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BETTER BY MEASURE 
BECOMING BETTER BY MEASURE 
Class 1 | September 4, 2014 
BETTER BY MEASURE | WEEK 1: SEPTEMBER 4, 2014
BETTER BY MEASURE 
MANIFESTO PART ONE 
BETTER BY MEASURE | WEEK 1: SEPTEMBER 4, 2014
MANIFESTO FOR BETTER BY MEASURE 
BETTER BY MEASURE | WEEK 1: SEPTEMBER 4, 2014 
3 
WE ARE TRANSITIONING BETWEEN TWO WAYS OF 
SEEING THE WORLD.
MANIFESTO FOR BETTER BY MEASURE 
BETTER BY MEASURE | WEEK 1: SEPTEMBER 4, 2014 
4 
FROM: 
• Organization as machine 
• “The purpose of a business is to increase shareholder value.” 
• Hierarchy in control 
• Scarce resources 
TO: 
• Society as ecosystem 
• The purpose of a business is to create value for stakeholders 
• Collaboration and co-creation 
• Zero marginal costs, abundant resources
“THE PURPOSE OF A BUSINESS IS TO INCREASE 
SHAREHOLDER VALUE.” 
BETTER BY MEASURE | WEEK 1: SEPTEMBER 4, 2014
“THE PURPOSE OF A BUSINESS IS TO INCREASE 
SHAREHOLDER VALUE.” 
BETTER BY MEASURE | WEEK 1: SEPTEMBER 4, 2014
MANIFESTO FOR BETTER BY MEASURE 
BETTER BY MEASURE | WEEK 1: SEPTEMBER 4, 2014 
7 
We’re optimistic. 
We were born before you (probably), but we are millenials. 
Purposeful. 
Mission-driven. 
Entitled to create. 
Optimistic.
MANIFESTO FOR BETTER BY MEASURE 
BUT WE HAVE BEEN LIVING MOSTLY IN THE WORLD 
OF “FROM.” 
BETTER BY MEASURE | WEEK 1: SEPTEMBER 4, 2014 
8 
ARAL SEA: 1989 
ONE OF LARGEST 
FOUR LAKES IN 
THE WORLD. 
ARAL SEA: 1989 
10% OF ORIGINAL 
SIZE.
WHERE WE’RE FROM 
REBECCA SILVER 
JENNIFER VAN DER MEER 
BETTER BY MEASURE | WEEK 1: SEPTEMBER 4, 2014
REBECCA SILVER: I AM A MICHIGANDER 
LANSING WAS THE HOME OF OLDSMOBILE FROM 1897 - 1998. 
1970 to 2010 POPULATION: 131,500 to 114,000 = 13% decrease 
1970 to 2010 MANUFACTURING JOBS: 32,100 to 18,400 = 43% decrease 
THIS PROBLEM IS SYSTEMIC. MICHIGAN IS THE ONLY STATE WITH A 
DECREASING POPULATION. 
BETTER BY MEASURE | WEEK 1: SEPTEMBER 4, 2014 
10 10
WHAT HAPPENED? 
THE CLEAN AIR ACT PASSED IN 1970 AND IN THE 1973 ARAB OIL EMBARGO 
SHOOK THE AUTO INDUSTRY. 
LARGE, GAS-GUZZLING CARS GAVE WAY TO SMALL, FUEL-EFFICIENT 
JAPANESE IMPORTS. 
TODAY WE OUTSOURCE OUR ENVIRONMENTAL IMPACTS. 
BETTER BY MEASURE | WEEK 1: SEPTEMBER 4, 2014 
11 11
MAKING BETTER THINGS NOT MAKING THINGS BETTER 
I WORK WITH COMPANIES TO REFRAME SUSTAINABILITY AS A 
BUSINESS OPPORTUNITY, TO CREATE VALUE RATHER THAN TO 
REDUCE IMPACT. 
I HAVE WORKED FOR ADIDAS, THE NRDC, THE CFDA, WALMART, EDF 
AND OTHERS. I TEACH AT SVA & PARSONS. 
