.

Page 7
Channels
• Channels are the distribution modes by which demand for products and services is generated in target Customer
Segments as well as how fulfillment is delivered.

Revenue Streams
• Revenue Streams capture the options and mechanisms by which Customer Segments pay for products and services.

• Options may include flat fees, subscription models or auctions.

• Payment mechanisms may involve online portals, mobile applications, or retail locations.

Page 8
Key Activities
• Key Activities are the business processes and operations required to support the business model.

• These processes may involve partners, suppliers and associations to deliver the value to customers.

• Operations include platform capabilities required to support the data and interfaces to enable the collaboration
between these organizations as well as customer-facing channels.

Key Resources
• Key Resources are the physical and digital assets used to provide capability for the various components in the
business model.

• Resources needed to fulfill demands in Key Activities, Channels, Customer Relationships and Revenue Streams
should be considered to ensure value is created, delivered, and captured efficiently.

• The resources may involve intellectual property, financial instruments, and human capital.

Page 9
Key Partners
• Key Partners indicate suppliers, service providers, and alliances that support Key Activities and Key Resources
to deliver on the Value Proposition to Customer Segments.

Cost Structure
• The Cost Structure describes the fixed and variable expenditures required to support Key Activities and Key
Resources.

• It is important to consider whether the business model is cost or value driven.

• A cost-driven business model is more concerned with efficiencies such as automation and price-based value
proposition.
• A value-driven business model is focused on maximum value creation offered by a premium value proposition.

Page 10
Page 11
Design Thinking for Business Model Design

• Using design thinking to structure the process and philosophy guiding the business model innovation can produce
breakthrough results

• Business model design sets out to define how an enterprise or organization creates, delivers, and captures value.

• It is part of the business development and business strategy process.

Page 12
 • In the Empathise space, the objective is to become immersed in the
users’ world.

Some of the key steps that can be incorporated in this space

include the following:

1.Ask open questions to reflect any negativity on the user’s current state.
2.Ask your user to act out the current experience. Observe any gaps,
difficulties, or breakdowns.
3.Ask open questions to reflect on any specific bad experiences the user may
have gone through.
4.From user quotes and defining words, understand thoughts and beliefs.
5.From user actions and behaviors, understand feelings and emotions.
6.Fan out and expand the problem space by refining the questions being asked
the user.
7.Look for deeper signals from the market or community of users.

Page 13
 • In the Define space, the objective is to reframe the problem space
by identifying latent user needs or discovering novel insights.
• In this sense, the Customer Segments and Customer Relationships
come into focus.

• Some of the key steps that can be incorporated in this

space include the following:
1.Explore what the apparent needs of the market or community of users.
2.Explore deeper needs of the market or community of users.
3.Develop insights via inferences from the exploration.
4.Look for emotional cues and signals.
5.Zoom in and zoom out on the exploration from community to user,
user to community.
6.Change the perspective by reframing the initial problem set.
7.Draw and sketch thumbnail visions to drive further design.
8.Design the problem.
9.Define the problem statement.

Page 14
 • In the Ideate space, the objective is an intense generative production of
possibilities to meet an existing or unrealized market need based on the
problem statement.
• Key Activities, Key Resources, Key Partners, and Channels are defined in
the ideation.

1.In ideation, the first thing is to unlearn what you know.

2.Be attentive and ready for new ideas.
3.Brainstorm by storming preconceptions using inquiry that questions
4.Connect the dots.
5.Connect ideas across existing solutions or enterprise services already deployed
in the market.
6.Connect ideas by associative log or analogy.
7.Connect ideas by using stories, patterns of behavior useful to reach an
outcome.
8.Create focus and start to create new business model.
9.Get feedback from executives and intended market or community of users.

Page 15
 • In the Prototype space, the objective is to build to think.
• The emerging business model can be modeled using paper prototypes.
• The product or application delivering the value to the user can also be modeled
paper prototyping.
• Cost Structure and Revenue Stream components in the business model are
factored into the prototyping.

1.In Prototyping it is key to build to think.

