by Peter A. Bacevice
A common driver of many workplace design projects is to create an environment that supports an organization's innovation and growth priorities. This often leads to conversations among architects, designers, researchers, business leaders and workplace end users around the sorts of things that inspire people to do their best work.
But what if there was a common framework for thinking about innovation from the perspective of spaces that support the process? What would that look like, and what kinds of questions would be asked? This article is the first in a series that attempts to do just that. This first column will provide an overview of how architects and designers can seek to an understand critical elements of an organization's innovation strategy to apply an approach to workplace design that supports its people in their pursuits of value creation.
History is full of stories about great ideas emerging from garages, labs, “skunkworks” and other out-of-the-way places. Silicon Valley's story traces its roots to David Packard's garage in Palo Alto where he and former Stanford classmate, William Hewlett, worked on their nascent electronics business and developed their first commercially successful product — a precision audio oscillator. The first working transistor is credited to a team of scientists working at what was then AT&T's Bell Labs site in New Jersey — one of the earliest modern corporate campuses designed for research and development. Several software products developed by SAP emerged from teams working in what was originally an off-the-grid space away from main SAP offices which are now part of SAP's AppHaus network of spaces.
In looking carefully at this history, some patterns emerge. Many innovation-producing workspaces are born out of necessity. Some teams in established companies need a space where they can work that is separate from day-to-day operations so they can focus on specific tasks. Cash-strapped startups need cost-effective space that doesn't burn through operating capital. Labs and other research and development centers provide shared resources and equipment to teams working on a variety of projects, and they provide a way to bring groups together in the hopes of spreading ideas and mutual awareness. That said, there is no single planning or design definition of what characterizes a space for innovation.
The compass that should guide architects and designers as they work with organizations to create an innovation space is the understanding of the distinctive competitive advantages the space or the activities it supports will provide to the business. Several years ago, James Moultrie, a senior lecturer in design management at Cambridge University, and his colleagues wrote a well-cited paper in which they argued “the underlying innovation intent provides the stimulus for designing a specific innovation environment ... and how this environment links to the wider innovation process.” There are ways of understanding how innovation happens in any given organization — rooted in the ways people work toward shared goals — and there are space and real estate solutions that support a given organization's approach.
Innovation value chain
Understanding an organization's approach to innovation starts with a look at its value chain. When starting a project, architects and designers should ask some key questions about their clients. Is this a company like Apple at the upstream of the value chain that generates breakthrough ideas, new product lines or enters new markets? Is it a downstream company like a supplier where growth comes from supply chain innovations or operational improvements? Is this a company entering a new market or pursuing a new growth strategy? Examples of new market growth strategies can be found in mature sectors like financial services or automotive where companies are creating new products, services or infrastructure by aligning with other sectors. The emergence of “fin-tech” is where financial services companies are acquiring or partnering with tech startups to develop proprietary trading software or other analytical capabilities. The auto industry is at a turning point where established automakers and suppliers are partnering with tech firms, urban planners and even fashion companies to redefine the infrastructure for personal mobility and personal transportation systems.
Besides corporate clients, architects and designers also work with nonprofits, universities, medical institutions, research centers and other social ventures. These organizations also pursue innovation strategies, but in ways where value creation is measured by its impact on people and communities.
Spatial typologies that support innovation
Once equipped with an understanding of an organization's culture, mission and strategy — as well as a grasp of an organization's approach to innovation — the task of designing a compelling work environment for it becomes a fulfilling challenge. Architects and designers have an array of spatial typologies and design archetypes at their disposal. Such examples include maker spaces, co-working spaces, fab labs, executive briefing centers and community forums. In the coming months, I will devote my column to describing some of these typologies and archetypes and demonstrate how they can support a company's broader innovation strategy.
What's next
Throughout this series, various design stories and case studies will be shared. These examples will be used to reinforce key points:
The design process is just as important as the outcome. In innovation, the path from idea to value creation is also a process. Designing the right space to support the innovation process is an exercise in trial and error where agility and the capacity for learning are imperative.
Don't underestimate the importance of location. Architects and designers can bring their knowledge from working across various site types to recommend a strategy for selecting the ideal site for an innovation space. Organizations have options that range from embedding an innovation space into a traditional work environment to creating an entirely different type of space in an offsite location or embedded with other partner institutions.
Consider partnerships. Innovation is a team sport. For many organizations, an innovation strategy can include partnering with or acquiring other organizations or teams. Likewise, when creating a uniquely different space for client organizations, architects and designers benefit from partnering with other groups like service designers, hospitality experts and strategists to strengthen the design process and ensure a robust outcome. Innovations in the design value chain can produce extraordinary results.
Use innovative ways to capture and analyze data. Data and metrics increasingly inform the design process. Organizations want to know the ROI of their investment in design. The practice of architecture and design is increasingly benefiting from innovations in data collection, analysis and business intelligence that can capture information from users, buildings and operations. The data can inform the design process and help assess the effect of its outcomes. In creating spaces to support the work of innovation, consider the innovative ways in which data can inform and explicate your design efforts.
The articles in this series will focus on unpacking the meaning behind various spatial typologies and archetypal designs. They will share insights on process and outcomes with a focus on how design decisions supported broader innovation strategies.
Why this matters now
We live in an exciting time in which several new, promising innovations in areas such as genetics, artificial intelligence, autonomous vehicles and smart cities are positioned to transform society in several encouraging ways. Each spring, MIT Technology Review publishes its annual list of breakthrough technologies. This year's theme falls under what the editor phrases as “tales of power and responsibility.” Innovations create positive change, but they can also generate negative downsides — the likes of which are not always grasped without open dialogue. Now more than ever, organizations pursuing innovative and disruptive change need the time and place to connect with people from different perspectives and ask the right questions for their work to make a positive impact. Design thinking methods that architects and designers employ utilize empathic approaches that can help connect the processes of learning and innovation within organizations to ensure these positive outcomes.
Architects and designers owe it to themselves and the profession to understand innovation processes and the innovation value chain so they can create the places where innovation happens and where people come together, thrive and enact positive change.
Peter A. Bacevice is director of research for HLW and a research associate with the Ross School of Business at the University of Michigan. His day-to-day professional work involves various projects related to workplace assessment, benchmarking and spatial analytics for corporate and academic clients. His academic research focuses on ways organizations leverage the built environment as an expressive mechanism of values and aspirations and as a strategic asset that reinforces pro-social organizational behaviors. Bacevice is based in Ann Arbor, Michigan, and divides his time professionally between New York City and Ann Arbor. He holds a Ph.D. in education from the University of Michigan.