BETTER BY MEASURE | WEEK 1: SEPTEMBER 4, 2014 
12 12 
BFA IN INDUSTRIAL DESIGN (RISD). 
MBA & MS IN BUSINESS & ENVIRONMENTAL SCIENCE (UofM). 
I THINK VISUALLY & SCIENTIFICALLY. 
SHOW ME THE EVIDENCE THEN COMMUNICATE IT BEAUTIFULLY.
JEN VAN DER MEER 
BETTER BY MEASURE | WEEK 1: SEPTEMBER 4, 2014 
13 13
About Jen 
REASON STREET 
ORGANIC INC. 
ECONOMIST 
BETTER BY MEASURE | WEEK 1: SEPTEMBER 4, 2014 
14 
TECH ANALYST 
MBA – HEC 
MOM 
ITP PITCHFEST 
OPEN DATA 
DRILLTEAM 
LUMINARY 
LABS 
DACHIS 
WEST VILLAGE 
DESIGNERS 
ACCORD 
SYSTEMS 
THINKING 
SUBURBAN 
CHILDHOOD 
FROG DESIGN 
SUSTAINABILITY 
BA COMP 
RELIGION
BETTER BY MEASURE | WEEK 1: SEPTEMBER 4, 2014
BETTER BY MEASURE 
MANIFESTO PART TWO 
BETTER BY MEASURE | WEEK 1: SEPTEMBER 4, 2014
PROVOCATION 
YOU HAVE THE ENTHUSIASM, SKILLS AND 
WORLDVIEW TO MAKE THE CHANGE YOU WANT TO 
SEE IN THE WORLD. 
BETTER BY MEASURE | WEEK 1: SEPTEMBER 4, 2014 
17
WHAT WILL STOP YOU 
BETTER BY MEASURE | WEEK 1: SEPTEMBER 4, 2014 
18 
Incumbent thinking. 
Unquestioned heuristics about how the business world works. 
Mindless observance of guidelines and measures. 
Low expectations. 
Pessimism. 
Despair.
WHAT WE WILL GIVE YOU 
BETTER BY MEASURE | WEEK 1: SEPTEMBER 4, 2014 
19 
Leadership skills. 
Persuasion, influence. 
Hope. 
Measurement. 
Argument building: evidence that your path is the true way forward.
THERE WILL BE MATH 
BETTER BY MEASURE | WEEK 1: SEPTEMBER 4, 2014 
20
EVIDENCE BUILDING IS A SKILLSET 
BETTER BY MEASURE | WEEK 1: SEPTEMBER 4, 2014 
21 
You will use valid sources. Wikipedia is not a valid source. 
You will document all sources and embed the sources in your presentations. 
You will document your assumptions carefully. 
You will document data gaps. 
You will document all calculations and you will show your math. 
You will edit and spellcheck your work or we will make you do it again. 
And we will help you build and practice these skills.
WHAT WE EXPECT OF YOU 
BETTER BY MEASURE | WEEK 1: SEPTEMBER 4, 2014 
22 
Academic integrity. 
Hard work (ask the graduates). 
Learning through doing, and hope will come later if you do not have it yet.
THE CLASS WILL RUN AS A START-UP ACCELLERATOR 
BETTER BY MEASURE | WEEK 1: SEPTEMBER 4, 2014 
23 
CONGRATULATIONS, YOU HAVE BEEN ACCEPTED 
INTO BETTER BY MEASURE’S FALL ‘14 CLASS. 
BETTER BY 
MEASURE
BETTER BY MEASURE: OVERVIEW 
BETTER BY MEASURE | WEEK 1: SEPTEMBER 4, 2014 
24 
PART 1 – CONCEPT: Breaking down business models + concept development 
• September 4: Introductions 
• September 11: Value Creation 
• September 18: Measured Risk 
• September 25: Intro to Lean 
PART 2 – VALIDATE: Building business models back up + validation 
• October 2: Lean Customer Discover 1 
• October 9: Lean Customer Discovery 2 
• October 16: Measured Impact 
• October 23: Midterm 
PART 3 – CHARETTE: Iterative redesign through stakeholder charettes 
• October 30: Design for Trees and Bees (Environment) 
• November 6: Design for Jane Jacobs (Civic Engagement) 
• November 13: Design for the Body (Health) 
• November 20: Physical Prototype Critique 
PART 4 – PROTOTYPE: Prototype, test, demo day 
• November 27: Thanksgiving (No Class), One-on-ones 
• December 4: Prototype Test Critique (Prep for Final) 
• December 11: Marketing Test Critique (Final)
NOW ENOUGH ABOUT US. 
