On October 1, 2024, FOURDIGIT’s CEO, Ryo Taguchi, and COO, Takehiro Suenari, spoke at the “NIKKEI Digital Forum in ASIA Sustainable Society & Solution Summit” held in Bangkok, Thailand, hosted by Nikkei Inc. and Nikkei BP. The event aimed to foster exchange and collaboration between government, industry, and academia in Japan, Asia, and ASEAN, advancing digital technologies. This was the second event following the 2023 forum in Hanoi, Vietnam.
Many experts in digital transformation (DX) and green transformation (GX), government officials, IT companies, and Japanese businesses in Thailand participated.
The Transition in the Importance of Design and Its Necessity in Southeast Asian Business
Taguchi delivered a presentation on the importance of design in the Southeast Asian market, discussing how design is a key driver of corporate growth and its specific roles in Southeast Asia.
The Importance of Experience Design
Taguchi:
Around 2010, the popularity of UX design and design thinking led to numerous instances of consulting and tech companies acquiring design firms at high prices. A notable example was the design firm Adaptive Path, acquired by the S&P 100 company Capital One in 2014, accelerating this movement.
Another example highlighting the importance of design in business is the success of Apple in the U.S. Instead of selling products individually, Apple offered a comprehensive experience integrated with services, significantly impacting the market. Many companies began pursuing Apple to enhance their comprehensive experiential value.
The Gap Between "Design" and "Business"
Taguchi:
During a seminar we held at FOURDIGIT with corporate design stakeholders, we heard from those in the UX department that “designers tend to be marginalized in organizations,” “it’s rare to advance from the UX design department to higher levels,” and “management shows little interest in design.” On the business side, comments included “designers don’t understand business,” “they don’t take responsibility for outcomes,” and “they are idealistic, not realistic.”
These opinions suggest a significant gap between design and business. In the early 2010s in Japan, the concept of UX design had yet to permeate. However, over time, there was a growing recognition that UX design is indispensable for improving user experiences.
User-Centered Approach as a Strategy
Taguchi:
One solution to bridge the gap between business and design is to adopt “user-centered design,” which involves profoundly understanding users and creating what they desire. The intended direction becomes clear by placing users at the center of all efforts, gradually transforming the organization’s structure and mindset.
User-centered design involves various methods and approaches, but it is not a “function” that can be achieved simply by knowing them. It is a belief or attitude about designing with the user in mind. Therefore, realizing user-centered design takes work.
However, by valuing this belief, design can be seen not as a short-term consumable but as an asset built alongside the business or service, offering significant value.
"Good Design is Good Business"
Taguchi:
There is a phrase, “Good Design is Good Business,” stated initially by IBM’s Watson Jr. in 1966 and later quoted by John Maeda, an opinion leader in the U.S. design industry, in 2015. It’s time to revisit this phrase.
The experiences created by the fusion of business, design, and technology will undoubtedly change society. As Thailand and Asian regions continue to develop, we anticipate the emergence of even more remarkable experiences and services. As a design company, we, FOURDIGIT aim to support this growth.
IT and Service Design in Thai Financial Institutions
COO Takehiro Suenari also took the stage, joined by Tomohiro Matsubara from NTT Data Thailand and moderator Hiroaki Sato (Nikkei BP Trend Media Unit Manager), to discuss the howIT and design support should be provided for companies in various viewpoints, using activities in Thailand as an example.
Differences Between Japan and Thailand
Matsubara:
In Thailand, a business-driven “just try it” approach is standard, with a strong desire to quickly deliver new products to users. In contrast, Japan has significant legal and existing system constraints, often taking time to launch new services. Avoiding system troubles is a top priority, affecting project planning. Additionally, development styles differ, with Japan excelling in concentrated team efforts to build robust systems. At the same time, Thailand typically adopts agile methods, advancing with lightweight prototypes.
Suenari:
In Japan, design is increasingly utilized to determine what to execute from the project’s inception. However, in Thailand, design is less integrated at the initial stage. Unlike in Japan, where design is increasingly used in management decision-making, in Thailand, design is positioned further from the management layer.
Addressing Differences and Challenges Across Countries
Matsubara:
In Japan, the strength lies in deeply understanding the client’s business and systems when making proposals. However, a deeper understanding is required in Thailand, where clients often have IT teams. Developing personnel who can accompany clients is a significant challenge moving forward.
Suenari:
Japanese companies often have distinct roles for each department, with differing KPIs, making providing a unified customer experience challenging. Thailand faces similar challenges, necessitating time to build trust and contribute to comprehensive experience design.
Does the Japanese Approach Work in Thailand?
Matsubara:
NTT Data’s global achievements and experiences are also an asset in Thailand. Japan’s meticulous craftsmanship sometimes fits in Thailand. However, Japanese large-scale project plans are only sometimes welcomed, with demands for shorter timelines. Flexibility in approach according to customer priorities per project is essential.
Suenari:
Japanese design and culture are often viewed positively, even in Thailand. Historically, globally, entities like Apple have been influenced by Japanese design. Thus, there’s an impression of high quality. However, the meticulous approach is sometimes seen as “taking too long.” On the other hand, our approach is close to agile methods, allowing us to align with Thai styles.
Corporate Collaboration and Future Outlook
Matsubara:
I believe that the shortcuts for expanding to other countries are to find successful examples and use cases and to have cooperation among multiple countries and companies.. NTT Data emphasizes “client-first,” going beyond being a mere vendor to accompany customers and provide maintenance support responsibly. This approach has some similarities with FOURDIGIT.
Suenari:
For instance, we’ve supported Thai companies expanding into Vietnam, demonstrating cross-border support. Such projects require collaboration across diverse countries and cultures, necessitating chemistry. With less connected companies, cultural differences can pose challenges. However, with partners like NTT Data and FOURDIGIT, who have a long-standing relationship, shared methods and values enable smooth collaboration. Based on this trust, we aim to understand customer challenges deeply and support business growth through design.
The event featured sessions from various companies and organizations, providing a valuable platform to consider how design can intersect and positively change society.
At FOURDIGIT, we aim to embrace new insights and experiences nurtured in Thailand and Asia’s burgeoning markets to support the growth of businesses and society, unlocking new possibilities.
We will continue collaborating with more people and companies, striving to deepen value provision through design with full commitment.