Design Management Thesis

MANAGING MILLENIALS $$$$$$$$$$ SAMANTHA TEYHEN

Final project submitted to the faculty of the Design Management Department at the Savannah College of Art and Design on [date] in partial fulfillment of the requirements for the degree of Master of Arts in Design Management.

05/2020 • Professor Bruce Claxton

what is design management?

DESIGN MANAGEMENT is the development and implementation of innovative solutions for users to targeted problems. It is the understanding of strategically collected information that can help add meaningful value and help provide specifically designed solutions.

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introduction It’s no mystery that Millennials have gained a bad reputation when it comes to finances and many people blame this on their endless student debts and their desire to travel the world in place of settling down. Financial institutions (large and/or small) are the key holders to the door that will give Millennials access to interest and investments into their personal finances.

Throughout this study you will find what Millennials and other generations have to say about their personal finances vs. what financial professionals have to say. What are the needs of Millennials and what will get them on track for a better financial future? This study will help unveil an understanding to exactly what it is behind Millennials notoriously bad reputation and what we can do as a solution to help gain their interest and involvement in their personal finances.

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dedication I dedicate this project to not only my fellow Millennials, but anyone else who might be scared and unsure on where to even start with their personal finances. It’s not unusual to have no idea what is going on with the stock market, what those financial terms actually mean or when you should turn over from a ROTH IRA to a traditional. This financial stuff is meant to be for the professionals. After all, you go to a doctor for a reason. You can’t know everything. So, this is dedicated to all of us; the financially illiterate folk - who want to better understand it all, of course.

acknowledgment Thank you to all my professors who have helped guide me along this academic journey at SCAD. A special thanks to Bruce Claxton, whom really provided a tremendous amount of support and inspiration during the end of this process.

A huge thanks to everyone that contributed and/or participated in surveys, questionnaires and interviews. Each participant’s thoughts and insights were major assets to this study and it wouldn’t have been possible without them.

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TABLE OF CONTENTS [6]

problem statement / subject of study

[27]

personas

[7]

target audience

[35]

opportunity for design

[8]

purpose of study / scope of study

[36]

design criteria

[9]

opportunity statement

[37]

reframing / revised research question

[10]

positioning

[38]

concept exploration

[12]

ZAG steps

[46]

business model canvas

[15]

value proposition

[56]

concept prototype

[16]

statements

[57]

concept prototype testing

[17]

research

[61]

final design direction

[20]

survey results

[62]

brand identity

[23]

questionnaire results

[63]

implementation timeline

[24]

interview results

[64]

project execution timelines

[25]

research findings

[65]

conclusion / recommendations

[26]

user journey map

[67]

appendix

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PROBLEM STATEMENT A collision of economic and cultural systematic problems has reached a tipping point, brought on by stagnant incomes, exacerbating credit card debt, astronomical student loans, ridiculous housing prices, and low retirement savings. These trends have sadly become the new normal, especially for millennials. (Richardson, 2019, pg. 3) According to a study from The George Washington University School of Business (pg. 7), Millennials are the age group with the lowest level of financial literacy. And, although the majority of Millennials have inadequate financial knowledge, they are not consulting financial professionals to compensate for that deficit (Schuyler S, Buckley E & Lusardi A, 2015, pg. 14).

A major issue for the millennial generation is their lack of interest in hiring financial advisors. And, unlike other generations that trust that financial advisers are serving their best interests when they receive investment advice, many millennials seem to be more skeptical of financial advisers’ motives. (U.S. Public Interest Research Group, 2015, pg. 4) There are more than 83 million Millennials in the United States. That’s more than one-quarter of the nations population. (Boneparth, 2017, pg. 32) Millennials are the near future of the economy and are far from being ready for all the financial burdens to come.

With Millennials current trend of severe personal debts, their low urgency on gaining financial knowledge and their lack of trust in financial advising; this displays that there is an opportunity for financial institutions to better understand how they can engage and gain the trust of Millennials to get them to invest in their finances for a more financially stable future.

SUBJECT OF STUDY This study will explore how design management can help financial institutions develop strategies to get millennials engaged, interested and invested in their personal finances.

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primary

target audience

secondary

[financial instituations]

[millennials] generation y 1981-1995

digital

casual

stimulated

tertiary

GEN [other generations] generation z

generation x

baby boomers

1995-2012

1961-1981

1946-1964

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PURPOSE OF STUDY The focus of this project is to help financial institutions better understand millennials and their personal finances through design management.

content location

this study will be conducted to willing participants in the atlanta, georgia area

03/23 till 05/28

non-financial companies

delimitations

conducting interviews and gathering information to better understand why millennials are so hesitant to invest their finances into the hand of professionals

design management financial institutions millennials personal finances

timeline

this study intends to address how financial institutions can help target millennials

subjects

context

scope of study

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OPPORTUNITY STATEMENT There is an opportunity to use design management to help financial institutions better understand Millennials and their lack of investment in their personal finances.

This study can make a contribution to my own personal development by helping me better understand my lack of interest in controlling my finances in a way that will help me for my future. It will also contribute to the discipline of design management and other fields by helping evolve an understanding and effective methodology to gaining insight into a demographic that proves to be challenged in the topic of personal finances.

Better understanding to this group’s inner thinking will help financial institutions know how to conduct changes that would attract them to using their services. This will not only help individuals but the world as a whole because Millennials are the financial future of the world and they need to protect the future, even more financially with all the other social economically and environmental issues we stand to continue to face.

This study will help prepare me to enter my chosen profession because it will help develop my strategic methodologies, creative thinking skills, interviewing process, information gathering strategies, critical thinking and design management skills.

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positioning [2 x 2 axis] top financial institutions free services to first-timers

opportunity space

no educational offerings

educational offerings

costly services to first-timers

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positioning [2 x 2 axis] top financial institutions generated formulas

opportunity space

spur of the moment 24/7 help

planned meetings/ contractural agreements

personal formulas

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ZAG steps 1. who are you?

This is a process that provides clear direction on which financial paths first timers should take with their personal finances.

7. what should you add or subtract?

We should add the ability for young adults to have their finances in order without having to pay any initial fees. We should subtract the mystery of which paths to go down by adding a broken down step by step process that is explained each step of the way and tells the user which route to go and why.

6. what makes you the “only�?

None of the financial institutions offer free, start off platforms for first timers with direct guidance onw hat they should do & why they should do it.

2. what do you do?

3. what’s your vision?

We provide millennials and younger generations with a platform that helps them not only understand their personal finances, but also guide them on informed decisons they should be making.

Our vision is to eliminate the lack of interest, knowledge & investment that millennials and the younger generations have towards their personal finances.

5. who shares the brandscape?

4. what wave are you riding?

All major financial institutions offer information packets and helpful tricks of the trade.

There is a very obvious and serious disconnect of millennials having their personal finances in the hands of financial institutions due to lack of financial knowledge, money for the services and overall lack of trust .

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ZAG 8. who loves you?

We are loved by both the financial institutions and the millennials (also, gen z’s & younger) who will be benifiting from this process.

9. who’s the enemy?

10. what do they call you?

11. how do you explain yourself?

Any financial institution that takes on this process and charges a fee to first time users.

IFG process [initial financial guidlines]

We help young adults who are ready to start their personal finances.

14. what do they experience?

13. how do people engage with you?

12. how do you spread the word?

They experience a step-by-step guideline process that they can take and use as they wish. The process will be different for each participating financial institution.

The process will be used by any financial institution who wants to use the process. once one institution uses it and word gets out about the process - all companies will be wanting to use the process. it is self marketing in its unique structure.

We inform the major financial firms of this process and the extreme benefits to implimenting this process universally. each company can go about the process in their own branding ways. the process however, will always remain the same.

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ZAG 15. how do you earn their loyalty?

The IFG process won’t be something that will need loyalty.

It is a process in which is used and implimented into their individual platform. The process isn’t created to be used strictly to what it is, but instead a basis and baseline for changing the way of personal finances for a more financially stable and informed future.

16. how do you extend your success?

17. how do you protect your portfolio?

Like any process, things will evolve, grow and change over time with the economy, technology and the world as we know it. As these things are all constantly changing, the process will adapt to any major changes in these departments and make sure it updates as needed to accommodate these expected changes.

Gain legal rights to the IFG process and all that it embodies in multiple legal facets. It will be a process that financial institutions need to recognize they are using and that their platforms are following the IFG process guidelines to insure the users that they are not being slighted on any of the process (insuring they are meeting the same standards as alll other institutions using the process).

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value proposition For Millennials and younger Who want to understand and get a start to their personal financial portfolio Our design process would introduce a designated platform to connect people to an easy to understand, step-by-step process on what financial routes best suit their lifestyle We do this by providing people with the opportunity to be informed & directed in a way they can easily understand Unlike any other service provided by top financial institutions - this is a free, one time service Our design process will be a universal option any financial institution can provide to Millennials and younger

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onliness statement IFG is the only process that offers free , personalized financial advising for young adults who are beginning their financial portfolios during a turning moment in their lives when they realize they need to start understanding and investing in their financial futures.

mission statement To give everyone an equal opportunity to a secure financial future.

vision statement To help get people educated and invested in their personal finances.

