opportunity ID process

Opportunity ID Process PMPs Consulting Group Justin Alexander, Rowena Stone, Nicole Wahlgren, and Scott Youngkin 2/6 /2015 (Updated 3/23/2015) Page | 1 Responses to Dr. Bruce’s questions: Step 1: Establish a Charter Did we create a charter that was as clear as the FroliCat example in the book? Our team felt that the charter was too broad. We updated the charter to provide more focus and relation to the structure of our consulting group. Step 2: Generate/Sense Many Opportunities Did we provide several options that would fulfill the charter? Did you discuss at least four? Ye s, we generated four ideas that met our project charter. What were the many opportunities that you examined and thought through? List all the options and how you came up with them. We updated this section with information on how the ideas came to each project team member that generated them. We also added information on which idea generating technique we used. Step 3: Screen Opportunities Did we vote as a team on the ideas that we generated in step 2? If so, please provide the table that captures your votes. If not, do it or come up with some other form of multi -voting. In addition to the pros/cons list we added a table that shows how the project team voted. Step 4: Develop Promising Opportunities After we narrowed down the ideas, did we do any research (internet or otherwise) to see what the competition was for each of the top 2-3 of the 4 options? Did we discuss any uncertainties? We have expanded our pros/cons list from section 3 into section 4 by listing information found through more research of the two projects we selected in section 3. Step 5: Select Exceptional Opportunities Did we provide an RWW similar to the one on page 48? Don’t be afraid to provide some discussion beyond the straight yes/no answers. The team did more research on other questions to examine outside of the RWW questions provided in the book and added discussion points to the table. Step 6: Reflect on the Results and the Process Did we answer the questions on page 49? The project team reviewed these questions and provided responses. Opportunity ID Process PMPs Consulting Group Justin Alexander, Rowena Stone, Nicole Wahlgren, and Scott Youngkin 2/6 /2015 (Updated 3/23/2015) Page | 2 Step 1 – Establish a charter Develop a consumer product for our client that can be launched within the next year and will allow them to expand their market share in their respective industry. Step 2 – Generate and sense many opportunities The following are ideas generated by the product team members to be developed by the PMP Consulting Firm: - One project team member was once waiting in line at the movie theater for over five minutes for one of the Freestyle Coke machines to open up. While earlier pop dispensing systems were not perfect, they tended to allow customers to access multiple spouts at one time. The team came up with the idea to i mprove the design of the Freestyle Coke machines to allow for more than one customer to dispen se their drink at a time. - Based on an individual desire for a 3D prin ter in the home, a team member purposed the idea of a more affordable 3D printer, making the technology more accessible to small companies and individuals. - An idea generated after Hailey Owen’s murder in 2014. In order for parents to feel more secure in k nowing where their children are, the idea about a small customizable GPS locator came about. Possible locators could come in the form of a keychain or jewelry. An app/online subscription available to parents to monitor where there children are. The idea be hind the product is to prevent child abductions and assist police in finding children in danger sooner. - Based on a personal desire to have the smoke detectors in the home to be more aesthetically pleasing, we could purpose to a client that a new line of high end smoke detectors with an updated industrial design and enhanced smart features. Step 3 – Screen Opportunities Below are the discussions surrounding the pros and cons of each opportunity listed in Step 2: 1. Freestyle Coke Machine a. Pros: i. The idea of more customers being served at a time could be appealing to large soda companies. ii. Design could be simple – tablets with apps and improved design for valves and splitters for nozzles. b. Cons: i. Only 2 major soda companies to sell product too ii. Coke already views the serving of multiple customers as simply purchasing more than one Freestyle machine Opportunity ID Process PMPs Consulting Group Justin Alexander, Rowena Stone, Nicole Wahlgren, and Scott Youngkin 2/6 /2015 (Updated 3/23/2015) Page | 3 iii. Could run into patent issues wi th the design for the Freestyle machine iv. A soda machine does not specifically meet the charter as a consumer product. 