Value

At first, we were taught that value equals benefits.

We translated it into functions we provide in a product, service, or relationship.

Years passed, and the equation changed, adding the cost to the value. Something is valuable to me, depending on what I have to pay, whether money, time, or any other effort. It didn't change the basic idea, however, it added a level of cleverness. Yes, efforts matter to the value

itself and cannot be separated.

These years, again, the equation is refined. Instead of speaking of benefits and what we provide, one should think about outcomes solely from the user or customer's perspective- what's in it for them. What do

they get?

That is the base for design thinking, digital transformation, and almost every new updated, relevant business model.

I want to claim that there is a place for another level of refinement.

When we think about the outcome, let us divide it into two, separating the functional and emotional outcomes. 

Why? Because the emotional outcome turns out to be more essential and significant, turning, many times to be a differentiator between the leading solution and all others. Such may do with how easy it is to consume a service, how independent the customer feels, how satisfied or he is when exposing the knowledge we offer, and how innovative it makes her feel using it. The emotional outcome is relevant to KM activities, as well as to any other product or service.

So from today, when you define and suggest any solution and think about the value, think about a triangle-based value model: cost, functional outcome, and emotional outcome.

One more step to leveraged KM solutions.