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map of research space better financial future

Boneparth (2017) Lowry (2017) Ifland (2018) Lowry (2019) Richardson (2019)

secondary resources

primary resources

design MANAGEMENT

millennials & THEIR PERSONAL FINANCES

Schuyler, S. Buckley, E. Lussardi, A (2015)

primary resources

secondary resources

secondary resources

Surveys/Interviews (2020)

Morgan Stanley (2018)

Lockwood (2009) Stone (2010) Muratovski (2016)

SCAD DMGT Faculty (2020) primary resources

Willmington Trust Corp. (2019)

FINANCIAL INSTITUTIONS

secondary resources

US Public Interest Research Group (2015) Putnam Investments (2019) Dubick & Associates (2015) Surveys/Interviews (2020)

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Research methodology qualitative methods The reason it is the correct methodology is because it will help us develop a better understanding to the problems behind the scenes and dive further into the topic of discussion and help unveil more information and ultimately lead to potential solutions.

This study will rely on using qualitative research methods to conclude the needed information. This holistic, yet subjective approach to research will allow us to not only explore and discover new ideas. This approach involves interviews, focus groups & questionnaires. This helps combine collaborative ideas from people and helps better understand context to specific problems and potential challenges that might occur.

Through secondary research - this study will also use some support from quantitative research methods to help gather data. Though we will use this methodology less, we will still use it to help compile a better understanding to millennials.

This approach will involve on-line surveys and creating a statistical outcome to the collected data. This is information that will be only used towards specific questions to gather statistical outcomes to support the study.

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Research activities data collection

data processing

data analysis

data synthesis

To collect data I will conduct online surveys and in-person interviews to millennials & financial institution employees.

I will conduct surveys for baby boomers, gen x & gen z subjects.

In order to process the collected data I will combine all information and separate the data accordingly.

Using survey company’s, like survey monkey, gives an advantage in that it will provide me with statistics and an automated general report of the findings. For in-person interviews, I will need to separate findings on a working wall in conjunction with the surveys data.

I will then signal down the processed data into groupings and find similarities in the data. I will note trends and commonalities between financial institutions responses to their interviews.

Combining the findings to create a clear understanding to the problem and potential opportunities to solving the problems.

•empathy map •business model canvas •interviews •surveys •SWOT analysis •user research •2x2 axis charts •questionnaires

•working wall •business model canvas

•working wall •business model canvas

•working wall •business model canvas

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SURVEY results

online survey

united states

62 participants

main take-aways

42% of people do not have a financial portfolio or a professional financial advisor

1.6%

•1/2 of these people think they are financially secure

58% of people do have a financial portfolio or a professional financial advisor

the silent generation [1925 - 1945]

16.3%

baby boomers [1946 - 1964]

4.8%

gen x [1965 - 1979]

67.6%

millennials [1980 - 1994]

9.7%

gen z [1995 - 2012]

• 62% of these people use a top financial institution for these services

48% rent 44% own their dwelling [others still live with their parents]

• 62% of these people use a top financial institution for these services

64% own 14% rent 22% do not have a car • 24% of millennials do not have a car

76% say they are financially secure

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SURVEY results for those who do not have a financial portfolio or a professional financial advisor:

why don’t they?

highest response

what could a financial institution do to attract them to using their services? highest response

not informed enough on the benefits

$

free services

can NOT afford their services

guidance: step-by-step process

still have to pay off student loans

discounts to new graduates

feel they are too young

$

more advertising

feel they have nothing to manage

offer information to help educate do NOT trust financial companies

lowest response

lowest response

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SURVEY results quotes “I guess explain what services could benefit me, personally right now, I just assume they are for people with loads of income.”

“Due to student loan payments, i am unable to accomplish a financial portfolio.”

“What are the benefits of using financial services?”

“Appeal to young people who don’t know much about finances”

generation chart the silent generation [1925 - 1945]

“I have nothing to manage”

baby boomers [1946 - 1964]

“I never felt I had enough worthy of someone else to manage” “Not sure I trust financial planners”

gen x [1965 - 1979]

millennials [1980 - 1994]

gen z [1995 - 2012]

highlights

insights

•people do not feel educated enough on what to do with their money

•people want to feel educated

•people do not feel like they know where to start with their finances

•people want to feel informed

•people can not afford to hire the help of a financial advisor

•people need there to be free help

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financial advisor questionnaire results

online questionnaire

united states

financial advisors

quotes “Start providing guidance to millenials where their first money hurdles being: (1) how to handle their first paycheck and set of employer-sponsored benefits and (2) how to address their student loans. Companies need to provide true advice. Not products masquerading as advice.”

all financial advisors were millennials millennials

“Being available via text, Zoom, and phone is important. In person meetings are becoming a way of the past in some instances.”

insights

highlights

majority of their clients millennials

•ease of access to the information is crutial

baby boomers

minority of their clients gen z

•access to information = trust

silent generation

•millennials need things solutions already done for them (easy guides on what to do) •ease of access to the information is crutial

least evolved of their clients gen z

millennials

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financial advisor Interview results

phone interviews

united states

financial advisors

quotes on millennials “There is something about millennial kids that makes them want everything now. Probably a function of our immediate gratification world”

all financial advisors were millennials millennials

“They are also fee conscious. The don’t want to pay for anything that they couldn’t already do for themselves.”

“They crave structure but also the ability to be free of worry. Often times, they want the result without the know-how or reason.”

“I believe the way to target and reach millennials effectively is via a medium that directs strategy without the monotony of a formal 1:1 meeting.”

“I don’t have many Millennial clients yet. Part of that has to do with the fact that they haven’t had time to amass wealth.”

“They crave structure but also the ability to be free of worry.”

insights

•provide millennials with frameworks for what decisions they should be making •focus on education •quicker solutions = ideal scenario for the millennial consumers •let the individual clients choose how much they want to learn vs. how much they don’t

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research findings

clear direction on which path

to take

24/7 access/ constant communication

what millennials need to get them more interested in getting professional financial help

step-by-step help

NO costs/fees

easy to use

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user journey map pre-service period

advertising •financial institutions will begin to advertise this new process and name it/advertise it as they each see fit

social media •social media advertise as they see fit towards their targeted audience

word-of-mouth •the process will end up catching the attention of many users through this process; especially older people looking out for the younger people

past experiences •people might just instantly think this is a trick or scheme to get people to pay money

expectations •there might be a lack of trust in the process seeking the best route for individual scenarios

service period

service journey •each financial institution can make the journey appear differently on their websites/apps/ platforms •the services appearance and structure might all be a little different from one another - it is just the process that remains the same •the journey always will start out with a verification on the individual being a first timer to their personal finances and getting things on track •after they are approved, each institution will follow the exact IFG process guidelines

post-service period

customer relationship management •financial institutions will each be responsible for their own relationships with their users

social media •financial institutions will each be responsible for their own social media

word-of-mouth •the IFG process will take wind in the community and people who start to use it will inform everyone they know about it and advise those who haven’t started to use it yet to do so

•IFG guidelines can always change and update - institutions will have to account for these updates and changes to their websites/ads/platforms

experiences •there is a chat in the corner for any questions or concerns during the IFG process

satisfaction/dissatisfaction •there is a chat in the corner for any questions or concerns during the IFG process

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personas THE ONE WHO:

rate of student debts

JUST FINISHED SCHOOL $0

Adam Hendricks

27 years old [millennial] MD, University of Michigan Cardiology Department

$

$$

$$$

+$250,000

means to money from other people (parents, family, wills, etc...)

0

$

$$

$$$

$$$$

bio Adam just finished up his residency and completed his medical degree in cardiology from University of Michigan. He received his bachelors of science in biology from Duke. Both of these schools did grant Adam with some scholarships, which combined saved him around $150,000. He still owes $300,000 in student loans. The thought of his debts weigh heavy on him, but he knows that he can pay them back quickly into his career if he goes about it the right way. Now that he is done with school and landed a great job at a top hospital in Chicago, he is ready to start taking control of his financial future.

comfort level in understanding their personal finances inept

proficient

motivations

• making his family proud • creating a family of his own • starting his own medical practice • personal fitness and mental health

frustrations

desire to start a financial portfolio doesn’t matter

priority

• people who don’t have work ethic • when people don’t hold the door open for someone behind them • a lack of manners • gamblers

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empathy map pain

THE ONE WHO:

JUST FINISHED SCHOOL

think & feel? anxious

gain unsure

• a huge chance of having tons of student debt if no help from family or scholarships

• provide them with exact steps on what to do next now that they are done with school

curious

cheers in the crowd at graduation

skeptical

“don’t worry you are so young!”

hear?

relatives asking about what is next

people who want to see you fail people who want to see you succeed

“welcome to the real world”

social media

cheerful

energetic

lots of debt in the bank statements

see?

endless possibilities

always on the phone

say & do?

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personas THE ONE WHO:

HAD AN UNEXPECTED LIFE CHANGE

rate of student debts $0

Valerie Litchfield 23 years old [gen z] BA, UConn Communications

$

$$

$$$

+$250,000

means to money from other people (parents, family, wills, etc...)

