Innovation management approaches: Design value calculator gamification

Ma ke ing and Managemen o Inno a ions, 14(4), 2023 ISSN 2218-4511 (p in ) ISSN 2227-6718 (online) Copy igh : © 2023 by he au ho s. Fo open-access publica ion wi hin he e ms and condi ions o he C ea i e Commons A ibu ion (CC BY) licence (h ps://c ea i ecommons.o g/licences/by/4.0/). 17 INNOVATION MANAGEMENT APPROACHES: DESIGN VALUE CALCULATOR GAMIFICATION E a S i ako a, h ps://o cid.o g/0000-0002-7529-0255 Tomas Ba a Uni e si y in Zlín, The Czech Republic Jan K amolis, h ps://o cid.o g/0000-0002-1687-8067 Associa e P o esso , Tomas Ba a Uni e si y in Zlín, The Czech Republic Co esponding au ho : Jan K amolis, [email p o ec ed] Type o manusc ip : Resea ch pape Abs ac : Design is a speci ic o m o complex inno a ion ha a ec s all a eas o an o ganiza ion's managemen . Howe e , he essence o design is ague, and i is di icul o ully g asp he concep o design. The e o e, i is di icul o ind c i e ia o de e mining i s alue. The p oblem o es ablishing a causal ela ionship be ween design alue and use expe ience is add essed in his pape . The ela ionship be ween hese wo a iables a ec s he impo ance o design in o ganiza ions and can be used o quan i y he alue o design. Indeed, based on he esul s o exis ing esea ch, i is known ha his e m has many meanings, and i is necessa y o ejec he possibili y o i s o al quan i ica ion. Much o he ela ed esea ch has ocused on he a ea o use expe ience and cus ome alue, while o he ela ed esea ch has ocused on design alue, which canno be measu ed di ec ly bu a he , o example, h ough sys em dynamic modelling. This app oach, i.e., he use o a sys em dynamic model o de e mine he alue o design, is s ill missing in he esea ch li e a u e. The main esea ch me hod o de e mining he alue o design is he expe imen al me hod, suppo ed by o he esea ch me hods: modelling and s uc u ed ques ioning. Inpu s o he model, which ep esen he opinions o he company's manage s on he design, a e ob ained h ough a boa d game ha p o ides an a ac i e and easy- o-unde s and use in e ace o he esea ch pa icipan s. The alue o design is de e mined by using a sample case s udy ha con ains key a iables acco ding o he company's business model. The alue o he design is calcula ed based on he indica o "design cos -e ec i eness" o e six yea s o he s a -up company's business. The indica o is expe imen ally e i ied in a model wi h an iden ical s uc u e and di e en scena ios conce ning he in ol emen o design change in he economic de elopmen o he i m. This pape aims o use he gami ied DVCG model as an inno a i e concep in business managemen h ough a case s udy. The con ibu ion o he pape o science and p ac ice is o p o ide expe imen ally alida ed e idence o help iden i y he a eas whe e design in es men s a e needed o make he mos sense o he economics and managemen o he o ganiza ion. Keywo ds: business model; design managemen ; design alue; gami ica ion; mul iple case s udy; sys em dynamics; inno a ion app oaches. Recei ed: 31 Augus 2023 Re ised: 12 Oc obe 2023 Accep ed: 31 Oc obe 2023 Funding: Suppo ed by g an No. TL02000255, Technology Agency o he Czech Republic, named "A Manage ial model o a design alue o he compe i i eness o SME in he Czech Republic". Publishe and Founde : Sumy S a e Uni e si y Ci e as: S i ako a, E., & K amolis, J. (2023). Inno a ion Managemen App oaches: Design Value Calcula o Gami ica ion. Ma ke ing and Managemen o Inno a ions, 14(4), 17–31. h ps://doi.o g/10.21272/mmi.2023.4-02 Ma ke ing and Managemen o Inno a ions, 14(4), 2023 ISSN 2218-4511 (p in ) ISSN 2227-6718 (online) 18 1. In oduc ion. Design d i es g ow h and de elopmen , e iciency, p ospe i y, inno a ion, and compe i ion. Design is an impo an pa o solu ions ha a e c ea ed o use s, which a e solu ions ha sa e he en i onmen . We can ind hese powe ul s a emen s in he Mon eal Design Decla a ion (2017). Design is a speci ic o m o complex inno a ion ha eaches all a eas o an o ganiza ion's managemen . The design p ocess ela es o human beha iou and expe ience. I can esul in a ious p oduc s, in addi ion o business models. Companies ha use design and design me hods s a egically in p oduc de elopmen gain new business oppo uni ies. This esul s in inc eased compe i i eness (Danish Design Cen e, 2018). The design d i es g ow h, expo s, and p oduc i i y. Design in luences he p ospe i y o o ganiza ions and na ional economies and has signi ican social, cul