The Understanding Group
The Understanding Group (TUG) is an Information Architecture and AI strategy consulting firm in Ann Arbor, Michigan, founded in 2011, serving organizations from non-profits to Fortune 5 companies with digital product strategy and ethical AI integration services.
- Company typePrivate
- Founded2011
- HeadquartersAnn Arbor, United States
- Headcount11–50
- GTM typeB2B
- OfferingServices
What The Understanding Group does
The Understanding Group (TUG) is a professional services consulting firm headquartered in Ann Arbor, Michigan, founded in 2011 by co-founders Bob Royce and Dan Klyn. The firm specializes in two core service lines: Information Architecture (IA) consulting and AI strategic planning services. Its IA practice provides strategy and structure for digital products, helping clients develop clear user-needs assessments and shared organizational visions, while its AI practice helps organizations responsibly deploy AI through frameworks including an AI Center of Excellence build-out and the Aligned Groups Framework.
TUG has developed proprietary intellectual property including the PASS Process, the Clear Modeling Framework, the OTC Model (Ontology, Taxonomy, Choreography), Shearing Layers for Websites, In/Tension Modeling, and the Pace Layers Framework. The firm operates with approximately nine listed team members, including co-founder Bob Royce (25 years of consulting and executive experience), co-founder Dan Klyn (who has taught Information Architecture at the University of Michigan's School of Information since 2006), and Chief AI Ethicist Dan Heck (20+ years of nonprofit leadership and published expertise in social and moral psychology). The U-M teaching role functions as an ongoing academic partnership that supplies both methodological rigor and a recruiting pipeline.
The firm monetizes primarily through direct consulting engagements, supplemented by cohort-based workshops (Modeling for Clarity, Intro to IA, Archetypes of User Intention, and Working with LLMs) and custom team training. Distribution is sales-led, with clients acquired through direct outreach, free initial consultations, conference speaking engagements, and a content marketing presence spanning the IA Practice blog, TUG Talks lecture library, and active social media on Twitter, LinkedIn, Facebook, and Instagram. Pricing is not publicly disclosed; the stated client base spans from small non-profits to Fortune 5 companies.
The Understanding Group firmographics
Firmographics- Name
- The Understanding Group
- Legal name
- The Understanding Group LLC
- Website
- https://understandinggroup.com
- Company type
- Private
- Founded year
- 2011
- Operating status
- Operating
- Headcount range
- 11–50 employees
- Short description
- The Understanding Group (TUG) is an Information Architecture and AI strategy consulting firm in Ann Arbor, Michigan, founded in 2011, serving organizations from non-profits to Fortune 5 companies with digital product strategy and ethical AI integration services.
- Ownership category
- akta.pro rank
The Understanding Group industry classification
Industry- Product category
- Management Consulting — Information Architecture and Digital Strategy
- NAICS
- Management Consulting Services (54161), Other Management Consulting Services (541618)
- SIC
- Services-Management Consulting Services (8742)
- akta.pro primary industry
- Organization Design & Operating Model Consulting (BPAHAGAB)
- akta.pro secondary industry
- Data, Analytics & AI Consulting (BPAHAEAF)
Keywords
Where The Understanding Group is headquartered
LocationHeadquarters
- HQ city
- Ann Arbor
- HQ country
- United States
- HQ region
- North America
Offices1 record
Markets served
The Understanding Group business model
Business model- GTM type
- B2B
- Offering type
- Services
- Cost components
- Personnel, Operations, Marketing or Sales, Technology or R&D, Infrastructure
Revenue model
- Information Architecture Consulting: Professional consulting services for digital product strategy, helping organizations understand their needs, develop plans, and provide shared vision for digital products.
- Workshop Programs: Educational workshops including Modeling for Clarity (12 hours over 4 weeks), Intro to Information Architecture, Archetypes of User Intention, and Working with LLMs. Offered as cohort-based or custom team workshops.
- AI Strategic Planning Services: Consulting services to help organizations responsibly build sustainable AI systems, including gaining clarity on where AI can enhance processes, creating shared AI strategy, and deploying aligned AI.
