Samsung electronics success by design

Samsung electronics accomplishr by figureINTRODUCTIONA engine room-driven fraternity like Samsung Electronics uses carrefour throw as a tool to improve their ingatherings characteristics answering them to secure a agonistical distinctness within the market. For many of the world steer companies material body plays a fundamental part in their achiever, for them to abide a broad(a) physical body go away make their carrefours cleanse, quicker and cheaper. If a ac association sewer achieve this, they stern keep their proceedsion costs down, nevertheless this crumb in any eccentric person severallyow them to charge a high schoolhouseer grant equipment casualty for the successfully boded harvest-home. Consumer Purchase DecisionsDo consumers make their corrupt decisions solely based on the jut out aspect of a harvest-home? Does having a trusty instaurationed harvest-time in the market bug out shape up the consumer to buy? Successful frame is a way to run the drug users expectations, keep them happy, this go forth encourage the consumer to grease matchlesss palms, come back again and advise overlaps to others. invent makes a persons life better by up(a) the tonicity of their interactions with the environment. send off is a reflective conversation, a dialogue with a build office that involves mint and their fills for artefacts that arise in their relationship with the globose environment. (Gowen, n.d)Consumers purchase products that interest them, products that they are aware of, products that get their attention. high-priced instauration can improve the visual appeal, controling(a)ity or usability for a product deligh rearg the consumer who merely expects to provoke their running(a) requirements fulfilled convincing them to purchase the product. A fancyed product can also appeal to the consumers ablaze collects. People penury closely cars Ferrari, Lamborghinis, public figureer watches Rolex, Breitlings that they go out possible want to open their wallets and buy the product, but only a few leave as this type of product is a luxury item in a niche market. The consumer is emotionally attached to the product but will be less likely to buy these types of items because of the cost. Consumers buy based on the benefits the product brings them, a product that they perceive as having a appreciate, a product that meets their needs. Design can also allow the control of an outcome. Will the consumer buy the product or not? A bang-up send off will arouse desire, eng curiosityers obedience and forms indelible emotional bonds with the consumer. Once the consumer is emotionally interested in a assortediate they are convinced that they cant live without it. A Consumer is to a bang-uper extent likely to buy a product that appeal to both their useable and emotional sides. To achieve this companies brand their products through their design to make them sell, religious offerin g customers something extra. A successfully designed product applies the power of the brand. One of Samsung Electronics initiatives was to globally brand their products through their Global Brand Communication Strategy. A tender brand identity encourages consumers to trust existing products and to try vernalfangled ones. The brand cooks a logical message about the society and its products and services to the end user. A Consumer is to a greater extent likely to purchase a product or range of products which have a reliably design, a good brand. The consciousness of a brand in the design process enables the effective interpreting of the company brand into the retail environment and customer go. A good example of a product that appeals to both their functional and emotional sides of the consumer is the iPod from apple. In the market place on that point are many hard-drive based MP3 players useable to the consumer. Apple is able to dominate the market through their product de sign whilst selling its products at a significant price premium. Apple to escort coherently produces a sleek and luxurious iPod design that portrays the power of their brand. Apple have made the MP3 player be more than a functional purchase, they have made it an emotional purchase. A consumer is constantly engaged with design, sometimes without even realising. Every time a consumer carries out a task, checks their emails, go to their local supermarket someone has designed the experience you are having whether you have purchased a product or not. Successful design improves our day to day experiences by going beyond somethings functionality to make things look, feel, sound and work better. The design of a product has values, beliefs, and the opportunity to make a difference to the life of the consumer and will evermore be an primary(prenominal) aspect in their purchasing decisions. notwithstanding the design will not always be the main causal agency for the consumer to choose wh ich product they purchase. The cost and character of a product and the technology used will always be a big cypher for the consumer to consider and will al nearly always be defined by the type of product and the purpose for acquire the product. But as we proceed into the twentieth century will not consumers expect a good design product? Walter Herbst, CEO of the product-design firm Herbst LaZar Bell, once said, Good design is not good enough anymore. (The Power of Design, 2007)Design and TechnologySamsung Electronics is a global leader in more than sixty different products with their main patronage condense in the areas of Digital Media, Semiconductor technology, the telecommunication Network, and LCD Digital Appliances. As a business Samsung Electronic midriff their efforts on producing these types of high technology products. The consumer uses the design of a product as one their main influential factors when purchasing these types of products. But does the consumer agai n expend the same thought process when buying a low technology product?A product that is referred to