The Thread Union: Kinkos for Clothes

For our thesis, working in a team of 3 students, we spent the semester investigating ways to support small scale fashion designers in their quest to get their collections made and to market. During our research we found that New York City is still the hub of the fashion world, serving as the headquarters to more than 800 fashion-based businesses, twice that of Paris, despite more than 95% of apparel manufacturing moving offshore in the last 40 years.

As a result of that offshore movement, more and more of the more than 22,000 fashion designers in the United States are having difficulty having their clothes made at a reasonable cost. Most offshore manufacturing firms have large minimum requirements, or have questionable quality when it comes to small orders. We saw a New York City based ethical production line as a foil to these large market forces.

Billed as “Kinkos for Clothes,” The Thread Union utilizes technology from large offshore manufacturing plants, such as digital patterns and laser cutting, as well as mass-customization technology, to make the manufacture of 1-1000 pieces affordable and accessible to designers.

The Thread Union provides tools to create, make, edit, produce, manage and sell collections that are eco-efficient, meaningful and authentic. Our online collaboration tools, Collection Capture digitization process, prototyping and sample-making services, and ability to support one-of-a-kind pieces build the backbone to a successful fashion-based business.

The digitization technology breaks the traditional apparel sales model by allowing consumers (both individual and retail) to order only the garments they want from an online showroom, from as little as one piece at a time, up to 1000 pieces. This print-on-demand model is a unique take on apparel manufacturing and helps to minimize the great environmental impact of clothes-making. We save designers money by preventing inventory glut, and save resources by customizing each garment with regard to size.

In addition, we offer a number of community-building components, enabling open-source collaboration between designers. We see the Thread Union serving as a bridge to the future of fashion, where consumers are actually involved in design process.

Pro-forma Profit and Loss statements were used to evaluate potential business models, with the final iteration projecting $6.5 Million in net income over 5 years.

This project was selected to be presented during the inaugural CCA MBA in Design Strategy Venture Show in May 2010.

Full project report available upon request.

Date: Spring 2010
Class: Venture Studio
Contributed to: Secondary Research, Financial Analysis, Ideation, Project Management, Competitive Analysis, Writing

Working in a team of 3 students, we spent the semester investigating, analyzing, and envisioning the future of Socially Responsible Investing and Sustainable Investment Vehicles.

Through our research we found that first and foremost, the term “Socially Responsible Investing” (SRI) lacks clarity, and the definition varies widely depending on who you ask. As the socially responsible and sustainable movements have progressed, the SRI landscape has become more and more cluttered and difficult to navigate.

There is a lack of transparency in the SRI system, stemming from the very definition of what constitutes of Socially Responsible Investment. Historically, SRI investing is an offshoot of values-based investing, and has at its core an issue-base screening system. This means that investors can select investments which filter (in or out) companies that produce alcohol or tobacco, perform testing on animals, have human rights violations, produce toxins, or a multitude of other issues.

Mutual Funds and ETFs are among the most popular vehicles for SRI, as they tend to minimize the exposure and risk of the investor. However, there is a downside – in order to minimize the investment risks, the funds are often composed of huge Fortune 500 companies, selected for being the best in their industry, even if the industry itself may be objectionable. In addition, the algorithms and scorecards used by large investment firms to rate the companies in their funds are often kept secret.

Ultimately, we defined Socially Responsible Investing as “Stocks, bonds, mutual funds, and ETFs that have been screened in some way to reflect the values of the individual or institution investing in them” but even that is a very vague definition.

We see SRI as a trend that will continue into the future, but without some effort to inject real transparency into the industry, it will continue to be confusing and subject to cries of “greenwashing.”

Our recommendation included adjusting the nomenclature used when describing the industry and the investments from SRI to ESG, standing for Environmental, Social and Governance; the creation of a self-regulating industry council; a glossary of common definitions; and a call for the disclosure of ratings and rationale behind selections for inclusion into SRI funds.

Moving forward, we envision a system of defined and published classification, certification and oversight criteria for ESG investing

Full project report available upon request.

Date: Spring 2010
Class: Capital and Markets
Contributed to: Secondary Research, Writing, Analysis, Concept Development, Ideation

IDEO 2.0 to 3.0, the Innovators Dilemma:

Working in a team of 6 students, we examined the classic innovators dilemma: IDEO, the design consultancy is considered a leader among firms, but as new companies and new competition flourish, how does IDEO adapt to stay ahead?

Some of the newest offerings from IDEO are business design and innovation consulting. Our objective was to evaluate these offerings and determine a strategy for IDEO.

