The DBA Design Effectiveness Awards celebrate the integral role design plays in transforming businesses, improving societies and enhancing people’s lives.

Judged by a broad range of business leaders and entered jointly by client and designer, this year’s awards were presented at The Design Effect, a new event from the DBA celebrating and exploring the impact of design on business, society and beyond and featuring speakers including Monzo’s Vuokko Aro, Wolff Olins’ Sairah Ashman and Diageo’s Jeremy Lindley.

Explore images from the awards.

Says DBA, Chief Executive Deborah Dawton: “It was fantastic to bring together brands, agencies and design leaders from across the industry to explore design’s impact at the inaugural ‘The Design Effect’ conference this week. By celebrating the DBA Design Effectiveness Awards as an integral part of the day, the successes of the 2024 winners brought-to-life how design can create truly effective outcomes for business, people and planet.

 With the challenges economies, companies and communities around the world face today, illuminating the value of design in responding to change has never been more important. The Gold, Silver and Bronze Design Effectiveness Award winners do just that. Across industry sectors and design disciplines, they prove how essential design is in creating a brighter future for all.”    

Mockingbird Raw Press and B&B studio win Grand Prix

Mockingbird Raw Press’ Brand Creation by B&B studio was awarded Gold as well as the coveted Grand Prix.

By creating a brand that consumers understand is worth paying more for, the design empowered Mockingbird’s strategy of introducing a premium tier into grocery and of reshaping the UK smoothie category into a good, better, best model. The small but mighty new brand creation has disrupted the dominance of market giants to become the UK’s fastest-growing smoothie brand and number one contributor to overall category growth. Find out more about Mockingbird Raw Press Brand Creation. 

Also winning Gold was the immersive, rich experience created online by Else for Fred. Olsen Cruise Lines, which increased engagement and saw website usage leap 60% on the previous year and conversions from browsing visitors to bookings improve by 50%. Find out more Else’s work with Fred. Olsen. 

Tom Parker Creamery also took home a Gold award with White Bear for a rebrand which transformed the way the 100-year-old dairy company works, enabling it to unlock mainstream opportunities including national listings in 733 Sainsbury’s stores, 300 Waitrose and online at Ocado. Find out more about Tom Parker Creamery’s rebrand. 

Other winners include Nottingham Express Transit and Michon’s NET Freshers’ Campaign which helped increase daily downloads of a dedicated app by 141% and positively impacted on reducing fare evasion on trams in the city; GW+Co’s and Control Techniques collaboration which delivered a new-found momentum to the drives business following a rebrand and there are now 89% more staff on the UK team; NatWest’s ‘Carbon Planner’ digital tool, which in its launch year was used by over 4,000 businesses to easily understand their carbon footprint and take tangible steps to reduce it; and ‘The Kitcheneers’ by Without for school caterers Alliance in Partnership, which improved nutrition across dishes, with a 35% increase in vegetable servings compared to prior to the rebrand.     

Thank you to our fantastic judges who brought their insight and experience to rigorously judge all the entries and congratulations to the winning agency and client partnerships. Browse all of the Gold, Silver and Bronze winners and take a look at their case studies.

Says Sean Carney, Chair of the DBA Design Effectiveness Awards Judging Panel: “This year’s DBA Design Effectiveness Award winners demonstrated solutions to a truly diverse set of challenges and once again the distinguished groups of judges had to work hard to pick the winners.

The judging panels consisted of an incredible cross section of Business, Marketing and Design leadership, ensuring that we had a diverse set of perspectives when evaluating the entries. As Chair of these judging panels, it was truly an honour to witness the quality and depth of the discussions triggered by each entry. 

 The winners provide clear and compelling evidence that design can and does deliver value, improving business results, positively impacting society and improving lives. They can be extremely proud of the recognition they have received.” 

2024 DBA Design Effectiveness Award Winners

As BIDA prepares to cease operations, it has chosen the DBA as the most suitable organisation to support its members and advance the representation of industrial designers in the UK.

All current BIDA members will be transitioned into DBA membership for the remainder of 2024, gaining access to the full range of benefits provided by the DBA. 

The DBA will be holding an online ‘Town Hall’ on 21 November for those in the industrial design community to discuss the needs and opportunities for the sector. Those interested should register their intention to attend.