u al, economic, and en i onmen al impac s on sus ainabili y. Design is cen al o he cul u e and expe ience economy, which, acco ding o he Danish Design Cen e (2018), is one o Denma k's main a eas o economic g ow h. Acco ding o he Danish Design Cen e (2018), he mo e design is used sys ema ically in o ganiza ions, he g ea e i s alue. The design is an essen ial pa ame e o compe i i eness in he nex i e yea s (Danish Design Cen e, 2018). Design managemen is inc easingly impo an , mainly because he cus omiza ion o p oduc s cha ac e izes he cu en ma ke . Use s a e mo e in e es ed in b ands associa ed wi h alues and unique expe iences (OECD, 2017). The e o e, choosing he igh s a egy is a new challenge o designe s, design managemen , and C-Sui e i ms. Whe he a s a egy o imp o ing design in an o ganiza ion is igh o less igh can be de e mined only h ough sys ema ic measu emen . The issue o design alue is pa o e e y p oduc , ei he di ec ly (i.e., i s unc ional ea u es, aes he ics, dis ibu ion, and b and) o indi ec ly, in he o m o well-designed ma ke ing me hods, cus ome ela ionships, and in e nal p ocesses wi hin he o ganiza ion. I he alue o design is so signi ican , as he esea ch shows, we mus also be able o measu e i using p ede e mined c i e ia. Howe e , he design o hese de ices is complex, and because he de ices a e nebulous, hese c i e ia a e di icul o apply. This a icle o e s one possible app oach o he measu abili y o he alue o design. Some esea ch poin s o p oblems in de e mining he alue o design. Acco ding o The Na ional Agency o En e p ise and Housing (2003), design is a comp ehensi e concep and he e o e canno be used o quan i y he o al design quali y. The esea ch (BCD Ba celona Design Cen e, 2014) s a es ha a i m's alue c ea ion depends on many ac o s, he de elopmen o a i m is dynamic, and he de elopmen o a i m's p ospe i y is nonlinea . The alue o design canno be de e mined wi hou linking i o he business model o he i ms s udied. Ne e heless, we ound esea ch p ojec s in he li e a u e ha calcula e he alue o design. The closes o his pape 's published concep is McKinsey's esea ch (Sheppa d e al., 2018). This company c ea ed a ques ionnai e ha calcula es he McKinsey Design Index (MDI) based on he esponses o he esea ch pa icipan s. The design de ini ion in his su ey is abou unde s anding use needs and hen de eloping p oduc s ha sa is y human needs. Acco ding o Sheppa d e al. (2018), g ow h and long- e m pe o mance a e he op managemen p io i ies o companies. A e comple ing he ques ionnai e, McKinsey au oma ically sends he esul ing epo , which includes he calcula ed MDI, he pa icipa ing o ganiza ion's anking in he qua ile acco ding o he calcula ed index, and wo esul ing g aphs o po en ial e enue g ow h in pe cen age e ms. The i s ou come cha se s ou he o ecas imp o emen in e enue o a company mo ing om he inal qua ile (as measu ed by he sel -assessmen es ) o he ou h-bes qua ile. The second ou come cha shows he p ojec ed annual g ow h in o al e u ns o sha eholde s (TRS) based on he MDI sco e and he annual g ow h in TRS in he op qua ile o MDI pe o mance. The esea ch on he alue o design in his pape d aws on he BCD Ba celona Design Cen e (2014), Sheppa d e al. (2018), and Na ional Agency o En e p ise and Housing (2003) and shows how we can de e mine he alue o design while a oiding linea simpli ica ion. Unde s anding he causal ela ionships and linkages be ween sys em elemen s is c i ical o s a egic decision-making. Co po a e manage s need o unde s and he possible causes and e ec s o such e en s. In his pape , he boa d game is a comp ehensible concep o mo ing om c i ical sys ems hinking o a sys em dynamic model. Thus, he boa d game c ea es a eliable use in e ace o unde s anding he cause and e ec o manage ial decisions. The boa d game also allows us o p edic who will win he game—based on he layou o he playing pieces on he boa d—be o e calcula ing he alue o he design in he sys em dynamic model. In ha case, howe e , hese a e only guesses by he game acili a o ; only he sys em dynamic model and a igo ous in e p e a ion o i s esul s will p o ide accu a e esul s and design alue dynamics. The aim o he game in e ace is o explain o all pa icipan s ( esea ch pa icipan s) he complica ed ela ionships be ween a iables in he model, which is ideally he digi al win o he o ganiza ion's business model. The e o e, he boa d game helps playe s (company manage s) unde s and he mechanisms