Episode released on: 19. June 2023
Mastering Design Thinking: Igniting Innovation and Supercharging Transformation with Michael Lewrick – THE CX GOALKEEPER – Transformation, Customer Experience, and Leadership Goals
The CX Goalkeeper had the great opportunity to interview Michael Lewrick
LinkedIn Headline: Bestselling Author | Speaker | Senior Advisor | Trainer
Highlights:
00:00 Game Start
01:16 Michael’s Introduction
02:19 Michael’s Values
03:23 His passion for design thinking
05:13 Why 4 books?
08:00 Defining Design Thinking
11:50 Exploiting the power of Design Thinking
13:27 Leveraging Design Thinking in private life
16:17 Design Thinking Toolkit
18:55 Design thinking for business growth
21:07 A real example
23:32 Design thinking and innovation metrics
27:11 AI to measure innovation
29:10 The Future
30:14 Book Suggestion
31:28 Contact Details
31:51 Golden Nugget
and much more
Michael’s Contact Details:
His books:
- The Design Thinking Toolbox
- The Design Thinking Playbook
- Design Thinking for Business Growth
- Design Thinking and Innovation Metrics
- link to the design thinking book brandstore: https://amzn.to/3Wd8ztc
Michael’s Golden Nuggets:
- As humans, our curiosity about the future is intrinsic to our existence. It forms the very essence of who we are. Therefore, it is crucial to remain open to new experiences and conduct personal experiments while embracing a mindset of continuous learning. By doing so, we can ensure that we are constantly aware and prepared for whatever lies ahead. This is my fundamental recommendation to all individuals, as it holds the key to achieving success in various endeavors.
“It is crucial to remain open to new experiences and conduct personal experiments while embracing a mindset of continuous learning. By doing so, we can ensure that we are constantly aware and prepared for whatever lies ahead” Michael Lewrick on the CX Goalkeeper Podcast
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What did we discuss?
Gregorio Uglioni
Ladies and gentleman, welcome to the CX goalkeeper podcast your host, Greg will have smart discussions with friends, experts and thought leaders on customer experience transformation, and leadership. Please follow this podcast on your preferred platform. I’m sure you will enjoy the next episode with the guest I selected for you.
Ladies and gentleman today. It’s really a big, big pleasure because I’ve Michael Lewrick, together me. Hi Michael, how are you?
Michael Lewrick
Hi, how’s everything going? Thank you.
Gregorio Uglioni
Very Well, I am super thrilled to have you on this podcast. Because on the CX goalkeeper podcast is the first time that we are going to discuss about design thinking. And you are one of the big guru worldwide in this topic. And then I super happy that you accepted my invitation. You published already a lot of books. The last one is out since a few months design thinking and innovation matrix. And for this series, you already published four books.
Michael Lewrick
Exactly. And thanks for having me. And it’s really a pleasure. I’m talking today about my main topic, innovation metrics. And of course, design thinking
Gregorio Uglioni
Thank you very much. As usual, the first thing that I’m doing is always presenting the top player of today on this field on the CX goalkeeper podcast. And therefore my question to you, Michael, could you please introduce yourself?
Speaker 2
Yes, sure. My name is Mike Lewrick. I’m living in Zurich, Switzerland. And I’ve been here now for 15 years. And before I was basically living in different locations around the world, so I lived for a while. In Germany, I was living in the UK, I was living in South Africa, say us, and of course, Singapore. And then it comes to the point your life you really like to settle down. And so I’ve chosen Switzerland as my home at the moment. And I’m really happy here. Being in Switzerland and writing my books. Having a small consultancy boutique, we are just a small bunch of people doing the national product, and innovation. Projects and this basically where we operating.
Gregorio Uglioni
Thank you very much. And from Zurich, to Zurich, it’s great to have this discussion, not always adding people from the USA, from Asia or from Africa, but somebody from Switzerland. And the second question I always ask is which values drives you in life.
Michael Lewrick
But my values are really centered around design thinking mindset is something I’m doing that only in the professional field, but also for my personal planning and my daily habits. So for example, I’m really good in reframing and looking into what is the positive aspects, what comes along. So for example, is a big discussion at the moment around artificial intelligence, a lot of people’s fears, but on the other hand, you have also the possibility disease as an opportunity. So reframing and looking with opportunity, what is the challenge at the moment, as well as everything striving me this is one of the core values to put something any opportunity into a positive perspective and making something out of it.
