I am going to talk about designing human experience, but really it’s about design leading to create value, not just economic value, but also the human value.

For us, design is about defining human progress and it’s essential that we think about the work we are doing from the standpoint that we are progressing in society, that we are improving people’s lives with the work we are doing. But one of the things we learned over many years is the focus continues and needs to be on understanding human outcomes, recognizing the value you are creating and what it does for people. If we do this successfully, then it leads to business outcomes.

And the other part is the experience. Through the experience, we have the ability to define ways to connect with people in more meaningful ways to differentiate and to develop an emotional relationship between brands and designs. Value creation is not incremental. It’s not something we can continue to repeat. I am sure many of you remember getting your hands on the first iPhone and exploring the interface that this product represented. But unfortunately, we are in this sort of post-Steve Jobs era where we are back to incremental improvement and people are interested not necessarily in an iterative solution, but in what the products can do and deliver in a better way to live. With ipod what you remember is not the size, the dimensions, the technical specifications, but what it does for people. And that is essential as we think about value creation. We understand and approach design from a standpoint of what it is and how we are improving people’s lives.

Next, value creation is about adoption. It’s important for design to deliver on engagement. If people don’t engage with what you are doing, you really don’t have innovation. You really don’t have a great product unless you can generate the adoption. And in the research focusing on experience, this idea of return on experience is becoming a more and more important thing. If people are able to engage with a product, a brand，with emotional experience, they are able to not only create more lift, but to become advocates of the brand as well as five times more likely to forgive a mistake if we make one. An experience centre for Nissan had about 3000 visitors per day. They asked us to create a new type of innovation center, a new way of engaging with people and looking at their mobility solutions. And ultimately we were able to go from 3000 visitors a month to 250, 000 visitors s month. The jump comes from the idea of focusing on the human outcomes, and being able to deliver that adoption.

Value creation is also courageous. Many CEOs focus on developing a product that they believe is differentiated. But then they turn around and deliver the experience, the same way as their competitors. That tends to dilute the experience, the way of reducing and commodifying your product. When we launched the first Apple stores, Steve asked us: “What happens if nobody comes tomorrow?” But by taking that risk, he was able to generate something that was very unique, very distinctive. But sometimes being courageous is not enough to challenge what is considered the conventional wisdom at the time. Ultimately it’s about the experience people had. If you can create this passion, deliver the connection to the brands, you are able to help create more and more value to people and then with that comes the financial benefits.

Value creation is also relevant and connected. Today it’s harder and harder to be both relevant and easier to be connected. So most companies will be looking at the solutions that come from a deep insight that most people are unable to articulate. When we look at a particular project or a particular context, we see this new algorithm of value. It states that the more receptors that you have with a company, the more intelligence you can gain from that. And it’s not just big data and analytics, but it’s both physical and digital experience and information that you can gather from that experience. The most successful companies in the world are those that become smarter every time the customer engages with the brand. That engagement gets more and more valuable and essential in today’s economy.

For Xiaomi, the store we have developed has many of the hallmarks of technology retail environment. But one of the pieces that was developed with this is the idea to engage everybody on the mobile device and take it from browsing to payments and eliminate the cash reps in the stores. And a big part of this was enabling us to engage people on their mobile devices in a Mono-channel type of engagement. So with what used to be a typical digital interaction or a typical physical interaction, we were able to combine the two and with this, Xiaomi is able to get much more information, much more intelligence from every interaction. And the customer experience is ultimately a better and more seamless one.

Ultimately the value creation goes back to what it does for people. This idea of return on experience is better return on the investment. If you look at building successful businesses, economies, to do that without a focus on human outcomes makes it a huge challenge. For us, we’re always seeing the financial benefits in addition if you deliver that human benefit. Ultimately the idea of creating value comes back to focusing on creating better human experience.