by which a company c ea es alue h ough he con ibu ion o design. Ma ke ing and Managemen o Inno a ions, 14(4), 2023 ISSN 2218-4511 (p in ) ISSN 2227-6718 (online) 19 Mo i a ing he eme gence o boa d games o es ablish he alue o design is a co e o educa ion (Boghian e al., 2019; Ne es, 2021; Chukusol & Pi iyasu awong, 2021) ha iden i ies posi i e s uden and eache a i udes owa d hese ypes o games. The p ima y goals o hese games in educa ion a e as ollows: 1. Inc easing s uden s' mo i a ion o lea n. 2. Imp o ing lea ning e ec i eness h ough discussions among playe s. 3. Reducing he need o lea n complex sys em concep s wi hou unde s anding he essence o hese concep s. 4. P omo ion o c i ical hinking, eamwo k, and communica ion The e a e many bene i s o playing boa d games and using hem in he class oom, and eache s like o use hem when app op ia e. The e o e, consul an s in execu i e coaching i ms ha e ecen ly begun o explo e he po en ial alue o using game design o imp o e manage s' skills (Boghian e al., 2019). Games a e sys ems in hemsel es ha consis o se e al in e connec ed elemen s. These elemen s include ules, game goals, s o ies, and o he game a ibu es. Playing a game equi es playe s o conside how hese elemen s ela e o each o he . Using games as models o o he sys ems, he e o e, o e s ex ao dina y oppo uni ies o unde s and he complexi y o he ela ionship. The use in e ace o selec ing inpu da a o he model is a use - iendly s uc u ed ques ionnai e o quali a i e esea ch. I is comp ehensible as an inpu da abase o sys em dynamics modelling and will help o unde s and he mechanisms by which a i m c ea es alue. The main objec i e is o apply he design alue calcula ion game (DVCG) as an inno a ion concep in he managemen o a company using a case s udy as an example. The esea ch da a collec ion ool was adap ed in o a boa d game: he design alue calcula o . This ool collec s da a om esea ch pa icipan s (business leade s) in a s uc u ed way because design is he in e sec ion o unc ional, dis ibu ional, social, and emo ional expe iences o a p oduc use . The alue o design was es ablished in a sys em dynamics model o he o ganiza ion. 2. Li e a u e Re iew. Acco ding o Pa lou (2013), design is a complex p ocess in ol ing aes he ic and unc ional aspec s o a p oduc . Mo eo e , design is also a pa o ma ke ing (C opley & C opley, 2005) and can be implemen ed in o ganiza ional p ocesses (Edquis & Hommen, 1999). "The economic bene i s o design change depend on he ole ha design plays in he o e all inno a ion p ocess". (The BCD Ba celona Design Cen e, 2014). Design is a c i ical ac o whose ac i i ies b ing ideas o he ma ke and ans o m hem in o quali y and aluable p oduc s (Meye hoe e & Zu ekas, 2008). 2.1 Gami ica ion as a Tool o Be e Educa ion Ludic epis emology (De Cas ell, 2011) e e s o he ac ha educa ional games can pa ially eplace adi ional (linguis ically media ed) epis emologies. Ludic epis emology's main p oblem is how o encode knowledge in games and how we migh use he play p ocess in lea ning new concep s. Boghian e al. (2019) men ioned game educa ion beha io al and cons uc i is lea ning heo ies. O he ypes o games a e based on he p inciple o "d ill and p ac ice" and use quizzes, poin s, and clicks (Zalka, 2012; Rugelj, 2015; Rugelj e al., 2018). P oblem-based games help s uden s build app op ia e men al models (Rugelj, 2015). The neu ophysiological use o games based on cons uc i is lea ning heo ies gene a es changes in how he eache in e enes. The eache plays a mo e disc e e eaching ole; i s impac is mos ly o ma i e and p oblem-o ien ed and can be in he o m o coaching playe s/s uden s. Acco ding o Boghian e al. (2019), he au ho s o a ecen e iew o he boa d game li e a u e (Wille e al., 2018) iden i ied se e al bene i s o boa d games in educa ion: games p o ide oppo uni ies o imp o e pe suasion and he o ical skills (Bogos , 2010). In addi ion, games p o ide p oblem solu ions and lessons o lea n (Squi e, 2011) and a e help ul in sol ing eal-li e p oblems (McGonigal, 2011). Games s eng hen collabo a ion among pa icipan s and p omo e inno a ion h ough lea ning (Pa janen and Hyypiä, 2019). Boa d games a e a iable solu ion in adul educa ion. They allow s uden s o bond and be mo i a ed o emain engaged in lea ning wi h and om o he s. The Design Value Calcula o boa d game c ea es a pla o m o hinking abou a company om he pe spec i e o i s managemen . Playe s can lea n by ial and e o wi hou