Challenge of interaction design
With typefaces and chairs, the problems don’t change much over time. Having readable text and a place to sit, after all, are things that we’ve pretty well solved, even if our tastes change. But the problems are always changing in interaction design. It’s a feature, not a bug, that there is nothing eternal in digital design, other than core UX/UI principles such as feedback, navigability, and consistency. Let’s hope that the big tech giants are working to solve the nagging annoyances and time sucks they made, when their mobile phones began eating the world.
Cliff from FastCompany.
Changing banking culture
From the Banking Royal Comission in Australia:
Orr was right when she said there were doubts as to whether it was “appropriate or even possible to prescribe a particular culture for financial services entities”.
And as much as the community might demand that a board or a regulator can actually “ensure” that risk controls are in place and working throughout an organisation, Henry is probably right when he says it is too strong a concept.
His underlying point was that like it or not, no amount of legislation or regulatory oversight will prevent misconduct.
To be clear, this is not a reason to stop the processes of strengthening the legislation, or increasing the powers and resources of regulators.
But what we are dealing with is a question of how to guide banks and other financial institutions to build, and then maintain, cultures that put customers first.
Art of Business Model Design : Case of RCR Tomlinson
The ABC story covers the dramatic fall of one of the oldest engineering firms in Australia.
Just three months after one of the oldest engineering names in Australia raised $100 million from shareholders to buffer itself after taking a big hit on two solar farm projects, the company has gone into administration.
So what went wrong for RCR Tomlinson?
There are lots of information and some hunches. As we are starting to understand it is clear that they missed some few key assumptions in the solar energy market.
- “They did not allow for the fact that there was a shortage of skilled solar farm workers in Australia. They bit off more than they could chew.”
- Rising equipment costs
- Understanding the regulatory environment for approvals
- Write downs on two Queensland solar farms
As one commentator put it:
“But the more accurate way to describe it is they did not know what they were doing. They bid on contracts they couldn’t complete, they underbid in order to win contracts.”
So, what happened? How can you have a successful firm fail so quickly?
It comes down to business model design.
A great framework I use to enable organisations to enter a new market is the The Knowledge Funnel: from Thinkers50 guru Roger Martin.
Any knowledge, including building a business model goes through three stages. Mystery, Heuristics and Algorithms.
Consider the falling objects. After a long period of observation and contemplation, human beings in various cultures more or less simultaneously developed the notion of a universal force that tends to pull physical objects earthward. Understanding advanced from a mystery—why do things fall to earth?—to a heuristic, a rule of thumb for explaining why things fall—a force we call gravity causes things to fall to earth. Heuristics represent an incomplete yet distinctly advanced understanding of what was previously a mystery.
In RCR Tomlinson case, they had the large mining engineering work down from Mystery and Algorithm. They knew their work and created value.
Enter the solar industry. Not knowing the organisation it looks like from data available now they moved from algorithm to algorithm. What I mean is they did not go up the knowledge funnel and start at Mystery.
Asking the right questions at the Mystery,
- what is the solar industry?
- How fast is growing?
- Who is the competition?
- What tech and skills are needed?
- What is the business model?
Moving to Heuristics
- How might we prototype a small project?
- What can we learn about timelines, workforce, business model?
- How much of this is similar or different from the current business?
- What do we need to change?
Finally to Algorothms
- We have tested the business model.
- We have replicated projects a result times
- Ready to scale
The real challenge is going back to the Mystery and showcasing humble leadership to ask the right questions and then through rigorous testing and prototyping we get the right business model.
The basic definition of a digital twin: it’s a digital representation of a physical object or system. The technology behind digital twins has expanded to include larger items such as buildings, factories and even cities, and some have said people and processes can have digital twins, expanding the concept even further.
Mighty IKEA is exploring new models
We see that customer behaviours are changing, that people are not visiting in all the stores in the same way,” Mr Gardberg told The Australian Financial Review.
“Ikea is definitely a world-class retailer in the blue box but when it comes to the digital online world there are still a lot of learnings and we as a retailer need to gain knowledge and experience.
“We want to invest in a new type of store format and fulfilment centres, and develop approaches so we can reach where people actually live.
“We cannot access consumers today with big-format stores. We need to develop new formats and invest in our e-commerce platform — we have good strength in our stores but we’re complementing that with the digital transformation.”