0

$

$$

$$$

$$$$

bio Valerie is only a year out of college and her and her longterm boyfriend just found out they are expecting a child together. Neither of them have any financial portfolios developed and they even thought they were too young to start. But, with the unexpected event of this unplanned pregnancy, they both are now worried they need to start a financial portfolio and get a better understanding for not only their future but also their baby’s. Valerie’s boyfriend comes from a wealthier family, who paid her way through college and she was fortunate enough to come out of college with no debts. Her grandmother also passed away a few years back, leaving her with a $20,000.

She knows she will be fine, she just needs guidance on what to do financially.

comfort level in understanding their personal finances inept

proficient

motivations

• a better understanding to financial options • support for a better future • a secure start to parenthood and all it entails • wants to eventually get her masters in marketing

frustrations

desire to start a financial portfolio doesn’t matter

priority

• when her boyfriend is late • when her mother tells her what to do • when people give their unasked for opinions

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empathy map pain

THE ONE WHO:

!

HAD AN UNEXPECTED LIFE CHANGE

think & feel?

gain

overwhelmed

anxious

• with not being done school yet that doesn’t allow for the full weight of debts to be known and forecasted • was not planning on this life event yet

• provide them with the right path to take to insure their best financial security

curious uneasy “you need to be ready for anything”

excited

scared

“you will be fine”

hear?

“what are you going to do?”

people who are judging them people who don’t have to worry about it

“i can’t believe it!”

social media

endless need for more money

see?

less possibilities

always on the phone

stressed out googling more ordering how to’s

trying to educate more on topics

say & do?

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personas THE ONE WHO:

rate of student debts

JUST GOT AN INHERITANCE $0

Arya Braxton

21 years old [gen z] BFA, RISD Textiles

$

$$

$$$

+$250,000

means to money from other people (parents, family, wills, etc...)

0

$

$$

$$$

$$$$

bio Arya is in her junior year of her undergrad program at rhode island school of design for textiles. Her love of textiles and art comes from her rich Indian roots on her mothers side. Her father was an english writer, who sadly died when she was a little girl and she was raised by her single mother. She recently lost her grandmother on her father’s side (who resided in england) and was left $50,000 in her will from the family estate and 2 CD’s she can not access till she is 35 years old. She never had much growing up and this large inheritance left her feeling she needed to start getting a hold of her personal finances ASAP.

comfort level in understanding their personal finances inept

proficient

motivations

• secure her future • understand stocks & bonds • figure out more about what an estate entails and CD’s • wants to travel Europe after completing her BFA

frustrations

desire to start a financial portfolio doesn’t matter

priority

• people who don’t understand art • ignorant people • mansplaning

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empathy map pain

THE ONE WHO:

JUST GOT AN INHERITANCE

think & feel?

gain

overwhelmed

excited curious quizative “hey, can you lend me some money?”

• they now have access to a lot of money they didn’t before and might spend it on unnessary things before consulting a professional on what to do with it

• if they trust and feel the process worked for them, they might seek wealth management services faster than typical, due to the fact they have a lot of money

joyful

less stressed

people who are judging them

“you are so lucky”

hear?

“what are you going to do?”

more travel

see?

“what are you going to buy first?”

social media

tons of possibilities

always on the phone

stressed out spending more $$

say & do?

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personas THE ONE WHO:

rate of student debts

IS A LITTLE LATE TO THE PARTY $0

Matthew Polowski 32 years old [millennial] Self Employed Photography

$

$$

$$$

+$250,000

means to money from other people (parents, family, wills, etc...)

0

$

$$

$$$

$$$$

bio Matt is a nomad and always moving around the USA to different parts, depending on his subject of study for his photography sessions. His work is displayed on his website and his instagram has over 400,000 followers. He doesn’t believe that college would have benefited him, so he never went after he graduated high school. Instead, he worked his way up to a sous chef at one of the best restaurants in pittsburg before the age of 24 and was senior chef by 25. He always did photography on the side, until just last year when he quit the cooking world and put all of his efforts into his photography. He always lives paycheck to paycheck and wouldn’t have it any other way.

comfort level in understanding their personal finances inept

proficient

motivations

• thinks he might want children and a family one day • grandma keeps bringing up retirement and 401k’s • wants to be more educated on his options for finances • doesn’t have any debts • yoga • deep connections

frustrations

desire to start a financial portfolio doesn’t matter

priority

• pretentious people • people who are afraid to let go • government officials

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empathy map pain

THE ONE WHO:

IS A LITTLE LATE TO THE PARTY

think & feel?

gain curious

happy blessed spiritual “how do you get by?

• they don’t really care that much about this stuff and their lack of interest in the process could keep them from following through

• if they can just get through the process than they can finally get a handle on their financials and start to plan for a smart future

care-free

interested

people who are judging them

“i wish i could live like you” lots of friends

lots of clutter

hear? family’s constant worries

tons of possibilities

new places

see?

vintage things

“its all good”

new faces

say & do?

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Opportunity for design

educate

There is an opportunity to provide users with constant access to all their financial information.

There is an opportunity to provide users with constant access to any financial questions that may arise.

There is an opportunity to educate people on their own individualized step-by-step process to go about their financial paths and explaining each step of the way.

easy to use

+

instant answers

+ There is an opportunity to make personal finances something that people are no longer scared to do.

There is an opportunity to make personal finances something everyone can do.

There is an opportunity to make sure that everyone can feel comfortable starting their financial portfolios.

There is an opportunity to provide rapid, on the spot selections on individualized personal financial portfolios.

There is an opportunity to provide 24/7 financial guidance to first time users.

There is an opportunity to give people instant gratification and satisfaction in their decisions.

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design criteria The IFG process needs to implement the following into its prototype: MUST HAVE •must be a free application •must be an online platform •must have the best direction for each individual user called out for their selection •must have 24/7 support •must be easy to use •must be a step by step process individualized per user based off their initial input data on their education, debts, savings, current job, etc...

SHOULD HAVE

NICE TO HAVE

•should have options to expand and explain such direction to better educate those who want to understand why that direction is best for them

•nice to have pre-recorded talks with financial professionals over different topics that can be accessed at anytime within the system

•should have a screening process to make sure the user is not lying about being a first timer at starting their personal financial portfolio and using a financial institution for their finances

•nice to have scheduled real-time live stream and open discussion to financial advisors and the users

•should have updates that appear on their phone when changes have been made to their financial portfolio with an explanation to why these changes occurred and giving them the option to not go forth with these changes

•nice to have reminders that pop up on your phone when there hasn’t been any seen activity on your profile

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reframing From the previous results, it was apparent that the solution to the disconnect of millennials to their personal finances can be solved from a process that provides users with initial financial guidance (IFG) that can help them start, understand and feel confident in their personal financial portfolios.

Moving along in this research will focus on how the process will be structured and work for the users. Visual appearance and personal preferences on user interfaces/interactions will be completely dependent upon the financial institution that is being used by the user. The process is simply a structure that financial institutions will implement into their own online systems and platform databases.

revised research question How might we use design management to help financial institutions provide millennials and younger generations an opportunity to understand and develop their personal finances?

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initial concept exploration HERE YOU GO! [step-by-step process / order pre-determined]

bonds

start

user opens process through financial institutions platform

process is always the same. Though, the financial institutions can all have the process appear different on their platforms

prep

user inputs all necessary initial personal information

process instantly inputs this information into a database that is programmed to know the best solutions for the individualized user

background check is done to insure that the user is not lying about it being their first initital attempt at getting their personal financial porfolio into fruition

401k

user is prompted to their 401k selection(s)

process prompts user with ideal option for them to select based off their finances, job, debts, risk tolerances, etc. -

explanations are available on an icon/as an additional drop down if user wants to understand why this is the best choice for them - in mini summaries that are quick to read

stocks

user is prompted to their stock & bonds selection(s)

process prompts user with the best selections for them that are safe choices. the prompt will then show riskier choices they can selecet if they wish to

explanations are available on an icon/as an additional drop down if user wants to understand more about their stock & bonds options and an easy

user is prompted to their invesment option(s)

process prompts user with the best selections for them and then gives them an option for ETFs

explanations are available on an icon/as an additional drop down if user wants to understand more about their stock options and an easy

investments

38

swot analysis HERE YOU GO! [step-by-step process / order pre-determined] strengths

weaknesses

•give people their best financial selections for their individual circumstance

•people might not update their information when they need to with situations that would impact their portfolio selections and adjustments

•free •promotes a foundation for future clientele to the financial institutions if they gain their trust

•structured and doesn’t give user the ability to go out of the order in which they go through their finances

lots of clutter

•provide people the ability to educate themselves on why guided selections are their best options •make people feel comfortable with their finances

opportunities

•people still not trusting financial institutions and not even giving the process a chance because of their pre-concieved notions •if the process was different time periods for different financial institutions - this would give some people more or less time for the free period

threats

39

initial concept exploration PICK A LANE [user selects topic order] start

start

user opens process through financial institutions platform

process is always the same. Though, the financial institutions can all have the process appear different on their platforms

prep

user inputs all necessary initial personal information

process instantly inputs this information into a database that is programmed to know the best solutions for the individualized user

background check is done to insure that the user is not lying about it being their first initital attempt at getting their personal financial porfolio into fruition

any section can be chosen (not in any particular order)