isk, gaining expe ience in a simula ed en i onmen . Each game has i s own s o y, exp essed h ough a c ea i e scena io. This boa d game simula es he p ocess o economic de elopmen o a company o e six yea s o business. The playe s' decision-making is based on pee discussions in i e s a egic a eas: • P oduc o goods inno a ion. • Se ice inno a ion. • Ma ke ing me hods inno a ion. • Cus ome ela ionship inno a ion. • Inno a ion o he o ganiza ion's in e nal p ocesses. Thus, he game aligns wi h he publica ion concep s o he BSC (Pa kman, 2021) and Sheppa d e al. (2018). Explaining he ole o design in he i m h ough a boa d game is isually appealing and simplis ic so Ma ke ing and Managemen o Inno a ions, 14(4), 2023 ISSN 2218-4511 (p in ) ISSN 2227-6718 (online) 20 ha he playe g asps he essence du ing he game and can hen apply i in o he decision-making in he i m's p ac ice. The design alue calcula o boa d game di ec ly encou ages in e ac i i y be ween playe s who sea ch oge he o si ua ions ha a e closes o he playe s' expe ience. 2.2 Design Value as a Nonmeasu able Uni . Cu en ly, no empi ical e idence can demons a e ha he economic alue c ea ion con ibu ed by a design change has a linea p og ession whe e he esul s a e di ec ly p opo ional o he inpu in es men (BCD, Ba celona Design Cen e, 2014). Acco ding o he F asca i manual, he ela ionships be ween a iables and hei dynamics a e de i ed. I a single alue canno be used o measu e he design, i can be measu ed agains an app op ia e dynamic ame o e e ence. Thus, i will no be a s a ic numbe bu a he he e olu ion o he design o e a p ede e mined ime. Sys em dynamic modelling ully mee s such equi emen s. The e o e, i we canno measu e he design s a ically, we can measu e i dynamically. This model consis s o eedback loops, le els, and lows. I is essen ial o unde s and and ack dynamic models ha explain he ole o design in he economic alue c ea ion p ocess. Fo his eason, i is necessa y i s o compile a model o he o ganiza ion. In his case, we can es di e en scena ios ha measu e he impac o a design change on economic alue c ea ion. The alue o design is a dimensionless ca ego y, which co esponds o he equi emen o a dynamic concep ion o he design ca ego y ha mus conside he ela ionship be ween i m economics and design in es men . This p oposed concep ualiza ion is consis en wi h he BSC model (Pa kman, 2021) and is in line wi h McKinsey's (2022) model o measu ing design po en ial. 3. Me hodology and Resea ch Me hods. The alue o he design was de e mined using he expe imen al me hod, which we suppo ed by o he esea ch me hods: modelling, mul iple case s udies, and s uc u ed inqui y. To explain he esea ch me hods, a ques ionnai e is used as a use in e ace o inpu ing alues in o he model: he boa d game "design alue calcula o ". In his way, i is possible o gain he in e es o playe s/manage s as esea ch pa icipan s so ha hey unde s and he complexi y o he design concep . The co ec ness o he sys em dynamic model canno be ully alida ed o e i ied (S e man, 2000) because he claims supplied by he model can nei he be suppo ed by objec i e u h no e i ied. Howe e , we can es he model o i s beha io 's sensi i i y and uni consis ency. We chose he me hod o using ex eme alues o es he sensi i i y o he model's beha io . Howe e , we achie ed a ce ain deg ee o e i iabili y o he model: we consis en ly es ed he model o he co ec ness o he inancial s a emen s acco ding o double- en y bookkeeping p inciples. We balanced asse s and liabili ies a each s ep o he model. We ob ained his p inciple o equali y in he balance shee based on he economic beha io o he o ganiza ion model. Using mul iple case s udies as a esea ch me hodology allows esea che s o analyse se e al ela ed cases and p oduce a summa y in e p e a ion. S udying complex phenomena, such as social sys ems (business models), which consis o many di e en componen s, is use ul. I is essen ial ha he model is easy o unde s and. We achie ed his wi h he help o a boa d game whose elemen s o m a sys em iew o he design, and he alues se by he game a e he inpu da a o he model. Acco ding o Os e walde & Pigneu (2010), he BMC, cla i y is also signi ican ly enhanced by Os e walde ’s well-known concep . The empi ical esea ch me hod (Och ana, 2019) p esen ed in his a icle induces condi ions delibe a ely se by he esea che . The expe imen aimed o ind an answe o he ques ion unde a i icially c ea ed (induced) condi ions. An essen ial