Você está na página 1de 18

Entrepreneurial Innovation at a Retail Store:

Case Apple iPhone for the City


(with Simulation Instructions)
We need to expand our product line. There are quite a few clever boys in the class for
the final game of cell phones. Apple and Google from the West, and amsung from the
!ast are stealing the show. We should not miss the show. "n fact we should also become
active supporters of one or the other clever guy.# These words were a part of the
preparation the retail manager had $ust made for the meeting the next morning.
1. Introduction
The manager leads the major retail store in the city, which is specialized in audio and
video electronic goods, and now looks forward to expanding his business with cell
phones. Considering the high market position of Apple ihone in the !"A and outside,
he was fancying the idea of adding this specific product line. There already existed a
number of stores for cell phones in the city, yet there was no major store for ihone. Thus
the manager liked to build the store#s existing competitive position further to include the
new product line. As to how this has to be done was a challenge to the retail manager.
The retail manager had heard much about Apple "tores in the !"A. $e was wondering
whether his problems were similar in any way to those stores and Apple ihones in
particular. A brief general background to the product and the stores was anyway
available. %ith these thoughts in his mind, he started to look forward as to how he can
make success at least in this product range& see 'igure (.
'igure (. )edicated fans# Apple ihone
%hether he could develop some views on the product for the future, which was not
wholly in his hands, was a separate issue. $owever the principles behind the success of
(
this product in the !"A could be explored. "ome of these principles were visible in the
case that he had come across in one of the meetings of the local Chamber of Commerce.
*t was then told that the case +Apple#s products, was an interesting one to discover
scopes for improvement in marketing and sales, or innovation, in his business& -xhibit (.
-xhibit (. Case Apple products and stores
Thanks to the involvement of a specialist on innovation, the new business could now be
scrutinised in only two workshops. The workshops need be attended by a few persons
including the retail manager himself. All persons were considered responsible for taking
a decision on the needed innovation beyond the product, but to marketing and sales. This
assignment of the workshop focuses on. %a&e a list of customer demands for a new
Apple i'hone product line. "dentify the most interesting mar&et segment(s) and how we
can position this product line in the mar&et.
To ensure that the participants stood open to signals from outside and to ensure that the
internal discussions did not go on forever, the external advisor was asked to take the lead.
The advisor belonged to a reputed consultancy firm, */A0T of the /etherlands, which
claims to possess the most advanced methods, software tools and simulations. The
1
Apple stores
As an extension of its brand experience, Apple operates retail stores in the United States, Canada, Japan,
and the United Kingdom. The stores carry most of Apples products as ell as many third!party products
and offer on!site support and repair for Apple hardare and softare. The first stores ere opened in
"ay #$$% and ere designed for to purposes& to stem the tides of Apples declining share of the
computer mar'et and to counter a poor record of mar'eting Apple products by third!party retail outlets.
The design of stores ta'en into account&
%. Creating an experience. This is accomplished through the stri'ing glass staircase, store design,
and attention to the line of sight so that it feels more li'e al'ing into a hands!on museum than
al'ing into a retail store.
1. (onoring context. The store is organi)ed by the context in hich people use the products. *ith
digital cameras, photo printers, and Apples i+hoto softare set up together, customers can
en,ision using these products in their on li,es. -y ac'noledging the context in the design of
the store, Apple encourages its customers to dream about possibilities.
.. +rioriti)ing its messages. The store is ,isually spare ith product pac'ages 'ept belo eye le,el,
and relati,ely fe products on display. The store focuses on a handful of important messages.
2. /nstituting consistency. The Apple personality comes through e,ery time the customer
encounters the brand, hether on tele,ision, in print or outdoor ad,ertising, or through
interacting ith one of Apples products. The Apple stores are no different, and Apple is able to
pro0ect that personality across all these channels by maintaining rigorous consistency of design.
1. 2esigning for change. The front indo displays are rigged using simple flat panels mounted on
trac's and cables. The system allos the displays to be changed 3uic'ly and easily hile still
alloing a di,erse range of possibilities for grabbing the attention of passersby.
4. 5ot forgetting the human element. The people ho staff the store form an integral part of the
o,erall experience. Apple store employees dont loo' li'e run!of!the!mill retail or'ers. /nstead
of name tags, they ha,e business cards. And they all carry i+ods on their belts, creating the
impression that they dont 0ust or' for Apple 6 they li,e the lifestyle Apple is selling to
customers. Apples retail or'ers are brand emissaries.
advisor would facilitate the workshops, but active participation by the participants would
yield the most suitable strategy for the store.
*n the discussion that took place between the team and the advisor prior to the first
workshop, the following was agreed upon as stated by the advisor.
'irst the stakeholders in the business area would be listed. Therefore, the workshop
should start with a stakeholder analysis. After that, the best market segment3s4 would be
selected. *t was 5uite essential to know which customer groups to target. Corresponding
set of new customer value propositions will then had to be defined, and then translated
into a program of demands
(
36)4. This 6) will consist of various properties, or
attributes, of the identified values. The following step of 6) was to find out suitable
functions that support the identified values through the related attributes. 7y taking this
step we can get insight as to which functions create most value for the customers and
with which we can differentiate ourselves the most from competitors. Those functions
that are most essential for customer value creation are also critical to the proposed
business as a whole.
*n turn, these functions will be identified to be met with specific measurable general and
