Page 34 - Transforming an Idea Into a Business with Design Thinking

Chapter 2

The Three Stages Plus One

This framework is grounded in the belief that all solutions solve human
problems and strive to augment human capabilities by introducing a new
way of doing things using technology or otherwise (Figure 2.1).

The framework is divided into the following four stages:

STAGE 1: UNDERSTAND THE PROBLEM to have a clear idea of the desir-
ability by key stakeholder(s).

STAGE 2: DEVISE A SOLUTION to determine feasibility of the new
approach.

STAGE 3: CRAFT BUSINESS to get an insight into viability from business
perspective.

As you go through each stage, you’ll be making lots of assumptions.
These assumptions are the key driver for the risk in the pursuit and
must be validated as the team continues to work on the idea. Which
leads to the fourth stage:

STAGE 4: MANAGE RISK to have honest recognition of the inherent
uncertainty, a key ingredient of any new pursuit.

It is important to note that, although this framework walks you
through the above four stages in a sequential order, you can start from
any of the first three stages of the framework and go in any direction.

For example, you may already have an idea of a technological solu-
tion in mind. So you’d go to the second stage (Devise Solution). However,
as you will see, it will soon be evident to you that you need to go back
to the first stage (understand problem) to have a clear understanding of

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