[MUSIC] So now that you know how to create the appropriate environment in your organization for the design innovation attitudes to flourish, in this video we will discuss the return on investment for transitioning. Consulting giant McKinsey says a companies ability to use design innovation is a core driver of growth, performance, and valuation. Harvard Business Review calls design innovation the secret sauce of business success. But, despite these reviews, you may be asking, what does it cost and how will I know it's working. Let's start with cost. If you start with your current team and your current space, it can cost very little to get started. As we explained in the previous video, a brand new team and a new multi-million dollar innovation center is not required or even desired. Design innovation begins with a change in the attitudes of your existing employees. These attitudes are best supported through role modeling and giving people space to experiment with a new way of working. This may mean having a 30 minute lunch break to practice the attitudes, or encouraging experimentation during a meeting, rather than expecting a single right answer. Differences in the mindsets can be measured by observing differences in the number of rough prototypes team members show up to the meetings with, the frequency of hearing people ask why, more stories and stats about users, team members taking initiative to change the space without asking permission, and more. But how will you be able to know if design and innovation is reducing costs and increasing market share, developing new markets, increasing profits, new products, and competitiveness. You want to begin by getting a baseline measure of the useability of your current products, processes, and services. Formal usability test can determine the need for product improvement. Usability tests combine qualitative observations of ease of use, as well as quantitative assessments about how users performed with a product or service. Next, measure technical support costs. How much money does your organization spend on customer service, answering calls from customers who are confused or frustrated with your product? Customer service knows how many person hours they spend answering questions about each product. Reducing time on technical support could save money for your organization. There are other ways that design innovation may help your organization save money. By making small investments of money and effort early to learn what works and what doesn't work early on, you may prevent costly redesigns in the later stages of the development process. While design innovation can help reduce costs, and help save money, It can also increase revenues. Design innovators measure success using both qualitative and quantitative measures of their products. Qualitatively, they measure success by user satisfaction, desirability and aesthetics with customer surveys. Quantitatively, they may measure the market share, increase in profits, number of new products, number of new customers, mentions and likes on social media, and the number of website visits. These measures lead to more revenue for your company from increased sales. As sales increase your pricing power increases, which also adds to your bottom line. Customer loyalty can simulate more sales and reinforce positive brand awareness in your market. In this module, on leading design innovation, we begin by discussing the essential attitudes. The design focus organization needs to foster to achieve quality results. How you communicate to gain support and build and sustain your team? And create the space that supports design innovation within your organization. We concluded with a discussion of what design innovation costs and how you know if it's working. By clearly being able to demonstrate the return on investment, you will get greater buy-in from stakeholders, internal and external, to your organization. Armed with this knowledge, you are now ready to bring design innovation to your organization. Work together. Take many paths. Build to learn, not to impress. Embrace the change. [MUSIC]