functional requirements. %e will invest mainly on those most important re5uirements. *n
other words, we will focus our innovation efforts upon these re5uirements as yardsticks.
The other, less value generating functions and their re5uirements can be filled in as much
as possible with existing standard solutions. *f re5uired, they can be outsourced as well.
This could be the best way of creating the highest 8value for money8. 'inally this
innovative approach should help us enhance our market position when we undertake the
sale of the new product Apple ihone /ext. %e will do this by analysing whether the
new customer values support our corporate values, and the corporate image.
After the workshops we hope to have obtained all inputs for presenting the product, and
the supporting service, which should meet all the customer re5uirements and needs.
'inally, the resulting business concept should bring clarity to our proposed business
expansion. Throughout this innovation journey the tools of the *nnovation 9anagement
"uite 3*9"4
1
software of */A0T will be used.
(
rogram of demands consists of a prioritized list of product attributes, formulated by customers and
retailers. roduct or service attributes may refer to (. 'unctionalities& 1. *nterface& :. "upport functions& 2.
Costs such as price and related maintenance& ;. <ife span& and =. Availability and accessibility. They
encompass the whole product including the hardware, software, services, package, and price.
1
Copyright belongs to */A0T in the /etherlands
:
Workshop 1
2. Business Concept
The staeholder analysis
The first workshop started with a short briefing of all participants of the innovation team
that consisted of.
(. The current retail manager and his assistant
1. The sales manager& he is also the head of the marketing department
:. The shareholder
2. The financial controller
The scope of the project was projected by the current retail manager. *t lasted no longer
than ; minutes. Then the brainstorming began. *n about (> minutes the main stakeholders
were identified. There was some discussion about how best to define the customers.
-ventually this led to the diagram view shown in 'igure 1. Thereafter, the importance of
the various stakeholders was scored using every one#s gut feeling. A score of ; means
essential and ( is marginal. 7y definition, the customer is essential. %ithout the
customer, there is no market and therefore no revenues. 6f the various customer groups,
however, ?teeners# and ?hobbiests# appeared the most attractive customers to focus on.
?7usiness people# and ?globetrotters# scored the next highest. After some discussion
among the participants, it was decided to make value maps for the +teeners, and
+business people, as two major customer groups.
Globe trotters
Business people
Teeners
Logistics service providers
Hobbiests
Telecom service providers
Supplier/ manufacturer
Apple iPhone Next in store
etailer
Shareholder
!lderl"
#ustomers
House$ives
%%
%%
&&
&&
%%
%%
''
''
''
%%
&&
&&
'igure 1. @arious stakeholders including customers
*n addition, it was soon also clear that the new product must be interesting enough for the
retailer to sell. Therefore the retailers also get the score ;, because when they are not
interested in promoting the product nothing will be sold.
2
2.1. The custo!er value !ap
*n order to make this value map the customer values must first be listed. 7asically there
are 2 classes of values, namely.
(. -conomic values, such as low cost
1. "ocial values, such as image and status
:. sychological values, such as pleasure, and ease of use
2. -nvironmental and biological values, such as health and safety.
"oon the team identified a number of values. An intense discussion took place, however,
about one specific value, namely +design,. "ome said that this is a value which provides
psychological wellAbeing. The others said that this is not a value, but a so called
?attribute#. )esign is something that belongs to the product, thus a product attribute.
There was no consensus yet& thus it was concluded to keep it as it is
?7rand image#, ?services# and ?product choice# were identified as superior values. *n
'igure : these are represented by diamond ?
Product choice
# icons. ?7rand image# is more important
in the mind of a teener than a business person. Thus using again the scale of ; 3; major
and ( for minor importance4 the former was scored with ; and : respectively. ?roduct
choice#, however, is not so important to a teener as compared to a business person, thus 1
and 2.
eliabilit"
Services
(esign
Apple iPhone Next in store
Product choice
Teeners
Business people
)ide #hoice of applications
Brand image
%%
''
**
%%
%%
''
&&
%%
''
&&
%%
&&
%%
'igure :. )iagram view of sample mindAmapping of target customer groups, their values
and attributes
Then the team proceeded to determine the product properties in the tongue of the
customer. They are considered also as criteria, which buyers use for deciding which of
the products offer the most value to them. A buyer uses these attributes in his judgement
whether the product complies with his wishes. As already briefed, these are also called
attributes of the value creation. *n our analysis these attributes are assigned with cubical ?
)ide #hoice of applications
# icons.
9ajor product attributes, for example, ?wide choice of applications# has high relevance to
?product choice#. *n addition to the direct relationship between an attribute and a value,
now it is seen that cross relationships with other values also exist. Also ?design# was
;
found to contribute much to the ?brand image#. Thus it is now concluded that ?design#
indeed is an attribute. ?Beliability# is a strong property of ?services#.
The team started with a discussion whether these attributes can be measured, in
accordance with scoring and ranking.
As the team proceeded with an enthusiastic contribution by everyone, at a given moment,
the screen was filled with a number of values and attributes. 9oreover, nobody was any
longer able to add any important new values and attributes to the map. Also the map had
become already complex. 6nly a limited set of complex relationships and their scores are
shown in 'igure 2. Then one by one also scores between all values and all attributes were
refined. 7y this process everyone was forced to look at a product or service from the
customer#s perspective. *t was noted that customer groups may differ in their scores to
the values, but the type of attributes related to the different values, and their scores
remained the same.
Price
Teeners
High product value
Brand image
Services
Product choice
Price of apparatus
eliabilit"
Price of subscription
(esign
Apple iPhone Next in store
)ide #hoice of applications
Business people
!xperiences
%%
&&
**
**
''
''
''
%%
''
&&
%%
''
&&
''
&&
%%
%%
''
%%
&&
''
%%
&&
%%