Pricing tiers
| Model | Billing | Price |
|---|---|---|
| Other | One time/ perpetual license | Free consultation |
Go-to-market motion1 record
Distribution channels3 records
Marketing channels4 records
The Understanding Group product offering
Product offeringCore offering
The Understanding Group (TUG) sells Information Architecture and AI strategic planning consulting services that help organizations develop clear strategy, structure, and stakeholder-aligned vision for digital products. Its core deliverables are hands-on consulting engagements using proprietary modeling frameworks (PASS Process, Clear Modeling Framework, In/Tension Modeling, OTC Model) alongside AI Center of Excellence and Aligned Groups Framework services for ethical AI integration. Public and custom workshops (Modeling for Clarity, Working with LLMs, Intro to IA, Archetypes of User Intention) extend the consulting practice to cohort learning.
Product overview
The Understanding Group (TUG) is an information architecture and AI consulting firm operating since 2011. The company offers two core service lines—Information Architecture Services (strategy and structure for digital products) and Artificial Intelligence Services (ethical AI integration and AI Center of Excellence development)—alongside educational offerings including the Modeling for Clarity Workshop and Working with LLMs workshop. TUG has developed proprietary methodologies including the Clear Modeling Framework, Rigorous Modeling Framework, and In/Tension Modeling tool. The company also produces educational content through its IA Practice + Theory articles and TUG Talks lecture library.
Differentiator
Problem solved
Functional benefit
Products and services
- Information Architecture Services Consulting engagement providing strategy and structure for digital products, helping clients develop a clear, shared vision; understand user needs and wants; and create navigable systems for high-performance digital products. Targets organizations from small non-profits to Fortune 5 companies.
- Artificial Intelligence Services AI strategic planning services helping organizations responsibly build sustainable AI systems, including AI Center of Excellence development, ethical AI integration, and deployment of aligned AI using the Aligned Groups Framework. Targets organizations at any stage of AI adoption.
- Modeling for Clarity Workshop 12-hour workshop delivered over 4 weekly 90-minute live sessions plus pre-recorded lectures, teaching the Clear Modeling Framework for solving digital design and strategic problems through creating clear communicable pictures. Offered as cohort-based or custom team workshops.
- Working with LLMs: From Principles to Practice Workshop 2-hour online interactive workshop exploring Large Language Models through hands-on activities, teaching participants how to architect prompts, create tiny reasoning machines, and build interactive agents.
Quantifiable outcome
- Organizations make better decisions, incur less risk, and achieve stakeholder alignment through better ways to organize and manage complex systems
Companies that use The Understanding Group
Customer profileNamed customers2 records
Segments3 records
Ideal customer profiles3 records
The Understanding Group technology and API
TechnologyTechnology focussed No
API detail
- Has API
- No
- API docs
- API detail
Core technology
AI maturity
App detail
AI capability5 records
Feature7 records
The Understanding Group partnerships and signals
Strategic signalPartnerships
Two partnerships are on record, tiered minor and core.
- Public Relations Society of America - Counselors to Higher EducationminorTUG engaged with the Counselors to Higher Education section of PRSA at their summit in Nashville in October 2023, sharing work on generative AI and ethical AI integration with higher education communicators.
- University of Michigan School of InformationcoreDan Klyn has held a lecturer position at U-M School of Information since 2006 (passed to him by Peter Morville), teaching Information Architecture courses. This ongoing academic partnership influences TUG's methodology and thought leadership.
Scale indicators1 record
Recent moves5 records
Expansion highlights4 records
The Understanding Group competitors and assessment
Company assessmentDirect peers
- Work & Co: Work & Co is a digital product agency that partners with enterprises to design and launch digital products, closely comparable to TUG's IA and digital product strategy work but at greater scale and more product-execution-oriented.
- Nielsen Norman Group: Founded by Jakob Nielsen and Don Norman, NN/g is the most established UX research and training firm globally and the closest direct peer to TUG's Information Architecture consulting, training workshops, and thought-leadership content model.
