Why human-centred approaches to product innovation needs to be integrated into the MBA curriculum

Students emerge as skilled product managers and business leaders who can apply design thinking principles to solve complex business dilemmas
| Photo Credit: Freepik

Creating innovative and captivating products is essential for success today. Most MBA programmes, unfortunately, rarely emphasise the crucial intersection between management, technology, and design. While traditional approaches often prioritise functionality over user experience, companies increasingly recognise and value human-centred design. At its core, this approach prioritises people and end-user satisfaction when developing products, resulting in offerings that both meet functional needs and forge enduring emotional connections with consumers.

Putting people first

The foundation for human-centred design is to understand the people who will use the end product. Instead of developing an outcome that begins with the company’s objectives and assumptions, end-user experience is put front and centre in product design. This runs counter to the traditional approach to product development, which starts with the company’s goals and imposes these on consumers. The alternative involves deep diving into real-life situations of the intended users and identifying their needs and preferences and developing solutions that make a difference in people’s lives, and often lead to entirely new product ideas and directions for the company.

Take Apple, as example of a company that follows this approach. Its products, like the iPhone and MacBook, are well-known for their ease of use and intuitive design. This is directly associated with Apple’s dedication to putting human needs first by focusing on user research and iterative testing. Apple’s designers are deeply integrated in the company’s decision-making process, leading to business decisions that arise naturally from user experience and preferences.

Understanding users

User-centred design requires designers to use multiple techniques, such as interviews, observations, and surveys. With the help of these methods, businesses can understand human behaviour patterns when using products; their reactions and psychological states can be determined, along with all the difficulties they experience.

Human-centred design enables designers to “feel” users’ experiences. By simulating their perceptions and reactions, designers can empathise with users’ challenges and desired solutions. This approach requires ongoing testing and refinement. Design engineers make prototypes of the product and later solicit consumer feedback, which they then use to refine and improve the quality of their output.

For instance, Amazon ensures extensive product experimentation and engagement with real customers at each phase of the development process. This approach has resulted in several ideas such as the “One-Click” ordering system and the Alexa voice assistant.

Why it matters

Implementing human-centred design can be lengthy and costly, but it carries many tangible, long-term benefits for businesses. By ensuring that products best represent user preferences, companies are able to both increase their revenue and win customer loyalty and brand recognition. Loyal customers who make repeat purchases comprise the heart of sustainable business and grant these companies a powerful competitive advantage.

Human-centred design also facilitates innovation and opens new markets. When companies understand product user desires and problems, they can tailor products to address user needs, sometimes creating entirely new, previously-unimagined industries in the process. This is referred to as Blue Ocean Strategy, in which companies are able to generate value by identifying markets that had previously not existed. By effectively leveraging human-centred design, product managers and designers are able to escape cutthroat competition and create innovative new products that add tremendous customer value.

Integrating this human-centred product development approach into the MBA curriculum helps students understand the complexities businesses face while also improving their ability to apply creative thinking to real-world business challenges. Students emerge as skilled product managers and business leaders who can assist companies in identifying often-overlooked aspects of product development, and are further able to apply design thinking principles to solve complex business dilemmas. A human-oriented mindset is both rare and valuable to businesses and consumers alike, and the product managers and executives who are able to leverage this skillset are much more likely to succeed in a rapidly-evolving global business environment.

The writer is Dean at Hari Shankar Singhania School of Business (HSB).