401k

bonds

stocks

investments

user is prompted to their 401k selection(s)

user is prompted to their stock & bonds selection(s)

user is prompted to their invesment option(s)

process prompts user with ideal option for them to select based off their finances, job, debts, risk tolerances, etc. -

process prompts user with the best selections for them that are safe choices. the prompt will then show riskier choices they can selecet if they wish to

process prompts user with the best selections for them and then gives them an option for ETFs

explanations are available on an icon/as an additional drop down if user wants to understand why this is the best choice for them - in mini summaries that are quick to read

explanations are available on an icon/as an additional drop down if user wants to understand more about their stock & bonds options and an easy

explanations are available on an icon/as an additional drop down if user wants to understand more about their stock options and an easy

40

swot analysis PICK A LANE [user selects topic order] strengths •give people their best financial selections for their individual circumstance •free •promotes a foundation for future clientele to the financial institutions if they gain their trust •gives people the ability to choose which order they go through with their finances

weaknesses •people might not update their information when they need to with situations that would impact their portfolio selections and adjustments

lots of clutter

•provide people the ability to educate themselves on why guided selections are their best options •make people feel comfortable with their finances

opportunities

•people still not trusting financial institutions and not even giving the process a chance because of their pre-concieved notions •if the process was different time periods for different financial institutions - this would give some people more or less time for the free period

threats

41

initial concept exploration COMPARE & CONTRAST [what you are vs. what you could be] start

start

user opens process through financial institutions platform

process is always the same. Though, the financial institutions can all have the process appear different on their platforms

prep

user inputs all necessary initial personal information

process instantly inputs this information into a database that is programmed to know the best solutions for the individualized user

background check is done to insure that the user is not lying about it being their first initital attempt at getting their personal financial porfolio into fruition

user is prompted to a comparison chart

401k

bonds

401k

bonds

stocks

investments

stocks

investments

a summary of what their input information currently looks like [graphical]

a summary of what their financial portfolio could be with the generated selection from the database [graphical]

user is promted to their 401k selection(s)

explanations are available on an icon/as an additional drop down if user wants to understand why this is the best choice for them - in mini summaries that are quick to read

user is promted to their stock & bonds selection(s)

explanations are available on an icon/as an additional drop down if user wants to understand more about their stock & bonds options and an easy

user is promted to their invesment option(s)

explanations are available on an icon/as an additional drop down if user wants to understand more about their stock options and an easy

42

swot analysis COMPARE & CONTRAST [what you are vs. what you could be] strengths •give people their best financial selections for their individual circumstance •free •promotes a foundation for future clientele to the financial institutions if they gain their trust •gives people the ability to choose which order they go through their finances •gives people a side by side comparison on where they currently are with their finances and where they could be with the selected choices in each catergory to put them with their best financial portfolio

weaknesses •people might not update their information when they need to with situations that would impact their portfolio selections and adjustments

lots of clutter

•provide people the ability to educate themselves on why guided selections are their best options •make people feel comfortable with their finances

opportunities

•people still not trusting financial institutions and not even giving the process a chance because of their pre-concieved notions •if the process was different time periods for different financial institutions - this would give some people more or less time for the free period

threats

43

further exploration USING DESIGN CRITERIA TO EVALUTATE

ranking system: 1-5 [1 being the lowest and 5 being the highest] start

24/7 access/ constant communication

clear direction on which path to take

step-by-step help

easy to use

NO costs/fees

totals

HERE YOU GO!

5

4.5

5

4

5

23.5

PICK A LANE

5

4.5

4

4

5

22.5

5

5

5

5

5

25

COMPARE & CONTRAST

44

concept development results A BUFFET OF OPTIONS Having parts of all three concepts combined into one concept is the best possible outcome of giving the users all the design criteria points.

HERE YOU GO!

• gives users a structured view of their personal financial selections one-by-one PICK A LANE

•gives users the ability to chose which financial component to view and expand on the reason the

selection for them is the best choice at that time COMPARE & CONTRAST

•gives users a view a simplified summary in bullet points of where their finances are now using the

IFG process vs. where their finances were before they had the selections given to them.

•gives people a 5 year breakdown on the improvements they will make to their portfolio 24/7 access/ constant communication NO costs/fees clear direction on which path to take easy to use step-by-step help

45

business model canvas key partners •top financial institutions

morgan stanley

JP morgan chase

wells fargo

UBS

edward jones

bank of america

•private financial institutions

small firms

medium firms

start-ups

key activities •providing ideal financial selections for first timers developing their financial portfolios •educational information that is always up-to-date with the current financial market •live-streamed informative webinars that can be accessed 24/7 •24/7 chat support for any ?s

key resources •stock market •trusted board members from all different companies that create the updates to the process together

cost structure •legal fees to rights on the process & all corresponding documents

value proposition For millennials and younger Who want to understand and get a start to their personal financial portfolio Our design process would introduce a designated platform to connect people to an easy to understand, step-bystep process on what financial routes best suit their lifestyle We do this by providing people with the opportunity to be informed & directed in a way they can easily understand Unlike any other service provided by top financial institutions - this is a free, one time service Our design process will be a universal option any financial institution can provide to millennials and younger

customer relationships •constant communication with the financial institutions and asking for feedback on how the IFG process is going •IFG network •the end users (customers using the process) are going to be customers of the financial institution that they go to and that will be on the institution to create their customer relationships. our customers are the financial institutions who then use the process to the clientele

customer segments •millennials •gen z •first timers in personal finances •young professionals •people who come into money all of a sudden •people who realize they need to get a hold of their finances

channels •digital •finance seminars/convention [each financial institution could do their own advertising campaigns for when the process is launched through their organization]

revenue streams •IFG process annual fees that each participating institution must pay in order to use it •the process is free to the actual users of the process

46

swot key partners strengths

weaknesses

•top financial institutions provide more exposure to a wider variety of potential users

•not all financial institutions HAVE to participate or use the IFG process

•private institutions provide exposure to the people who do not trust the larger institutions

lots of clutter

•create relationships with all the institutions and get them all to be a part of this process and come together to work and provide clear, helpful direction for first timers

•financial institutions taking on something similar and marketing it as their new innovative process apart from the IFG process

opportunities

threats

47

SWOT key activties strengths

weaknesses

•nothing else like it out there currently that provides all these things in one direct process that is easy to use

•not all financial instiutions HAVE to participate or use the IFG process

lots of clutter

•allow for financial professionals to get recognized in their field by providing their opinions, suggestions and insights through the webinars

•financial institutions taking on something similar and marketing it as their new initiatives/services to their clientele

•provides new jobs for the 24/7

opportunities

threats

48

SWOT key resources strengths

weaknesses

•keeping up with the current stock market at all times will provide users with the best solutions/ options for them

•not all financial institutions HAVE to participate or use the IFG process •the stock market is so sparatic that it could cause an issue to constantly update the process

lots of clutter

•allow for financial professionals to get put onto the board of trustees which would be a group of the financial professionals from all ages, races, genders and avenues of finance

•can you trust the stock markets spikes and drops at every given moment? or, should it be more of a daily or bi-weekly update from the stock market into the process?

opportunities

threats

49

SWOT value proposition strengths

weaknesses

•provide people with an opportunity to get their finances in order •help people understand their finances and the options they have •first process of its kind that is free of charge and directed to first time users

•people might not be exposed to this process if they are interested in using a financial institution that doesn’t offer the IFG process through their institution

lots of clutter

•get people interested in their personal finances •get people educated in the different components of a financial portfolio

opportunities

•clients who have already had to pay for services and financial advising when they were first timers at their personal finances and wanting to be compensated for that time they spent money in receiving professional financial guidance from that financial institution

threats

50

SWOT customer relationships strengths

weaknesses

•IFG network would entail surveys and feedback from the participating financial institutions who use the process - this would enable constant understanding of how the financial institutions feel the process is going

•people might not participate in the surveys or provide accurate feedback that is helpful to the IFG process

lots of clutter

•establish true connections with the financial institutions who are participating in the IFG process and try to have at least one employee from each financial institution have a seat on the IFG board of trustees

•institutions could be more skeptical of using the process at first. the initial relationship and getting the financial institutions to participate in using the process is going to be the hardest part about creating new customers

opportunities

threats

51

SWOT channels strengths •can be accessed by anyone at anytime •each institution can channel the process however they want - which gives flexibility and freedom to the customers to go about this however they wish to do so

weaknesses •everyone uses digital channels now a days because it is the way of the world. this is a strength and a weakness

lots of clutter

•have 24/7 access to the users - being digital and an app will allow for the financial institutions to enable pop-up alerts and notifications onto the users phones

opportunities

•financial institutions can copy one another’s direction and way they go about their channels

threats

52

SWOT customer segments strengths •help people who might not have been able to afford any financial guidance if the process didn’t exist

weaknesses •getting the smaller financial institutions to use the process might be more difficult because being smaller will mean they have less exposure and would be harder to know of their existence to reach out and gain their interest

lots of clutter

•give personalized direction to individual users

•for the financial institutions - there is a risk of older generations and current customers getting angry about not having been able to be offered the IFG process when they began their start at their personal finances

opportunities

threats

53

SWOT cost structure strengths •anyone who is involved in the oversight of the IFG process would be a voluntary position •board members do NOT get paid

weaknesses

•a trustee would need to be appointed as the CFO for the IFG board to track the financial of the money from the annual costs associated with using the process

lots of clutter

•the IFG process funds could potentially start a non-profit organization or charity that helped students pay off student debts