First, we identified what IDEO considers important, from their core competencies of product development, design strategy, and innovation consulting; to their business objectives including return on investment and market share; and their values like collaboration, building to think, and having a positive impact with their work.

Using these qualities as a guide, we then charted them against their competition, design consultancies like Frog and Fuse Project, and new-found competitors: traditional business consulting firms like McKinsey. When we charted the analysis, we were very surprised to see that based on our criteria, there was very little difference between design consultancies, business consultancies, and IDEO.

In order for IDEO to stay ahead, it was clear that their new differentiators – business design and innovation consulting – needed to be developed further, through alignment within the company, and the building of resources to support the business design efforts. To do so we proposed the IDEO gym, co-working for business innovation.

The IDEO Gym would allow IDEO to attract entrepreneurs and coach them, building both a talent resource and the business design expertise needed to keep IDEO ahead. By starting small and allowing space to prototype, the space and program can shift and adapt to meet IDEO’s needs.

This project was purely speculative, and included no contact with IDEO by the team.

Full project report available upon request.

Date: Spring 2010
Class: Strategic Management
Contributed to: Secondary Research, Writing, Analysis, Competitive Analysis, Concept Development, Ideation, Project Management

Wall Street Journal – Fun and Play at Work:
Working a team of 6 students, we looked at the impact of Fun and Play at Work on a company undergoing significant change – the Wall Street Journal (WSJ) soon after the purchase by News Corporation.

Research and educated guesses identified a number of problem areas: worry over employees’ future at the company, the state of the industry, and feelings of isolation contributing to low morale at the WSJ.

To combat these challenges, a solution involving Fun and Play at Work was proposed. Fun and Play can help decrease stress and increase productivity among employees. Some common ways of incorporating Fun and Play include social events, award banquets, opportunities for volunteerism, friendly competition, and entertainment. In addition, playful design of the workplace can be beneficial, such as engaging employees to brainstorm about the future of the industry and where they can contribute and fit in. Lastly, a physical space that emphasizes collaboration and illiterates the company culture can improve the effectiveness of the space and the people.

The final proposal included three recommendations to increase a sense of well-being at work: a history wall to retain connection to the WSJ of the past; monthly “Wall Street Winddowns” on Friday afternoons as an opportunity to connect and socialize that includes a “Journal Jargon” presentation of 20 slides in 10 minutes, on the topic of the employee’s choice; a program of “vocation vacations” which encourage employees to spend a day, week, or month shadowing another co-worker outside of their department; and a new intranet that allows employees to connect with each other and see what stories they are working on.

This project was purely speculative, and included no official contact with the Wall Street Journal by the team.

Final report available upon request.

Date: Spring 2009
Class: Leadership by Design
Contributed to: Secondary Research, Writing, Ideation, Concept Development, Project Management

Tiffany & Co. Marketing Plan:
Working with a team of 6 students, we looked at Tiffany & Co. through the eyes of marketing professionals, seeking to connect the Tiffany brand with the experience of wonder for people 25-40 years old, making less than $100,000 per year. Throughout the process we conducted primary and secondary research, interviewing people about the concept of wonder, and their current impressions of the Tiffany brand and offerings. The end goal was to recommend growth opportunities that connected to the experience of wonder.

Through our research, we found that wonder was created often when a product exceeds a person’s expectations, and those experiences that take an extra moment to enjoy can cause a person to pause and reflect – “to be caught in the moment”. Especially interesting are those experiences that engage the whole body.

We preformed a marketing audit, and discovered opportunities in the “affordable luxury” market segment. Tiffany’s market location as an aspirational brand offers them a perfect pedestal to launch a line of affordable products and create customers for life.

Ultimately, our recommendation was to increase Tiffany & Co.’s presence in the home goods segment, building on their already strong representation in categories such as crystal and china. We propose an extension of this collection to include household linens, branded as the Tiffany Home Collection. The marketing message builds on Tiffany’s mission statement – “Making Every Day More Wonderful.”

We developed a new positioning statement and strategy for Tiffany & Co. in addition to some supporting tactics, including: enhancing customer service to include personal shoppers and stylists focused on home products, hosting special home decorating in-store events, and establishing partnerships with boutique hotels and spas who will exclusively use the Tiffany Home Collection products.

This project was purely speculative, and included no contact with Tiffany & Co by the team.

Marketing Plan presentation available upon request.

Date: Spring 2009
Class: Market Insight Studio
Contributed to: Primary and Secondary Research, Competitive Analysis, Persona Development, Ideation, Concept Development, Project Management