Behavioural Science + Product Innovation = ❤️

Behavioral Science + Product Innovation = ❤ FITC Spotlight UX
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Behavioral Science + Product Innovation = ❤ | @bermonpainter 2

Behavioral Science Behavioral Economics User Experience Product Innovation + + =

B E H A V I O R A L S C I E N C E Understanding how people’s thoughts, feelings, and actions lead to speciﬁc behaviors.

B E H A V I O R A L E C O N O M I C S Combines our understanding of people’s behaviors and how they use their money or other resources.

U S E R E X P E R I E N C E Understanding of how people feel when they’re using a product, service or other types of experiences.

P R O D U C T I N N O V A T I O N Finding new ways to solve complex problems in ways that generate viable solutions and create value.

“The integration of behavioral science, behavioral economics, and UX design principles will create more engaging, intuitive, and effective user experiences O P I N I O N

P A R T I How We Think Behavioral Science + Product Innovation = ❤. | @bermonpainter

1H O W W E T H I N K Intuitive & Automatic Our brains operate automatically, quickly, with little or no effort, and no sense of voluntary control. It's our intuitive, automatic, and immediate mode of thinking. For instance, when you see 2+2, your mind instantly comes up with the answer

2 H O W W E T H I N K Deliberate & Analytical Our brains operate deliberative, slow, and effortful. It's our conscious, rational, and analytical mode of thinking. Consider a more complex math problem, like 17x24, you made need to think about it a little more.

“We can be blind to the obvious, and we are also blind to our blindness. Daniel Kahneman Thinking, Fast and Slow

P A R T I I How We Decide Behavioral Science + Product Innovation = | @bermonpainter

1H O W W E D E C I D E Gentle Nudges Subtle design choices that can influence the decisions and behaviors of individuals in predictable ways.

Understand the Behavior Deﬁne the Desired Behavior Identify Nudge Opportunities Design the Nudge Test and Reﬁne Evaluate and Monitor C R E A T I N G G E N T L E N U D G E S 1 2 3 4 5 6

“A nudge…alters people's behavior in a predictable way without forbidding any options or signiﬁcantly changing their economic incentives. Richard Thaler Nudge

2 H O W W E D E C I D E The Ability to Choose Choice architecture is the practice of inﬂuencing choice by organizing the context in which people make decisions.

Understand the Decision- Maker Deﬁne the Decision Identify Choices Design the Choice Environment Test and Reﬁne Evaluate and Monitor C R E A T I N G C H O I C E A R C H I T E C T U R E S 1 2 3 4 5 6

3 H O W W E D E C I D E Motivating Action Motivation is the driving force behind our actions based on our need for autonomy, mastery, and purpose.

“The secret to high performance and satisfaction…is the deeply human need to direct our own lives, to learn and create new things, and to do better by ourselves and our world. Daniel Pink Drive

4 H O W W E D E C I D E Being Biased Systematic errors in thinking that affect the decisions and judgments individuals make.

P A R T I I I Changing Behaviors Behavioral Science + Product Innovation = | @bermonpainter

The Orchestrating Innovation Framework 1. InnovationOps Model 2. Innovation Program Management 3. Innovation Delivery 1.1 Operational Logistics 1.1.1. Funding 1.1.2. Structure 1.1.3. Profit Model 1.1.4. Talent 1.1.5. Process 1.2 Portfolio Management 1.2.1. Risk Appetite 1.2.2. Strategic Alignment 1.2.3. Metrics & Performance 1.2.4. Differentiation 1.1.5. Ecosystem Building 1.3 Experience Strategy 1.3.1. Products, Services, Business Models, Processes, and Assets 1.3.2. Channel Alignment 1.3.3. Brand Strategy 1.3.4. Engagement 2.1. Vision & Objectives 2.2. Scope 2.3. Approach 2.4. Staffing Management 2.4. Metrics & Reporting 2.4. Budgeting 3.1. Intake 3.1.1. Qualification 3.1.2. Opportunity Recognition 3.1.3. Scoping & Sizing 3.2. Discovery 3.2.1. Primary Research 3.2.2. Secondary Research 3.2.3. Market Analysis 3.2.4. Competitive Analysis 3.3. Experimentation 3.3.1. Frame Assumptions 3.3.2. Create Hypothesis 3.3.3. Brainstorm Solutions 3.3.4. Prioritize Focus Areas 3.3.5. Build Rapid Prototypes 3.3.6. Validate & Measure 3.3.7. Synthesize Learnings 3.4. Business Case 3.4.1. Risk Analysis 3.4.2. Value Proposition 3.4.3. Financial Modeling/ROI 3.4.5. Recommendations 3.5. Decision 3.5.1. Go-to-Market 3.5.2. Pivot 3.5.3. Discontinue Transition & Scale _build Element Lab Local Market Other Partner Internal Team Nearshore / Offshore Partners (AWS, MS, GCP) A well orchestrated, disciplined, and practical approach to innovation.