•board members potentially taking advantage of the internal money in some capacity

opportunities

threats

54

SWOT revenue streams strengths •the annual fee is mandatory for the financial institutions to use to process and advertise that they are a partner in the IFG process to their customers/potential future clients

weaknesses •only an annual fee could create issues for people who want to stop using the IFG process

lots of clutter

•to have the annual fee on a subscription like basis charge - this would allow for them to potential forget about the automatic charge and then have them pay for another year in advance and money would still be the IFG process’s

•financial institutions can implement the process and then stop using it and take their own personal spin on the process that becomes their own and no longer be associated with the IFG process and all it entails

opportunities

threats

55

concept prototype start

user opens process through financial institutions platform

process is always the same. Though, the financial institutions can all have the process appear different on their platforms

prep

user inputs all necessary initial personal information

process instantly inputs this information into a database that is programmed to know the best solutions for the individualized user

background check is done to insure that the user is not lying about it being their first initital attempt at getting their personal financial porfolio into fruition

user is prompted to a comparison chart 401k

stocks

bonds

investments

a summary of what their input information currently looks like [graphical]

401k

stocks

explanations are available on an icon/as an additional drop down if user wants to understand why this is the best choice for them - in mini summaries that are quick to read

bonds

investments

a summary of what their financial portfolio could be with the generated selection from the database [graphical]

any section can be chosen (not in any particular order)

401k

user is promted to their 401k selection(s)

process prompts user with ideal option for them to select based off their finances, job, debts, risk tolerances, etc. -

bonds

stocks

investments

user is promted to their stock & bonds selection(s)

user is promted to their invesment option(s)

process prompts user with the best selections for them that are safe choices. the prompt will then show riskier choices they can selecet if they wish to explanations are available on an icon/as an additional drop down if user wants to understand more about their stock & bonds options and an easy

process prompts user with the best selections for them and then gives them an option for ETFs explanations are available on an icon/as an additional drop down if user wants to understand more about their stock options and an easy

56

concept PROTOTYPE testing so, what did the financial professionals say?

Andrew Palmer

“Would this process also be available after the initial timeline is reached? For instance, would people still be able to use the same system and platform without having to switch to another way to access this same information? It would be unfortunate if people used this process and then had to be taken away from it’s structure and design once they have reached the end of the “free” period.”

Senior VP & Financial Advisor Small, Private Financial Institution Wisconsin

“Some additional thoughts would be to add other bubbles/ topics for discussion - retirement investments, debts, cash flow, large purchases and merging of finances (spouse/partner).”

“Large purchases would be like buying a house or a car.”

Ryan McPherson Managing Member Intelligent Worth, LLC Atlanta, GA

“Debts are things like student debts/credit card balances.”

“Another nice add would be to have an updated credit score area for an update on their credit score.”

57

concept PROTOTYPE testing so, what did the millennials have to say?

“I think this is an excellent idea that will help millennials (like myself) feel more comfortable and confident in our investments.”

Marah Lynch Demand Planner Chanel New York, NY

“My only comment would be to add IRA investments as an option in addition to 401k. There may be a need to clarify the differences amongst IRAs (traditional, Roth, etc), as I find this challenging to understand myself. If the financial institution is determining optimal investments, they could possibly recommend how to diversify across both IRA and 401k.”

“How would the system be able to prove the identity of the client? Would there be security questions in place? What information would the client need to have ready to prove their finances?”

Carly Gabriel Insurance Professional Allstate Cherry Hill, NJ

“As my finances change as I progress through life and my career, will the system hold onto my information? Or will I have to re-submit everything again when I have another inquiry?

“If you have further questions, would there ever be an option to speak to a live person? Or is the goal really to be strictly digital?”

58

concept PROTOTYPE testing so, what did the gen z’s have to say?

“It’s a dope idea. I think people would be open minded to using financial institutions if this process was real.”

Chase Wilson

“Where are the live-streamed informative webinars that can be accessed 24/7 you talked about? I didn’t see that mentioned anywhere in the prototype.”

College Student Drexel University Philadelphia, PA

“Where is there a person you can talk to 24/7? I saw that was a part of the requirements list but do not see it talked about in the prototype.”

“I think this process makes perfect sense and would be beneficial to anyone starting out on getting their personal finances in order and set up for their future.”

Hayley Girsky Brand Manager Paper Maid Atlanta, GA

“What if a college student wants to use this? Could they? Or, do you have to have graduated college and started working before you are able to use this?”

59

concept PROTOTYPE testing what are the take-aways?

401k

add IRA investments as an option in addition to 401k ROTH

TRADI TIONAL

DEBT

RETIREMENT

make it known there is an area where you can select to speak with someone for help 24/7

create an icon that you can click to access your current credit score at all times make it known there is an area where you can select to watch per-recorded or live webinars 24/7

add a debt section

add a retirement investments section

LARGE PURCHASES

add a large purchases section

CASH FLOW

add a cash flow/budgets section

MERGE OF FINANCES

add merging of finances section

60

final design direction IFG process

beginning steps (one time)

start

user opens process through financial institutions platform

process is always the same. Though, the financial institutions can all have the process appear different on their platforms

prep

user inputs all necessary initial personal information

process instantly inputs this information into a database that is programmed to know the best solutions for the individualized user

what you can access anytime

background check is done to insure that the user is not lying about it being their first initital attempt at getting their personal financial porfolio into fruition

user updates any changes to their finances at any given time in their portfolio and the process will update any changes needed to accommodate those financial changes

user is prompted to a comparison chart

401k

stocks

bonds

investments

a summary of what their input information currently looks like [graphical]

401k

stocks

ROTH

TRADITTIONAL

ROTH IRA & Traditional IRA selection highlighted

bonds

stocks

user is promted to their stock & bonds selection(s)

bonds

investments

a summary of what their financial portfolio could be with the generated selection from the database [graphical]

24/7 constant access to

•fiancial support service help •webinars from professionals •most up-to date credit score

any section can be chosen (not in any particular order)

401k

user is promted to their 401k selection(s)

DEBT

user is promted to their debt(s)

process prompts user with ideal option for them to select based off their finances, job, debts, risk tolerances, etc. -

explanations are available on an icon/as an additional drop down if user wants to understand why this is the best choice for them - in mini summaries that are quick to read

process prompts user with the best selections for them that are safe choices. the prompt will then show riskier choices they can selecet if they wish to

explanations are available on an icon/as an additional drop down if user wants to understand more about their stock & bonds options and an easy

process prompts user to their status of their current debt(s) and projections to when they will be paid off (student loans, credit card, etc..)

explanations are available on an icon/as an additional drop down if user wants to understand more about their options in regards to lowering interest rates/helping get their debts in order

process prompts user with a breakdown on how much they are currently spending on large purchases (if any)

explanations are available on an icon/as an additional drop down if user wants to understand ways to go about their large purchase (or future purchases) in a more strategic manner

LARGE PURCHASES

user is promted to their large purchase(s)

CASH FLOW

user is promted to their cash flow(s)

process prompts user with a quick display of their current cash flow and this would be + and - (includes montly payments being made vs. montly income/savings)

explanations are available on an icon/as an additional drop down if user wants to understand more about their current status and ways to save more money/increase their +

MERGE OF FINANCES

user is promted to their merging of finances

process only prompts the user on the best avenue of merging their money with a partner/spouse if the user selects that a merging of finances is happening/needs to happen

explanations are available on an icon/ as an additional drop down if user wants to understand more about the options of merging with a partner/spouse

process prompts user with the best selections for them and then gives them an option for ETFs

explanations are available on an icon/as an additional drop down if user wants to understand more about their investment options

investments

RETIREMENT

user is promted to their invesment option(s)

61

brand identity IFG process overview: the brand identity isn’t a strong presence because the IFG process’s intent is to be used as a basis for a structure that financial institutions will implement within their own brand and design aesthetics.

IFG

font: Ebrima - regular - uppercase

color scheme: Black text / black circle

?

custmize: Each financial institution is able to create their own platform and design for the way they implement the IFG into their softwares.

Using the process doesn’t eliminate any company’s ability to use their own branding and design direction for the process.

62

implementation timeline week 1

week 6

week 12

week 20

week 24

week 30

INITIAL planning/ LEGAL PROCESSES GATHERING IFG BOARD MEMBERS DEVELOP PROCESS TESTING PROCESS REACH OUT TO SPECIFIC FINANCIAL INSTITUTIONS GET FEEDBACK FROM SELECTED PARTICIPANTS refine the PROCESS gather INTERESTED FINANCIAL INSTITUTIONS PROVIDE LAUNCH DATE TO BEGIN PROCESS FROM ALL PARTICIPANTS

63

project execution timeline to be determined per financial institution (suggested below)

start

DECIDE TO USE THE IFG PROCESS & GET ACCEPTED BY IFG BOARD [PAY ANNUAL FEE]

CREATE THEIR OWN DESIGN AND INTERFACE FOR USING THE IFG PROCESS [MOST LIKELY WILL HAVE THEIR OWN NAME]

SEND THE PROTOTYPE FOR THE APPLICATION TO THE IFG BOARD TO BE APPROVED

ONCE APPROVED BY THE IFG BOARD - THE INSTITUTIONS CAN BEGIN THEIR PERSONAL MARKETING STRATEGIES TO START OFFERING THE PROCESS TO USERS

finish

64

conclusion I have found that it isn’t just Millennials that have insecurities about their personal finances, but people from all generations. It’s a universal, skeptical view of financial institutions and a lack of understanding finances that deter people from gaining control of their personal financial portfolio development.