elemen o he expe imen al me hod is he i e a i e app oach, which al e na es among a ious pa s o he esea ch design (Kapiszewski e al., 2015; Fai ield & Cha man, 2017). In he expe imen , we combined quali a i e ques ioning o he esea ch pa icipan s. Dea on and Ca w igh (2018) no ed ha he co ec choice o an expe imen as a esea ch me hod depends on he ques ions we asked a he beginning o he esea ch and ou p io knowledge (Saunde s e al., 2018). We me wo c i ical condi ions o choosing a esea ch me hod expe imen : he model sol es a speci ic p oblem, and he esea che has ele an expe ience o modelling in Vensim. The pape con ibu es in he ollowing a eas: 1. Design alue is de ined as a speci ic ca ego y ha can be quan i ied wi h he help o an expe imen . 2. This shows how he alue o design can be de e mined e en i i is a dynamic ca ego y and no a s a ic quan i y. 3. A use - iendly in e ace is se up o unde s and he complexi y o he design concep . We use he use in e ace we designed like a boa d game. We used he design alue calcula o game o ob ain inpu da a o a sys em dynamic model. 4. This pape demons a es he ad an ages and limi a ions o he design alue calcula o boa d game and i s applica ion in de eloping c i ical hinking skills in a eam o playe s. This pape de ines he objec i e and he main esea ch ques ion, subobjec i es, and sub esea ch ques ions as s eps ha con ibu e o he solu ion o his esea ch p oblem. The alue o design is di icul o de ine and Ma ke ing and Managemen o Inno a ions, 14(4), 2023 ISSN 2218-4511 (p in ) ISSN 2227-6718 (online) 21 measu e. "Design is di icul o isola e as a unc ion, and he design unc ion ope a es di e en ly by indus y." (DMI: Design Managemen Ins i u e, 2015). This scien i ic p oblem has no ye been su icien ly add essed. The esea ch me hods o expe imen a ion and modelling a e new and ha e no been applied o add ess he p oblem o de e mining he alue o design. The esul o he solu ion is also o iginal in i s app oach, which is a boa d game as a communica ion map o s uc u ed ques ioning o esea ch pa icipan s and comp ehensible de e mina ion o inpu da a o he SD model. Resea ch Hypo hesis: The DVCG will enable a company o p edic measu able ou comes o a design in es men . Main RQ (RQM): How can he measu able alue o design be de e mined by he condi ions o he o ganiza ion unde s udy? SC1: De ine design as a complex ca ego y. SRQ1: How can a ques ionnai e (like a boa d game) help esea ch pa icipan s unde s and he complexi y o he design concep ? How can we isualize he di e en da a ha go in o he model? How can he inpu da a be unde s ood by esea ch pa icipan s (C-Sui e)? SC2: The design alue mus be a dynamic indica o ha calcula es he design's impac on he i m's economics o e a speci ied pe iod. SRQ2: How can we de e mine he alue o design when he e ec o design on a i m's p o i s is no linea and when he esul s a e no di ec ly p opo ional o he inpu in es men ? 3.1 Expe imen al Design and Sequen ial S eps in Resea ch. The beginning o he esea ch me hod expe imen o de e mine he alue o he design was da ed o 2020. Du ing 2021 and 2022, we u he esea ched di e en o ganiza ions: nonp o i o ganiza ions, public adminis a ion o ganiza ions, companies, and uni e si ies. The ollowing sec ion desc ibes he speci ic s eps o using he expe imen in esea ch o de e mine he alue o he design. We delibe a ely b oke down he s eps o achie e he necessa y anspa ency o an i e a i e app oach o he esea ch me hod o expe imen a ion. In he i s s ep, we conduc ed a p elimina y li e a u e sea ch. The li e a u e analysis showed ha he con ibu ion o design could be measu ed wi h agg ega e da a and mac oeconomic indica o s (Na ional Agency o En e p ise and Housing, 2003; Ben on e al., 2018). Howe e , we canno measu e design alue in an indi idual company. Design alue is a dynamic a iable ha changes o e ime and is linked o he economic pe o mance o o ganiza ions (BCD Ba celona Design Cen e, 2014). Pa kman (2021) no ed ha despi e inc easing a en ion, design managemen s ill needs o be a adi ional concep ualiza ion o widely accep ed empi ical measu e o he cons uc . DMI: The Design Managemen Ins i u e (2015) a gues ha he alue o design is mo e di icul o measu e han is he adi ional ROI indica o . In he second s ep, we buil a model o he s a -up company in Vensim. Based on a li e a u e e iew, we p opose a sys em dynamics model o a s a -up i m (Cosenz, 2017). We se exogenous a iables ha en e he model and co