• Kate Shepherd, co-founder of The Future Collective shared her presentation giving us a whistle-stop tour of their soon-to-be-published research with Henley Business School, Leadership Futures: Advancing into Industry 5.0. 
• This comes at a time when we have a multi-generational workforce with divergent values and expectations, and that calls for a shift in the way we’re leading our businesses and teams.  
• As we enter this era, there’s a strong focus on people – both the generation leaving the workforce and the legacy they’ll leave behind, and the younger generation joining with fresh and innovative ideas. It’s a huge opportunity for leaders to think beyond profit, considering their impact on society, the environment and the broader stakeholder community.
• If the generational gap is feeling wider now than it has before, that’s partly due to the impact of the pandemic. Working and studying remotely, and the fact that getting on the property ladder feels unattainable, means that values and ambitions have shifted dramatically in recent years for the younger generations. 
• Balancing flexibility with the on-the-job learning we all benefitted from, is key for those entering the workforce that might feel their learning opportunities have been stunted.
• Trust and empathetic leadership is imperative – along with a level of flexibility in the day and over the week – and this is the case across the board in your teams, no matter their age. 
• So, whether it’s a sports day or a mid-morning gym session, flexibility will be appreciated and rewarded with loyalty, as is creating an environment they want to work and learn in. Make team days count.
• Younger generations are looking for roles where company ethics and values align with their own before they accept job offers. Are your values clearly articulated on your website? They can’t just be words, they have to be apparent in your actions.
• Empowerment was discussed – that could look like inviting a younger colleague to a pitch or a client meeting. Make them part of the every day to make them feel like a valued and appreciated member of your business. 
• How do you practically make these changes as a leader? Challenge yourself to learn new things, make time to invest in yourself and the way you approach leadership.
• The full report will be published on 7 October – look out for it in our newsletter.

There was much, much more covered in the hour – I hope you find these notes helpful. Join our next meeting on Monday 4 November, 4-5pm GMT, look out for an email with the details in a few weeks.

We’ve captured the conversation highlights from the all the Members’ Forums which have taken place and they can all be found here.

In our previous article for the DBA we discussed when a creative agency might employ its first Finance Director and what shape that might take, for example, full-time versus portfolio/fractional; in-house versus outsourced.

Whichever approach you take, and whatever your business size, having someone with dedicated time to understand the financial dynamics of the business is essential. Someone who can really get “under the bonnet”, contribute to the strategy and help translate that into monthly, annual and longer-term business planning, using appropriate metrics and KPIs to forecast and set goals.

Whilst agencies will often chase top line fee and revenue growth, devoting large amounts of costly time and resources to competitive creative pitches, having a keen eye on client and project profitability of existing business is key in terms of the actual financial benefit to a business.

Let’s take an example, whereby an agency secures a piece of business worth, say, £100k in fees. Assuming a “modest” operating profit margin of 10%, this would return £10k to the agency’s bottom line (pre-tax). Now let’s also assume that the overall agency revenues are £1m, generating a £100k profit at our 10% margin.

If the FD (or senior finance personnel) is able to help improve the overall margin by just 1% to 11%, then the increased profit (£110k instead of £100k), is tantamount to the business winning that £100k piece of new business. And what if we could improve the margin to 15%, more of an industry norm, or even 20%+ which is what the best performing agencies make? Without any margin improvement, the agency would need to increase its revenues by 50-100% to achieve the same level of increased absolute profit.

Of course, it’s very easy to say that, and possibly harder to achieve in practice, but a strong FD can help by:

• reviewing current profitability or utilisation measures,
• examining the resourcing and utilisation by project and client,
• and thereby determining which clients/projects are costing the business money compared to others.

Armed with this knowledge, they can then work with client facing teams to:

• improve projects/clients which are less profitable than others
• help ensure scopes of work are properly budgeted for and adhered to, or negotiate additional fee for out-of-scope work
• agree where additional support, freelance or otherwise, is genuinely needed
• improving processes and systems to aid efficiencies
• negotiate improved terms of business with client procurement – aiding cashflow, ensuring ratecards are appropriate or agreeing value propositions.

Allied to this, your FD will also be improving commercial acumen of your account handlers and their confidence in discussing financial issues directly with clients.

As a business grows and even in times of contraction, having access to a senior Finance Director to ensure the business operates as efficiently and profitably as possible is more of a necessity rather than a luxury. Running an SME business throws up ad hoc issues on a regular basis – things can blind side you, for example issues with suppliers, landlords, cashflow, staff, utilisation, overservicing, potential M&A, taxation, legal matters, insurance claims, bad debts, audit, procurement & general operating efficiencies to name some. In most instances, the Finance Director should more than cover their overhead by improving your profitability from clients or projects and/or also controlling costs and risk.

What you’re aiming for is to combine the generation of new fee income through new business development and dove-tailing this with improved margin performance on existing business; that’s the sweet spot to a thriving business.

