We can call design thinking a modern-day method of problem-solving. Design thinking works great when it comes to creating models, products, services, or elevating the customer experience. This thinking style has been adopted in numerous creative fields, tangible and tough to achieve goals.
Design thinking can make impressive changes, even outside creative fields, no matter what field. Do we face challenges only in creative fields? Certainly not! What about humanity, the environment, and society?
So, how can we use design thinking to improve banking innovation? First, it is essential to comprehend the exact purpose of design thinking before answering that.
Let’s get deeper!
What is the core purpose of Design Thinking?
It is an approach to design that provides a method to invent based on looking at issues or requirements from the customer’s perspective. Since this approach is centered around human beings, it requires an in-depth understanding of your customers’ thoughts and feelings. Designing a solution requires you to be able to connect with the people for whom you’re trying to develop innovative solutions.
Like the agile framework for development, the design and thinking involved in design thinking is an innovative, non-linear approach. It’s driven by trying to understand the needs of people, testing ideas, studying feedback, and constantly refining and revising your ideas.
While the five steps below have been written sequentially, it is essential to be aware that they do not always linearly occur when you implement the steps in design thinking. For instance, when working on product development, teams often return to the concept stage after testing their product with customers and getting feedback from them. You have understood the purpose of design thinking, but how about its insights? It is essential to analyze and communicate insights.
Analyzing and communicating insights
To understand how machine learning aids banking in analyzing and communicating insights, let’s have an example here.
When surveys have been conducted previously, the product team at DBS bank  would often not have the right tools for conducting an in-depth analysis of information gathered. The channels of Engagement did not allow the team to explore deeper.
By embracing the design thinking methods, the team concluded that the process of post-interviewing was not as effective in writing verbatims, grouped in a with themes identified, and writing the insights.
The statement is a far more precise process in comparison to basing your decision on superficial surveys data. The team knew what verbatim and thematic clusters had contributed to the insights.
It gave patrons more confidence that they had a solid foundation for their ideas and gave them greater confidence that the information was perfect.
However, it also assisted in the brainstorming process, where the team could have deeper context around the insights that you can discuss. Before adopting this new approach for working, insight was mostly utilized as a loose term. Everything and everything can be an insight.
The person’s experience who has identified the data analysis was then crucial in bringing success. The person responsible for collating the information became the most important factor in ensuring a successful outcome.
Writing up ideas and thoughts also should be part of the conception, or we risk the possibility of losing precious context. Design thinking has brought replicability of the process of gaining insights that organizations can use to replace the lost context. It is essential to understand the benefits design thinking offer to the banking system.
What benefits does design thinking offer the banking system?
By improving the overall client experience, the design approach can enhance relationships with customers and improve the proposition of value for money in a bank’s business model. Making design thinking an integral part of business strategy will enhance the bank’s standing because it guarantees that customers’ requirements and desires are met. However, integrating design thinking is an arduous endeavor.
Design thinking also opens the way to innovation, not just for standalone banks but the whole banking industry. It’s a promising sign of how you can use design thinking to spur innovation. However, the field requires more holistic, systematic, and comprehensive strategies to tackle complicated stakeholder relations and integrate new approaches such as data analytics.
What can be the limitations?
Along with benefits, there are some limitations associated with design thinking. Here are some of those limitations.
Many banks across the globe have already tried implementing design thinking in their systems, and many have gotten unbelievable results. However, things haven’t always been that smooth, and there have been certain hindrances. And why not? After all, it’s a recent concept.
Implementation of designing thinking includes a lot of operations such as conducting interviews, conducting experiments, running ideation sessions, etc. All these demand resources and time, which are often limited.
The team needs to be provided with time and resources to implement design thinking strategies in banks. Falling short is quite common even if teams are provided with both time and resources. So, the team is then forced to do rigorous research, which may squeeze one or two phases of the design thinking process. How can a perfect outcome be expected after that?
Also, bank workers aren’t specialists in design thinking, and they need proper guidance. A senior and intelligent member can lead the team if the implementation is small-scale. However, in implementing some highly prioritized projects, banks may need outside professional help in the form of a process guide or a design thinking specialist.
In addition to proper leadership support, a stronger support and training model would also help operate the design thinking process more perfectly.
We learned how design thinking could improve the banking system and elevate the bank customer’s experience. Many case studies have shown how several banks implemented design thinking , which has yielded desirable results. Design thinking is certainly very intriguing and might seem daunting. If you choose to pursue a course on the Stanford model of design thinking, you will be well-versed in its intricacies. You can successfully implement design thinking in various instances.