Why?

Design drives successful innovation

When people talk about innovation in this decade, they really mean design.

Bruce Nussbaum, Business Week, 2005

Last October the Centre for Design Innovation commissioned a survey of 405 SMEs from a range of different sectors located in both the Republic and Northern Ireland. The brief of our survey was to examine the relationship between design and innovation and how it correlates to business performance. The primary finding of our survey was that Irish companies that use design experience more success that those that do not. The research also found that companies using design are less risk averse and more likely to be developing new products and services. They are also less likely to be competing on the basis of price. The findings suggest that companies are growing and succeeding because they are innovating and moving. They are not waiting on the challenges of the global economy, they are using design to meet them head on.

Download the full report (PDF, 426KB)

Design, innovation and growth are linked

78% of SMEs that use design brought new products and services to market in the past three years. This compares with just 51% of SMEs not using design. How is this linked to growth? 72% of businesses developing new products and services experienced growth, this is significantly higher than the 56% of businesses that developed no new products or services.

Graph of data

Some use of design is better than others

There is an important distinction to be made between the different levels at which companies use design. The higher the step on the ladder, the more strategic the design implementation within a company. The research tells us that the more strategic the implementation is, the more likely a company is to experience growth in demand for their products and services.

Graph of data

The Design Staircase is a registered trademark of the Danish Design Centre.

As with most research, it raises more questions than it answers. Why when the benefits of design are evident, do Irish SMEs not use design more effectively? We don't know the complete answer to this question. The research suggests a combination of factors, aversion to risk, inadequate support mechanisms and limited design and innovation capability both within companies and nationally. This we do know - in the global context, the Irish economy is becoming less competitive: our ability to differentiate our products and services is declining. How much longer can we ignore the 'design difference' and the value and benefits that it offers?

Innovation requires a particular mindset that involves curiosity, creativity and problem-solving, the ability to continually question established ways of doing things and the ability to apply (the user's) knowledge, insights and intuition to change them.

Enterprise Strategy Group, Ahead of the Curve, 2004

why?

Why is design important? Our research shows Irish companies that value design innovate more often. Not only that, but Irish companies that value design innovate more successfully. And those companies that integrate design more strategically within their organisations experience greater demand for their goods and services.

what?

What is design innovation? Many people are describing the same thing by different names and we want to create a common language around design innovation, thinking and practice.

how?

This isn’t rocket science but it is the next ‘big thing’. Understanding your users provides context for your innovation efforts and leads to greater success in the marketplace. Our practical programmes can help make you more competitive.

who?

We are here to help. There is also a broader network of support for you and your organisation. And if you’re still not convinced of design’s impact on innovation, see how other individuals, organisations and countries are competing through design.

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