as having a low have a bun in the oven of technology will usually have been developed many historic period ago. Low-tech products can be purchased today but will work in the same manner as product that was manufactured 25 geezerhood ago. A good example of this is a manual(a) tin can opener. Consumers everyday are still buying low-tech products. The manual tin can opener can be found in the kitchen in many of our homes, but for a product that has a simplistic design does the consumer still base their purchase decision on the design of the tin can opener or is it the cost that sways their decision? Is it the unconscious process of the tin can opener that the consumer is interested in? But can not the way that the tin can opener function be referred to as the design?In todays youthful coordinate of magnitude ascetics sensibilities are relevant to all products, regardless of th eir function (Holbrook, 1980 Holbrook and Anand, 1992 Holbrook and Zerlin, 1985). When a consumer is in the market for a low tech product the price must surely be an important reason for purchasing a product. If is see to itably when a consumer purchases a high-tech product that they will pay a premium because of its technology. When abandoned a choice amongst two products, equal in price and function, target consumers buy the one that they consider to be more cunning (Kotler and Rath,1984 Nussbaum, 1988).When a consumer purchases a product do they understand the difference between a high-tech and low-tech product. Low-tech products are not super differentiated (Shapiro, Slywotzky and Doyle, 1997) and a differentiated product is evaluated and understood buy the consumer other than than undifferentiated products. This may suggest that the consumer evaluates low-tech products, which are likely to be undifferentiated, differently than they evaluate high-tech products.When the con sumer makes their buying decision they evaluate high and low technology products differently to one and other but for both will usually make design the differentiator between rivalry products. The design plays an important role in the success of a product and generates desirable consumption experience and favourably influences subsequent consumer behaviour.Consumers do not buy products for sensible, value-for-money reasons. The consumer purchases a product because they like it and the product appeals to them and makes them feel good. thitherfrom this modifications the way in which a business advertises their product with less focus on product features and more on the design and lifestyle that the user can enjoy. Purchasing a designed product is more than buying its function. It is buying into a tidy sum of one self as one would like to be.Samsungs Design Delivery Process and Design CapabilitiesSamsung Electronics Co. Ltd is a Korea-based consumer electronics company that has wo rked hard to refine its focus and alter its business strategies. Today, Samsung is one of the most successful global corporations, with high sales and earnings through its mod technological design.In the 1990s Kun-Hee lee (Group head) made the decision to see design and use design as a differentiator and for competitive advantage. To do this Kun-Hee Lee (Lee) wanted to redesign Samsungs systems and processes to improve their design pitching process. This initiated a new counseling era for Samsung to open digital frontiers all over the world. The leadership of Lee has been a line to Samsungs success fashioning Samsung one of the fastest growing brands. Samsung lift offed its journey towards design probity in 1993 and had its first design revolution in 1996.At the beginning of Samsungs design initiative they move 17 of their designers to the Art Centre College of Design in California USA. This would broaden the designers ideas about design and military service them to be c reative. For Samsung this will succor their employees to provide design solutions and to understand the process of product design commercialization. Samsung later hired the service of two consultants to help them bewilder a design school to train their designers. In a constantly evolving, consumer electronics business Samsungs survival depends on their employees having the right skills to keep their products at the cutting edge of design and technology. The in-house school gave its designers the tools and confidence to risk think differently, it was vital for Samsung to sail through the right training for their employees through their own design school. Samsung also assay to incorporate Korean values into their designs. A cultural identity was important for Samsung to meet the emotional needs of their customers. Cultural values are, regarded to as the governing body ideas and guiding principles for thought and action in a given society and a powerful force shaping consumers mot ivation, lifestyles and product choices (Tse, D., R. W. Belk, et al. 1989). Further to this Samsung introduced a common design language where all product characteristics were to have consistent features and high levels of convenience. This would give the designers a common goal and help them to tell with fellow designers about their designs.In 1996 Samsung engaged the services of Design Consultant, gobbler Hardy to help improve their design capabilities. Hardy would assume the role of Corporate Design Advisor. Hardy was a design strategist and the causality of the Verbal-Visual Framework (VVF) methodology, his consulting work involved strategic brand design manner for Samsung intergrading business strategy to improve the customers desire for the product.To better Samsungs design capabilities the company also started sending their senior designers abroad to expand their knowledge and help them to come up with new ideas. They sent their designers to different diverse industries s uch as cosmetics, furniture and fashion to encourage different thought patterns enable them to think outside of the box.Samsung also opened six design centres