How to Manage Massive Brand Complexity, Target Style

[[Latest word works, this article written for Fast Company.]]

Tim Murray has a daunting job. As creative director of the Creative Vision Group at Target, he oversees the work of 10 agencies, 4 digital partners, and 3 branding studios. And those are the external contributors. Internally, Target, a Fortune 30 company with a market cap of $34.6 billion, has more than 1,200 people working in the marketing department alone. The potential depths of brand and design-related chaos across its 1,755 stores are mind-boggling.

Yet, think of the Target brand, and it’s likely that one image will spring to mind: the Target bull’s-eye, that red ring around a red dot that has come to signify the design savvy and affordable prices of the Minneapolis-headquartered department store.

Last week, Murray took the stage at an AIGA/NY event held at the New School in New York to outline how exactly one goes about producing deceptive simplicity from unfathomable complexity. Alongside him were three of his collaborators, Michael Ian Kaye from Mother, Mary Ellen Muckerman, Wolff Olins’ strategy lead, and Joe Stewart from Huge. Together, the group discussed some successful projects–and even ‘fessed up to a few of the more challenging areas of collaboration.

For instance, this concept caused knowing nods from the audience: the “compliment sandwich.” Essentially, this involves a client giving an elaborate compliment, followed by some pointed criticism, quickly followed up by another compliment. As Muckerman put it, she and her team had come off conference calls feeling buoyant, only to figure out five minutes later that they hadn’t at all been given the go-ahead on a project. “Wait. What? I think they just said ‘no’?”

To his credit, Murray both nodded and laughed. “Target has what we call a feedback-rich culture,” he said gamely. Not to mention it’s a midwestern company to its “prairie roots.” But that, he added, is precisely why Target relies on outside contributors to come up with the biggest possible ideas. That way, as internal politics and processes inevitably chip away at that idea, they might still be left with something useful, beautiful, or unexpected at the end of the process.

Murray also outlined five tips for successfully managing collaboration and complexity:

1. Be Transparent
“You have to be clear that you’re collaborating with others,” he said. “And you have to figure out the roles and responsibilities of the partners and let them know what each is expected to do. Who’ll lead project management? Who’ll decide things? How will things get built?” There’s no one size fits all solution, he added, but making sure that the parameters of each new project are clear and understood from the start is key.

2. Play Nice
“When Target expects you to work with an agency that might be a competitor, throwing elbows won’t earn you the whole business,” said Murray firmly, adding that in fact, agencies that have tried to muscle in on others’ turf have lost credibility, not gained business. “Target won’t spend time disciplining agencies as if they’re unruly children. We won’t hire partners who won’t play nice.” For their parts, the agency creatives agreed this model of work is becoming the norm. “The speed of business demands this type of collaboration,” detailed Muckerman. “The days of an agency being briefed and disappearing for three months to come up with something fabulous doesn’t happen any more.”

3. Be Open
“Trust is the life blood of collaboration,” said Murray. “And good ideas can come from everywhere.” Huge is working on a new version of Target.com due to be launched in the fall. It’s a massive undertaking, as Target moves to design and manage the user experience of the third most trafficked ecommerce site in the world (it’s currently built on Amazon’s platform). “Everyone wants to go to same place so we have to figure out the roadmap to get there, not focus on who’s right or wrong,” said Huge’s Joe Stewart of the working process. “So there might be tons of fighting but we’re fighting together in the same direction.”

4. Stretch the Work
“We often find ourselves connecting the dots between agency partners and shaping a mass of ideas into something cohesive we can support and be enthusiastic about,” said Murray, who also spoke approvingly of the idea that “collaboration is the new competition.” Of course, not all Target ventures are wild successes, but one project with Mother certainly pushed the envelope: The company rented all the rooms on one side of the Standard hotel in New York, staged a fashion show on the High Line, and coordinated a choreographed performance art piece across the hotel rooms themselves. The whole affair was broadcast around the world. “There was an original score, 60 dancers, we had the lighting people from Daft Punk…” said Mother’s Michael Ian Kaye. “It was kind of a big ask.” Big ask = big get. So far, Murray said, the project has earned 180 million media impressions (he didn’t mention related sales figures.)