• Escaping saturation in the UK market and having an adventurous nature were two key motivations for working internationally that stood out for me on the call. It’s not an easy or quick transition, but with the right attitude, it can be transformational.
• Thoroughly understanding the brief and the specific territory is crucial for success. If you’re unfamiliar with the region, partnering with local experts can help.
• Better still, get on the plane – with the national airline for extra cultural cues – and set up a pop-up agency for a period of time to help you to understand the market better.
• Awareness of cultural sensitivities is vital. From local customs to business practices, do your research and be prepared to adapt. Even in the US, we may speak the same language, but the market is completely different.
• For some on the call, having a local presence is essential for credibility and operational efficiency. If you’re just starting out it might not be necessary – but if you’re aiming for growth, then it’s a big consideration. 
• Whether you have boots on the ground or not, having someone who speaks the language is crucial, and make sure you have a local lawyer too.
• International growth can sometimes be sparked by a referral or a previous client moving into a new market. Relationships are key. One member mentioned using DBA Expert Lucy Mann to make sure they had an active plan to keep in touch with previous clients. 
• Consider your regions carefully. One member suggested they’d only do work where they could take their kids. If you’re a B Corp, that might dictate certain markets or industries you can’t engage with. 
• We’re in a strong position – British design is highly valued internationally – and you might find you’re paid more fairly.
• Don’t forget to PR the work you are doing, international clients are watching – we had one member highlight their success was down to this. 
• The Department for Business & Trade is a good place to start for the basics – and lean into your DBA network; we’re a friendly bunch and can connect you with members experienced in the markets you’re exploring.

There was much, much more covered in the hour – I hope you find these notes helpful. Join our next meeting on Monday 2 September, 4-5pm BST, look out for an email with the details in a few weeks.

We’ve captured the conversation highlights from the all the Members’ Forums which have taken place and they can all be found here.

• One key metric raised was your income to staff costs ratio – how much of your fee income is consumed by permanent and freelance staff costs. A good benchmark for this is 60%, any more than this will start to quickly eat into your profitability (70% and over spells trouble – get to the bottom of things and get advice).
• Keep at least 2 months worth of expenses in the bank (people and overheads). In these more challenging times, when clients may be pausing projects or taking longer to pay, up to 4 months would be prudent, with an additional 6 months in working capital. If cash reserves are less than this you risk making short-term decisions.
• If you spot red flags in your finances, beginning to just break-even or make a loss, make quick decisions. If you need to cut headcount, do it hard and do it once. Dragging decisions out risks destabilising the business and team even further. Don’t stick your head in the sand.
• Keeping a tight rein on what you should be aiming for by looking at the number of staff you have and your average charge out rates. Back of the envelope is fine as a check, but have the detail available so you can investigate the root cause of any issues. 
• Limit dependency on a single client to no more than 20% of fee income to manage risk. 
• If you are having to make cuts, take the opportunity to re-focus and bring in new skills. If new business is your issue, you’ll need to carefully review your value proposition. 
• Sometimes winning a new client needs an injection of cash to support the growth. There are growth capital options you can explore, or look into local grants – one member flagged these as a key to their recent growth in both skills and sustainability. Have proactive conversations before the need is too great for you to look less attractive to an investor.
• Consider the timings of major investments and expenses for tax reliefs. Ideally you want to be near the end of your tax year. If you’re not and timing is critical, consider moving your year end – Moore Kingston Smith can help with impartial advice. 
• Having an external non-executive director can help to remove the emotion from difficult decisions, someone who is just looking at the business and can take an objective view. 
• One member raised a challenge in getting invoices paid. Some suggestions to overcome this were to bill a small amount e.g. 25% on sign up, then regular staged billing, pausing halfway to get payments in and not leaving a big chunk to when the project has been delivered as that can leave you in a difficult situation. Your terms may be 30 days, but factor in 60 and 90 day payments in your planning.
• Another member recommended an invoice discounting service whereby 80% of an invoice is paid upfront – it’s an option that could be worth investigating to help to manage cashflow. The main high street banks all provide this service, do shop around.  
• In managing over-servicing, another behaviour that impacts profitability, education is key. Explain the context of why you’re charging what you are and what expectations are for that delivery. Set targets on utilisation and efficiency so everyone is on the same page. 

There was much, much more covered in the hour – I hope you find these notes helpful. Join our next meeting on Tuesday 6 August, 4-5pm BST, look out for an email with the details in a few weeks.

We’ve captured the conversation highlights from the all the Members’ Forums which have taken place and they can all be found here.

We’re delighted to welcome three new directors to the DBA board, as voted for by members at our Annual General Meeting:

Louise French – Studio Operations Director, forpeople

Andrew Lindsay – Global Head of Enterprise Design, Kraft Heinz

Matt Round – Chief Creative Officer, tangerine

We also extend our huge thanks to Francesca Bayliss, Head of Commercial and HR at Bulletproof, who steps down from the board after 3 years.

The directors of the DBA are a mix of association members and other design industry experts with extensive experience of integrating design into business strategy at executive level. They collaborate closely with the DBA’s management team to elevate the role of design in business and government and build confidence in design investment.

