The ROI of Design in IT

Return on investment (ROI) of design refers to the economic value that design brings to a business, product, or service. Design can increase the efficiency and usability of a product, create a positive brand image and increase customer satisfaction, all of which contribute to the overall financial success of a company.

Early design studies can have a significant impact on the development cost of a product, service, or project. The cost impact of early design studies can be evaluated in two ways:

1. Cost savings: Investing in early design studies can help identify and address potential design issues before they become costly problems during the development process. This can lead to significant cost savings, as fixing problems at an early stage is often less expensive than fixing them later on.
2. Increased efficiency: Early design studies can also increase the efficiency of the development process by clarifying the requirements, defining the scope, and improving the overall design. This can reduce the number of iterations and rework and ultimately lead to lower development costs.

However, it is important to note that early design studies do come with a cost, and there is a trade-off between the benefits of early design studies and the cost of conducting them. To optimize the ROI of early design studies, companies must carefully evaluate the costs and benefits and make informed decisions about how much to invest in design at the outset.

Overall, the cost impact of early design studies on the development cost can be significant. Still, it depends on many factors, including the complexity of the project, the size of the company, and the resources available for design and development. Nevertheless, early design studies are generally considered to be a worthwhile investment, as they can lead to cost savings, increased efficiency, and improved overall design quality.

Case Study: Apple Inc. Apple Inc. is a prime example of a company that has leveraged design to drive ROI. The company’s design-led approach has been key to the success of its products, from the iconic iPod and iPhone to the sleek MacBook laptops. Apple’s design philosophy not only creates visually appealing products but also focuses on user experience and ease of use, which has helped the company differentiate itself from competitors and establish a strong brand image.

Apple’s investment in design has paid off, as the company has consistently reported high profits and growth. In 2020, Apple’s revenue was over $274 billion, and the company has a market capitalization of over $2 trillion.

In conclusion, the ROI of design can be substantial, as demonstrated by the success of companies like Apple Inc. Design can improve the user experience, create a positive brand image, and ultimately drive financial success. Investing in design is, therefore, a smart business decision that can bring long-term benefits to a company.

References:

1. Rogers, Y., Sharp, H., & Preece, J. (2016). Interaction design: beyond human-computer interaction. John Wiley & Sons.
2. Rose, F. (2018). The iOS design guidelines. Apple Inc.
3. Norman, D. A. (2013). The design of everyday things. Basic Books.
4. Foto de Firmbee.com from Unsplash
5. Image by Juraj Varga from Pixabay
6. Foto de Marvin Meyer from Unsplash