Bernie Goldhirsh, the founder of Inc. magazine, used to tell the staff to think of the magazine’s readers as “artists using both sides of their brains.” An entrepreneur, he said, was “someone with the soul of an artist whose means of expression happens to be business.”
It would be hard to come up with a better example of entrepreneurial artistry than the one Warren Berger presents in the following excerpt. It’s worth noting, in particular, the “stupid” questions that drove Ray Davis’s process of redesigning Umpqua Bank: Why do people come to a bank? and What does a bank do? In effect, Davis was asking, Why are we in business? and What is our purpose?
Those questions are, of course, the most important questions that any business leader can ask. You can’t build a great business without asking them, or without coming up with compelling answers. As the Umpqua Bank example demonstrates, the questions and answers can unlock the doors to innovation and creativity in business.
The sad part is that so few business leaders ask those questions, particularly if those leaders run large, public companies. I don’t know whether that has more to do with the personality and training of the leaders, the demands and expectations of investors, or the sclerosis of size. It’s probably some combination of the three. But I doubt it’s coincidence that Davis began his process when Umpqua Bank was still small and privately owned — which brings us to the importance of design, the subject of Berger’s book. By answering the questions and creating a design that reflected the answers, Davis was able to build a model that subsequently allowed Umpqua Bank to grow as a public company without losing its soul. Therein lies a lesson for all business leaders to take to heart.
— Bo Burlingham
Excerpted from Chapter 5 of CAD Monkeys, Dinosaur Babies,
and T-Shaped People: Inside the World of Design Thinking and
How It Can Spark Creativity and Innovation
In the Pacific Northwest of the United States, there is a regional chain of banks bearing the unusual name Umpqua. The bank offers CDs, but not necessarily the kind you’d expect: Right out in the middle of the bank floor, Umpqua sells music discs of local rock bands (the bank also helps sponsor those bands). Depending upon when you visit Umpqua, you may also find yourself wandering into the middle of a book reading or a knitting circle. Special guests of all kinds show up. Once, they brought in a pet psychic.
Most banks have rope lines leading to teller windows; the idea is to move you along, like an item on an assembly line, until your money has been extracted and you can be shown the door. But Umpqua is designed to seduce you into hanging around. The bank has a spacious lounge area with soft furniture where you can watch a flat-screen TV or use the free WiFi service while sampling Umpqua’s own blend of gourmet coffee. At some point, if the spirit moves you, you can do some actual banking at a concierge-style teller desk — and after each transaction, you’re rewarded with a chocolate coin served on a silver platter.
This small bank — which has done such a good job of reimagining the banking experience that researchers from larger banks now pay money to be allowed to come into Umpqua and study the way it works — is a product of design thinking. Its chief executive, Ray Davis, is not a designer but he intuitively employed design principles when he set out to re-create Umpqua back in the late 1990s and early 2000s. Davis, who ran a bank consulting firm before being recruited to fill the top spot at Umpqua, began by asking stupid questions such as Why do people come to a bank? and What does a bank do?