Skip to main content

Recognizing Key Insights That Make Design Thinking Valuable to Strategy

  • Chapter
  • First Online:
Design Thinking for Strategy

Part of the book series: Management for Professionals ((MANAGPROF))

  • 4956 Accesses

Abstract

In recent years, design thinking has become a buzzword for disruptive user-centered innovation. Design thinking is an abductive and iterative approach transforming observations and related insights into practical validated solutions. Abductive reasoning starts with a set of abstractions, that is, an incomplete set of observations, and seeks for the simplest and most likely solution. The initial solution is then improved upon through inference until it becomes a robust solution. Design thinking addresses diverse shortcomings of analytical strategy development methods in a dynamic and fast-paced business environment. It aims at learning from methodologies used by designers, such as architects, artists, or creative directors, to solve problems which are incomplete by nature and cannot be solved by traditional linear problem-solving approaches. Design thinking in the context of strategy development proceeds in four steps, that is, observing, learning, designing, and validating, by iterating through divergent and convergent thinking. This leads to unique value design thinking offers towards developing strategies that work by taking a customer-centric viewpoint.

Never delegate understanding—Charles Eames

This is a preview of subscription content, log in via an institution to check access.

Access this chapter

Chapter
USD 29.95
Price excludes VAT (USA)
  • Available as PDF
  • Read on any device
  • Instant download
  • Own it forever
eBook
USD 39.99
Price excludes VAT (USA)
  • Available as EPUB and PDF
  • Read on any device
  • Instant download
  • Own it forever
Softcover Book
USD 54.99
Price excludes VAT (USA)
  • Compact, lightweight edition
  • Dispatched in 3 to 5 business days
  • Free shipping worldwide - see info
Hardcover Book
USD 84.99
Price excludes VAT (USA)
  • Durable hardcover edition
  • Dispatched in 3 to 5 business days
  • Free shipping worldwide - see info

Tax calculation will be finalised at checkout

Purchases are for personal use only

Institutional subscriptions

Notes

  1. 1.

    According to Vlaskovits (2011) there is no evidence that Ford actually said that quote. However, even if he did not verbalize his thought on the apparent inability of customers to communicate their unmet needs, history indicates that Ford most certainly did think along those lines.

  2. 2.

    Abductive reasoning is a form of logical inference which starts with an observation then seeks to find the simplest and most likely explanation. It has been developed by the philosopher Charles Sander Pierce, who defended that no new idea could be developed by deduction or induction using past date (Martin 2009). One can understand abductive reasoning as inference to the best explanation.

References

  • Arnheim, R. (1969). Visual thinking. Berkeley, CA: University of California Press.

    Google Scholar 

  • Arnold, J. E. (1959). Creative engineering. Lecture notes. Stanford, CA: Stanford University.

    Google Scholar 

  • Brown, T. (2009). Change by design: How design thinking transforms organizations and inspires innovation. New York, NY: HarperCollins Publishers.

    Google Scholar 

  • Buchanan, R. (1992). Wicked problems in design thinking. Design Issue, 8(2), 5–21.

    Article  MathSciNet  Google Scholar 

  • Cross, N. (1982). Designerly ways of knowing. Design Studies, 3(4), 221–227.

    Article  Google Scholar 

  • Cross, N. (2006). Designerly ways of knowing. London, UK: Springer.

    Google Scholar 

  • Cross, N. (2011). Design thinking. London, UK: Bloomsbury Academy.

    Book  Google Scholar 

  • Diderich, C. (2018). Understanding the value to design thinking to innovation in banking. Journal of Financial Transformation, 48, 64–73.

    Google Scholar 

  • Eppinger, S. D., & Ulrich, K. T. (1995). Product design and development. New York, NY: McGraw Hill.

    Google Scholar 

  • Koberg, D., & Bagnall, J. (1972). The universal traveler: A soft-systems guide to creativity, problem-solving, and the process of reaching goals. San Francisco, CA: William Kaufmann.

    Google Scholar 

  • Lawson, B. (1980). How designers think. Oxford, UK: Butterworth Architecture.

    Google Scholar 

  • Liedtka, J., Salzman, R., & Azer, D. (2017). Design thinking for the greater good. New York, NY: Columbia University Press.

    Book  Google Scholar 

  • Liedtka, J., & Ogilvie, T. (2011). Designing for growth. New York, NY: Columbia University Press.

    Google Scholar 

  • Martin, R. (2009). The design of business: Why design thinking is the next competitive advantage. Boston, MA: Harvard Business Press.

    Google Scholar 

  • McKim, R. H. (1973). Experiences in visual thinking. Pacific Grove, CA: Brooks-Cole Publishing.

    Google Scholar 

  • Rowe, P. G. (1987). Design thinking. Cambridge, MA: MIT Press.

    Google Scholar 

  • Sawyer, R. K. (2012). Explaining creativity. Oxford, UK: Oxford University Press.

    Google Scholar 

  • Schneider, J., & Stickdorn, M. (2011). This is service design thinking. Hoboken, NJ: Wiley.

    Google Scholar 

  • Simon, H. A. (1968). The science of the artificial. Cambridge, MA: MIT Press.

    Google Scholar 

  • Tschimmel, K. (2012). Design thinking as an effective toolkit for innovation. In Proceedings of the XXIII ISPIM Conference: Action for Innovation. Innovation from Experience. Barcelona, Spain.

    Google Scholar 

  • Vlaskovits, P. (2011). Henry Ford, innovation, and that “Faster Horse” quote. Harvard Business Review. https://hbr.org/2011/08/henry-ford-never-said-the-fast.

Download references

Author information

Authors and Affiliations

Authors

Rights and permissions

Reprints and permissions

Copyright information

© 2020 Springer Nature Switzerland AG

About this chapter

Check for updates. Verify currency and authenticity via CrossMark

Cite this chapter

Diderich, C. (2020). Recognizing Key Insights That Make Design Thinking Valuable to Strategy. In: Design Thinking for Strategy. Management for Professionals. Springer, Cham. https://doi.org/10.1007/978-3-030-25875-7_2

Download citation

Publish with us

Policies and ethics