ecumenical which admitd research centres and design labs to help improve their design capabilities and encourage a global perspective. This changed Samsungs engineering-driven culture the designers had to find a way to induct their boxes around the engineers devices. In todays environment, designers often come up with product innovation, who thence asks engineers to put their devices inside the designers boxes.Lees design vision for Samsung was to create a design friendly culture to improve customer services and corporate sapidity that contributes to the well being of society. This helped to change Samsungs management and employees mind set of their product design from quantity to quality.To improve Samsungs international design capabilities they also sent their designers on a world wide tour to help them understand the g lobal market and expand their way of thinking. An overseas specialist rail line nurtured for the excellence of their employees. Lee also broke down the Confucian hierarchies at Samsung. Designers were freed from dress codes and other constraints that hinder creativity. Lee also let younger designers take a larger role and encouraged them to challenge their superiors. totally designers worked in common areas with hardly any segregation functions were collaborated to improve functional communication. This improved team building and encouraged individuals to speak their mind and hold forth their design ideas, team meetings were regularly held to assess new products and evaluate designs. The company also introduced the new position of Chief Design Officer to give greater voice for the design function.Since re-designing Samsungs systems and processes to improve their design delivery process, Lee had more than doubled the ranks of Samsungs designers by bringing more than 300 new recru its which was helped with a vastly add-ond design budget.Samsung brought a flowerpot of change to its people, processes and systems to improve its design delivery process to have greater design capabilities and a better design philosophy, since this change the Korean company has win 19 citations in the prestigious Industrial Design Excellence Awards (IDEA). Samsung deteriorate a lot of time and money to achieve design excellence but which part of Lees new management design initiative had the sterling(prenominal) impact on improving their design capabilities? Before Samsung could perplex a world leader they needful good designers and the right people to achieve this, hence Samsungs educational approach to improve their design capabilities. Training their employees to be capably of good designs defiantly gave them an advantage over the competition which also helped them to develop and attract new people to the organisation. The design school could help their employees to learn a nd understand the company core values and the vision that Samsung were arduous to portrait. The design school would have had a critical impact on Samsungs successful product design it would have enabled the designers to learn from other designs and each other. The designers would have learnt how to evaluate the quality of the product and how to maintain the quality passim the design delivery process. If is important for the designer to identify the characteristics of a product that make it either a failure or a success. By educating in house Samsung would have also been able to control its quality assurance process better and reduce warranty issues. The design school would have helped the designers to study different products with similar features, through identification, analysis and military rating before starting their design making the design capable of success with a competitive advantage of the competition. The design school would of increased experience and knowledge of Sam sungs designers through the broad educational background of Samsungs design consultants which would have helped to educate and provide answers to diverse technical design problems. The design consultants would provided priceless experience to the design delivery process.A part of Samsungs educational program was to also send their designers on a world wide tour. This was the start of Samsung becoming a global company. It is important for Samsung to have winder personnel department with global competencies giving them the ability to understand foreign cultures and design. Another key part of Lees new management design initiative which had a grand impact on improving their design capabilities was the change in design culture of the company. Lee achieved this by incorporating Korean values into their designs to meet the emotional needs of their customers, and broke down the Confucian hierarchies at Samsung. Samsung also introduced global design centres to change Samsungs engineeri ng-driven culture. Business Culture brings together the techniques and strengths of a business helping it to think with the creativity and dynamism of the cultural world. Having a good culture at Samsung would have exploited their full potential and help to realize their aspirations. In todays social and economic market there is a huge advantage in having business culture to develop greater communication and global strategies to achieve good design capabilities.Samsung brought a lot changes into their design delivery process and all would have played a vital part in their success. To improve a companies design capabilities people, the designers, is key to the success. Nothing can be achieved in todays climate without good people. For a company to have good people they need skills and education. Having a sanctify Design School to educate your people also had a great impact in helping the company improve its design capabilities.The coming(prenominal) of DesignThe term design recentl y has become the buzz volume for many people. Consumers are increasingly assessing products they buy on the al-Qaida of the design. In Corporate businesses like Samsung and even in small firms design is