11/08/2015

How Samsung Became a Design Powerhouse

Youngjin Yoo and Kyungmook Kim, How Samsung Became a Design Powerhouse, Harvard Business Review, September 2015.

Then, in 1996, Lee Kun-Hee, the chairman of Samsung Group, grew frustrated by the company’s lack of innovation and concluded that in order to become a top brand, Samsung needed expertise in design, which he believed would become “the ultimate battleground for global competition in the 21st century.” He set out to create a design-focused culture that would support world-class innovation. 
By any measure, his goal was achieved. Samsung now has more than 1,600 designers. Its innovation process begins with research conducted by multidisciplinary teams of designers, engineers, marketers, ethnographers, musicians, and writers who search for users’ unmet needs and identify cultural, technological, and economic trends. The company has built an impressive record on design, garnering more awards than any other company in recent years. The bold designs of its televisions often defy conventional style. With its Galaxy Note series, Samsung introduced a new category of smartphone—the phablet—which has been widely copied by competitors. Design is now so much a part of its corporate DNA that top leaders rely on designers to help visualize the future of the entire company. ... 
Samsung’s success in making this shift can be traced back to a single early decision—to build design competency in-house rather than import it. As we’ll describe, Samsung chose to create a committed, resourceful corps of designers who figured out that they could manage the tensions and overcome internal resistance by deploying the same tools that they use in pursuing innovation—empathy, visualization, and experimentation in the marketplace. The corps has helped institute policies and structures that embed design thinking in all corporate functions and provide a framework for reevaluating products in the face of dramatic technological change.... 
As part of its investment in developing an organization-wide design capability, Samsung brought in faculty members from a well-known art college and created three training programs. One program trained in-house designers, taking them away from their jobs for as long as two years.

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