Gregorio Uglioni
And that’s a great, I would say, purpose, not only value, it’s outstanding, what you’re saying, and it’s what drives also ask customer experience professional transformation professionals in our daily life to improve people’s lives. And now that we know a bit more about you, Michael, your top player from today, let’s start the game speaking about design about design thinking, perhaps the first question, Where does your Passion for Design Thinking come from?
Michael Lewrick
Yeah, basically, I established my passion 20 years ago. So before I was focusing on more traditional ways of driving innovation, because I did my PhD in the field of macro economics and Innovation Cluster. So I was looking into what is the behavior? What are the capabilities needed, in different stages of maturity in driving innovations, or basically from a startup company into a more mature way of doing business, and then as a great opportunity to meet experts out of the design thinking field. And they inspired me to look into the innovation field from a different perspective. And so I started to learn about the design thinking mindset, I was applying them into my projects into my collaborations with different organizations, and I realized is really strong, really strong tools that process and mindset to try something for the future and future business success. This was my starting point, engaging with design thinking, and from this point onwards, I was really curious about it. learning and developing our own frameworks. So not only started to applying it, but also started to go really deep into the tools that and how to develop the framework for future business success.
Gregorio Uglioni
And we are really thankful for that, because you’ve wrote four outstanding books. And, and these are not typical books that you read from the first line to the to the end. But these are full, full of pictures, figures, and they’re really colorful, that helps and make people also willing to check this book and this these are books that you can take and use and reuse everyday during our business life. And perhaps also sometimes, during our private life. Where does the idea come from to write such books and such types of books?
Michael Lewrick
So the first book was Design Thinking playbook and was also my first book. So never did any kind of project before, of course, was writing have a lot of shuttle articles, you know that all my dissertations. But at this point, we had really the challenge of powertrains and two totally different and we were basically meeting in Switzerland was a diverse group of people on a quarterly basis, discussing about designing tools and methodology. And all these companies, were really in the starting point of the digital transformation, or the creating a new mindsets, all the big companies you can imagine in Switzerland. And then we came to a point we thought, okay, what are we going to do with all the knowledge we creating in the small community, and we did brainstorming on what is the best way to broadcast out is knowledge. And we had ideas like writing a blog coming up as a conference, doing kind of open community, online expanding to other countries. And I had this idea of creating a book. And then people were saying, that’s totally crazy, because first of all, I’m totally under estimating the work involved in a book, and also then finding a publisher and many other challenges you’re facing as a first time also. And I was thinking, okay, great. I love challenges, I like to reframe it. And I’ve seen it a great opportunity. And at the same time, we received the feedback from the community saying, if you’re writing a book, please apply design thinking principles. So the whole book was based on design thinking, because we’re looking into personas are looking into, like, what is the best customer reader user experience was a book. And we were basically using all these principles in creating the book. So this book, the first book was purely written on the desire of customers feedback. And that’s probably the reason why we came out with a totally different layout, a totally different setting. And of course, if you like to build a community and you like to bring across your language, pictures and visualizations are really helpful to make a good statement. That’s the reason why we use text and illustrations at the same time.
Gregorio Uglioni
Thank you very much. It’s really great because if you open the book and go through, it’s really based on the needs of the readers and and that they can read that understand that and really apply that in their in their lives. And design thinking it’s a great tactic, I use tactic because I’m speaking in the soccer, World Football Word, and the state taxes can be used and make soccer teams successful. But from your point of view, what’s the best definition? Or what is your definition of design thinking? For the audience that is not perhaps aware of
Michael Lewrick
the first of all, we have to stay away from the soccer into the American football because the first book was a playbook. And if you look at American football, the playbook is a great part of doing visualisations about techniques and also kind of ideas what is the next way how you like to play? And then basically try it out and if it’s not working, you try something different, right? This is really this idea was it was a design thinking playbooks that you have a lot of inspiration, you’re trying out things and then you go into the next task of creating something and so we have to today basically, for this kind of conversation, we have two mindsets, the soccer ball ends American football Lord
Gregorio Uglioni
you are right. But I wanted to be also I was I was playing soccer and football, soccer, the European football and also when I was a child, we started really learning also tactics, how to go on the left out to go on the right out they are playing the competitors and therefore we should try this and that and this is also like a playbook not as in the American football but but really similar. Back to my question, what’s your definition of design thinking?
