Niti Bhan's got a very short, very concise, and very clear post on what the heck design is, and what value it brings. If you've got a client, or an organization, or a parent, or a student, or anyone who just wants this enterprise boiled down for them in email-able form, here's the link. Read the whole thing for sure, but here's a paragraph on "design thinking":
Design thinking in business takes this problem solving aspect one step further. Now the tools and techniques from the field of design such as ethnographic research, rapid prototyping and conceptual brainstorming integrate with the pragmatic business frameworks of strategy, analysis and metrics to create and provide roadmaps for business innovation and competitive advantage. In this context, design has evolved away from traditional form giving to becoming an integral part of corporate strategy.
Allan Chochinov is a partner of Core77, a New York-based design network serving a global community of designers and design enthusiasts, and Chair of the new MFA in Products of Design graduate program at the School of Visual Arts in New York City. Allan lectures around the world and at professional conferences including IDSA, AIGA and IxDA, has been a guest critic at various design schools in including Yale University, IIT, Carnegie Mellon, Ravensbourne, RMIT, University of Minnesota, Emily Carr, and RISD. He has moderated and led workshops and symposia at the Aspen Design Conference, the Rockefeller Center at Bellagio, Compost Modern, and Winterhouse, and is a frequent design competition juror. Prior to Core77, his work in product design focused on the medical, surgical, and diagnostic fields, as well as on consumer products and workplace systems. He has been named on numerous design and utility patents and has received awards from The Art Directors Club, I.D. Magazine, Communication Arts, and The One Club.