People need to have the ability to feel comfortable and unpressurized about their finances. There needs to be a process put in place to give people the opportunity to not only get control of their finances, but to also understand why certain decisions are the best ones for them. There needs to be a process that provides free, 24/7 access to the ideal selections for personalized financial tracks of individual users. In order to get people to want to invest in financial services, there needs to be a building of trust and a better understanding to why people should invest in giving their finances over to professionals.

recommendations Top financial advisors would need to create the IFG process and make sure there is nothing missing.

Legal fees for the process would be initially paid out by the founding members of the IFG board and paid back once revenue begins to come in from annual fees paid by participating financial institutions.

President and VP positions would be voted on annually and those members would be in charge of the finances gathered from participating financial institutions and they would make sure legal fees are paid/in order and that the distribution of funds went to different charities throughout the quarters. QA/ QC checks from the IFG board should also take place quarterly, to insure the process is constantly upto-date and relevant to current economical states and social standards.

65

APPENDIX

RESEARCH QUESTIONS

TIMELINE

ANNOTATED BIBLIOGRAPHY

RESEARCH PROTOCOLS

QUESTIONNAIRES

INTERVIEWS

SURVEYS

WORKING WALL

66

Research questions

1 how might we describe design management and what methods might be useful for this study?

WHAT do WHY do I WHAT type I need to need to know of data is know? this? needed?

what is design to better management understand what as an entitiy methods design and it’s management components? entails and how they can be helpful towards this thesis

HOW MIGHT WE USE DESIGN MANAGEMENT TO HELP FINANCIAL INSTITUTIONS BETTER UNDERSTAND MILLENNIALS AND THEIR PERSONAL FINANCES?

WHERE can I find this data?

WHAT type of data WHO do I collection contact for methods are collecting needed? data?

WHAT will I be taking WHEN do I away from WHAT might need to get this data? I be missing?

What will I How might I a hold of be learning? be wrong? this data?

Qualitative

SCAD website, literature reSCAD acadmeic views, cirricdatabase, SCAD ulum audits, library self-reporting, interviews

DMGT experts, DMI, DMGT professors, past SCAD students

beginning of spring 2020 semester

how to describe design management and what methods are used to do this

design management is different to working professionals - people out in careers beyond just design firms

to help understand what roles are involved in such the design management process

Qualitative

1a: who is involved in helping facilitate and designing the design management process?

how many people are usually involved in an entire design management process?

SCAD website, literature reSCAD acadmeic views, cirricdatabase, SCAD ulum audits, library, online, self-reporting, Linkedin interviews

DMGT experts, DMI, DMGT professors, past SCAD students, current design managers out in the professioanal world

beginning of spring 2020 semester

understanding the design management process as a whole, beyond just its definition

design management is different to working professionals - people out in careers beyond just design firms

to understand the moments where design management is applicable and the moments it is not

Qualitative

1b: where can design management be applicable?

in what circumstances can design management be used?

SCAD website, literature reSCAD acadmeic views, cirricdatabase, SCAD ulum audits, library, online, self-reporting, Linkedin interviews

DMGT experts, DMI, DMGT professors, past SCAD students, current design managers out in the professioanal world

beginning of spring 2020 semester

understanding the design management process as a whole, beyond just its definition

design management is different to working professionals - people out in careers beyond just design firms

are there outcomes and solutions that design management promise?

to understand the potential outcomes from using design management methods

Qualitative

SCAD website, literature reSCAD acadmeic views, cirricdatabase, SCAD ulum audits, library, online, self-reporting, Linkedin interviews

DMGT experts, DMI, DMGT professors, past SCAD students, current design managers out in the professioanal world

beginning of spring 2020 semester

understanding the design management process as a whole, beyond just its definition

the hopes of the clients and end users not from the design mananagement side and what their expectations are

1c: what are the expectations from using design managment?

67

Research questions

2 how might we describe financial institutions?

2a: what constitutes a financial institution?

WHAT do WHY do I WHAT type I need to need to know of data is know? this? needed?

HOW MIGHT WE USE DESIGN MANAGEMENT TO HELP FINANCIAL INSTITUTIONS BETTER UNDERSTAND MILLENNIALS AND THEIR PERSONAL FINANCES?

WHERE can I find this data?

WHAT type of data WHO do I collection contact for methods are collecting needed? data?

WHAT will I be taking WHEN do I away from WHAT might need to get this data? I be missing?

What will I How might I a hold of be learning? be wrong? this data?

the academic definition of a financial institution

to better undestand what function a financial institute serves to the community

Qualitative

dictionary

literature reviews

online/library

beginning of spring 2020 semester

what the academically correct definition of a financial institution is

customer opinions on financial institutions - this could be different than their own perception of themselves

the professional definition from actual financial institution employees

to better undestand what function a financial institute serves to the community

Qualitative

financial institutions

interviews online and in-person interview

financial institution employees

beginning of spring 2020 semester

what financial institutions consider themselves to be in their services to the world

customer opinions on financial institutions - this could be different than their own perception of themselves

2b: who makes up the majority of financial institutions clientele?

to help figure what genout where erations are millennials fall the most in line into frequented this rating clients to financial institutions

Qualitative

financial institutions

interviews (online and in-person)

financial institution employees

beginning of spring 2020 semester

who financial institutions consider their most loyal clients in order of generational pools

need to ask a variety of generational employees to not have any bias answers or perceptions

2c: what are the current impressions of financial institutions?

what is the perception of financial institutions from clients and the general public?

Qualitative

general public

interviews (online and in-person)

random people, social media friends, friends, family, family friends, co-workers

beginning of spring 2020 semester

a better understading of what people think about financial instiutions

make sure to ask anm even amount of other generations besides just millennials

to help understand pros/cons of the general public towards financial institutions

68

Research questions

3

WHAT do WHY do I WHAT type I need to need to know of data is know? this? needed?

how might we describe the current state of millenials and their personal finances?

how are milto understand lennials per- any current issues sonal finances with millennials currently personal finances percieved in in the world / regards to also address any potential/ positives growth?

3a: who are millenNials?

what is the academic definition of millennials? how do millennials define themselves?

3B: what has impacted the current financial state of milleNnials?

3c: what is being done to help improve millennials personal finances?

what factors are impacting the current status of millennials personal finances?

what steps are being done to help get millennials more invested in their personal finances?

HOW MIGHT WE USE DESIGN MANAGEMENT TO HELP FINANCIAL INSTITUTIONS BETTER UNDERSTAND MILLENNIALS AND THEIR PERSONAL FINANCES?

WHERE can I find this data?

WHAT type of data WHO do I collection contact for methods are collecting needed? data?

WHAT will I be taking WHEN do I away from WHAT might need to get this data? I be missing?

What will I How might I a hold of be learning? be wrong? this data?

Qualitative

interviews, surveys

interviews online and in-person interviews; online surveys

financial institutions, random people, social media friends, friends, family, family friends, co-workers

beginning of spring 2020 semester

how millennials are doing in their personal finance department

millennials might be more likely to lie about their money and act like they are doing better than they are

Qualitative to better understand who a millennial really is; allencompassing

interviews, surveys

interviews online and in-person interview; online surveys

random people, social media friends, friends, family, family friends, co-workers

beginning of spring 2020 semester

a better undestanding of the inner mind of a millennial

potentially needing to ask non-millennials what their definition of a millennial is

Qualitative

financial institutions; millennials

interviews (online and in-person); online surveys

financial institution employees; millennials from social media friends, friends, family, or work

beginning of spring 2020 semester

what is causing millennials financial state to be where it is and any negative factors weighing over them

millennials could be angry about financial burdens

to understand Qualitative what actions are being taken and what actions need to still be taken to help millennials get on a track to a better financial future

interviews, surveys

interviews online and in-person interview; online surveys

financial institution employees, random people, social media friends, friends, family, family friends, co-workers

beginning of spring 2020 semester

areas for imfinancial instiprovement and tutions might potential blue not share with water areas me anything for possible they have been solutions to wokring on that the problem isn’t out yet

to help put reasoning to any issues currently facing millennials with their finances

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timeline week 1

week 2

week 3

week 4

week 5

week 6

week 7

week 8

week 9

week 10

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(4/4-4/8)

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(4/20-4/26)

(4/27-5/3)

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(5/11-5/17)

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(5/25-5/28)

project planning conducting research market analysis research synthesis initial concept exploration exploration & prototyping assessment & validation plan refining the prototype buisness planning final process book & graduation show poster final presentation, process book & course reflection

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annotated bibliography Boneparth, D., & Boneparth, H. (2017). The Millennial Money Fix. Red Wheel/Weiser.