'igure 2. )iagram view of complete mindAmapping of target customer groups
=
!xercise *+
'lace these additional values, attributes and their scores using ,emo Tool#. -our
learning experience will be high if you add one or two new values or attributes, and ma&e
some changes in the existing scores.
"n order to do this, go to .,emo Tool+ Apple i'hone /ext0 and then .1alue mapping
basic0. -ou can proceed with placing new values and attributes, connecting those for
showing the relationship and then ran&ing them with scores.
/ame the diagram, for example, .1alue mapping basic *0.
The custo!er value !atri"
The team decided to convert the value map into a soAcalled value matrix. The value
matrix can be seen as an alternate presentation of the value map. *n fact all scores get
transferred from the diagram view to the matrix view. This is done firstly by selecting all
elements on the screen. the product, customer groups, values and their attributes. 7y
clicking ?Create 9atrix# in the menu balk, a dialogue box appeared. The model ?@alue
roposition# was chosen for the matrix view, and a name is given& for example ?@alue
proposition basic# as shown in 'igure ;.
5
5 3
4 2
5 4
3
4 5
3 5 5
10 8 7
9 4 10
8 5 10
5
3
2
4
4
3
3
4
4
5
4
4
+
,-
+
,-
8
9
5
8
6
4
9
7
4
10
9
5
AppleiPhoneNextinstore
Brandimage
Productchoice
er!ices
Positi!eAttri"ute#mportance1on$eeners
Positi!e Attri"ute#mportance1on Business %
&!erallAttri"ute #mportance 'Apple iPhone %
(ompetingmartphones
(ompeting)ooglephone
AppleiPhoneold
AppleiPhonNext
B
u
s
in
e
s
s

p
e
o
p
l
e
$
e
e
n
e
r
s
*
e
s
i
g
n
+
e
l
i
a
"
i
l
i
t
,
-
id
e

(
h
o
i
c
e

o
.

