An Open Innovation Model
For Credicorp
Credicorp is the leading financial service company in Peru, with presence in Colombia, Bolivia, Chile, Panama and the United States. Through its subsidiaries, they have presence in banking, microfinance, insurance and pensions, investment banking and wealth management. Their main banking branch, Banco de Crédito del Perú (BCP), houses the bulk of their design capabilities, servicing their internal clients, and other Credicorp ventures.
The project for Credicorp departs from assessing the current organizational structure of BCP to achieve a well-structured organizational model for innovation for Credicorp.
The effort was structured as the following:
Assessing the current organizational model of BCP.
Assessing the current organizational model of Credicorp.
Evaluating the design capabilities needed at the BCP and Credicorp level.
Re-allocating design as a dynamic capability in many contexts of the organization (BCP and scaling at the Credicorp level).
Modeling an open innovation model cross-organization (design as a dynamic capability) for Credicorp.
Iterate and propose use cases that show the value of scaling design and innovation capabilities for Credicorp.
The design-led approach aims to put an organizational model of innovation to achieve the objective and the vision of Credicorp that will result in high-performing teams across the organization. The organizational model of innovation demonstrates through the cases proposed when and how to deploy design capabilities for open innovation.
The Open Innovation Model
The Objective
An Open Innovation Model allows organizations to combine internal and external knowledge and resources to analyze and bring offerings to market much quicker than if done by themselves.
For Credicorp and BCP, our proposed model takes this into consideration, along with addressing some internal challenges that the design team is currently facing, and addressing social issues through design.
The Open Innovation Model
Current Model & Challenges
Design Center
of Excellence
Under the current Agile methodology structure, the Centers of Excellence (CoE) inside BCP house specialized knowledge and skills that are utilized across BCP (and other organizations) by assigning members to the tribes (working teams).
Currently, the Design CoE handles requests for design services and assigns resources to the tribes as needed inside BCP.
For the rest of Credicorp ventures, BCP acts as a consultant for design methods and strategy, supporting each organization’s design capabilities as needed.
The Design CoE resources are complemented with external agencies’ talent and knowledge.
Challenges of Current Model
Sharing the value of design:
As design becomes part of the daily operations of Credicorp, the value provided is not well understood or matched to traditional business metrics.
Lack of documented specialized processes and deliverable consistency:
Design teams spread across all of Credicorp ventures develop knowledge that is not documented, and the deliverables vary from each project and team.
Growing demand for design with the same resources :
As design awareness grows across organizations, so does the demand for its services, but the resources remain relatively the same.
The external pool of talent and knowledge:
Specialized knowledge and talent comes from external agencies, without a pipeline to consolidate it inside Credicorp.
Current Model
Changes and Improvements
Design as
the Driver of Action:
The proposed organizational model clusters design into a new entity: Credicorp Design Consultancy, that tackles both the current design challenges that Credicorp and other ventures have, the design team specific issues.
Changes and improvements
Giving Design A Seat At The Table
The consultancy is empowered by appointing a Chief Design Officer that engages with Credicorp governance to set design as a driver of strategic planning, and allow the design team to further manage their own resources, as currently done by the DesignOps.
Changes and Improvements
From Design As A Service To Design As A Driver Of Innovation
The Open Innovation Model, allows Credicorp to collaborate with both internal and external stakeholders to address the challenges in a more transparent and swift way.
Changes and Improvements
Developing Innovative Products & Services
A central Credicorp Incubation Hub is created to house the innovations that result from the projects facilitated by design, and to allow all Credicorp ventures to come together to strategize and drive innovation.
Driving the Open Innovation Model: 5 Projects
5 Projects were developed to drive and activate the new proposed open innovation Model.
Understand
Listen & Learn Sessions
Listen and Learn Sessions with key underrepresented community members help organizations gain a deep understanding of their needs and pain points. Insights from these sessions will ensure Credicorp products and services are rooted in user needs and help achieve its mission of financial inclusion.
Synthesize
Unconference
To facilitate open and free sharing of knowledge, ideas, and insights within Credicorp, which can help inform long-term strategies and improve leadership understanding of issues, stories, and culture within the organization.
Ideate
Internal War Games
Involving people from across the organization in the development of a business strategy can improve team-building and provide a better understanding of industry opportunities and challenges. War games can generate multiple unique solutions in a competitive environment and help build an actual strategy for the company.
Evaluate
Open Pitch Tank
Pitch events can drive innovation and growth by identifying new business ventures and promoting cross-collaboration, while also building confidence with clients, attracting top talent, and potentially earning returns on investment. They can also act as a gateway for educational institutions and startups to benefit from Credicorp.
Learn
Design Odysseys
To foster a collaborative and inclusive learning environment to drive innovation, attract top talent, and create positive social impact, this program is essential for the organization’s sustained growth and success in the competitive industry.
The New Proposed Open Innovation Model