Find out more about the DBA board

• With average recovery rates across the DBA membership at 80%, here’s a useful document to help identify why you might be under recovering your time. 
• Fundamental to this metric is that the work is either taking too long, or it was underpriced – and this is irrespective of business size. It’s simple to monitor the amount of time you’ve scoped to spend and track the amount of time you’re taking in reality – whether you’re a team of 2 or 200. It’s important to look at this as an average across the business, rather than on an individual basis.
• One member shared how they actively check on recovery rates throughout the project by setting key milestones. This enables them to either have conversations with clients about additional costs, manage expectations, or shift the way the team is working to make sure recovery rates don’t slip further. 
• Building the inevitable scope creep into your proposals can help to keep recovery rates high. Charging for more rounds of amends over and above what was agreed, giving a price for how much additional work will cost if it happens. If it’s in your agreement, then your client can’t be surprised. 
• Having access to good data was raised by a few members on the call – including the importance of sharing data with the whole team so that everyone can understand the reasons behind why you’re asking them to track their time carefully. Timesheets are not about checking up on individuals – they are about managing profitability. One member saw a marked improvement in recovery rates when they started sharing financial data with the client servicing team. 
• Another member raised how their bonus structure is based on profitability, so that helps to get everyone engaged and keep a careful eye on the figures. 
• When it comes to new clients, it can be tempting to over-deliver on what was promised to get the repeat business, but that has a big impact on recovery rates and sets a dangerous precedent. While you might have different pricing levels for different clients, its important to keep a tight grip on what you’re charging and the work you’re doing to boost profitability. 
• It’s also important to look back retrospectively and see where there might be room for improvement either in costing out the work or in the project management.
• DBA Expert Julian Davies shared this great deck on maximising profitability – a 10% increase in income can have a 66.6% increase on profitability – even at 1%, it’s worth starting with your prices, and the DBA Annual Survey can help with this.

There was much, much more covered in the hour – I hope you find these notes helpful. Join our next meeting on Monday 1 July, 4-5pm BST, look out for an email with the details in a few weeks.

We’ve captured the conversation highlights from the all the Members’ Forums which have taken place and they can all be found here.

Key metrics highlighted were:

• Staff costs to fee income ratio at no higher than 60-65% (with approx. 20% on overheads, leaving you with 20% profit) This has fluctuated over the years, with hybrid working potentially lowering overheads to 15%, meaning you can spend up to 65% on staff and still make a decent profit, but like most ratios work out the best balance for your business.
• Break-even point – how much income do you need to cover your overheads – plus your target – then you can see clearly what you need to convert from the pipeline.
• Utilisation rates – how much time is spent on billable work by each person in the business? 
• Recovery rates – how much of actual billable time is billed to a client. This is a real warning flag metric – the canary down the coalmine. Not billing enough here will drag profits down throughout the business. Do you know what this looks like in your business? There are many reasons for low recovery rates. Improving them adds directly to your bottom line. More guidance here.
• What do the next 90-days look like? Booked revenue needs to be accrued over the time you’re going to complete the work. Looking at the next 90-days will mean you can plan to have the resources to cover the confirmed work, or make appropriate decisions if you don’t have the work in.
• Working out your liquidity ratio – having around 3-4 months of committed overheads in the bank is a good place to be.

 New business and your pipeline

• We know from the Annual Survey Report that clients are taking longer to commit to projects – this in turn has led to businesses needing more potential in their pipeline to convert to the number of live projects needed.
• One expert uses a strength test of confirmed work plus prospects being around 10 x monthly costs – this shows a business is working reasonably hard to win the next project.
• Setting new business targets should be done on an individual business basis to encompass the nuances around repeat clients.
• One member shared that they’ve tracked the various conversion stages throughout the pipeline and that’s helped them to see where they need to focus on. 

Benchmarking against other design businesses

• Benchmarking staff salaries, hourly rates, utilisation and recovery rates were all highlighted by members as key aspects of the DBA Annual Survey they use often in their businesses.
• It can feel isolating running a design business, the data in the report helps you to feel like you are not operating in isolation – to be able to benchmark against the industry is invaluable to running the business.
• The DBA Annual Survey is open now for you to add your data – don’t miss this chance to contribute. The more members that take part, the more representative the survey is. And the only way to get hold of the exclusive online comparison website is by taking part. If you need more information or are struggling to access the survey please contact Christina Warren for your unique survey link.

There was much, much more covered in the hour – I hope you find these notes helpful. Join our next meeting on Monday 3 June, 4-5pm BST, look out for an email with the details in a few weeks.

We’ve captured the conversation highlights from the all the Members’ Forums which have taken place and they can all be found here.