a
p
p
l
i
c
a
t
i
o
n
s
P
r
o
d
u
c
t

(
o
n
c
e
p
t

c
o
r
e

$
e
e
n
e
r
s
P
r
o
d
u
c
t

(
o
n
c
e
p
t

c
o
r
e

B
u
s
in
e
s
s

p
e
o
p
l
e
P
r
o
d
u
c
t

0
a
lu
e

+
e
a
l
i
1
a
t
i
i
o
n

m
a
r
t

p
h
o
n
e
s
P
r
o
d
u
c
t

0
a
lu
e

+
e
a
l
i
1
a
t
i
o
n

)
o
o
g
le

p
h
o
n
e
P
r
o
d
u
c
t

0
a
lu
e

+
e
a
l
i
1
a
t
i
o
n

A
p
p
l
e

iP
h
o
n
e

o
l
d
P
r
o
d
u
c
t

0
a
lu
e

+
e
a
l
i
1
a
t
i
o
n

A
p
p
l
e

iP
h
o
n

N
e
x
t
'igure ;. 9atrix view of sample values and their attributes
C
!xercise 2+
Transfer the diagram to the 1alue proposition matrix using ,emo Tool#. -ou can use
the data already supplied in the ,emo 3ase.
"n the existing matrix .1alue proposition basic0, the additions that you $ust made under
!xercise *, are not implemented yet. -ou can do this implementation by clic&ing
.%atrix0 on the menu bal&, selecting .4rgani5e view ..0, and clic&ing the new values
and attributes that you have $ust added.
/ame the matrix, for example, .1alue proposition basic *0.
The value proposition matrix of the complete analysis using the diagram view of 'igure 2
has been shown in 'igure =. All values are now in the first column on the left. The
attributes are positioned at the top in the first row. 7elow the identified customer group
the scores of that customer group for those values are seen. Any needed value or attribute
can be added also at this stage by simply clicking on the corresponding icons.
5
4 4
5 3
4 2
5
2 3
4
3
4 5
4
3 5 4 5 3
4
5 3 5
10 8 2 4 4 2
2 10 2 2 8 7
10 7 3 6 5 5
5
3
4
5
4
3
3
4
5
3
4
4
5
4
3
4
2
4
4
4
5
4
3
4
9
2
4
10
10
8
4
3
7
7
8
4
3
7
7
10
4
4
9
8
.
,-
+
,-
AppleiPhoneNextinstore
Brandimage
3xperiences
Price
Productchoice
er!ices
Positi!eAttri"ute#mportanceon$eeners
Positi!eAttri"ute#mportanceonBusinesspeople
&!erallAttri"ute#mportance'AppleiPhoneNextinstore4
(ompetingmartphones
(ompeting)ooglephone
AppleiPhoneoldinstores
AppleiPhoneNextinstores
B
u
s
in
e
s
s
p
e
o
p
le
$
e
e
n
e
r
s
*
e
s
ig
n
5
i
g
h
p
r
o
d
u
c
t
!
a
lu
e
P
r
ic
e

o
.
a
p
p
a
r
a
t
u
s
P
r
ic
e

o
.
s
u
"
s
c
r
ip
ti
o
n
+
e
li
a
"
il
it,
-
id
e

(
h
o
ic
e
o
.
a
p
p
lic
a
tio
n
s
P
r
o
d
u
c
t0
a
lu
e
+
e
a
l
i1
a
t
io
n
/

m
a
r
t
p
h
o
n
e
s
P
r
o
d
u
c
t0
a
lu
e
+
e
a
l
i1
a
t
io
n

/
)
o
o
g
le
p
h
o
n
e
P
r
o
d
u
c
t0
a
lu
e
+
e
a
l
i1
a
t
io
n

/
A
p
p
le

iP
h
o
n
e

o
l
d
P
r
o
d
u
c
t0
a
lu
e
+
e
a
l
i1
a
t
io
n

/
A
p
p
le

iP
h
o
n
e

N
e
x
t
P
r
o
d
u
c
t(
o
n
c
e
p
t
c
o
re
/
$
e
e
n
e
r
s
P
r
o
d
u
c
t(
o
n
c
e
p
t
c
o
re
/
B
u
s
in
e
s
s