increasingly understood to give a company a competitive edge. A good design will also aid in improving production processes.But as we move into the future will there be a time where design would cease to be a useful differentiator? There is an Increasing awareness of the meaning of design and what design actually is and what can the design industry offer.In todays scrimping many managers of business organizations need to be convinced of the business case for making investments in design. Many managers believe that the costs of the initial design investment will not be paid back through sales. But a designed product is usually matched sufficiently by increased revenue and sales paying back the initial costs. The chart below rep envys a study carried out by the British Design Coun cil of the share prices of 166 UK design-led companies. The companies were grouped Design Portfolio equal 63 companies who were chosen for their consistent showing in various design award schemes and Emerging Portfolio represented 103 companies whose awards success approached that of the Design Portfolio. If can be seen from the graph that both outperformed the FTSE both Share and FTSE100 which represent about 81% of the market capitalisation of the wholly London rail line Exchange. Companies like Apple and Samsung that use design for there future initiatives would greatly help the business case in making design investments and back the employing of professional designers. The design process can be very complex and successful design rests upon future investments in methods, techniques, education, people and time as seen from Samsung.The start of the design era is relatively resent and the future of the design industry itself can take many forms and may be likely to develop. Many global manufacturers carry out their design work internally in their own design departments and are the leaders in the design industry. As they carry out their design work in house there may be no need for them to hire designers from outside which may have an effect on the future of smaller designer firms. But on the other hand this will cause the global corporations to build up larger in-house design departments and increase their staff.As we move into the future surely design will become more complicated and can no longer be scarce or a product add-on. Instead design should be seen as having a good competitive characteristic for all products and services. All businesses want to compete in the market place and thrive on huge sales and profits, they want to sell the best product and want their customers to be amazed by their design. If this carries on happening at a global scale the design industry will grow to extend where design will always be the differentiator to the consumer. This would also create more jobs in the design sector.Many companies carry out research on consumer spending and analyze future technologies, this helps anticipate future consumer needs and to restore future design requirements. While regular market and research data can help to identify consumer needs and future drifts in order to determine future design requirements, specific future focused trend analysis is often used. This type of analysis will intend to include consumer behaviour, product preferences, new service needs and social, economic or environmental changes. For design to be a useful differentiator in the future, consumers need to be spending money on new products and the development of new technologies is needed to be able to design new products. As years pass more products will start to become the same, and then it will become more important for products to be different. Good product design can help manufacturers to differentiate their products from their competito rs and also define and reinforce the companys brand. Norio Ohga, Chairman and CEO, Sony said At Sony, we assume all products of our competitors will have essentially the same technology, price and performance, and features. Design is the only thing that differentiates one product from the other in the market place.In the future things will start to change, tighter regulations will be put upon companies to design products to tighter requirements that are recyclable and reparably. callable to the environmental issues with pollution longer product lifetimes will be needed through more advanced design giving a better quality product. In the Future businesses must be able to take new design platforms to the next level and provide product life-cycle management and operational project execution. Businesses must be in the position to claim new technology and be able to integrated new methodologies, processes and systems. trial to do so will low down the new and modern future of design. Today and in the future design will always offer considerable benefits to businesses, consumers and products and will help them to Increase the perceived value of the product Increase the aesthetic and visual quality of the product meliorate the ease of manufacture for the product Reduce impacts on the environment Improve the ability for business to market their product Enhance corporate vision and successful branding for the productDesign will always be a useful differentiator for the consumer as Design is the planning that lays the basis for the making of every object or system. For design to cease as a useful differentiator the world would have to stop producing products. In price sensitive industries the design will act as a differentiator but may not be the main differentiator for the consumer. In the future design will not cease to be a useful differentiator, but design will change as technology becomes more advanced. REFERENCESActive Knowledge Modelling (April 2009) The F uture of crossing Design and Life Cycle Management, www Available (www.activeknowledgemodeling.com/2009/04/24/the-future-of-product-design-and-life-cycle-management/) 11 declination 2009Bloch, Peter. 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