BETTER BY MEASURE | WEEK 1: SEPTEMBER 4, 2014 
25 
INTERVIEW TIME. 
We will be matching teams for our accellerator class based on skills, interests, and 
motivations. We will now be interviewing each one of you to compose startup teams. 
Are you a Maker, Marketer, or Mover Shaker?
CLASS RULES 
JUST A FEW 
BETTER BY MEASURE | WEEK 1: SEPTEMBER 4, 2014
CLASS RULES 
BETTER BY MEASURE | WEEK 1: SEPTEMBER 4, 2014 
27 
• Questions are always welcome so ask them at any time. 
• Be ready on time for class, including having presentation materials up on the board or 
loaded on the class computer prior to the start of class. 
• No laptops, lids down. 
• No phones during class. 
• Food is just fine, except when there are guests/speakers present. 
• EMAIL IN ADVANCE OF CLASS if you will be late or miss a class.
HOMEWORK 
FIRST ASSIGNMENT 
BETTER BY MEASURE | WEEK 1: SEPTEMBER 4, 2014
BREAKING DOWN A BUSINESS MODEL 
BETTER BY MEASURE | WEEK 1: SEPTEMBER 4, 2014 
29
RESEARCH & PRESENT THE ANSWERS TO: 
BETTER BY MEASURE | WEEK 1: SEPTEMBER 4, 2014 
30 
HOW DOES THE COMPANY MAKE MONEY? 
WHAT DO THEY DO FOR THE WORLD THAT IS GOOD? 
THEN CREATE A BUSINESS MODEL CANVAS FOR THE COMPANY. 
SUBMIT TO THE DROPBOX BY 4PM ON THE DAY OF CLASS.
THE BUSINESS MODEL CANVAS 
BETTER BY MEASURE | WEEK 1: SEPTEMBER 4, 2014 
31 
KEY PARTNERS KEY ACTIVITIES VALUE PROPOSITIONS 
CUSTOMER 
RELATIONSHIPS 
KEY RESOURCES 
CHANNELS 
COST STRUCTURE REVENUE STREAMS 
CUSTOMER 
SEGMENTS 
Who are our key partners? 
Who are our key suppliers? 
Which key resources are we 
acquiring from our partners? 
Which key activities do our 
partners perform? 
What value do we deliver to the 
customer? 
Which one of our customers’ 
problems are we helping to 
solve? 
What bundles of products and 
services are we offering to each 
segment? 
Which customer needs are we 
satisfying? 
What is the minimum viable 
product? 
For whom are we creating 
value? 
Who are our most important 
customers? 
What are the customer 
archetypes? 
What key activities do our value 
propositions require? 
Our distribution channels? 
Customer relationships? 
Revenue Streams? 
What key resources do our 
value propositions require? 
Our distribution channels? 
Customer relationships? 
Revenue Streams? 
How do we get, keep, and grow 
customers? 
Which customer relationships 
have we established? 
How are they integrated with 
the rest of our business model? 
How costly are they? 
Through which channels do our 
customer segments want to be 
reached? 
How do other companies reach 
them now? 
Which ones work best? 
Which ones are most cost-effective 
How are we integrating them 
with customer routines? 
What are the most important costs inherent to our business model? 
Which key resources are most expensive? 
Which key activities are most expensive? 
For what value are our customers really willing to pay? 
For what do they currently play? 
What is the revenue model? 
What are the pricing tactics? 
SOURCE: www.businessmodelgeneration.com//canvas | Canvas concepts developed by Alexander Osterwalder and Yves Pigneur.