In this book you will learn the reasons for financial problems and the mechanics of your solutions. This is a guide to

better understanding how to handle all the obstacles that we face today with our personal finances and gives

examples of the struggles millennials face and goes over the reasoning and ways that millennials can fix

their current financial state. [summary]

This helped me understand that it is not entirely the fault of the Millennials that they struggle with their personal finances. It helped me understand more about why Millennials struggle and the importance of getting your finances under control and fully knowing what your finances look like and what they mean to you as an individual. [rational]

Dubick & Associates. (2015). Marketing to Millennals. Retrieved February 4, 2020 from https://www.carpenternyc.com/

thoughts/marketing-to-millennials

This article is written towards financial companies and the importance of hiring millennial associates and attracting

millennial clientele. [summary]

It addresses how Millennials will change your businesses and the importance of the relationships you create with the Millennial generation. [rational]

Ifland, C. (2018). Money for Millennials. Crawford Ifland.

This book targets Milliennials and discusses the stresses that financial burdens bring into our lives. It offers tips and

advice on building financial habits. [summary]

You will learn how to build credit, establish savings habits, invest in stocks, discover how to automate your finances

and leveraging the power to your networth. [rational] Kobler, D., Hauber, F, Ernst, B. (2015). Millennials and Wealth Management: Trends and Challenges of the New Clientele.

Retrieved February 4, 2020 from https://www2.deloitte.com/content/dam/Deloitte/lu/Documents/financial-services/

lu-millennials-wealth-management-trends-challenges-new-clientele-0106205.pdf

This article from Deloitte employees explores the current challenges faced with the Millennials generation.

[summary]

It explores an understanding to how the current market has had to change to meet the needs to Millennials, who are the largest group of clients in the financial world today. [rational]

71

annotated bibliography Lockwood, T. (2009). Design Thinking: Integrating Innovation, Customer Experience, and Brand Value. Allworth Press.

In this book there are techniques and methods from some of the top thought leaders. This dives into everything the

design thinking entails through its methods and explores each of those methods. [summary]

It helps explain the importance that design thinking plays in all facets of the design process and breaks down strategic ways to go about each part of the way. [rational]

Lowry, E. (2017). Broke Millennial. Penguin.

This book’s goal is to get people off the paycheck to paycheck way of living. It provides a step-by-step how to get

from broke to a financial badass. [summary]

You will learn more than the boring budgeting basics, here you will understand a money mind set, how to manage student loans and how to get financially naked with your partner. [rational]

Lowry, E. (2019). Broke Millennial Takes On Investing. Penguin.

This book is packed with advice from many financial experts. It is set up with the tools and steps needed to getting

anyone on the path towards not only understanding investing, but confident in your potential investments.

[summary]

This helps readers understand the investment lingos and terminologies. It explores the fundamentals of retirement savings, stocks, robo-advising and how you can even invest in a socially impactful way. [rational]

Morgan Stanley (2018). Millennial Playbook.Retrieved February 12, 2020 from https://advisor.morganstanley.com/mer

lin-wealth-management/documents/field/m/me/merlin-wealth-management/Millennial_Playbook.pdf

This article published by Morgan Stanley has not only tons of information about Millennials current financial state,

but taps into statistics on Millennials and their personal finances. [summary]

There is a livability comparison chart to compare they way that money changes depending on the cities in the US. This 186 page document has endless amounts of financial statistics and reputable information regarding every thing Millennial and everything money. [rational]

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annotated bibliography Muratovski, G. (2016). Research for Designers: A Guide to Methods and Practice. Los Angeles: Sage Publications.

This book explores strategic solutions to complex problems and the steps to do so. [summary]

The importance of cross-disciplinary discoveries and credible research. It helps to expand the problem solving standards to produce newer, better outcomes. [rational]

Putnam Investments (2018). Building your practice for the future: Strategies for attracting Millennials. Retrieved February

8, 2020 from https://www.putnam.com/literature/pdf/II290.pdf

This article explains opprtunities that Millennials have in the financial market and it breaks down comparisons to

other generations financial burdens and goals. [summary]

Millennials are a generation that doesn’t like to own, but instead rent/lease and suprisingly most don’t think they have enough to manage, when in fact they do. [rational]

Richardson, C. (2019). Millennial Money Makeover. Red Wheel/Weiser.

This book explores a six-step journey to help Millennials transform their personal finances

and help set them up for not only now, but an entire lifetime of financial success. [summary]

This provides readers with a variety of different kinds of financial advice. From hiring robo-advisors, showing tricks to saving while purchasing your first home, to planning life on a budget, to even different types

of investments; Richardson covers it all. [rational]

Schuyler, S., Buckley, E., Lusardi, A. (2015). Millennials & Financial Literacy - The Struggles with Personal Fincances.

Retrieved February 8, 2020 from https://www.pwc.com/us/en/about-us/corporate-responsibility/assets/pwc-mil

lennials-and-financial-literacy.pdf

This arcticle from PwC it delivers statistics for Millennials and their finances. It gives why Millennials are not

seeking financial help as much as other generation, why they are sacrificing their retirement accounts and why

they are users of AFS (Alternative Financial Services) [summary]

This helps me understand more about the reasonings behind millennials issues with gaining financial security.

[rational] 73

annotated bibliography Stone, T.L. (2010). Managing the Design Process, Concept Development. Rockport Publishers, Inc.

This book explores design management concpets and methods that can applied to real world situations.

The idea that design management isn’t as easy to learn via educationally or through teachings; but, rather a

process that is learned through practicing it. [summary]

It helped me understand that design is a process and not in standard, linear manner. But, instead the process is a web and each part can alter or change a past assesment. Conceptual development is a creative process that is best explained through practice. [rational]

United States Public Interest Research Group (2015). Conflict of Interest Rule (Report No. 1210-AB32). Washington, DC:

Office of Regulations and Interpretations. Retrieved February 21, 2020 from https://www.reginfo.gov/public/do/

eAgendaViewRule?pubId=201310&RIN=1210-AB32

This government letter addressees the conflict of interest rule proposal. It explains how it would strengthen

consumers and millennials to help provide retirement investment adviceto minimalize conflicts of interest.

[summary]

Wilmington Trust Corporation. (2019). Millennial Investors: Determined to Make an Impact. Retrieved February 10,

2020 from https://www.wilmingtontrust.com/repositories/wtc_sitecontent/PDF/Millennial-Investors.pdf

This article exemplifies how Millennials are now beginning to lead the way in the financial market and how they

are hesistant towards investing in advisors because they think ivesting is risky. [summary]

The main takeaway is how Millennials want to have an impact in the world and through their finances they want to bring change. [rational]

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research protocol The following information provides an introduction to field research that will be conducted in the United States between April 4th, 2020 and May 20th, 2020, by Samantha Teyhen, Design Management graduate student at the Savannah College of Art and Design (SCAD).

research guide

PURPOSE OF THE STUDY The purpose of this study is to help financial institutions better understand millennials and their personal finances through design management.

RESEARCHER BIO Samantha Teyhen is a graduate student of the Design Management program at SCAD. This study will conclude her program and finish off her academic career.

PARTICIPANT SELECTION The primary targeted audience will be millennials, followed by financial institutions as the secondary targeted audience. Other generations will also be surveyed for a tertiary audience for additional views on the subject matter.

OVERALL QUESTION Our research will be guided by the following question: How might we use design management to help financial institutions better undestand millennials and their personal finances?

DATA COLLECTION METHODOLOGY All the data collected from this research is confidential information and completely anonymous; all collected data will be used solely for the educational purposes of this project.

Data will be collected through: all on-line surveys, questionnaires & interviews

CONTACT INFORMATION This project is being conducted through the Design Management department at the Savannah College of Art and Design. For additional information please contact: Samantha.Teyhen@gmail.com

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research protocol INFORMED CONSENT FORM

consent form

I voluntarily agree to participate in an interview/inquiry performed by students at the Savannah College of Art and Design. I understand that this interview/inquiry is being conducted by Samantha Teyhen, in order to identify opportunities for design.

I understand that the evaluation methods may include: 1. recorded (audio, video and/or photography) observations 2. my completion of an evaluation questionnaire(s) and/or survey 3. my participation in a 30–60 minute interview I grant permission for the interview/inquiry to be recorded and transcribed, and to be used only by Samantha Teyhen for analysis of interview data. I grant permission for this data —generated from the above methods—to be used in an educational setting.

I understand that any identifiable information in regard to my name and/or company name will be removed from any material that is made available to those not directly involved in this study.

__________________________________ Printed Name __________________________________ Signature __________________________________ Date 76

questionnaires financial advisor #1 1. What generation do you fall into?

•millennials [1980 - 1994]

2. What financial company do you work for? How long have you been working for this company? large brokerage firm. 7 years

3. What if your current position title?

Financial Advisor

4. What generation do you see as the majority of your clientele?

Baby Boomers

5. What generation do you see as the minority of your clientele?

Gen Z

6. In your professional opinion, which generation is the least evolved in their personal finances?

Millennials

7. Has your company ever provided you with direction on attracting millennials to become new clients? If so, can you explain how they suggested you to do this?

Yes. We focused on generational outreach between existing clients and their kids.

8. Has there been any changfes you took note of in regards to what types of new clientele you tend to revieve in your office?

We recently moved into a new office. It was completely redesigned but I don’t think this was with new clients in mind.