p
e
o
p
l
e
'igure =. 9atrix view of complete set of values and their attributes
%ith the set scores in the matrix, it is easy to find out the importance of each attribute for
value creation. %e can calculate the attribute importance on value creation for the
individual customer groups. Then we click on the icon and select each customer group
separately. 'or this analysis ?ositive attribute importance# was chosen, and ?/egative
attribute importance# was deleted. Also the ?6verall Attribute *mportance# that is
normalized and expressed on a scale of (> was subse5uently calculated. This is done by
clicking the icon . %ith this we combine the value creation potential of the attributes
for both customer groups.
The relative overall importance of the attribute ?design# is the topper. 6nly next comes
?high product value# and all other attributes even less important.
6bviously these results are the outcome of the team#s own analysis. *t is based on the
experience and intuition of the team. This may, however, be biased. *n order to make it
realistic, it may have to be validated by market research. This type of analysis is a soA
called D*D6 system, meaning +Darbage *n, Darbage 6ut, or 8Bubbish in, Bubbish out,
system. *t is decided to validate the results later in a small survey. The team decides to do
this using the company#s other retail outlets. 7ut first it is decided that the outcome is
checked with representatives of larger retailers.
E
After calculating the relative importance of the product attributes, the team wants to score
similar products of major competitors. *n addition to these competitive scores, the team
wants to score its own current product as well. The scores range between ; 3perfect4 and (
3marginal4. Two major competitive products were identified. "mart phones and the
relatively new Doogle phone. /ext, the team scores the company#s own current product.
This is in many respects better than those of the competitors. $owever in the market with
high demands, a better product and better marketing and sales are not a luxury any more.
Thus the new generation ihone is identified, and how it should be placed in the market
was scored in the last row. 6n some attributes improvements are identified as marginally or
absolutely necessary. And on the other attributes no improvements are marked as
necessary. Taking up these attributes any further for improvement would re5uire resources
that are far too scarce and costs far too high.
The attributes have been scored and competitive positioning of various similar products
being done, the advisor exposed to the team also the ?values# that are relatively hard to
measure. This is an indirect approach for establishing the rather abstract and complex
perceptions of values to the customer. The advisor did this exposure by clicking the blue ?
# icon for each existing product. Also the future proposed ihone is shown to impact in
its ?brand image#. ?roduct choice# is 5uite important, at least against market giants such as
"mart phones. "urprisingly, however, ?price# scores low. There was a long discussion
whether ?high product value# is an important attribute for creating values such as ?price#
and ?experiences#. *n the tradition of positioning the product at the high end, this is not
strange at all. $owever it was concluded that specifically for Apple product line the former
?price# has little effect. *t was agreed that ?experiences# is far too emotional feature, and not
contributed by an economically defined attribute ?high product value#.
6ne 5uestion, however, came up after the above analysis. %hy there is concern to place a
new product and a new sales and marketing approach with special attention on ?services#F
*n a dynamic market with rather short product life cycles it is better to be the leader, both
with the product and also at retail stores. The product is deigned, developed and supplied
by major manufacturers of the electronic industry. *t is the responsibility of the retail stores
to position the product in the market. A chainAstore such as Apple "tores does it
systematically at its :>> and odd stores in the !"A. *n the upcoming *ndian market, the
role of an individual major store in the city is not entirely negligible in this regard& the
contribution can be substantial. *n addition telecom service providers have a strong
influence in the market, in terms of productAmarket performance than retailerAmarket
performance.
Then the team determined the scores for the ambitions for the new product that the retailer
would wish and thus can recommend to the manufacturer to develop at least for the
upcoming *ndian market. *n general, the product should be as good as the competitor#s 3the
5ualifiers4 and on a few attributes it must have a higher score 3the differentiators or !"#s4.
