Facilitating female entrepreneurship : A case study on how to design tools using Service Design, Open Innovation and Lean Startup

Abstract

The level of female entrepreneurship in Poland falls short of the level of male entrepreneurship. This is probably due to the special challenges faced by women and the lack of adequate support. However, those challenges have not yet been well diagnosed and addressed. This study contributes to filling this gap. There is no single profile of a female entrepreneur, hence this study presents a portrait of a selected group of female entrepreneurs, the beneficiaries of Female Entrepreneurship Foundation (FEF), and describes their challenges and needs. Nevertheless, the created profile corresponds to average statistical data about a Polish female entrepreneur who owns a non-technological small or medium-sized company operating on the local market. This portrait of an aspiring female entrepreneur was used to find ways to address the selected challenges and needs in the early stages of setting up a business. Service Design, Open Innovation and Lean Startup activities, Minimum Viable Product (MVP), were used to develop solutions (in the format of tools) that meet the needs of FEF beneficiaries and FEF itself. Therefore, the objective of this thesis is to answer the question on how the abovementioned approaches may contribute to the creation process of such tools.

The thesis sheds light on theories of Service Design including service-dominant logic, service logic and customer-dominant logic as the basis of the theoretical framework. The study evaluates the service design processes to reveal the limitations of existing models e.g. Double Diamond. The thesis reviews the paradigm shift towards Open Innovation and investigates the Lean Startup movement to leverage its advantages and address some of its restraints in the proposed solutions. Value co-creation as the main concept of all three logics and the crossroad between Service Design, Open Innovation and Lean Startup is also explored in the thesis.

A qualitative case study was selected as the empirical approach to this research. The range of diverse qualitative methods and service design tools were used following Service Design principles. The extensive research with the 18 entrepreneurs and 6 mentors interviewed or surveyed revealed the specific needs and challenges of FEF beneficiaries at the business setup stage. The additional interviews with 3 successful entrepreneurs and 3 mentors (startup consultants) helped outline the ideal entrepreneur journey when setting up a business. This journey revealed the unique stages of business setup which served as the basis of both designed tools and contribute to the work of business consultants, startup accelerators, and female entrepreneurs.

As a result of this project, conducted in collaboration with FEF in Poland, lasting around two years, two tools facilitating female entrepreneurs in business setup were designed in an iterative way, delivered in the format of MVPs and tested. Both tools appeared to be beneficial to female entrepreneurs. The experienced iteration and simultaneousness of design phases led to the creation of a new tool design process, Multiple Diamonds Kit(e) for Tool(s) Design and its generalized form, Multiple Diamonds, which contribute to service designers and innovators work. Moreover, the model guides the use of Open Innovation and Lean Startup during the design process. Finally, this thesis project is an example of outside-in and inside-out Open Innovation that is under researched and, therefore, provides additional benefits for the research community. Multiple Diamonds for tool(s) design process was the main outcome of this thesis.