Business Models for InHouse Teams Business Models for
Business Models for In-House Teams
Business Models for In-House Teams The onion grass debacle or how corporations address their design needs
Business Models for In-House Teams The onion grass debacle or how corporations address their design needs
Business Models for In-House Teams The onion grass debacle or how corporations address their design needs Right problem wrong solution Wrong problem wrong solution
Business Models for In-House Teams The onion grass debacle or how corporations address their design needs Right problem wrong solution Wrong problem wrong solution Corporate cluster-fluster
Business Models for In-House Teams The model of the business model www. howtheworkgetsdone. success
Business Models for In-House Teams The model of the business model www. howtheworkgetsdone. success The model defines: 1. Staffing 2. Process
Business Models for In-House Teams The model of the business model www. howtheworkgetsdone. success The model defines: Staffing • Who does what • Who reports to whom • Who chooses how, where and when (who has the authority) (responsibility without authority trap)
Business Models for In-House Teams The model of the business model www. howtheworkgetsdone. success The model defines: Staffing • Who does what • Who reports to whom • Who chooses how, where and when (who has the authority) (responsibility without authority trap)
Business Models for In-House Teams The model of the business model www. howtheworkgetsdone. success The model defines: Process • How the work gets done
Business Models for In-House Teams The process for self-determination and implementation Triple-A Audit-Assess-Actualize
Business Models for In-House Teams Audit/Assess Look around and determine: What does your company expect your team to do? Audit • What your team does • Who is doing what • How it is being done Assess • What should it be doing • Who should be doing what • How should it be done
Business Models for In-House Teams Audit To determine what your company expects your team to do • Talk to management • Talk to clients • Take a strategic look at the business (Where can the team have an impact) Get buy-in
Business Models for In-House Teams Audit Determine what your team does Types of projects/deliverables print, interactive, environmental design brochures, newsletters, annual reports, POP, ads, packaging, manuals, signage, trade show displays, video, websites, catalogs, sales aids, posters Types of projects/scope repetitive, one-offs, tier 1, 2 and 3, variability/predictability
Business Models for In-House Teams Audit Determine what your team does Services Vendor management, client contact/customer service, art direction, design, copywriting, proofreading, project management, finance, fulfillment, print production, programming, brand management, branding Consulting (assisting other groups such as acting as liaisons for Marketing and Procurement with agencies and printers)
Business Models for In-House Teams Audit Determine what your team does Services Vendor management, client contact/customer service, art direction, design, copywriting, proofreading, project management, finance, fulfillment, print production, programming, brand management, branding Consulting (assisting other groups such as acting as liaisons for Marketing and Procurement with agencies and printers)
Business Models for In-House Teams Audit Determine who is doing what Meet with team Meet with clients Quantity/workload (properly resourced? ) Quality (appropriately resourced? )
Business Models for In-House Teams Audit Determine how the work is being done SOPs – procedures, processes & policies/regulations (industry dependent)
Business Models for In-House Teams Assess What is and what should be (the gap between expectations and current structure) Work with clients, managers and team to draft a blueprint
Business Models for In-House Teams Actualize Understand your options Evaluate assessments Evaluate opportunities and corporate climate Design a plan
Business Models for In-House Teams Actualize Understand your options Flat structure Studio structure Agency structure
Business Models for In-House Teams Actualize Understand your options Flat (compressed) structure This is the “jack of all trades” model. Designers handle all functions associated with a project. Small management team. Few non-creatives. • Design • Art direction • Project management • Client contact • Vendor management • Proofreading • Finance
Business Models for In-House Teams Actualize Understand your options Flat structure – circumstances to consider • Smaller group (1 to 5) • Logistically simple projects • Minimal variability in type and scope of project • Manageable bureaucracy • Minimal regulatory policies
Business Models for In-House Teams Actualize Understand your options Studio structure - The studio model is similar to the flat model with a key exception; a separate team handles the project management and administrative responsibilities (organizing, tracking and communicating information). Designer (especially senior designers) functions include: • Design • Art direction • Client contact-design issues • Vendor management-technical issues • Proofreading
Business Models for In-House Teams Actualize Understand your options Studio structure - The studio model is similar to the flat model with a key exception; a separate team handles the project management and administrative responsibilities (organizing, tracking and communicating information). Project Managers functions include: • Project management • Client contact-logistical issues • Vendor management • Proofreading • Finance
Business Models for In-House Teams Actualize Understand your options Studio structure – circumstances to consider • Small to medium size group (5 to 20) • Logistically complex projects • Some variability in type and scope of project • Manageable bureaucracy • Modest regulatory policies • Information intensive projects • Modestly complex vendor relationships • Multiple stakeholders interface and reviews • Tight deadlines