2.Use role playing to prototype new behaviors.
3.Use storyboarding to draw out new experiences.
4.Draw and create paper prototypes of the product or application.
5.Prepare to test these paper cutouts with users to get feedback.
6.Synthesize a breakthrough.
7.Seek feedback from enterprise executives on the business model prototype.

Page 16
 • The Test space objective is to get market or user feedback on the new product
or service.
• This set of activities also involve validating business model hypothesis based
on that feedback.
• A critical component is to test out the Value Proposition such that Revenue
Streams and Cost Structure factors in the prototype are validated.

1.Build the prototype. Perhaps use a 3D printed model for testing if a product is
involved.
2.Test the prototype. If necessary, use cutout prototypes in early testing to refine the
product.
3.Gather feedback from the users.
4.Track refinements suggested by the users. Be ready for the users to help you
innovate!
5.Collect the data. Analyze and improve the design.

Page 17
Agile methodology

• Agile methodology is the most significant approach to project management which is effectively used in the
process of software development.

• This agile approach has been majorly introduced in the field of software development to overcome difficulties
with earlier waterfall model and to make processes more flexible and effective.

• Agile collaboration is the act of working together within that process to achieve a shared goal. The most
important aspect of a collaboration tool is that you have the ability to respond quickly.

• An Agile framework is a specific approach to planning, managing, and executing work.

• Agile frameworks typically fall into two categories: Frameworks designed for teams, and frameworks designed
to help organizations practice Agile at scale, across many teams.

Page 18
 What is agile
• Agile methodology was first used by software developers, who recognized the value in “individuals and
interactions over processes and tools” and “customer collaboration over contract negotiation.“

• Now, agile working is a productive and popular project management technique. Seventy-one percent of
organizations are using agile approaches in their projects.

• It’s all about streamlining processes and bringing multi-disciplinary teams together, outside of traditional
hierarchies.

• In agile, teams split work into sprints – short periods attached to specific, small goals. Each sprint contributes
to the overall deliverable of the project.

• There are four stages of a sprint:

1.Plan
2.Develop
3.Deploy
4.Evaluate

• Teams work collaboratively to the sprint deadline, with the relevant people working together on a specific task.
With each sprint working efficiently and effectively, the overall project is more likely to be delivered on time, to
a high standard. Page 19
Agile software development process

• "Agile process model" refers to a software development approach based on iterative development. Agile methods
break tasks into smaller iterations, or parts do not directly involve long term planning.

• The project scope and requirements are laid down at the beginning of the development process.

Page 20
• Agile software development processes are increasingly followed in software development projects that deal
with complex domains and require continuous interaction among developers and with customers and
prospective users.

• Agile approaches such as Extreme Programming or Scrum are people- and code-centric. Based on a
high-quality code base throughout the entire project, developers can respond almost instantly to customer
needs and requests.

• Teams can quickly make progress in providing the desired technical solution due to short development cycles
and incremental explorations.

Page 21
Page 22
 Phases of Agile Model:
Following are the phases in the Agile model are as follows:
1.Requirements gathering
2.Design the requirements
3.Construction/ iteration
4.Testing/ Quality assurance
5.Deployment
6.Feedback

Requirements gathering: In this phase, you must define the requirements. You should explain business opportunities
and plan the time and effort needed to build the project. Based on this information, you can evaluate technical and
economic practicability.

Page 23
2. Design the requirements: When you have identified the project, work with stakeholders to define requirements.
You can use the user flow diagram or the high-level UML diagram to show the work of new features and show how
it will apply to your existing system.

3. Construction/ iteration: When the team defines the requirements, the work begins. Designers and developers
start working on their project, which aims to deploy a working product. The product will undergo various stages of
improvement, so it includes simple, minimal functionality.

4. Testing: In this phase, the Quality Assurance team examines the product's performance and looks for the bug.

5. Deployment: In this phase, the team issues a product for the user's work environment.

6. Feedback: After releasing the product, the last step is feedback. In this, the team receives feedback about the
product and works through the feedback.

Page 24
 When to use the Agile Model?
•When frequent changes are required.
•When a highly qualified and experienced team is available.
•When a customer is ready to have a meeting with a software team all the time.
•When project size is small.