The higher scores are preferentially given to those attributes that matter high to the
customer. *t was decided to give the highest priority to ?high product value# for augmenting
?services#.
G
*n the radar diagram of 'igure C that is generated by pressing +Beport, this is further
clarified. This seems to be a beautiful figure for the shareholders# meeting, when this plan
had to be presented.
060
160
260
360
460
560
260
Brandimage
3xperiences
Price er!ices
Productchoice
Businesspeople
$eeners
'igure C. Badar diagram prioritizing ?values#
<astly, the team was curious to know whether it was possible to create one total score of
the value creating potential of the new product versus the old product. *t was explained
that this could be done by clicking on the icon named ?roduct Concept "core#. This
calculates the total value creating score for the present product and the new product
concept 3see 'igure =4. This score was calculated for both ?teeners# and ?business
people#. *n both cases the score of the proposed product concept was higher than the
score of the present product. The team concluded that this was an easy way to generate
more concepts and see which of the concepts seemed to be the best for both targeted
customer groups.
-verybody realized that these results were based upon the present knowledge, experience
and gut feeling of the team. Therefore they had to be validated by market research. This
was something that has to be done later.
(>
!xercise 6+
Wor&out on the sample matrix view .4verall attribute importance0. 7ill in the
competitors0 data for attributes. %a&e your own $udgement for prioriti5ing attributes of
the new proposed product Apple i'hone. /ext, obtain .'roduct value reali5ation0 of all
products in the analysis.
8se the ,emo Tool for this exercise.
!xercise 9+
,raw the .:adar diagram0 on the basis of the analysis that you have carried out so far
and using the ,emo Tool.
Workshop 2
2.2. #unctions to perfor! and their re$uire!ents
The second workshop started with making an inventory of functions necessary to realize
the attributes. %herever possible the functions were described with a verb and a noun
:
.
Thus each function is defined more precisely in the description box& see 'igure E.
'igure E. 'unction description in detail
)efining functions in this way prevents us from immediately start thinking in terms of
solutions. *n general, by defining the functions with a verb and a noun we are stimulated
to look for innovative solutions for those functions. 'or example, ?Bange of application
functionalities# was described as ?roviding a classification of functionalities#. This could
facilitate searching for suitable application, and giving choice of performance criteria
such as price, language, network choice, etc. This ?providing a range of functionalities#
would contribute to the attribute. Accordingly the team defined various functions to fulfil
the product attributes as shown in 'igure G.
:
A function can be defined as an end or purpose that a +thing, or activity is intended to perform, expressed
in a verbAnoun form.
((
Help f unctions
ange of apps f unctionalities
Price of apparatus
)ide #hoice of applications
High product value
eliabilit"
(esign
Accessibilit" of applications
#o/operations and deals $ith telecom service providers
Price of subscription
evenue model
0nterf ace
&
&
'
&
&
*
&
*
&
'igure G. 'unctions for fulfilling product attributes
)efining values, attributes and functions more precisely was important for using the
matrices later. This was also important for the nonAtechnical participants. %ith this
approach they became more involved and committed to the whole innovation process.
"coring the contributions of the functions to the attributes between ; 3essential4 and (
3marginally supportive4 was the following step.
The function analysis !atri"
After having described a number of functions for fulfilling the attributes, the team
decided to convert the mind map into a matrix. This was done by clicking on the ?Create
a new matrix view# icon in the toolbar. This time the ?'unction Analysis# matrix was
chosen. The matrix that appeared after completing the dialogue box looks as shown in
'igure (>.
(1
!xercise ;+
!xpand the diagram .<uality 7unction ,eployment basic0 on the ,emo Tool. 8se some
new functions than those provided in the complete diagram of 7igure *=, and score them.
:emember to update the set of attributes by .copy0 from the previous diagram and .paste0
them on the present new diagram of functions.
&
&
'
&
&
*
&
*
&
,- 1 & 2 % %
'
%
&
'
'
'
&
'
'
'
&
'
+
%
%
&
,-
1
+
'
'
*
,-
2
1
2
'
&
,-
2
1
+
'
'
,-
2
Accessi"ilit,o.applications
(o/operations anddeals 7ith telecomser%
5elp.unctions
#nter.ace
+angeo.apps.unctionalities
+e!enuemodel
&!erall Attri"ute#mportance 'Apple iPhon%
AppleiPhoneoldinstores
AppleiPhoneNextinstores
*
e
s
i
g
n
5
i
g
h