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Better by Measure: Becoming Better by Measure (Class 1, SVA Products of Design 2014)

  • 1. BETTER BY MEASURE BECOMING BETTER BY MEASURE Class 1 | September 4, 2014 BETTER BY MEASURE | WEEK 1: SEPTEMBER 4, 2014
  • 2. BETTER BY MEASURE MANIFESTO PART ONE BETTER BY MEASURE | WEEK 1: SEPTEMBER 4, 2014
  • 3. MANIFESTO FOR BETTER BY MEASURE BETTER BY MEASURE | WEEK 1: SEPTEMBER 4, 2014 3 WE ARE TRANSITIONING BETWEEN TWO WAYS OF SEEING THE WORLD.
  • 4. MANIFESTO FOR BETTER BY MEASURE BETTER BY MEASURE | WEEK 1: SEPTEMBER 4, 2014 4 FROM: • Organization as machine • “The purpose of a business is to increase shareholder value.” • Hierarchy in control • Scarce resources TO: • Society as ecosystem • The purpose of a business is to create value for stakeholders • Collaboration and co-creation • Zero marginal costs, abundant resources
  • 5. “THE PURPOSE OF A BUSINESS IS TO INCREASE SHAREHOLDER VALUE.” BETTER BY MEASURE | WEEK 1: SEPTEMBER 4, 2014
  • 6. “THE PURPOSE OF A BUSINESS IS TO INCREASE SHAREHOLDER VALUE.” BETTER BY MEASURE | WEEK 1: SEPTEMBER 4, 2014
  • 7. MANIFESTO FOR BETTER BY MEASURE BETTER BY MEASURE | WEEK 1: SEPTEMBER 4, 2014 7 We’re optimistic. We were born before you (probably), but we are millenials. Purposeful. Mission-driven. Entitled to create. Optimistic.
  • 8. MANIFESTO FOR BETTER BY MEASURE BUT WE HAVE BEEN LIVING MOSTLY IN THE WORLD OF “FROM.” BETTER BY MEASURE | WEEK 1: SEPTEMBER 4, 2014 8 ARAL SEA: 1989 ONE OF LARGEST FOUR LAKES IN THE WORLD. ARAL SEA: 1989 10% OF ORIGINAL SIZE.
  • 9. WHERE WE’RE FROM REBECCA SILVER JENNIFER VAN DER MEER BETTER BY MEASURE | WEEK 1: SEPTEMBER 4, 2014
  • 10. REBECCA SILVER: I AM A MICHIGANDER LANSING WAS THE HOME OF OLDSMOBILE FROM 1897 - 1998. 1970 to 2010 POPULATION: 131,500 to 114,000 = 13% decrease 1970 to 2010 MANUFACTURING JOBS: 32,100 to 18,400 = 43% decrease THIS PROBLEM IS SYSTEMIC. MICHIGAN IS THE ONLY STATE WITH A DECREASING POPULATION. BETTER BY MEASURE | WEEK 1: SEPTEMBER 4, 2014 10 10
  • 11. WHAT HAPPENED? THE CLEAN AIR ACT PASSED IN 1970 AND IN THE 1973 ARAB OIL EMBARGO SHOOK THE AUTO INDUSTRY. LARGE, GAS-GUZZLING CARS GAVE WAY TO SMALL, FUEL-EFFICIENT JAPANESE IMPORTS. TODAY WE OUTSOURCE OUR ENVIRONMENTAL IMPACTS. BETTER BY MEASURE | WEEK 1: SEPTEMBER 4, 2014 11 11
  • 12. MAKING BETTER THINGS NOT MAKING THINGS BETTER I WORK WITH COMPANIES TO REFRAME SUSTAINABILITY AS A BUSINESS OPPORTUNITY, TO CREATE VALUE RATHER THAN TO REDUCE IMPACT. I HAVE WORKED FOR ADIDAS, THE NRDC, THE CFDA, WALMART, EDF AND OTHERS. I TEACH AT SVA & PARSONS. BETTER BY MEASURE | WEEK 1: SEPTEMBER 4, 2014 12 12 BFA IN INDUSTRIAL DESIGN (RISD). MBA & MS IN BUSINESS & ENVIRONMENTAL SCIENCE (UofM). I THINK VISUALLY & SCIENTIFICALLY. SHOW ME THE EVIDENCE THEN COMMUNICATE IT BEAUTIFULLY.