Michael Lewrick
Yes, first of all, I mentioned this already design thinking is for me a mindset so and this is sometimes a little confusing because a lot of articles out there and definitions. They talk about a design thinking more like a tool or methodology. And I totally disagree, because first of all, when you look into these frameworks and tools, some of them you can use for certain time periods of heights, and they’re over. And the design thinking mindset has proven to be successful for over 55 years now. And the reason for this is that we basically have principles, how we collaborate, how we think how we approach the problem space. And this will be not only helpful now, but also for the future challenges. That’s the reason why I’m always in forcing people to really learn about the mindset. And if you have the mindset, you can basically solve all the problems we have currently in our environment. And that’s the beauty about it right as a design thinking mindset, as a kind of really good way of collaborating and bring new ideas for the future. And at the same time, I have now the feeling that the design thinking mindset will be really important in the current situation of digital transformation. Because with artificial intelligence, you get a lot of tools for specific tasks. You can even use it as supporting tool and UX and for designing projects. But if you’re not understanding the problem space, you’re not able to create the appropriate questions and you’re not able to create a lot of WH questions you will not successful. And that’s the reason why we also see at the same time, as I’m talking here, big hype, again, around the skill set on capabilities related to design thinking, because this will be the core of everything we see now in the digital transformation.
Gregorio Uglioni
I think that’s that’s we are all businesses are in this digital transformation. And digital transformation is not a new technology, as you are saying. But it’s a mindset. It’s a culture of continuous on continuous innovation. And and, and design thinking you said it’s a mindset I allow myself it’s a method a tool that we can we can use to make that understandable? Because the question that I have is, how can we exploit the power of design thinking?
Michael Lewrick
Well, first of all, I think we have to live it up on a daily basis. So when I see kind of a lot of change projects, in large organizations, most of them are still top down driven. And we try to come up with a new behavior dictated by PowerPoint. And this is basically not really effective in the end. So what we need, we need leaders, we need employees, like every one working in the organization related organization, living apps, this mindset on a daily basis. And then of course, change is happening. Because if you have a different meeting culture, a different way to collaborate with other people a different way of running your workshops, a different way of iterating to come up with better solutions. And of course, everything’s changing. And that’s the reason why I’m always trying to find like, the appropriate people within organizations, educating them. And then basically, they spread the word about what we can achieve as design thinking, then basically, I think we get a lot of reinforcement. And this new habits will come kind of on a daily basis in every organization you can imagine.
Gregorio Uglioni
I think what you’re saying is key adding in the right ambassador to spread this mindset, this this word of mouth about design thinking, and ensuring ensuring to leverage that, in the second book, The Design Thinking toolbox that you’ve wrote the one with the black cover for people looking at looking at them, you are sharing a lot of different tools that you we can leverage and perhaps with a different question not asking, which is the best one because you can you have no answer. But which of these tools are you using in your daily life?
Michael Lewrick
Well, basically, what we did was design thinking toolbox was creating a set of most powerful innovation tools and frameworks. So we are basically summarizing on screen 50 pages 50 tools, and it’s not 60s, not 150 tools. And we were going into like a large process of selecting them. So we started before we’re writing up the book in the National Survey on tools methodology and we had like participants from almost all countries worldwide from innovation experts from practitioners from like academic side, and all assemble coming up as like powerful tools using and all the telling us wiser using these tools. And this basically was done the groundwork we did for the first book about tools and methodology. At the same time we realize some our users and readers, they have a strong demand about how to Start using towards kind of a how to guide into the toolbox. And that’s the reason why we really dedicated four pages for each tool. And it’s a really precise description about where to start, how to use them, but also how to change them. Because it’s not like a rigate kind of framework, it’s more kind of a flexible way you adapt to the culture to the situation. And that’s the reason why we’ve also kind of expert tips, how you can change what was in your environment, that’s quite important. And that’s the same time we did kind of a small metrics that you see at which stages in the design thinking process, you can use each tool. And this is also quite important, because some tools you can use really early in the design thinking process, some you can use a little bit later was some of them you can use with every iteration. And that’s also something if you’re a beginner, was a design thinking mindset and starting your career with innovation or creating something said, of course, you need some guidance. And that’s the reason why most universities right now using the design thinking toolbox as a starting point, for like, people really getting acquainted first time as a design thinking mindset.