Advantage of Agile Method:

1.Frequent Delivery
2.Face-to-Face Communication with clients.
3.Efficient design and fulfils the business requirement.
4.Anytime changes are acceptable.
5.It reduces total development time.

Disadvantages of Agile Model:

1.Due to the shortage of formal documents, it creates confusion and crucial decisions taken
throughout various phases can be misinterpreted at any time by different team members.
2.Due to the lack of proper documentation, once the project completes and the developers
allotted to another project, maintenance of the finished project can become a difficulty.

Page 25
Agile Development Methodology Features

Iterative & incremental:

This agile methodology feature proposes incremental and iterative approach with frequent reassessments
to make the product better.

Work breakdown:
The agile process consists of small cycles technically known as sprints or scrum. It involves breaking
down the project work into iterations or sprints

Page 26
Close coordination with product owner:
The product owner or customer has a first-hand overview of every stage of project development along with
changes if any.

Parallel testing:
The software development and the software testing are taken up in parallel to ensure quality software is
delivered. Regression testing is involved every time whenever new functions or logic is added

Effective collaboration between teams:

Testers and developers work in close collaboration when compared to the earlier waterfall model

Daily stand-up calls:

Every day scheduling of short and quick meetings as stand up calls is taken up to review the tasks status within the
agile process

Timely Updates and Reports:

The agile methodology process places upfront the product owner to be updated with daily, and weekly reports on
project status which makes the process transparent

Page 27
What are the principles of Agile Methodology?

1. Individuals and interactions over processes and tools

2. Working software over comprehensive documentation

3. Customer collaboration over contract negotiation

4. Responding to change over following a plan

Page 28
Benefits of Agile Methodology

– Ensures early and quality deliverables

– Addresses any changes within the project through change adoption

– Delivers more business value as features are delivered based on the customer’s business importance

– Ensures faster releases to enable faster time to market

– Ensures high-quality development by breaking up project into manageable units of sprints

– Ensures effective collaboration between teams and stakeholders to deliver value to customer

– Eases dealing with costs & schedules with effective collaboration to ensure a more controlled environment

– Delivers working software at frequent intervals through sprints

– Overall ensures cost effectiveness

Page 29
Types of Agile Methodologies and Frameworks

Page 30
What are agile best practices?

Effective onboarding
Offer shadowing or mentoring to make sure you immerse new team members in your agile processes and set
expectations before getting involved in the project.

Team autonomy
Giving teams clear responsibilities and providing space for them to organize and manage themselves allows
more freedom to meet goals and overcome challenges.

Clarity around how and why it works

Agile values rely on people, so team members need to understand how to work using agile methods and
believe in the benefits. That way, they can maximize their productivity.

Focus on execution
Each agile iteration focuses on getting something done rather than getting stuck in a network of upfront
planning.

Encourage risks and experimentation

Each iteration or sprint concentrates on one task or deliverable, so there’s room for risk-taking and innovation
without the risk of failure affecting the overall timeline.
Page 31
Design Thinking for Agile Software Development
Agile + design thinking: Better together
• Together, design thinking and Agile create a user-centric environment focused on rapid, frequent
iterations as a means of reaching optimal outcomes.
• Use design thinking to identify the right problems to solve, and then use Agile to iteratively build
solutions to solve those problems.
• Design thinking brings a strong user focus while Agile is an excellent way to incrementally deliver
solutions. User needs are kept front and center throughout the entire design and development process.

For teams looking to leverage Agile and design thinking for the first time, here are three recommendations
to keep in mind:
•Start small: Focus on high-value, low-risk opportunities to gain experience using design thinking and Agile
together. Then, as your capability matures, take on more challenging initiatives.

•Create cross-functional teams: To facilitate the required creativity, create cross-functional teams that
work together to design and develop solutions. The team should be physically collocated with end users to
promote frequent collaboration.

•Balance design and development: Because Agile teams are often inclined to “just start coding,” mixing
the two methodologies for the first time may create tension around how much time to spend on design
thinking before beginning development.
Page 32
• Most agile software development processes are people- and code-centric in that they temporary
interaction between project participants, grounded on short and many iterations, each of which
similar to a full development cycle including planning, analyzing and prioritizing requirements,
designing, and testing.