  • 13. JEN VAN DER MEER BETTER BY MEASURE | WEEK 1: SEPTEMBER 4, 2014 13 13
  • 14. About Jen REASON STREET ORGANIC INC. ECONOMIST BETTER BY MEASURE | WEEK 1: SEPTEMBER 4, 2014 14 TECH ANALYST MBA – HEC MOM ITP PITCHFEST OPEN DATA DRILLTEAM LUMINARY LABS DACHIS WEST VILLAGE DESIGNERS ACCORD SYSTEMS THINKING SUBURBAN CHILDHOOD FROG DESIGN SUSTAINABILITY BA COMP RELIGION
  • 15. BETTER BY MEASURE | WEEK 1: SEPTEMBER 4, 2014
  • 16. BETTER BY MEASURE MANIFESTO PART TWO BETTER BY MEASURE | WEEK 1: SEPTEMBER 4, 2014
  • 17. PROVOCATION YOU HAVE THE ENTHUSIASM, SKILLS AND WORLDVIEW TO MAKE THE CHANGE YOU WANT TO SEE IN THE WORLD. BETTER BY MEASURE | WEEK 1: SEPTEMBER 4, 2014 17
  • 18. WHAT WILL STOP YOU BETTER BY MEASURE | WEEK 1: SEPTEMBER 4, 2014 18 Incumbent thinking. Unquestioned heuristics about how the business world works. Mindless observance of guidelines and measures. Low expectations. Pessimism. Despair.
  • 19. WHAT WE WILL GIVE YOU BETTER BY MEASURE | WEEK 1: SEPTEMBER 4, 2014 19 Leadership skills. Persuasion, influence. Hope. Measurement. Argument building: evidence that your path is the true way forward.
  • 20. THERE WILL BE MATH BETTER BY MEASURE | WEEK 1: SEPTEMBER 4, 2014 20
  • 21. EVIDENCE BUILDING IS A SKILLSET BETTER BY MEASURE | WEEK 1: SEPTEMBER 4, 2014 21 You will use valid sources. Wikipedia is not a valid source. You will document all sources and embed the sources in your presentations. You will document your assumptions carefully. You will document data gaps. You will document all calculations and you will show your math. You will edit and spellcheck your work or we will make you do it again. And we will help you build and practice these skills.
  • 22. WHAT WE EXPECT OF YOU BETTER BY MEASURE | WEEK 1: SEPTEMBER 4, 2014 22 Academic integrity. Hard work (ask the graduates). Learning through doing, and hope will come later if you do not have it yet.
  • 23. THE CLASS WILL RUN AS A START-UP ACCELLERATOR BETTER BY MEASURE | WEEK 1: SEPTEMBER 4, 2014 23 CONGRATULATIONS, YOU HAVE BEEN ACCEPTED INTO BETTER BY MEASURE’S FALL ‘14 CLASS. BETTER BY MEASURE
  • 24. BETTER BY MEASURE: OVERVIEW BETTER BY MEASURE | WEEK 1: SEPTEMBER 4, 2014 24 PART 1 – CONCEPT: Breaking down business models + concept development • September 4: Introductions • September 11: Value Creation • September 18: Measured Risk • September 25: Intro to Lean PART 2 – VALIDATE: Building business models back up + validation • October 2: Lean Customer Discover 1 • October 9: Lean Customer Discovery 2 • October 16: Measured Impact • October 23: Midterm PART 3 – CHARETTE: Iterative redesign through stakeholder charettes • October 30: Design for Trees and Bees (Environment) • November 6: Design for Jane Jacobs (Civic Engagement) • November 13: Design for the Body (Health) • November 20: Physical Prototype Critique PART 4 – PROTOTYPE: Prototype, test, demo day • November 27: Thanksgiving (No Class), One-on-ones • December 4: Prototype Test Critique (Prep for Final) • December 11: Marketing Test Critique (Final)
  • 25. NOW ENOUGH ABOUT US. BETTER BY MEASURE | WEEK 1: SEPTEMBER 4, 2014 25 INTERVIEW TIME. We will be matching teams for our accellerator class based on skills, interests, and motivations. We will now be interviewing each one of you to compose startup teams. Are you a Maker, Marketer, or Mover Shaker?
