IDEO, founded in 1991, has become one of the world's most influential design and innovation consulting firms. Its journey is marked by the introduction and popularization of design thinking, a human-centered approach to problem-solving, which has impacted industries fact

IDEO is a pioneer in implementing the Design Thinking innovation method.

IDEO’s Early Days (Pre-1991 Origins)

IDEO was born from the merger of three design firms: (1) David Kelley Design (founded: (2) ID Two: (3) Matrix Product Design. Each firm had expertise in different areas, such as industrial design, engineering, and product development. Kelley’s firm, in particular, had already developed strong ties with Silicon Valley, creating iconic products like the

The Formation of IDEO (1991)

In 1991, Kelley, Moggridge, and Nuttall decided to merge their companies, pooling their diverse talents to create IDEO. This enabled the new company to offer a broader range of services, including product design, user experience, and engineering. Early projects included innovative designs for Apple, Steelcase, and Palm.

IDEO became known for creating some of the most iconic products of the 1990s, such as:

  • Palm V PDA (1998): A sleek, minimalist version of the personal digital assistant.
  • First Apple Mouse (1980): While originally developed by David Kelley’s firm, it set the tone for IDEO's ongoing partnership with Apple.
  • Steelcase Leap Chair (1999): Known for its ergonomic design, a hallmark of IDEO’s user-focused philosophy.

Design Thinking and the Human-Centered Approach

IDEO’s lasting influence is rooted in its promotion of design thinking, a methodology that focuses on understanding the end user’s needs and creating solutions based on empathy, ideation, prototyping, and testing.

David Kelley, one of IDEO’s founders, emphasized that design wasn’t just about aesthetics but solving problems. In the mid-2000s, Kelley also founded the d.school (Hasso Plattner Institute of Design) at Stanford University, which spread the design thinking methodology across industries, education, and business.

IDEO started applying design thinking to more abstract problems, such as improving the customer experience, organizational design, and systems thinking in fields like healthcare and education. Some notable efforts include:

  • Bank of America’s "Keep the Change" Program (2005): IDEO worked with the bank to create a savings program that rounded up purchases and transferred the difference into savings accounts.
  • Government Redesign: IDEO helped various governments redesign services to be more user-friendly, such as streamlining immigration and health services.

Expansion into New Domains

Over the years, IDEO expanded into areas beyond traditional product design:

  • Service Design: Focused on customer experience, working with industries like retail, healthcare, and hospitality.
  • Social Innovation: IDEO.org, a non-profit organization, was founded in 2011 to address global challenges such as poverty and health inequity by applying design thinking to social issues.
  • Education and Organizational Design: IDEO increasingly worked with educational institutions and businesses to apply design thinking to organizational change and learning.

Key Milestones and Leadership

  • Tim Brown (CEO, 2000-2019): Tim Brown was instrumental in broadening IDEO’s focus and publicizing design thinking. His book, Change by Design (2009), made the concept accessible to a wider audience and cemented IDEO's status as a thought leader.
  • Sandy Speicher (CEO, 2019-present): IDEO continued expanding under Speicher, focusing on sustainable innovation and inclusive design practices.

Recent Projects and Impact

Today, IDEO works with leading organizations across various industries, contributing to large-scale projects such as:

  • Environmental Sustainability: Helping companies develop eco-friendly practices and sustainable products.
  • Health Innovation: Partnering with healthcare organizations to design patient-centered solutions.

Legacy and Influence

IDEO’s impact on both design and business is profound. It transformed how organizations approach innovation, encouraging a culture of experimentation and empathy-driven solutions. The firm’s emphasis on collaboration and interdisciplinary teams has reshaped how many companies develop new products and services.