Innovation and New Product Development Case Study

Design Thinking': An Innovative Problem-solving Approach at P&G

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Abstract:
'Design Thinking' (DT) in recent times has been seen as a new approach to problem solving by the corporates. Having faced turbulent times and the appointment of a new Chairman and CEO, AG Lafely in 2000, the global fast moving consumer goods giant, Procter & Gamble Co has been trying to embed DT into the company DNA aiming to make design a part of every step of the product development process, from research to the store shelves. Be it the revival of its hair care brand Herbal Essences in 2006, or the launch of olayforyou.com for easy purchase of the Olay range of products in 2008, DT has been an integral part of P&G in recent times. With the new approach, in a time span of just eight years, P&G has more than doubled its revenues to reach $83.5 billion in 2008. The goal of the new thinking method at P&G is to build irresistible brands that create an emotional connection and delight consumers. Drawing parallels to the DT initiatives of P&G, the case provides scope to understand the concept of DT and analyse it as a problem solving tactic vis-a-vis a traditional analytical approach of businesses.

Pedagogical Objectives:

Keywords :  Procter & Gamble Co, AG Lafely, Claudia Kotchka, Design thinking (DT), Creative thinking, Innovation, Analytical thinking, Clay Street Project, Herbal Essences, Olay, MagicReach, Kandoo, IDEO, Design, Household products