p
r
o
d
u
c
t

!
a
lu
e
P
r
i
c
e

o
.

a
p
p
a
r
a
t
u
s
P
r
i
c
e

o
.

s
u
"
s
c
r
ip
t
i
o
n
+
e
l
i
a
"
i
l
i
t
,
-
id
e

(
h
o
i
c
e

o
.

a
p
p
l
i
c
a
t
i
o
n
s
8
u
n
c
t
io
n

0
a
lu
e

+
e
a
li
1
a
t
i
o
n

A
p
p
l
e

iP
h
o
n
e

o
l
d
8
u
n
c
t
io
n

0
a
lu
e

+
e
a
li
1
a
t
i
o
n

A
p
p
l
e

iP
h
o
n
e

N
e
x
t
&
!
e
r
a
l
l

8
u
n
c
t
io
n

#
m
p
o
r
t
a
n
c
e

A
p
p
le

i
P
h
o
n
e

N
e
x
t
&
p
p
o
r
t
u
n
it
,

'
&
!
e
r
a
l
l

8
u
n
c
t
i
o
n

#
m
p
o
r
t
a
n
c
e
4

A
p
p
l
e

i
P
h
o
n
e

N
%
'igure (>. 'unction analysis for scope of prioritization
The functions 3 4 were listed in the first column of this matrix and the attributes 3 4 in
the first row 3see figure above4. The ?6verall Attribute *mportance 3 4# for the
customers value creation was the first row just beneath the attributes
2
. After having done
that, the participants devoted themselves to further identifying the functions necessary to
substantiate the attributes.
6nce the list was completed, the team started with refining the scores. $ere the team was
trying to allocate about the same total number of points over the functions that
contributed to a certain attribute. *n this way the whole matrix was scored. At the bottom
of the matrix 1 rows with the scores on the attributes of the current product and the
desired product were present. These rows are characterized by a white bungalow icon 3
4.
After all the functions were scored, the ?6verall 'unction *mportance# for the customer
was calculated by clicking on the phi 3 4 icon. A column appeared at the right with
numbers between (> and (. This number indicates the team the relative contribution of
the functions to customer value creation.
7y clicking on the icon in the menu balk named ?'unction @alue Bealization#, the
contribution of the current product functions on customer value creation was calculated.
2
%hen this row is not present, click on the icon in the menu balk. *t will appear then in the matrix view.
(:
The difference between the interest of the functions for creating customer value and how
the current product scored on this value made it possible to calculate the +opportunity,
for improvement. This was calculated using a simple formula, namely the 8opportunity8
is 1 times the importance for the customer 3 4 minus the score of the current product 3
4.This number may never be lower than the relative importance for the customer. The
result is represented by omega 3 4.
Deneral re5uirements on the product are those that the customer readily identifies without
even referring to functional details. They indeed are connected with attributes since they
are a part of attributes. 6nly a few to name are ?costs#, ?profitability# to the retailer and
various elements of ?reliability#. *n the 0uality 'unction diagram these were now added
and their scores are given& see 'igure ((. 7y selecting these general re5uirements,
attributes and their connecting scores, a matrix representation could be made for an over
view. This was done by clicking on the matrix view and choosing for ?Be5uirement
importance analysis#. The resulting diagram is shown in 'igure (1.
Help f unctions
High product value
#o/operations and deals $ith telecom service providers
0nterf ace
ange of apps functionalities
Profitabilit"
#osts
Accessibilit" of applications
Price of subscription
Product reliabilit"
eliabilit"
(esign
evenue model
)ide #hoice of applications
Price of apparatus
Accessibilit" reliabilit"
''
&&
''
''
'' &&
&&
**
** &&
&&
&&
''
''
&&
&&
'igure ((. Deneral re5uirements for fulfilling attributes
(2
!xercise >+
3onstruct the .7unction analysis matrix0 on the basis of your diagram of functions. 3alculate
.4verall function importance0 of the new product, and identify 2 possible opportunities. 8se
the ,emo Tool for this analysis.
'
'
'
'
'
,-
1
&
2
%
%
1
2
'
&
,-
2
&
&
* ,- ,- * ,-
%
*esign
5ighproduct!alue
Priceo.apparatus
Priceo.su"scription
+elia"ilit,
-ide (hoiceo.applicat%
Accessi"ilit,o.applicati%
(o/operations anddeal%
5elp.unctions
#nter.ace
+angeo. apps .unction%
+e!enuemodel
+e9uirement #mportanc%
&
!
e
r
a
l
l

A
t
t
r
i
"
u
t
e

#
m
p
o
r
t
a
n
c
e

'
A
p
%
&
!
e
r
a
l
l

8
u
n
c
t
i
o
n

#
m
p
o
r
t
a
n
c
e

A
p
%
A
c
c
e
s
s
i
"
i
l
i
t
,

r
e
l
ia
"
i
li
t
,
(
o
s
t
s
P
r
o
d
u
c
t

r
e
l
i
a
"
i
l
i
t
,
P
r
o
.
it
a
"
i
l
it
,
N
u
m
"
e
r

o
.

a
p
p
li
c
a
t
io
n
s
'igure (1. Deneral re5uirement importance analysis matrix
*n order to proceed with the prioritization of general re5uirements, some functional
re5uirements were obligatory. A ?functional re5uirement# could be added by clicking on ?
# icon, and naming it. 'or example, ?number of applications# was an essential
functional re5uirement toward ?range of application functions#.