9. Have you noticed and trends in the demands put on your company from potential or current clients?

Not sure what you mean here, but we regularly are analyzing what our clients are asking us to do en masse. I’d say that we spend more time asking them to do things, rather than them asking us. (i.e. please enroll for online access to your account)

10. Have you noticed any trends in general in regards to people and their personal finances today in comparison to when you started your career?

No.

11. Do you notived a large amount of debts against the millennials generation in comparison top other generations? If not, which generation has the most debts?

I think that debt is more dependent on future expectation rather than age and class. All types of people, despite generation, carry debt for a variety of reasons

12. Do you have any ideas on how financial institutions can better target Millennials?

Yes. It starts with accessibility to knowledge. I am more likely to research my firm, investments, theories, and methods. If I find a firm that has access to that information, I’m more likely to trust them and down the road invest with them.

13. Do you have any ideas on how financial institutions can help provide millennials with their services? (Ex: more digital/virtual experiences, coming to their home, etc..)

Definitely not coming to their home. Accessibility is important though. Being available via text, Zoom, and phone is important. In person meetings are becoming a way of the past in some instances.

14. Please provide any other thoughts you might have on the topic of Millennials and their personal finances:

There will be a transition of wealth from the boomers to the millennials. I think it will be essential to educate millennials about how to approach and steward wealth inherited by them. This great rotation of wealth will happen gradually, and it will be interesting to see what the next generation (my children) has to inherit from the millennials.

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questionnaires financial advisor #2 1. What generation do you fall into?

•millennials [1980 - 1994]

2. What financial company do you work for? How long have you been working for this company?

Intelligent Worth, LLC. 3 Years.

3. What if your current position title?

Managing Member

4. What generation do you see as the majority of your clientele?

Millennials

5. What generation do you see as the minority of your clientele?

The Silent Generation

6. In your professional opinion, which generation is the least evolved in their personal finances?

Gen Z

7. Has your company ever provided you with direction on attracting millennials to become new clients? If so, can you explain how they suggested you to do this?

I actually started Intelligent Worth to focus on millennials (and gen X) who were in the early to middle phases of their professional lives, yet were typically overlooked by traditional financial planners.

8. Has there been any changes you took note of in regards to what types of new clientele you tend to revieve in your office?

I have not noticed any.

9. Have you noticed and trends in the demands put on your company from potential or current clients?

I have not noticed any.

10. Have you noticed any trends in general in regards to people and their personal finances today in comparison to when you started your career?

I started my career in mid-2007 and compared to today, clients were more interested in the following then: (1) investing in individual stocks (2) owning rental real estate (3) trying to time the market A few other things I’ve noticed: -Over the intervening years, personal finance and investing apps have become much more prevalent.

-The number of available mutual funds and exchange-traded funds (ETFs) has ballooned and internal costs (expense ratios) have fallen.

11. Do you notived a large amount of debts against the millennials generation in comparison top other generations? If not, which generation has the most debts?

This depends on how we’re defining debt. If we’re including student loans and mortgages, some older millennials and younger Gen X’ers often have the most debt as they’re still paying off student loans and may have recently taken out mortgages.

12. Do you have any ideas on how financial institutions can better target Millennials?

Start providing guidance to millenials where their first money hurdles being: (1) how to handle their first paycheck and set of employer-sponsored benefits and (2) how to address their student loans. Companies need to provide true advice. Not products masquerading as advice.

13. Do you have any ideas on how financial institutions can help provide millennials with their services? (Ex: more digital/virtual experiences, coming to their home, etc..)

Tailored advice on highly relevant topics: first-job related finances, student loans, merging finances w/ a spouse/partner, beginning to invest, etc. Companies can’t just provide generic or semi-generic info on the above mentioned topics (many of them are doing that now). Millennials (and GenZ and likely Gen X as well) crave done-for-you solutions, e.g., as opposed to providing articles on student loans, a company’s tool analyzes your student loans (from the the NSLDS database), maps out potential options, shows you the tradeoffs of those options, and can pre-populate the forms needed for you actually execute and move forward one of those options.

14. Please provide any other thoughts you might have on the topic of Millennials and their personal finances: no response

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Interviews

2

HOW WOULD YOU DESCRIBE THE TYPICAL MILLENNIAL CLIENT? I don’t have many yet. Part of that has to do with the fact that they haven’t had time to amass wealth. For those that I do have, they are fantastically driven to achieve and save more. But they are also fee conscious. The don’t want to pay for anything that they couldn’t already do for themselves.

Trevor G. Ricks Family Wealth Advisor Morgan Stanley Chicago, Il.

1

3

Our company is doing a fantastic job of engaging millennial clients.

Our plan is to engage them in ways they’d respond, and then over time work them into full scale wealth management clients over time. For a good example of how we’re engaging, check out www. morganstanley.com/uber where you’ll see how we’re engaging with a population of younger employees at a developing company. You’ll notice there is a focus on education and DIY type of investing. We also work to provide them with a framework for making investing decisions – sort of like DIY financial planning.

WHY DO YOU THINK THAT MILLENNIALS ARE NOTORIOUSLY KNOWN TO HAVE SUCH HIGH DEBTS AND STRUGGLES WITH THEIR PERSONAL FINANCES OVER OTHER GENERATIONS? I think it’s twofold. First, I think that Millennials have a penchant for wanting everything their parents had (or have). The Boomers have done a great job of working themselves into a place where they have more than their parents… but that was easy for them to do. Their parents didn’t have much. There is something about millennial kids that makes them want everything now. Probably a function of our immediate gratification world.

Second, I think that millennials value education. For better or worse, education is expensive. It is also getting more expensive by the year.

When we create financial plans for education, we use an inflation rate of 5-6%. That is an incredible expense for which to plan! Especially if you consider that annual college costs can be in the $10k-$75k range today.

DO YOU HAVE ANY IDEAS ON HOW FINANCIAL INSTITUTIONS CAN HELP GET MILLENNIALS MORE INTERESTED IN THEIR PERSONAL FINANCES?

4

CAN YOU EXPLAIN A TYPICAL PROCESS WHEN YOU ARE MEETING WITH A NEW CLIENT FOR THE FIRST TIME? CAN YOU WALK ME THROUGH THE PROCESS? The vast majority of my business is built around developing financial plans. Typically at the first meeting I work to find out some of the basics: financial goals, current savings/savings rates, risk tolerance & any other relevant details. The idea is to formulate the base of a financial plan. In subsequent meetings, we then create and review the financial plan. As you can imagine, it looks very different for a millennial than it does for a retiree. We then make decisions about investment based on the financial plan.

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interviews

2

HOW WOULD YOU DESCRIBE THE TYPICAL MILLENNIAL CLIENT? The typical millennial client is often well educated and well rounded; however, not in the areas that life oft requires. They crave structure but also the ability to be free of worry. Often times, they want the result without the know-how or reason. This realization is indicative of their reliance on technology to solve what they may consider arduous or time consuming. The quicker the solution, the better.

Andrew Palmer Senior VP & Financial Advisor Small, Private Financial Institution Wisconsin

1

WHY DO YOU THINK THAT MILLENNIALS ARE NOTORIOUSLY KNOWN TO HAVE SUCH HIGH DEBTS AND STRUGGLES WITH THEIR PERSONAL FINANCES OVER OTHER GENERATIONS? I think millennials are somewhat focused on a holistic approach when it comes to life. They crave experiences, memorable moments, social approval, and when they have time - success. All of these aforementioned points, tend to come before aspects that nonmillennials would deem as crucial life planning steps. At the core of this, I believe millennials live in the now. They are constantly bombarded by notifications and social media which blind them from the concept of time. Unfortunately, it often take a life event that impacts their financial wellbeing to instill the need and want to evaluate their financial portfolio or general strategy.

3

DO YOU HAVE ANY IDEAS ON HOW FINANCIAL INSTITUTIONS CAN HELP GET MILLENNIALS MORE INTERESTED IN THEIR PERSONAL FINANCES? I believe the way to target and reach millennials effectively is via a medium that directs strategy without the monotony of a formal 1:1 meeting. This interaction would allow an a la carte approach that allows the individual to choose how much education/involvement they want while still yielding the same results.

4

CAN YOU EXPLAIN A TYPICAL PROCESS WHEN YOU ARE MEETING WITH A NEW CLIENT FOR THE FIRST TIME? CAN YOU WALK ME THROUGH THE PROCESS? Usually, the process begins with a phone call to get access to their 401k and or savings account and salary information. Next, we schedule an in person meeting to discuss their risk tolerance and what their ultimate financial goals mean in terms of how they view financial security.

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survey questions surveys

Used Survey Monkey & sent out on social media and to personal contacts

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SURVEY RESPONSES 1. Which of the following generations do you fall into?

2. Do you have a financial portfolio or currently have your finances in the care of a professional financial advisor?

3. Do you rent or own your home/condo/apartment?

4. Do you rent or own your car?

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SURVEY RESPONSES 5. Would you consider yourself financially secure?

6. What gender are you?

7. What is your marital status?

8. If you do NOT have a financial portfolio and/or have your finances managed by a professional advisor, please explain your reasoning for why you do not:

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SURVEY RESPONSES 9. If you answered question 8, please explain what a financial company could do to attract you to using their financial advising services:

10. If you do have a financial portfolio and/or have your finances managed by a professional advisor, what type of financial institution do you receive these services from?

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WORKING WALL [miro]

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