espond o a speci ic case s udy (a small s a up company wi h a u no e o up o 1 million CZK pe yea dedica ed o e u bishing old bicycles and con e ing hem o elec ic bicycles). The design alue calcula o is a ool o ob aining inpu alues abou he design in o he model. Fi s , we ob ain he dimensionless coe icien o he design alue algo i hm (S i ako a & K amolis, 2021). The men al model, which conside s he i m's en i e business plan, inco po a es he impac o inno a ion (by design) using he design alue algo i hm (DVA) coe icien on he cus ome segmen and indi ec ly on all o he business model segmen s. The impac o design can ha e bo h p og essi e and eg essi e e ec s on a i m's economic pe o mance. The model o measu ing he alue o design is buil on he Os e walde & Pigneu (2010) concep (see Fig. 1). The de aul sys em dynamics model consis s o 60+ eedback loops. The PROFIT a iable is c ucial o calcula ing he design alue. The sys em dynamics model ob ains a iables om he "design alue calcula ion". We p epa ed ou di e en p o i scena ios o he model: • no design change (ze o op ion); • based on manage ial decisions; • op imal decision making; • he wo s decision. S ep 3 s a ed he collec ion o quali a i e da a using a s uc u ed ques ionnai e (design alue calcula o ). Du ing subsequen in e iews, he su ey was g adually modi ied o ensu e ha he manage s' esponses cap u ed he da a needed o he sys em dynamics model. In e iews we e conduc ed wi h manage s o 90+ companies. The PROFIT indica o was i al o de e mining he alue o he design. Howe e , as shown in he subsequen i e a ions, his indica o was no objec i e (due o he s ong in luence o he ini ial UX alue). Ma ke ing and Managemen o Inno a ions, 14(4), 2023 ISSN 2218-4511 (p in ) ISSN 2227-6718 (online) 22 I s exp ession in mone a y uni s was also p oblema ic. In his hi d s ep, a documen was c ea ed o eco d he esponses using numbe s. Figu e 1. Business Model o Sys em Dynamics Model Sou ces: de eloped by he au ho s based on Os e walde & Pigneu (2010). Re ining he app oach o measu ing design alue and he i m model was necessa y o he subsequen p og ess o he esea ch (s ep 4). In his i e a ion, he indica o o de e mining he alue o he design was changed o a dimensionless coe icien : design cos e iciency. The condi ions c ea e playing he game and de e mining he winne wi h he bes s a egic hinking. A decision was made abou he deg ee o in luence o di e en emo icon colou s on he inpu da a o he model, wi h he ed colou indica ing an ang y smiley li es yle changing he pa icipan s’ answe s he mos . We ca ied ou he da a analysis in s ep 5, and we u he es ed ha . We played he game se e al imes, wi h indi iduals compe ing agains each o he . The sho comings o indi idual playe in ol emen became appa en in his p elimina y es in a la ge g oup. The e was no space o discussion because each playe made decisions abou his business because he could no discuss wi h any pa ne . The e o e, we c ea ed a eam e sion o he game. The eam hinks abou he design o he same company; each playe chooses one a ea o inno a ion o he chosen company. Team membe s can discuss he pe cei ed alue o he design by use s o he i m's p oduc s. In his eam e sion o he game, he pe sonal o m o he inal decision was also main ained. The e o e, a playe may disag ee wi h he opinion o mos eam playe s and make a di e en decision han o he eam membe s. The esul s o he playe s o he coope a ing eam a e hen agg ega ed and compa ed wi h he agg ega ed esul s o he o he eams. Acco ding o cons uc i is lea ning heo ies, he las s ep, numbe 6, o playing any game is e y impo an because playe s need o be su e who won o los and why. The e o e, analysing con e sa ions abou he alue o design, i.e., analysing playe s' decision-making, is c i ical. We discussed he game's ou comes wi h he playe s/manage s no only du ing he game bu also a e he game. We ewa ded he winning eam. 4. Resul s. The published s udies e ealed a p oblem wi h he alue o design de e mina ion, which canno be measu ed di ec ly bu a he h ough o he economic ca ego ies. Figu e 2 shows he modelled p o i de elopmen o six iden ical i ms o e six yea s o business. The PROFIT cu es in he igu e all ha e he same shape and a e isible only as a single cu e in he compu e -gene a ed model. Fo cla i y, he cu es in he igu e below ha e been shi ed o be isible in he g aph. The Vensim p og am has he ollowing limi a ion in he e sion used: mo e han six cu es and six di e en wa e o ms