7y clicking on the icon in the menu balk their importance to customer value creation
was calculated. The consultant added that these scores said something about how critical
these re5uirements were to reliability of the product. *n 5uality management one has to
focus upon such re5uirements. The resulting outcome was more front end oriented rather
than that with product orientation. *t showed that ?profitability# for the retailer, and
?accessibility reliability# in support of the product performance are the most important
general re5uirements of Apple ihone /ext.
The second workshop was now almost finished. -veryone had the feeling that the
discussions were very fruitful and much was achieved. /ow there was a message for the
manufacturer and also to the supplier. 6ne thing remained on the priority, however. The
final product should provide a good 5ualityHprice ratio and has to differentiate itself from
competing products. 'urthermore, it has to support the corporate image. *n order to check
this, one final exercise had to be executed before everyone could go home to perform his
homework.
(;
!xercise ?+
3onstruct .General requirement importance analysis matrix0 using the ,emo Tool.
2.%. Brandin&
The team explored the impact of customer values on brand building or its sustainability.
The advisor took the team through ?7rand assessment#. The images originate from
automotive industry, and applied to brand identification of cars. 7ased on these brand and
corporate images, also other products can be identified. 9any '9CD and consumer
durables fall in this category of brand creation. Also services are easy to analyse using
these criteria.
The team identified various brand values of the existing product ?Apple ihone old# that
contribute to different brand images of Apple. 7y using the first choice of brand values in
each image the archetype of the Apple organization could be established. These were
listed as shown in Table (.
7rand images (st 7rand value 1nd 7rand value :rd 7rand value
*mage ( Bevolutionary Creative 6ptimistic
*mage 1 ioneer 6riginal 6ptimistic
*mage : *nnovative -xceptional rofessional
*mage 2 Attractive )ominat )reaming
*mage ; !ni5ue athAbreaking *ntelligent
Table (. 7rand images and their values for existing Apple ihone old
'or this analysis the team confined to use a single product ?Apple ihone old# for finding
out the archetype of the organization Apple. The prescribed brand values to images for
the existing ?Apple ihone old# yielded the archetype represented in 'igure (:.
'igure (:. Corporate image, or archetype, of the organization Apple
(=
?-xplorer# and ?outlaw# score 5uite high. This means Apple is a solo concern with its
own uni5ueness in innovation, and trend. All other archetypes including ?creator# were
5uite low. The latter is surprising to notice from this analysis.
The next consideration is whether the major brand values would be supported by the
previously chosen ?customer values# for Apple ihone /ext. %hich customer values are
elevated with the inclusion of the brand values that are so important to the product
manufacturer and the retailerF *n order to do this analysis, the diagram analysis was
carried out by linking ?customer values# 3 4 with the identified ?brand values# 3 4 as
shown in the diagram view of 'igure (2.
3ni4ue
!xperiences
Business people
Teeners
Services
Product choice
Brand image
Price
Attractive
0nnovative
Pioneer
evolutionar"
#orporate Apple
%%
%%
''
**
&&
''
''
&&
%%
''
''
%%
**
%%
%%
&&
&&
**
**
%%
%%
&&
%%
%%
%%
''
%%
%%
'igure (2. )iagram view of corporate image related to customer values
(C
!xercise @+
Go to Arand Assessment Tool# and ran& various images as you would anticipate on the
future Apple i'hone /ext. 8sing these scores find out the archetype of the corporation Apple.
!xercise B+
3onstruct the diagram view and the matrix on the basis of the data that you have collected so
far. tart with a blan& new diagram .Aranding0 and copy into this the .values0 that you have
chosen before. Then identify various brand values, give possible relationship with .customer
values0 and score. !xplore whether the brand image created by Apple i'hone /ext is
consistent with the existing image.
Go to Arand Assessment Tool# and ran& various images as you would anticipate on Apple
i'hone /ext.
"ubse5uently using this diagram and clicking on the matrix view, corporate brand values
and customer values were integrated. 7rand value support to product value realization
became evident to the team by clicking on and selecting Apple ihone /ext The result
shows that Apple ihone /ext indeed falls reasonably in line with the long held
?innovative# vision of the organization.
5
4
4
5
2
5
5
3
3 2
2
5
. * ' ,- ,-
+ ' & 1 1
+ ' & 1 1
,- ' ' . +
5
5
%
,-
2
%
4
2 5 5 5
Product0alue+eali1ation/AppleiPhoneNext
Product0alue+eali1ation/AppleiPhoneold
Product0alue+eali1ation/)ooglephone
Product0alue+eali1ation/martphones
Pioneer
#nno!ati!e
Attracti!e
+e!olutionar,
:ni9ue1
(
o
r
p
o
r
a
t
e

A
p
p
l
e
B
r
a
n
d

i
m
a
g
e
3
x
p
e
r
ie
n
c
e
s
P
r
i
c
e
P
r
o
d
u
c
t

c
h
o
ic
e

e
r
!
i
c
e
s
B
r
a
n
d

0
a
lu
e

u
p
p
o
r
t

A
p
p
l
e

i
P
h
o
n
e

N
e
x
t
'igure (;. Corporate brand image of Apple ihone /ext
The team studied this using the ?7rand matrix# in 'igure (; to judge how far the planned
new product was a step forward compared to the current product. *t appeared that this
was the case with the new ihone /ext. The consultant added that in order to be sure,
however, we have to wait and see what the manufacturer Apple Corporation is likely to
take up for the upcoming *ndian market.
%. Conclusions
The new product shows that the corporate image related to the brand as .innovator0 is
the most relevant. This means that we are on the right trac&.# That was the conclusion
the retail manager made concluding the meeting. Ce continued, Gentlemen, we &now
now what will help us loo& forward to our own business. We also &now now what
message can be given to the manufacturer about the best design and how it can support
the corporate brand image.# Ce closed the meeting with a strong feel of relief as to the
much promising mar&et of the most modern cell phones in the city.
(E

Você também pode gostar