Gregorio Uglioni
I really enjoyed the flow of this discussion, because you already answered my next question. No, no joke aside, I wanted really to ask because these are 50 tools. And companies need to change them apply them in a different way, depending from the industry and how mature they are. You said that you have consulting company, helping other other companies, other businesses with with with design thinking, which tools do you use the most from from this book,
Michael Lewrick
you’re basically using all of them. So these 50 tools, kind of the standard tools we applying, and our daily innovation work. And at the same time, if you run any design thinking trainings, or running academies for for companies, we try to educate people on these 50 tools. And then of course, sometimes we need more specific tools for specific industries, or specific innovation teams. Because if you are more related to like, something you’d like to build for the next 10 to 20 years, of course, you have to be more focused on future users and personas. And then of course, if you have anything related to data and data collection, you might use all the data driven towards was coming along with the design thing it was so many things we’d be customizing this toolbox. But these 50 tools are really my standard tools. And one of my favorite tools is actually is a critical items diagram and the critical items diagram. It’s very powerful, because he used at an early stage of defining the first functions and experiences of a potential solution, the end. So right in the beginning, before we did any kind of ideation, any kind of first prototypes, you’re trying to define what are the three most important functions? What are the three most important experiences right now for solutions, then, of course, you look into the future. So what is the future relevance for a function and one experience is this kind of set of nine function experiences is kind of a nice guideline, nice principles for anything you do later. Because if these function experience are so important, they must be in the final prototype. And that’s the reason why we do regular checks, check in with each iteration to see if you’re still on track with these functional experiences, of course, at changing as well as your testing and getting more insight. But usually we get like 80% out of this initial step was in the final prototype rebuilding in the end.
Gregorio Uglioni
Thank you, and you’re thinking about the future. And in the next book that you share design thinking for business growth, you introduced or you already discussing about business ecosystem, creating business ecosystem? Can you please elaborate a bit on that.
Michael Lewrick
So this was basically also requested out of company projects, we realize that we are in a time of exponential change and exponential technologies coming along. And companies don’t have the time and resources to build up all capabilities to realize new value proposition. So the idea behind the business ecosystem design is to create something totally new to the market and new to the customer by connecting different actors in the system and bringing a new value proposition to the market. So what we basically have seen over the last 20 years was a platform economy of creating network effects and having more kind of a central way of applying a business model. We now trying to be more decentralized and coming up with ideas that has the potential for exponential growth. And we have like two major building blocks and business ecosystem design. First of all, is design thinking because it’s really focused on the final customer user. At the same time, we operate in complex systems. So we need systems thinking as a combination from Design Thinking systems thinking, as basic concept behind business ecosystem design, and ideas really to come up as, as the title book says, designing for business grows as a realization of exponential growth for any kind of business you can imagine. But most of the time, we’re really talking about radical innovations are something new to the market and its customers. And at the same time, what we also experienced over the last years, it’s the same methodologies used to look into sustainability. So we can use this as ecosystem design for creating a circular economy to come up with like ideas for co2 neutral, and the future. So the many things you know, we can use now, this framework, also to come along with the challenge of climate crisis VCs mode,
Gregorio Uglioni
perhaps, and if not possible, without naming customer names, do you have an example that you can share that from a project that you implement in the last few few years or months related to this to this topic.