Behavior-Based Test & Learn Model A rapid prototyping model leveraging behavioral design techniques to systematically influence human behavior in features, products, or services. Understand current pain points, unmet needs, and gather enough data to understand what’s happening in order to create one or more hypothesis statements to explore and validate. EXPLORE DISCOVER OBSERVE DETERMINE THE OPPORTUNITY HYPOTHESIZE VALIDATE FRAME ASSUMPTIONS IDENTIFY BEHAVIORS CONCLUDE GENERATE SCENARIOS NARROW FOCUS BUILD MEASURE LEARN DETERMINE ALIGNMENT DECIDE Begin to understand the “what” by leveraging behavioral design heuristics (e.g. endowed progress, social proof, framing, anchoring, etc.) Define the problem areas and reframe them as an opportunity statements. Create associated behavioral KPI’s. Form initial hypothesis statements that articulate the action, change, and measure expected then begin to explore the problem-solution fit. Begin to explore problem-solution fit scenarios that are human-needs based, narrow your focus and prioritize what will be built and tested. Where you have any gaps in data or understanding, clearly articulate any assumptions being made. Identify the behaviors you want to reinforce by leveraging the CAR model (cues, actions, and rewards) Refine your earlier hypothesis statement to include your newly identified behaviors. Prioritize your scenarios based on impact/complexity, determine what will be built, how you will validate, and the appropriate prototyping fidelity and method. Create rapid prototypes that can easily be validated with end-users, measure against clear criteria, and document the main learnings. Determine the appropriate method and fidelity for the rapid prototype (e.g. mockup, clickable prototypes, simulations, stories) and only build what’s needed to successfully validate your hypothesis. Create a test plan, determine the appropriate testing method (e.g. usability tests, contextual inquiries, tree tests, card sorts) and capture data from end-users. Synthesize the test results and determine if the defined target behaviors were achieved and if the hypothesis was validated or invalidated. The KANO model may be helpful to visualize the results. Create your final business case and recommend the direction that should be taken based on the results. Articulate how well the solution aligns to core business and customer needs, adds value to the existing product or service, and the feasibility to implement and scale. Recommend a direction forward based on the data gathered, validity of the hypothesis, and alignment to core business and customer needs. The intent is to help the organization understand whether to continue to invest in the proposed solution or move on and explore other challenges.

Identify Innovative Opportunities We leverage an Open Innovation model to train the organization how to think about how to solve challenges and uncover the most valuable opportunities differently. Align Teams We align teams around the problem-solution ﬁt scenarios, narrow our focus and prioritize what will be built, tested, and measured. Explore Concepts We adopt a mix of lean, design thinking and agile methodologies to quickly explore and create new tangible business concepts that can be validated. Validate Prototypes We validate concepts with end- users, measure against clear criteria, and document the main learnings to help determine what to prioritize and bring to market. Decide what to Bring to Market We create a robust business case to determine which solutions generated sufﬁcient value and should move forward and which should not. Build, Pilot & Scale We follow an agile deliver model to implement the chosen solutions and prepare for an initial pilot or full market roll-out with a core focus on driving growth. 1-4 weeks 1-2 weeks 3-12 weeks 2-4 weeks 1-2 weeks 12+ weeks Putting Everything Together

Identify Innovative Opportunities We leverage an Open Innovation model to train the organization how to think about how to solve challenges and uncover the most valuable opportunities differently. • Art-of-the possible workshops • Future-back workshops • Primary & secondary research • Competitive analysis • Behavioral design analysis • Opportunity prioritization • Initial hypothesis statements Align Teams We align teams around the problem-solution fit scenarios, narrow our focus and prioritize what will be built, tested, and measured. • Vision & KPI workshops • Problem-solution fit workshops • Scenario & solution planning • Value stream identification • Portfolio alignment • Venture partnerships • Innovation brief Explore Concepts We adopt a mix of lean, design thinking and agile methodologies to quickly explore and create new tangible business concepts that can be validated. • Task & workflow mapping • Choice architectures • Service blueprints • Feature definition • Brand exploration • Experience design • Rapid prototypes Validate Prototypes We validate concepts with end- users, measure against clear criteria, and document the main learnings to help determine what to prioritize and bring to market. • Validation plan • Contextual inquiries • Surveys • Market testing • Validation synthesis Decide what to Bring to Market We create a robust business case to determine which solutions generated sufficient value and should move forward and which should not. • Risk analysis • Value proposition • Market-fit results • ROI modeling • Value stream mapping • Roadmap alignment • Portfolio alignment • Executive presentation Build, Pilot & Scale We follow an agile deliver model to implement the chosen solutions and prepare for an initial pilot or full market roll-out with a core focus on driving growth. • Agile delivery • Cloud & infrastructure modernization • QA testing • Pilot strategy • Go-to-market strategy • Release roadmap • Change management • Transition strategy 1-4 weeks 1-2 weeks 3-12 weeks 2-4 weeks 1-2 weeks 12+ weeks Product Innovation Accelerator

“Effective behavior change design requires a deep understanding of users' behavior, motivations, and context, and the creativity to design solutions that meet them where they. Stephen Wendel Designing for Behavior Change

Behavioral Science + Product Innovation = ❤ | @bermonpainter Dowser
story Knowing where to dig, is more important than the digging itself 40 Image of dowsing – somebody walking through a ﬁeld (AI generated?) Berm on

Knowing where to dig is more important than the digging itself

1T H R E E T A K E A W A Y S Successful product innovation depends far more on knowing where valuable opportunities exist over how to innovate

2 T H R E E T A K E A W A Y S Altering people's behaviors require ethics and the presence of choice without signiﬁcantly changing their economic outcomes in a negative way.

3 T H R E E T A K E A W A Y S While creativity can involve exploring crazy ideas, serious ideas must be grounded in viability and feasibility.

M. Bermon Painter G L O B A L I N N O V AT I O N & D E S I G N L E A D E R Virtual Office Hours Every Friday from 7-9am EST https://calendly.com/bermon-painter Social Media @bermonpainter [email protected]

What questions do you have? Behavioral Science + Product Innovation = | @bermonpainter

Behavioural Science + Product Innovation = ❤️

Behavioural Science + Product Innovation = ❤️

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