o any dynamic indica o (in his case, PROFIT) canno be displayed in one g aph. The p og ession o he p o i cu es is shown in he g aph (Figu e 2). The low o he g aph is wi hou design and wi hou using he UX (use expe ience) a iable. The e o e, he "null e sion" o he six case s udies is used o e i y he co ec ness o he model. Ma ke ing and Managemen o Inno a ions, 14(4), 2023 ISSN 2218-4511 (p in ) ISSN 2227-6718 (online) 23 Figu e 2. PROFIT 6 Case S udies wi h he same business algo i hm wi hou design and UX Sou ces: de eloped by he au ho s. 4.1 Business Algo i hms in he Dynamic Business Model Can as. I design c ea es alue, hen his alue is always ela ed o he cus ome as a consume o alue. A a ional consume measu es wo a iables: he sa is ac ion o he needs ha he p oduc will b ing and he cos o he p oduc . The a ional p oduce , in simple e ms, has simila cons ain s: he mus ha e su icien cash low o alloca e o he c ea ion o new alue. In doing so, one mus conside all he cos s in ol ed in de eloping he i m. Howe e , business is a complex sys em ha canno be desc ibed in simple e ms. A business model mus be c ea ed o sol e a p ede ined p oblem. Modelling is no he goal; i is he solu ion o he p oblem. The model o he i m mus simpli y he eali y ha de ines he p oblem. The model is, he e o e, only a ool o achie ing his goal. The model is a simple bu consis en and balanced business model o a s a -up company. 4.2 Quan i a i e E alua ion o Design Value Calcula o da a: case s udy. The esea ch da a a e collec ed using he design alue calcula o , which o ms he amewo k o he s uc u ed in e iews. Use expe ience is calcula ed om he ollowing a iables: UX = Use Expe ience; C = Compe i i e ad an age, i.e., Compa ing he esea ched o ganiza ion wi h i s compe i o s; and CAG = (Cus ome Ac ion Goals), ha is, how he clien ( esea ch pa icipan ) es ima es cus ome expec a ions. This calcula ion shows ha UX can heo e ically ake alues om ze o o 100. The smalle he a io be ween he compe i i e ad an age and he cus ome ac ion goals is, he mo e i makes sense o in es in design in ha a ea (le e age). In o he wo ds, he smalle he cus ome expe ience is, he mo e impo an i is o in es in he a ea, hus inc easing he chances ha he cus ome will be mo e in e es ed in he p oduc o e ed. The cus ome expe ience is calcula ed o ou design dimensions: • (x1) wha he p oduc looks like; • (x2) how he p oduc wo ks; • (x3) how quickly and well he p oduc is shipped; • (x4) How he cus ome is pe cei ed by hei social g oup. Desc ip ion o he a iables in he o mula o calcula ing DVA: P = Poin s by decision; I = Impo ance o he decision; D = In luence o designe s. The pa ame e [D] means ha we ha e o include collabo a ion wi h designe s in he design alue calcula ion. K amolis (2017) s a es ha collabo a ion wi h designe s is i al o i ms. The e a e an inc easing numbe o manage s who did no collabo a e wi h designe s in he pas . This change can be in e p e ed as i ms a aching mo e impo ance o design and being awa e in a highly compe i i e en i onmen ha design can be a compe i i e ad an age. I is he e o e necessa y o ha e an expe in his a ea. All he pa ame e s ob ained h ough he design alue calcula ion ques ionnai e a e applied in he o mula. The design alue algo i hm (DVA) indica o is also in luenced by he decision o he esea ch pa icipan (company manage ). The DVA indica o is dimensionless. The highe he DVA is, he mo e wo hwhile i is o in es in design because he managemen decision co esponds o he need o imp o e any UX pa ame e s in a speci ied o de o impo ance. The deciding poin s de e mine he clien 's s a egy. Design esou ces in ol e collabo a ion wi h designe s on he choice o s a egy. The si ua ion can be exp essed as 1, 1.1, 1.2, o 1.3. Ma ke ing and Managemen o Inno a ions, 14(4), 2023 ISSN 2218-4511 (p in ) ISSN 2227-6718 (online) 24 The compu ed design alue algo i hm (DVA) is a ached o he cus ome segmen elemen in he sys em dynamic model. An example o he comple ed design alue calcula ion is shown in Figu e 3. The business model o he i m ope a es in ou scena ios: • Fi m alue de elopmen wi hou design in ol emen ; • Fi m alue de elopmen wi h design change – playe 's own decision; • Fi m alue de elopmen wi h design change – he bes /ideal decision in a gi en si ua ion; • Fi m alue de elopmen wi h design change – wo s /leas app op ia e decision in a gi en si ua ion. DVA a ec s he cus ome segmen , and h ough his elemen om he business model can