Michael Lewrick
So usually, the typical clients in Europe are banks, insurance companies, manufacturing companies, or even like big companies in the b2b sector, creating automation. So for all of them, they have like this big challenge, how we create something new to the market, and that having all these capabilities in house, even in large organizations are usually missing data points and missing technology capabilities, the needing the need, like other services and products to combine, then, basically, the realize, you know, this is a way into like a new Pro strategy. So usually, we have like really traditional companies creating something. At the same time, we have customers who are creating dancing, basically, on a greenfield approach, and they starting as a startup company. And then of course, realizing, of course, maybe we have to partner up as different companies of creating like new and holistic customer experiences. And just basically the two kinds of customers I have in the moment, when I split it a little bit between likes US, Europe and Asia, we see most of the projects at the moment in in Asia. And this has something to do with like a really pragmatic way of seeing the future and also of starting a project first, and talking later about contracts NDAs. And as the legal framework. And this basically the biggest problem. This is companies in Europe, it’s really hard to collaborate, start co creation workshops, with different companies in Europe, because all of them first discussing for two years legal contract, and then basically starting to collaborate. And still, the mindset is really narrow about protecting your ideas, protecting your data. And it’s not about combining the data to have more value in the end. And I think we have to do a lot of more groundwork at universities and with our academies that people understand the need of trading business ecosystems, and then basically a hope we get in the next five years, kind of a nice starting point that as a European company starting and creating business ecosystems.
Gregorio Uglioni
I hope that you have read it, I didn’t sign the NDA that you shared with me, therefore, but we are still record, we are already recording the podcast. Joke Joke aside, I think we need to stay on this positive side of doing business and trying to create value. And it’s the quickest, the better, the better. Not having always contractual framework legal framework in there. And it’s important also to measure innovation and change. And therefore we come to the last book that you published, design thinking and innovation metrics. And they’re I think they’re really a lot of nuggets. We are running out of time, but I still wanted to ask you some question on this on this book, and you are sharing their out can come out companies can design the innovation measurement system that arrived for them, and on a very individual basis. Could you please elaborate on that?
Michael Lewrick
is basically the last book was a missing piece because we’re talking about the design thinking playbook Design Thinking toolbox and the business ecosystem. And I had a lot of projects with large organizations were asking Michael, how are we gonna measure now success of what we are doing so how are we going to measure cultural change how we measure the product portfolio, how we measure kind of the evolution from the original problem statement prototypes into anything we scale? And, of course, I had measurement frameworks, but most of them are related. To all kinds of thinking about how we measured innovation in the past, and the reason was really to do research about how to measure and using all the new terms and models of creating something as iterations into the measurement system. And basically what we did, we did kind of a nice distinction between explore and exploit. This was the first part we did. And then of course, we are creating like, on the horizontal side, like two major blocks. One is really focusing on culture and organization. And the other one is really focusing on the portfolio, product portfolio. And of course, as a project, the project you’re doing for creating something, and kind of these four quadrants together creates entire framework, we put like 400 pages on, and it’s quite nice, because it starts simple saying, Look, these are the patterns you have to focusing on. And then it goes really deep into all the steps from the design thinking process over lean startup business ecosystem design onto the scale. And it shows how we can de risk over time, and use like appropriate metrics to make it happen. And the books give, again, all the templates do the metrics, it looks into different kinds of frameworks. It really has also kind of a critical discussions about the past and how we measure today. And I think the best benefit of the book is that this tapping into the world of artificial intelligence and design thinking, it’s tapping into new oil designs and design thinking. And of course, a topic I didn’t already know, for 10 years, is big data analytics and design thinking. So we were also combining all these kind of new data streams, the new evidence we have around product and service development, and we feeding in all these things into the innovation measurement system. And I was quite happy about this kind of type now for artificial intelligence, because this helps also for better understanding. So all the tools and methods I’m presenting in the book. And so hopefully, this will be also helpful for the innovation projects out there to have a different perspective about measuring but also to creating more evidence of his entire designs. Like
Gregorio Uglioni
I think evidence base is extremely important. But if we’re speaking about artificial intelligence, not everybody’s understanding what it’s happening in the background, how is it possible to leverage AI to measure innovation?
