Why Companies Invest in Design Thinking: A Path to Innovation and Growth
Organizations are continuously searching for ways to stay competitive and create meaningful value for their customers. One approach that has gained significant traction is Design Thinking. But what makes this methodology so valuable for businesses, and why are companies increasingly investing in building this capability?
Understanding the Impact
The best way to understand the impact of Design Thinking is to explore how design thinking transforms organizations through real-world examples:
1. Customer-Centricity That Drives Results
IBM’s transformation journey offers a compelling example of design thinking’s impact. By investing in design thinking training for their teams and establishing design studios globally, IBM has radically changed how they approach problem-solving. This investment has led to faster time-to-market and significant improvements in user satisfaction across their product portfolio.
2. Innovation That Makes a Difference
LEGO’s recovery from near-bankruptcy in the early 2000s was partly driven by embracing design thinking principles. By deeply engaging with how children actually play and what parents value, LEGO developed new product lines and experiences that reconnected with their core audience while expanding into new markets.
3. Risk Reduction Through Smart Testing
Intuit, the company behind TurboTax and QuickBooks, uses design thinking to simplify complex financial processes. Their “Follow Me Home” program, where designers observe customers using their products in real environments, has helped them identify and fix issues early, saving millions in potential redevelopment costs.
4. Breaking Down Silos for Better Collaboration
PepsiCo’s design thinking initiative brought together marketers, engineers, and designers to reimagine their beverage experience. This cross-functional collaboration led to innovations in packaging, dispensing systems, and sustainable solutions that addressed both consumer needs and environmental concerns.
5. Cultural Transformation
Nike’s adoption of design thinking has transformed their approach to product development. Their consumer-first mindset has led to innovations like Nike FlyEase, a shoe design that helps athletes of all abilities. This wasn’t just a product innovation – it represented a shift in how the company thinks about inclusivity and accessibility.
6. Creating Competitive Advantage
Airbnb’s turnaround story is often attributed to their design thinking approach. By deeply understanding both host and guest experiences, they were able to create a platform that addressed real pain points in travel accommodation, revolutionizing the industry in the process.
The Real Value
After reading these examples, you may think that Design Thinking is for large and big-name organizations. Nothing is further from the truth. More and more, organizations in the, respectfully, mid-market sector are investing in making Design Thinking a part of their business-as-usual practices.
What makes Design Thinking particularly powerful is its ability to create lasting change. Organizations that embrace Design Thinking don’t just solve immediate problems – they develop a sustainable capability for continuous innovation and improvement. This methodology becomes part of their DNA, influencing how they approach everything from product development to customer service.
The results speak for themselves:
Recommended Next Steps
Every organization’s journey with Design Thinking is unique, and the first step is understanding how this approach can benefit your specific context. We’d welcome the opportunity to have an exploratory conversation about how Design Thinking could transform your organization.
Our team brings years of experience helping companies build and strengthen their Design Thinking capabilities. Whether you’re just starting to explore design thinking or looking to enhance your existing practices, we can help you chart a path forward.
Reach out to schedule a conversation where we can:
Contact us at to start the conversation. Our calendaring feature allows for scheduling a 30-minute Zoom meeting at a day and time that is convenient for you. Or simply send us a message. Let’s explore how Design Thinking can help your organization innovate and grow.