• Risk is minimized by producing a running system in every such iteration in a short period of time.

• The most popular representatives of such processes are Scrum and Extreme Programming (XP).
Scrum is a high-level process framework that defines roles and practices.

• Compared to Scrum, XP is a more disciplined method. It focuses on the strict application of

programming techniques representing best practices, on clear communication, and on teamwork.
XP assumes short development cycles that allow for early feedback based on actual code.

Page 33
Collaboration Support for Distributed Development Teams

• Both Design Thinking and agile software development projects rely on small teams working closely
together. Informal direct communication and physical tools and artifacts such as whiteboards, sticky
notes, and story cards are preferred means of expression and interaction.

• For that to work, team members need to be co-located to take full advantage of the benefits offered
by these tools and artifacts

Page 34
Design Thinking for Agile Software Development

Common Values
1. Wicked Problems. Software development projects are confronted with Wicked Problems. Originally
described in, the term Wicked Problems refers to problems that are not well understood and thus
difficult to describe.The problem becomes, however, clearer as one moves ahead to the solution of
the problem.

2. Close Interaction. People interacting closely with each other exchange a lot of knowledge and
opinions, which in turn supports making progress.
• For this particular and other reasons, agile processes such as XP strongly suggests a close interaction
amongst all team members as well as with the customer.
• The value of close interaction results in recommendations of concrete practices such as on-site
boards, pair programming, collective planning sessions, collective code ownership, or small but regular
releases .
• Close interaction is also a key aspect of design activities.

3. Go for Feedback. Iterative and incremental development is the foundation of all agile methodologies
.
• In each iteration a next running version of the system is created and delivered, bringing value to the
customer and allowing for feedback on this running, executable prototype that is used in real work
settings Page 35
What is scenario-based technique?

• Scenario-based prototyping captures the external view of a system from the user's perspective,
accomplishing the objectives of rapid prototyping.

• The Screen-Based Scenario Generator (SBSG) is an automated tool, based on this concept, for the
users to create, edit, compile, and execute the scenarios of a system.

• Scenario-based analysis techniques provide a way to decompose requirements to understand the

said attributes of real-time systems.

• However they are in themselves inadequate for providing support for all real-time attributes.

Page 36
Diagram of Prototype model:

• The basic idea in Prototype model is that instead of freezing the requirements before a design or coding
can proceed, a throwaway prototype is built to understand the requirements.

• This prototype is developed based on the currently known requirements. Prototype model is a software
development model.

• By using this prototype, the client can get an “actual feel” of the system, since the interactions with
prototype can enable the client to better understand the requirements of the desired system.

• Prototyping is an attractive idea for complicated and large systems for which there is no manual process
or existing system to help determining the requirements.

• The prototype are usually not complete systems and many of the details are not built in the prototype.
The goal is to provide a system with overall functionality.

Page 37
Page 38
 Advantages of Prototype model:
•Users are actively involved in the development
•Since in this methodology a working model of the system is provided, the users get a better understanding of the system
being developed.
•Errors can be detected much earlier.
•Quicker user feedback is available leading to better solutions.
•Missing functionality can be identified easily
•Confusing or difficult functions can be identified Requirements validation, Quick implementation of, incomplete, but
functional, application.

Disadvantages of Prototype model:

•Leads to implementing and then repairing way of building systems.
•Practically, this methodology may increase the complexity of the system as scope of the system may expand beyond
original plans.
•Incomplete application may cause application not to be used as the full system was designed Incomplete or insufficient
problem analysis.

Page 39
 When to use Prototype model:
•Prototype model should be used when the desired system needs to have a lot of interaction with the end users.

•Typically, online systems, web interfaces have a very high amount of interaction with end users, are best suited for
Prototype model. It might take a while for a system to be built that allows ease of use and needs minimal training for
the end user.

•Prototyping ensures that the end users constantly work with the system and provide a feedback which is incorporated
in the prototype to result in a useable system. They are excellent for designing good human computer interface
systems.

Page 40