- Cooper (Cooper Interaction Design): Cooper is a product and interaction design consultancy that helps organizations design digital products, with a methodology-driven approach that closely mirrors TUG's IA and product strategy work for enterprise clients.
- Rosenfeld Media: Rosenfeld Media is a UX and information architecture consultancy and publisher specializing in IA training, books, and workshops — a close peer in TUG's IA training and methodology-driven consulting niche.
Broad incumbents
- IDEO: IDEO is a global design and innovation consultancy with overlapping digital product strategy and human-centered design practices, but at significantly larger scale and a much broader service portfolio than TUG's IA focus.
- Slalom: Slalom is a large strategy and technology consulting firm with a dedicated digital experience and AI practice that competes with TUG for mid-market and enterprise digital strategy and AI governance engagements.
- McKinsey Digital (QuantumBlack): McKinsey's digital and AI practices serve Fortune-class clients on digital strategy and responsible AI, overlapping with TUG's enterprise and AI governance offerings but at much larger scale and as part of a broader portfolio.
- Thoughtworks: Thoughtworks is a global technology consultancy with a strong design and AI ethics practice, competing with TUG for enterprise digital product strategy and responsible AI implementation engagements.
- Frog (frog design): Frog is a global design and innovation consultancy (part of Capgemini Invent) with overlapping digital product, IA, and human-centered design capabilities for enterprise clients, competing at a much larger scale than TUG.
Emerging players
- Artefact: Artefact is a data and AI consulting firm with a focus on responsible AI and digital transformation, overlapping with TUG's AI strategy and governance practice but typically at larger engagement scale.
Market position
Strengths4 records
Weaknesses4 records
Competitive moat2 records
Key risks6 records
Key highlights6 records
Customer concentration
The Understanding Group social profiles
Digital presenceThe Understanding Group financial estimates
Financial estimateRevenue estimate
Valuation estimate
The Understanding Group leadership team
Management profileNumber of profiles
Profiles6 records
The Understanding Group funding detail
Funding detailFunding overview
Funding rounds
Investors
Funding detail is available on the Subscription and Enterprise plan.Contact sales →
The Understanding Group M&A and investment
M&A and investmentM&A
Investments
M&A and investment is available on the Subscription and Enterprise plan.Contact sales →
Frequently asked questions about The Understanding Group
What does The Understanding Group do?
The Understanding Group (TUG) sells Information Architecture and AI strategic planning consulting services that help organizations develop clear strategy, structure, and stakeholder-aligned vision for digital products. Its core deliverables are hands-on consulting engagements using proprietary modeling frameworks (PASS Process, Clear Modeling Framework, In/Tension Modeling, OTC Model) alongside AI Center of Excellence and Aligned Groups Framework services for ethical AI integration. Public and custom workshops (Modeling for Clarity, Working with LLMs, Intro to IA, Archetypes of User Intention) extend the consulting practice to cohort learning.
Is The Understanding Group a public or private company?
The Understanding Group is a private company. It is classified as founder individual operated bootstrapped and is currently operating.
When was The Understanding Group founded?
The Understanding Group was founded in 2011. It employs 11 to 50 people.
Where is The Understanding Group based?
The Understanding Group is headquartered in Ann Arbor, United States, in the North America region.
How does The Understanding Group make money?
Three revenue lines are on record. Information Architecture Consulting is the primary driver. The others are workshop Programs and AI Strategic Planning Services.
Who are The Understanding Group's main competitors?
Direct peers on record are Work & Co, Nielsen Norman Group, Cooper (Cooper Interaction Design) and Rosenfeld Media. Broad incumbents are IDEO, Slalom, McKinsey Digital (QuantumBlack), Thoughtworks and Frog (frog design). Artefact is listed as an emerging player.
Does The Understanding Group have an API?
No public API is recorded for The Understanding Group.
What industry is The Understanding Group in?
The Understanding Group's product category is Management Consulting — Information Architecture and Digital Strategy. Its primary akta.pro industry code is BPAHAGAB, Organization Design & Operating Model Consulting, with a secondary code of BPAHAEAF, Data, Analytics & AI Consulting. Its NAICS code is 54161 and its SIC code is 8742.