1) The document discusses how companies can integrate customers into the product development process through co-creation to adapt to changing customer expectations. 2) It recommends a three-step approach: 1) Enable customers to co-create, 2) Check the feasibility of customer ideas, and 3) Check the profitability of customer ideas. 3) Integrating customers through co-creation can lead to higher profits by increasing revenue through more desirable products, decreasing costs by aligning internal processes, and improving the company's brand image.

1. Integrated Customer Innovation
By Maikel²
Capgemini Consulting

2. The world is changing from institutional control to customer control
The role of customers is changing Product design shifts from inside-out to outside-in
The world is changing, who survives is not the strongest but the
most adaptive company. Capgemini makes your company the
survivor in the world of co-creation.
The world
is changing
Development of new Customers tell you
products is not longer only directly what they want
done within the company and need
• The effectiveness of co-creation will depend on how much value is created for both customers and producers.
Companies will have to select opportunities with the highest potential payoff.
• Transforming the business processes to become a highly efficient and adaptive company is mandatory to enable the
company to integrate customer innovation.
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3. By obtaining your customers on the required level of involvement, they
will become valuable resources
Advantages of co-creation
• Enabling users’ ability and providing
opportunities to invent solutions, which
have personal value and meaning for them
and offer businesses the opportunity to
accelerate their own learning
• Allows the company to tap into customers’
intelligence and to leverage their creativity
and problem-solving capabilities
• Facilitates the creation of knowledge about
key features or functions of products that will
assure product success in the market
What are the challenges you face
Important is to keep the customer involved,
• Find the right customer and get them involved
• Prevent legal risks (privacy/ branding)
• Have a win-win relationship with your
customer
Co-creation adds a new dynamic to the producer/customer • Receive the effort required from your
relationship by engaging customers directly in the production or customer
distribution of value. Companies must learn new techniques to
motivate customers to co-create value as well as ways to
successfully monitor and manage the process along the way.
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4. Enabling a company to involve customers effectively in the design
phase, contains several steps which result in an ongoing process
1. Community
The ready for the new
customer process
customer
Idea 1. A customer community is created and
customer (potential) customers are invited to visit the
complain community and deliver input.
customer 2. The input gathered will be controlled and
question delivered in coherent portions.
3. A linking pin inside the company should
determine whether the customer
requirements are feasible within the supply
chain, by checking internal and external
availability
2.
Community
control 4. From a financial perspective, strategic
insight is given by analyzing profitability
and by applying value control.
6. Market 3.Feasibility 5. The selected design characteristics are
applied in the production process / service
offering and run though the supply chain
6. Product / service offering is brought to
market
5. Supply 4.
chain Profitability
Cagemini’s collaborative way of working, its experiences in multidiscipline projects,
and its innovative approach of making co-creation profitable is a unique combination!
CE v6.3 © 2008 Capgemini - All rights reserved
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5. Implementing three building blocks enables your company to integrate
customers in the design process
Three step approach
A three step approach is suggested to make your
company ready for the new customer.
1. Enable your •Step 1: Enable your customer to co-create. Create a
customer to co-create win-win situation for both customer and company
•Step 2: Check whether the client ideas are feasible.
Develop a linking pin inside the company to perform an
2. Enable feasibility check
internal and external feasibility check.
•Step 3: Check whether the client ideas are profitable.
Build a business case and check the CPM (client profit
3. Enable profitability check margin)
Implementing one of the three step also proved to be
beneficial
Project Approach
Level of customer Involvement
Level 4
Ready for new customer
The project approach to make a company ready for the
Level 3
new customer, depends on the maturity state of the client
Managing the supply chain company in the different focus areas.
Level 2 An AS-IS study is therefore critical to define the
company’s opportunity areas and structure the business
Aligned internal processes transformation project. This AS-IS study will be drawn up
during workshops and focus interviews.
Level 1
Capgemini can offer the INNOVATE NL as accelerator to
Stand alone company bring stakeholders together for vision and strategy
development
Maturity level of company
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6. Integrating customers in the product development process will lead to
higher profits
Integrated Customer Innovation
Product design based on integrated
customer innovation (ICI) results in profit
increase:
Level of consumer Integration
• Increase of revenue by product design
based on customer input instead of
internal expertise.
• Increase of success rate product
developments since uncertain
Potential situation
customer factors are diminished.
situation
Current
• Companies branding image will be
influenced positively towards
proposition leader.
• Concluding in higher sales and
market share
• Decrease of costs by alignment of internal
processes
• Effective product development
• Lead time reduction
• Concluding in a more efficient
Maturity level of company process
• Potential savings of 10% of product development process cost
• Potential earnings of 10% based on experiences with integration of customers
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7. Contact Details
Consulting Services Consulting Services
Maikel Lieste Maikel Miggelbrink
Supply Chain Management Financial Transformation
Capgemini Nederland B.V. Capgemini Nederland B.V.
Papendorpseweg 100, P.O. Box 2575, Papendorpseweg 100, P.O. Box 2575,
3500 GN Utrecht - The Netherlands 3500 GN Utrecht - The Netherlands
T. +31 30 6895199 - F. +31 30 689 55 60 T. +31 30 6895844 - F. +31 30 689 55 60
Mob. +31 6215 030 462 Mob. +31 622481284
maikel.lieste@capgemini.com maikel.miggelbrink@capgemini.com
www.nl.capgemini.com www.nl.capgemini.com
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