  • 26. CLASS RULES JUST A FEW BETTER BY MEASURE | WEEK 1: SEPTEMBER 4, 2014
  • 27. CLASS RULES BETTER BY MEASURE | WEEK 1: SEPTEMBER 4, 2014 27 • Questions are always welcome so ask them at any time. • Be ready on time for class, including having presentation materials up on the board or loaded on the class computer prior to the start of class. • No laptops, lids down. • No phones during class. • Food is just fine, except when there are guests/speakers present. • EMAIL IN ADVANCE OF CLASS if you will be late or miss a class.
  • 28. HOMEWORK FIRST ASSIGNMENT BETTER BY MEASURE | WEEK 1: SEPTEMBER 4, 2014
  • 29. BREAKING DOWN A BUSINESS MODEL BETTER BY MEASURE | WEEK 1: SEPTEMBER 4, 2014 29
  • 30. RESEARCH & PRESENT THE ANSWERS TO: BETTER BY MEASURE | WEEK 1: SEPTEMBER 4, 2014 30 HOW DOES THE COMPANY MAKE MONEY? WHAT DO THEY DO FOR THE WORLD THAT IS GOOD? THEN CREATE A BUSINESS MODEL CANVAS FOR THE COMPANY. SUBMIT TO THE DROPBOX BY 4PM ON THE DAY OF CLASS.
  • 31. THE BUSINESS MODEL CANVAS BETTER BY MEASURE | WEEK 1: SEPTEMBER 4, 2014 31 KEY PARTNERS KEY ACTIVITIES VALUE PROPOSITIONS CUSTOMER RELATIONSHIPS KEY RESOURCES CHANNELS COST STRUCTURE REVENUE STREAMS CUSTOMER SEGMENTS Who are our key partners? Who are our key suppliers? Which key resources are we acquiring from our partners? Which key activities do our partners perform? What value do we deliver to the customer? Which one of our customers’ problems are we helping to solve? What bundles of products and services are we offering to each segment? Which customer needs are we satisfying? What is the minimum viable product? For whom are we creating value? Who are our most important customers? What are the customer archetypes? What key activities do our value propositions require? Our distribution channels? Customer relationships? Revenue Streams? What key resources do our value propositions require? Our distribution channels? Customer relationships? Revenue Streams? How do we get, keep, and grow customers? Which customer relationships have we established? How are they integrated with the rest of our business model? How costly are they? Through which channels do our customer segments want to be reached? How do other companies reach them now? Which ones work best? Which ones are most cost-effective How are we integrating them with customer routines? What are the most important costs inherent to our business model? Which key resources are most expensive? Which key activities are most expensive? For what value are our customers really willing to pay? For what do they currently play? What is the revenue model? What are the pricing tactics? SOURCE: www.businessmodelgeneration.com//canvas | Canvas concepts developed by Alexander Osterwalder and Yves Pigneur.

Notas do Editor

  1. Formerly one of the 4th largest lakes in the world, the lake is now 10% of its original size.
  2. Last year detroit filed for bankruptcy. There are an estimated 78,000 abandoned buildings in the city. 40% of the street lights don’t work.
  3. The Photo on the left is on a clear day over china (my trip there in 2012). http://www.theguardian.com/world/2009/dec/04/china-manufacturing-factories-africa
  4. Rules – you’re assigned a product but you can trade; by end of class you must commit to your product
  5. Rules – you’re assigned a product but you can trade; by end of class you must commit to your product
  6. Rules – you’re assigned a product but you can trade; by end of class you must commit to your product