5. Talk Talk Talk
The final tip of the night was a reminder to keep the lines of communication open at all times. “We had a lot of meetings,” said Wolff Olins’ Muckerman drily of the process it took to develop the packaging and identity for Target’s Up & Up line of some 1200 own-brand products. “The hardest part of the process is to keep people aligned around the strategy.” Murray added: “The only way collaboration works is to be deliberate and consistent over communication. Invite participation; fearlessly put your worst ideas on the table along with the best and pressure test openly.”

As for the bull’s-eye, it turns out even the most successful piece of branding can at times be a millstone. “How many fucking bull’s-eyes do you want?” joked Kaye. “You should see my tattoos,” replied Murray.

Design Thinking Won’t Save You

Recently, Kevin McCullagh of British product strategy consultancy, Plan organized a two-day event for executives to wrap their heads around the concept of design thinking—and, in particular, to think about how they might go about implementing it within their own organization. Kevin invited me along to give an overview of some of the things I’ve been thinking recently. “Don’t hold back,” he advised. So I came up with a talk entitled, “Design Thinking Won’t Save You” which aimed to outline what design thinking is *not* in order to help attendees figure out a practical way forward. Here’s an edited version of what I said:

Ladies and gentlemen, let me break this to you gently. Design Thinking, the topic we’re here to analyze and discuss and get to grips with so you can go back and instantly transform your businesses, is not the answer.

Now before you throw down your coffee cups and storm out in disgust, let me explain that I’m not here to write off design thinking. Really, I’m not. In fact, I’ve been a keen observer of the evolution of the discipline for a number of years now and I’m still curious to watch where it goes and how it continues to evolve as its influence spreads throughout industries and around the world. So to be clearer, I suppose I should say that design thinking won’t save you, but it really might help:

First, some context: Until July of 2010, I was the editor of innovation and design at Bloomberg BusinessWeek. Before that, I’d worked consistently in design journalism both here in New York and in London. The reason that I wanted to join BusinessWeek in the first place was precisely because it struck me as being the one place that had its eye on both camps, on the creative industries and on the business world writ large. And it struck me that it’s at this nexus and intersection that the thriving businesses of the future will be built.

I joined the magazine back in 2006, which was a time when design thinking was really beginning to take hold as a concept. My old boss, Bruce Nussbaum, emerged as its eloquent champion while the likes of Roger Martin from Rotman, IDEO’s Tim Brown, my new boss Larry Keeley and even the odd executive (AG Lafley of Procter and Gamble comes to mind) were widely quoted espousing its virtues.

Still, in the years that have followed, something of a problem emerged. For all the gushing success stories that we and others wrote, most were often focused on one small project executed at the periphery of a multinational organization. When we stopped and looked, it seemed like executives had issues rolling out design thinking more widely throughout the firm. And much of this stemmed from the fact that there was no consensus on a definition of design thinking, let alone agreement as to who’s responsible for it, who actually executes it or how it might be implemented at scale.

And we’d be wise to note that there’s a reason that companies such as Procter & Gamble and General Electric were held up time and again as being the poster children of this new discipline. Smartly, they had defined it according to their own terms, executing initiatives that were appropriate to their own internal cultures. And that often left eager onlookers somewhat baffled as to how to replicate their success.

This is something that I think you need to think very carefully about as you look to implement design thinking within your company. Coming up with ways to implement this philosophy and process throughout your organization, developing the ways to motivate and engage your employees along with the metrics to ensure that you have a sense of the real value of your achievements are all critical issues that need to be considered, carefully, upfront.

Designers often bristle when the term design thinking comes up in conversation. It’s kind of counterintuitive, right? But here’s why: Having been initially overjoyed that the C-suite was finally paying attention to design, designers suddenly became terrified that they were actually being beaten to the punch by business wolves in designer clothing.