Business Models for In-House Teams Actualize Understand your options Agency structure – the most specialized structure of the three options. Almost every function has an accompanying position. The positions can include: • Creative Director • Art Director (multiple levels) • Print Designer (multiple levels) • Production Artists • Interactive Designer (multiple levels) • Proofreader • Copywriter • Account Manager • Project Manager • Traffic Coordinator • Print Engineer
Business Models for In-House Teams Actualize Understand your options Agency structure – circumstances to consider • Medium to large group (20+) • Logistically complex projects • Wide range of types and scopes of project • Big bureaucracy • Complex regulatory policies • Information intensive projects • Multiple and complex vendor relationships • Multiple stakeholders interface and reviews • Tight deadlines • Shared services model
Business Models for In-House Teams Actualize Defining & documenting the chosen structure • Define position descriptions • Create reporting structure • Determine team structure
Business Models for In-House Teams Actualize Defining the chosen structure Define position descriptions • Function – Broad statement of what the position does • Responsibilities – List of specific tactical tasks • Whom the position reports into • Who reports into the position • Required experience • Required skills • Salary – Corporate pay structure/market rates
Business Models for In-House Teams Actualize Defining the chosen structure Create reporting structure • Management/solid line (boss) • Education/dotted line (mentor) Manager conducts performance reviews, personal/business skills coaching and other HR functions Mentor/guru supports team with their hard/technical skills
Business Models for In-House Teams Actualize Defining the chosen structure Determine team structure Client (crossfunctional) vs Functional (multiple clients) Client – Shared goal Functional – Deeper coverage
Business Models for In-House Teams Considerations Contract workers vs Permanent staff
Business Models for In-House Teams Considerations Contract workers vs Permanent staff Contract advantages • Flexibility (hire by function and/or workload) • No HR responsibilities • Broader work experience Contract disadvantages • Lack of loyalty/availability • Lack of institutional knowledge • Conflict with perm staff (privileges) • No HR responsibility • Co-employment laws
Business Models for In-House Teams Considerations Contract workers vs Permanent staff Perm advantages • Institutional knowledge • Access • HR responsibilities • Loyalty/self interest • Length of tenure Perm disadvantages • Complacency • Creative burnout • HR responsibilities • Corporate training mandates
Business Models for In-House Teams Considerations Corporate pay structure vs Market rates Salaries – Fight for industry competitive rates Conduct market research Efficiency (read long-term cost-savings) Rationale Proper hard and soft skills Retention
Business Models for In-House Teams Considerations Redundancy The buddy system (tasks) for institutional knowledge Redundancy The backup system (roles) for functional authority
Business Models for In-House Teams Considerations The Strengths/Stretch balance
Business Models for In-House Teams Considerations Career path – Manager vs Guru
Business Models for In-House Teams SOPs Standard Operating Procedures PPPPPP
Business Models for In-House Teams SOPs Standard Operating Procedures Same process as staffing structure determination Triple A • Audit to determine current procedures • Assess appropriateness • Actualize – create SOPs and implement them
Business Models for In-House Teams SOPs Standard Operating Procedures Audit to determine current procedures Write up personal assessment (your best guess) Review and refine with team Review and refine with outside stakeholders (clients and peers in other departments) Create draft and validate with all stakeholders
Business Models for In-House Teams SOPs Standard Operating Procedures Meet with all stakeholders to revise draft to meet actual needs and address gaps
Business Models for In-House Teams SOPs Standard Operating Procedures Document SOPs • Workflow chart • Work instructions • Policies vs procedures
Business Models for In-House Teams SOPs Standard Operating Procedures Implementation • Train (ALL stakeholders) – should be engaging • Retrain • Establish experts
Business Models for In-House Teams Finance Chargebacks vs Budget Chargeback pros More entreprenuerial - Compete against agencies - Forces team to perform at a higher level - More ownership of department - More at stake - More opportunities to grow business--whoever will pay - Easier to quantify and justify value and cost-savings - Comes from marketing budgets Insulates team from layoffs Chargeback cons You have to collect money - Need more infrastructure/hard to collect - Cash flow challenges - No guaranteed revenue Client bias
Business Models for In-House Teams Finance Chargebacks vs Budget pros Guaranteed budget - Simplified financial model - Easier to plan growth Budget cons You’re locked into an annual budget – Little opportunity to grow - Less entrepreneurial incentives - Subject to cost cutting downsizing initiatives - Less incentive to track departmental finances
Business Models for In-House Teams Finance The Procurement food chain 1. Prepaid media buys 2. Prepaid agency retainers 3. Contractual agency retainers 4. Per project funds
Business Models for In-House Teams Resources Consultants Cohen-Miller Consulting Books The 5 dysfunctions of a Team/Talent is Not Enough/The Corporate Creative/In-house Design In Practice Blogs In. HOWse Blog/Daniel Pink/Bob Sutton/IDEO Organizations AIGA/HOW/In. Source/DMI
Business Models for In-House Teams Building the plane while it’s in flight The challenges - the putting out fires conundrum The rewards – joy at work that comes from personal and professional fulfillment
Business Models for In-House Teams
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