Michael Lewrick
Well, two things at the moment, what what do you see what people are using? That a lot of length language processing models, and this is basically a starting point of engaging artificial intelligence, and helping to come up with different solutions outcomes, even potations? You know, to have specific questions you have, when we look into the measurement system driven by artificial intelligence, we really have to go to the second or third level of artificial intelligence to make it happen. And what we can do we can of course, use right now as a methodology to start training system, understanding what kind of data we have, understanding what is the cause and effect, doing something was design teams, creating a new product, having have different influencing factors have have better outcomes in the end. And all these data sets and learnings can be the basis of an advanced artificial intelligence system, there’s KPIs and metrics, which are much more forward looking than looking into the past. So we trying to find a way and having this kind of learning algorithm of creating indicators that help us to predict the future. And I know that we are not there at the moment, but I think was the next level of artificial intelligence was coming along. It’s possible. But at the same time, companies have to do the homework, because if you don’t have the right data that’s ready and you don’t know the data from your customer, the actions, it’s really hard to build a customized solution for your business. So I can really enforce and hope that everyone is now looking to the data that they have and start working with them, because you definitely need some for the future.
Gregorio Uglioni
You are speaking about the future. And I’m now really keen to ask the next question because you spoke about business growth. You’re speaking about artificial intelligence. And my question is, in 10 years from now, you are back on the CX goalkeeper podcast, and we are what we are discussing about.
Michael Lewrick
But that’s a good question. 10 years, that’s a long time and way how everything’s now exponentially changing. So I guess basically, I have no idea what we want to do in 10 years, but probably we talk about new technologies. We speak about the next the next wave of digital transformation because it’s ongoing. And I think he still has the same mindset because I’m totally convinced that human capability of defining appropriate Thresh Since of understanding the problem will be key, whatever we gonna design and we have in the future, so I probably have the same mindset and hopefully, hopefully you as well. And then we just tap into like the next level of technology.
Gregorio Uglioni
Very interesting and very much looking forward for this discussion, this discussion or this game is coming to an end. But in the extra time, I still have three question for you short question with short answer. And is there a book that you would like to suggest to the audience that LPO, during your career or during your private life,
Michael Lewrick
the best thing I have to say, I’m not reading much books, I definitely am not. I look into books, and I’m reading them, but usually always topics not related for what I’m doing. So I have not looked into any design thinking book, I have not looked any book around business ecosystem design, because as one reason for these things is you start reading about these things. You’re taking this as a given kind of way of doing these things. And he’s tapping to be curious and developing your own concepts. So that’s the reason why I’m always start writing my books on my own reasoning, and my own feedback from customers, my own experiments, and then basically put it out in the market. And usually I’m reading afterwards about people who publish something similar. So I’m really basically not the best person to ask for book recommendations.
Gregorio Uglioni
No problem. But we can recommend your four outstanding books about design thinking. And I know that you wrote also additional books that we will share also, in the show notes, what’s the best way to contact you?
Michael Lewrick
What’s the best way is LinkedIn, please reach out over LinkedIn, you can follow and then connect. And if you have any questions, write to me. I’m happy to respond within 24 hours,
Gregorio Uglioni
or that’s great. And thank you for this commitment to answering so quickly to this to the request, therefore, our dear audience, feel free to contact Michael. Even if it’s not 24 hours, it’s okay. And the last question is Michael’s golden nugget. It’s something that we discussed or something new that you would leave to the audience?
Michael Lewrick
Well, I think the most important part nowadays, is being curious about what’s coming along about the future. Curiosity is really the core core element of our existing as human beings. So stay open to your own experience to your own experiments, and learn. And if you stay with this mindset of learning, I think nothing can happen to you because you’re always up to speed what’s coming along. And this is basically what I recommend to everyone and much success and applying it.
Gregorio Uglioni
The only thing that I can say is Michael, thank you very much for this outstanding game together. Please stay with me to the audience for today’s everything. I hope that you enjoyed this discussion. Please post it both podcast go to Amazon, buy Michael’s book. It’s worth it. I can confirm that you will find all the links in the show notes. And feedback is a gift. Please provide us feedback. We love feedback. Share it with us. Thank you very much and bye bye,
Michael Lewrick
Greg, Thank you. Bye bye.
Gregorio Uglioni
If you enjoyed this episode, please share the word of mouth. Subscribe it, share it until the next episode. Please don’t forget, we are not in a b2b or b2c business. You’re in a human to human environment. Thank you
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