Suddenly, designers had a problem on their hands. Don Norman, formerly of Apple, once commented that “design thinking is a term that needs to die.” Designer Peter Merholz of Bay Area firm Adaptive Path wrote scornfully: “Design thinking is trotted out as a salve for businesses who need help with innovation.” He didn’t mean this as a compliment. Instead, his point was that those extolling the virtues of design thinking are at best misguided, at worst likely to inflict dangerous harm on the company at large, over-promising and under-delivering and in the process screwing up the delicate business of design itself.

So let’s be very clear. Design thinking neither negates nor replaces the need for smart designers doing the work that they’ve been doing forever. Packaging still needs to be thoughtfully created. Branding and marketing programs still need to be brilliantly executed. Products still need to be artfully designed to be appropriate for the modern world. When it comes to digital experiences, for instance, design is really the driving force that will determine whether a product lives or dies in the marketplace.

Design thinking is different. It captures many of the qualities that cause designers to choose to make a career in their field, yes. And designers can most certainly play a key part in facilitating and expediting it. But it’s not a replacement for the important, difficult job of design that exists elsewhere in the organization.

The value of multi-disciplinary thinking is one that many have touched upon in recent years. That includes the T-shaped thinkers championed by Bill Moggridge at IDEO, and the I-with-a-serif-shaped thinker introduced by Microsoft Research’s Bill Buxton, right through to the collaboration across departments, functions and disciplines that constitutes genuine cross disciplinary activity. This, I believe, is the way that innovation will emerge in our fiendishly complex times.

Just as design thinking does not replace the need for design specialists, nor does it magically appear out of some black box. Design thinking isn’t fairy dust. It’s a tool to be used appropriately. It might help to illuminate an answer but it is not the answer in and of itself.

Instead, it turns up insights galore, and there is real value and skill to be had from synthesizing the messy, chaotic, confusing and often contradictory intellect of experts gathered from different fields to tackle a particularly thorny problem. That’s all part of design thinking. And designing an organizational structure in which this kind of cross-fertilization of ideas can take place effectively is tremendously challenging, particularly within large organizations where systems and departments have become entrenched over the years.

You need to be prepared to rethink how you think about projects, about who gets involved and when, about no less than how you do things. The way that you approach innovation itself will probably need to change. This might seem like a massive undertaking, but if you’re after genuine disruption more than incremental improvement, these kinds of measures are the only way to get the results that you need.

Design thinking is not a panacea. It is a process, just as Six Sigma is a process. Both have their place in the modern enterprise. The quest for efficiency hasn’t gone away and in fact, in our economically straitened times, it’s sensible to search for ever more rigorous savings anywhere you can. But design thinking can live alongside efficiency measures, as a smart investment in innovation that will help the company remain viable as the future becomes the present.

Somehow, for a time there it seemed like executives thought that if they bought into a program of design thinking then all their problems would be solved. And we should be honest, many designers were quite happy to perpetuate this myth and bask in their new status. Then the economy tanked and as Kevin wrote in a really brilliant article published on Core77, “Many who had talked their way into high-flying positions were left gliding… Greater exposure to senior management’s interrogation had left many… well, exposed. The design thinkers had been drinking too much of their own Kool-Aid.”

The disconnect between the design department, the D-suite, if you will, and the C-suite is still pretty pronounced in most organizations. Designers who are looking to take a more strategic role in the organization, who should really be the figures one would think of to drive these initiatives, need to ensure that they are well versed in the language of business. It’s totally reasonable for their nervous executive counterparts to want to understand an investment in regular terms. Fuzziness is not a friend here. And yet, as I’ll get into in a moment, sometimes there’s no way to overcome that fuzziness. Leaps of faith are necessary. But designers should do everything they can to demonstrate that they have an understanding of what they’re asking, and put in place measurements and metrics that are appropriate and that can show they’re not completely out of touch with the business of the business, even if they can’t fully guarantee that a bet will pay off.

