In October 2018, McKinsey & Company challenged our hunch about the business value of design. They carried out \u201cthe most extensive and rigorous research undertaken anywhere to study the business design actions that leaders can make to unlock the business value of design.\u201d<\/p>\n
300 publicly listed companies across three industries (medical technology, consumer goods, and retail banking) were studied over five years, where they ran a series of interviews with both senior business leaders and design leaders.<\/p>\n
By the end of their research, they\u2019d recorded over 100,000 design actions and produced more than two million pieces of financial data alongside it.<\/p>\n
The result? 12 design actions which showed heavy correlation with improved financial performance - which they\u2019ve handily compiled into four broad themes which make up the foundation of the McKinsey Design Index (MDI).<\/p>\n
The MDI rates companies by their strength in design and how their activity translates into real business value. With the aforementioned themes they found in their research, building the foundation of this index, they found a quantitative way to measure design<\/strong>.<\/p>\n McKinsey\u2019s report found that good design is reflected in the figures - quite dramatically.<\/p>\n \u201cTop-quartile MDI scorers increased their revenues and total returns to shareholders (TRS) substantially faster than their industry counterparts did over a five-year period\u201432 percentage points higher revenue growth and 56 percentage points higher TRS growth for the period as a whole.\u201d <\/span><\/p>\n This was true across all three industries studied.<\/p>\n ...which also happen to be design actions and methodologies that Marvel<\/a> can help you achieve.<\/p>\n \u201cTop-quartile companies embrace the full user experience; they break down internal barriers among physical, digital, and service design. The importance of user-centricity, demands a broad-based view of where design can make a difference.\u201d <\/span><\/p>\n Rather than beginning with the same technical specs from the last product, it\u2019s important to map customer journeys, potential pain points and sources of delight. MDI elaborate that this approach needs to be supported by solid customer insights which must be gained firsthand. User research and testing<\/a> helps you to understand the needs of potential customers in their own environments. \u201cThese insights must be championed at every meeting.\u201d<\/p>\n Combining physical products, digital tools, and \u201cpure\u201d services provides new opportunities for companies to capture this range of experience.<\/p>\nThe Report\u2019s Outcome Defined Design\u2019s Business Value and Design ROI<\/h2>\n
The four MDI design themes you need to apply...<\/h2>\n
User Experience: Make it delightful<\/h3>\n