as, all o he pa ame e s, including PROFIT accumula ion. The case s udy illus a es he comple ion o he design alue ool, he design alue calcula o . I shows how we can ob ain aluable da a and insigh om he managemen o o ganiza ions on di e en pa s o hei business in a game (DVCG). The design alue calcula ion (Figu e 3, le ) shows a illed playing ield. To make he esul s easie o unde s and, no only o he game acili a o bu also o he playe s, each playe ansc ibes hei answe s in o a able (Figu e 3, igh ). Howe e , i is no only abou hese numbe s; he discussion be ween he playe s as esea ch pa icipan s o be ween he playe s and he game acili a o is also aluable. Figu e 3. Design alue calcula ion game (DVCG). Expe imen al case s udy Sou ces: de eloped by he au ho s based on (S i ako a, 2021). Table 1 shows he UX and D calcula ions calcula ed by he design alue calcula o . The able also includes an example o emo icon colo p ocessing. In he Cus ome s Ac ion Goals (CAG) calcula ion, esponses a e mul iplied by he app op ia e pe cen age; in he Compe i i e Ad an age (C) calcula ion, esponses a e di ided by he app op ia e pe cen age. Table 1. Case s udy: UX Design a ea CAG C UX=C/CAG D Appea ance 85 80 0.94 1.3 Func ion 80 55 0.69 1.1 Dis ibu ion channels ( ed emo icon) 54 × 1.2=65 30/1.2=25 0.38 B and (yellow emo icon) 64 × 1.1=70 50/1.1=45 0.64 Sou ces: De eloped by he au ho s based on he design alue calcula o Table 2 below shows he manage ial, op imal and wo s decisions and he calcula ion o DVA as a dimensionless impac ac o o design in es men . Ma ke ing and Managemen o Inno a ions, 14(4), 2023 ISSN 2218-4511 (p in ) ISSN 2227-6718 (online) 25 Table 2. Dimensionless coe icien calcula ion o he design alue algo i hm No. Beha iou pa e n (scena ios) Clien 's ( esea ch pa icipan 's) choice DVA 1. Pa e n (scena io) wi hou design - 1 2. Clien beha iou pa e n (scena io) (1.) unc ion; (2.) appea ance; (3.) dis ibu ion channels; (4.) b and 1.93 3. Op imal beha iou pa e n (scena io) (1.) dis ibu ion channels; (2.) b and; (3.) unc ion; (4.) appea ance 4.12 4. The wo s beha iou pa e n (scena io) (1.) appea ance; (2.) unc ion; (3.) b and; (4.) dis ibu ion channels 1.34 Sou ce: De eloped by he au ho s based on Tab. 1 and he design alue calcula ion o mula. The DVA calcula ion is no unde s andable o he C-Sui e. The e o e, inding a esul based on he same calcula ion bu speaking C-sui e is e y use ul. We mus ake ad an age o C-Sui e Managemen 's unde s anding o he numbe s and g aphs ha show he de elopmen o economic indica o s. The e o e, in he nex sec ion o he pape , h ee g aphs a e shown o help de e mine he bene i o he design in ou model si ua ions. 4.3 Design alue measu emen esul s o ou di e en scena ios. The ollowing s eps a e i e a i e p ocesses by which he game acili a o co ec s, es s, and analyses he expe imen al model du ing da a collec ion. PROFIT is an app op ia e accumula ion ha demons a es he alue o he design. All ou design decisions compa e e y well wi hin a single i m and a single playe (Fig. 4). Figu e 4. Illus a ion o dynamic beha iou (PROFIT) Sou ces: de eloped by he au ho s. The alue o he PROFIT indica o is gi en in mone a y uni s, and he ini ial UX in luences i s cou se. The e o e, i is no sui able o measu ing he alue o design. The mos app op ia e a iable is "Re u n on Design Cos ". I has he ad an age o being dimensionless and accoun ing o all cos s o p oduc inno a ion in design. The design cos p o i abili y indica o exp esses how many cu ency uni s o p o i he company has gained by in es ing one cu ency uni o cos . The e o e, he design cos p o i abili y indica o measu es he deg ee o e iciency wi h which cos s ha e been spen . The alue o his indica o should be as high as possible and should inc ease s eadily du ing de elopmen , as he en e p ise should y o achie e he highes p o i a he lowes cos . In Fig. 5, we can see he di e ence be ween a manage 's decision ( ed cu e), he pa h o he cos - e ec i eness cu e unde he op imal decision (g een cu e), and possibly he pa h o he same cu e unde he wo s -case scena io (yellow cos -e ec i eness cu e). All h ee cu es co espond o he si ua ion exp essed in he Design Value Calcula o (Figu e 3). Figu e 5 shows ha al hough he manage 's decision is no op imal, he a e o e u n on design cos s inc eases un il he end o he i h yea o business. A e ha , i begins o s agna e. Unde hese condi ions, he p o i abili y o he op imal decision peaks 24 mon hs ea lie