The two worlds of design and business still need to learn to meet half way. Think of an organization in which design plays a central, driving role, and there’s really only one major cliché of an example to use: Apple. But what Apple has in Steve Jobs is what every organization looking to embrace design as a genuine differentiating factor needs: a business expert who is able to act as a whole hearted champion of the value of design. In other words, Jobs has been utterly convinced that consumers will be prepared to pay a premium for Apple’s products, and so he’s given the design department the responsibility to make sure that every part of every one of those products doesn’t disappoint.

He is also notorious for his pickiness. I’ve talked with Apple designers who say he would scrap a project late in the game in order to make sure something is exactly as he thinks it should be. Now I don’t know about you, but how often does a project come back and it’s not quite how you wanted it but it’s ok and it’s really too late to make the changes to make it great and so you go with it? I know I’m guilty of doing that. Jobs doesn’t countenance that approach. And he’s set up processes to ensure that problems are caught, early, and the designers have enough time to get back to the drawing board if necessary. This commitment to excellence has helped turn Apple into the world’s most valuable technology company.

Note too Jobs’ approach to customer research: “It isn’t the consumers’ job to know what they want.” Jobs is comfortable hanging out in the world of the unknown, and this confidence allows him to take risks and make intuitive bets that for the past decade or so have paid off every time. And he’s instilled this spirit in his team. New company leader Tim Cook is renowned for the creative way in which he worked on supplier issues.

So now we get into something of a problem of terminology, because more than likely, Steve Jobs doesn’t consider Apple’s approach to be “design thinking”. Yet he’s the consummate example of one who’s built an organization on its promise. This approach of risk taking, of relying on intuition and experience rather than on the “facts” provided by spreadsheets and data, is anathema to most analysis-influenced C-suite members. But you need this kind of champion if design thinking is to gain traction and pay off.

I once heard a discussion between the current director of the Cooper-Hewitt museum, Bill Moggridge, and Hewlett Packard’s VP of Design, Sam Lucente. Sam was talking about how design thinking had helped him and his team to redevelop the design of one particular product that had done badly in the marketplace in order to produce a later, more successful version. The way he told the story, design thinking meant that this couldn’t be seen as a failure, because every moment had been one of wonder and learning. My interpretation was initially a little less poetic, that in fact design thinking no more guarantees the success in the marketplace of a product than any other tool or technique.

But actually, reframing failure in terms of learning is not just a kooky, quirky thing to do. In and of itself, it’s perhaps a useful exercise. By taking the pressure off design thinking and not expecting it to be the bright and shiny savior of the world, those trying out its techniques will be empowered to use it to its greatest advantage, to help introduce new techniques, to give new perspectives, to outline new ways of thinking or develop new entries to market.

In fact, I would argue, beware the snakeoil salesmen who promise you’ll never take another wrong step again if you buy into design thinking. While some executives have been running their businesses according to its principles for years now, the formal discipline is still pretty new, and individual companies really have to figure out how it can work for them. There’s no plug and play system you can simply install and roll out. Instead, you have to be prepared to be flexible and agile in your own thinking. You’ll likely have to question and rethink internal processes. For there to be a chance of success, you’re going to have to ascertain what metrics you want to use to judge whether a program has been successful or not. And you’re going to have to figure out how to allocate resources to make sure that an initiative even has a chance of taking off.

I know some of you are familiar with the work and thinking of Doblin’s Larry Keeley, with whom I’m working now. For a long time, Larry has been at the forefront of the movement to transform the discipline of innovation from a fuzzy, fluffy activity into a much more rigorous science. His thinking in that arena holds for design thinking too. It’s time to move beyond the either/or discussions so often entertained within organizations. This isn’t about left brain vs right brain. This is about the need for analysis and synthesis. Both are critically important, from data analytics to complexity management to iteration and rapid prototyping. But even with all of this, there’s never going to be a way to 100% guarantee success. The goal here is to be able to act with eyes wide open, to have a clear intent in mind and to have systems in place that allow you to reward success and quickly move on from disappointment—and to make sure that your organization learns from those mistakes and thus does not repeat them.