Strategic design as value creation factor for enterprises

Increasing globalization which has led to outsourcing in many companies in the last three decades induced the distribution of product development-related, integrated processes of the PLM (Product Lifecycle Management) chain to a variety of companies all over the world, thus entailing strong fragmentation. In practice that means for example that complete documentation, including parameters for commercial and time-related agreements, has to be exchanged after each phase of the PLM process, because even the smallest amendment at a later date will generate costs and time delays. As a result, the companies involved in the process of product development and their employees are required to handle a huge organizational workload. Moreover, condensed production periods for high-tech products - "time-to-market" periods of three to six months - lead to such a massive pressure of time that the smooth running of individual processes takes priority over originality - and is nevertheless often missed due to a lack of communication between the project partners. So, in order for a company to achieve originality of their brand, creativity, quality and global competitiveness a new integrated discipline is required: and design ("an industry-targeted, consumer and production-oriented devising process suitable for serial multiplication") qualifies best in this regard. Owing to the broad spectrum of strategic and integrative possibilities that design offers, trans-national, parallel PLM processes can be surveyed and accompanied within the scope of an all-encompassing co-design process. The ensuing controlling function of design could ensure sustained resource use and effective time management and at the same time drastically reduce later production adjustments. It is the purpose of this research project to use these globalization-related problems as an opportunity to thoroughly research into the strategic potentials of design, examine their strong and week points and then newly define strategic design as a tool for meeting the challenges of global PLM processes. Therefore, on the basis of a well- founded theoretical approach, the future perspective of strategic design as a value creation factor for enterprises shall be outlined and then implementation strategies shall be developed in order to generally expand the scope of action for creative occupation in the future.

? How did the competence spectrum of Design change internationally during the last years, and how does the Austrian practice and teaching stand up or lag regarding international ranking? ? And what has to change in order to achieve a level playing field for Austrian designers and as a direct result also for the Austrian enterprises and economy at large? In order to answer these questions, this research project has been structured according to the qualitative method of `grounded theory` (by Glaser & Strauss 1998) and the results are as follows: 1/ The quality and relevance of the work by designers in regards to economic, ecological and social sustainability is very different on an international scale. Especially the design industry in U.S.A. has created new processes and working methods, in order to achieve more influence and better results in regards to strategic planning and implementation in enterprises. This new practice is called `Strategic Design` and is defined by applying creative methods and processes to innovation and business challenges (e.g. physical-virtual products, services, experiences, business models and all kind of human interactions). The goal is to help enterprises and organizations becoming global leaders by unleashing their dormant creative and strategic potential and therefore creating responsible and sustainable success. Now, looking at the state of design in Austria in contrast to the dynamic advances of Strategic Design in the United States, there is dramatic time warp: the `Austrian Way of Design` still is defined by mostly aesthetic aspects and artistic self-reflection, and to this day refuses to live up to internationally relevant - and already proven - concepts. 2/ Aside of very few exceptions, the practice of teaching design in Austria is a major cause of this: there still is a strong focus on `Author Design`, which requires some artistic talent, but is based on traditional and low-tech arts and crafts, such as working in wood, fabrics, ceramics and glass - applied mostly to furniture, visual arts, fashion and objects for the home. The pioneering function of strategic design as defined and applied in the United States in regards to technological innovation, anthropological advances, and the new mix of economic, social and ecological sustainability so far are a minuscule component in Austrian design education. Therefore, the Austrian design industry and its practicing designers aren`t relevant in the international context, neither by concept, nor economically - also earning just half of the average salaries and fees of peers in U.K.. The conclusion is as follows: a/ Austrian Designers must accept the new responsibility and skip the cheap excuse of being a `half-talented and misunderstood artist` - which actually means to be not talented enough for real art - and accept that they must acquire the necessary competences needed to resolve the vital tasks in our economy, society and environment. b/ The technophobic arts and crafts oriented design education is not acceptable anymore when we look at the new global challenges and opportunities. Design Schools must change their antiquated methods by more holistic ones, and therefore the selection process of professors and teachers must be based upon adequate professional qualification and work ethic on a international scale.