2. Affordable 3D Printer a. Pros: i. Opportunities to use client resources to source parts for a lower cost, allowing us to create a lower cost printer than what is available from existing smaller 3D printing companies. ii. A large number of untapped opportunities exist including small corporati ons, theaters (set design, prop mangers), craftsmen/hobbyists, and schools/colleges. iii. Technology appeals to design team b. Cons: i. Development of lower cost products can be difficult and result in lower margins ii. The complexity of the project could result in a la rger number of risks 3. GPS Child Locator a. Pros: i. Concept would appeal to a lot of parents of young children ii. Potential to market to pet owners as well b. Cons: i. Liability surrounding product could be high ii. Costs could be high and result in higher street price and put it out of reach for many parents 4. Smoke Detectors: a. Pros: i. Smoke detector technology is well established and will not require a lot of up front development ii. Market potential – everyone needs a smoke detector iii. Possibility for a large product line b. Cons: i. Diffi culty of designing a product that appeals to a wide variety of people ii. While everyone requires a smoke detector – significant research may need to be done to determine how many people are concerned with the look of their smoke detector Below is the table which lists the votes of the project team (weighted from 1 to 5, 5 being the highest desire to pursue the project further). Opportunity ID Process PMPs Consulting Group Justin Alexander, Rowena Stone, Nicole Wahlgren, and Scott Youngkin 2/6 /2015 (Updated 3/23/2015) Page | 4 Justin Alexander Rowena Stone Nicole Wahlgren Scott Youngkin Weighted Total Freestyle Coke Machine 2 3 3 3 2.75 Affordable 3D Printer 5 5 5 5 5 GPS Child Locator 2 4 3 1 2.5 Smoke Detectors 4 4 5 4 4.25 Step 4 – Develop Promising Opportunities Based on the vote totals listed in Section 3, the project team decided to further pursue the affordable 3D printer and more attractive smoke detectors. The team further researched the projects and created a list of concerns relating to each project option. Affordable 3D Printer:  What is the new/different aspect of this product? o Based on internet research, the project team determined adding the concept of reusable/refillable filament spools to a 3D printer would help to differentiate this product. o The team also determined that by hitting a design space target of at least 12’’x12’’x12’’ and a street price target of $1,000 the product would be a leader in the affordable 3D printer industry.  What are the complexities of developing a product like this? o There are numerous types of 3D printing technology in existence.

Selecting the kind that allows for low bill of material cost and to meet our new/d ifferent feature of refillable spool s could be a challenge. o Sourcing low cost components will also be a challenge that needs to be addressed by:  Heavily pursuing foreign manufacturing of components  Utilizing manufacturers that use similar components which allows for the purchasing of components in mass amounts  Seeking quotes from competing suppliers and usi ng them to negotiate the best purchase price  Using suppliers that the client frequently uses for their other printers, possibly generating a lower price for components Opportunity ID Process PMPs Consulting Group Justin Alexander, Rowena Stone, Nicole Wahlgren, and Scott Youngkin 2/6 /2015 (Updated 3/23/2015) Page | 5  Will the expected client of a larger printing company be willing to branch out into the 3D printing industry? o With many larger printer companies starting to offer the option of personal 3D printing , we expect many of the somewhat smaller printing companies such as, Epson, Lexmark , Lenovo, etc., to be willing to purchase an affordable 3D print er. o These companies would be especially interested in the larger print size, which would put them a step ahead of their competition and allow them to get market share quickly. More Attractive Smoke Detectors:  Is there a large enough market for products like this? o While it appears this market is growing in the millennial generation, it is still a small market of people who are concerned about how their smoke detectors look. o Most of the market expects a fair amo unt of smart features as well, so that would be required of a product like this. o There are already a couple of higher end competitors (Nest and Birdi) but the market isn’t necessarily overwhelmed with options, especially in the U.S. market.  What sort of look/feel features could be added to make the smoke detectors desirable to customers? What are people looking for with products like this? o Based on personal experience customers are looking for smoke detectors that do not resemble UFOs on their ceiling. o Research also shows in the European market there appears to be a high demand for color options outside of white, beiger, or black. o Customer reviews also indicate they really like the different glowing colors that provide constant status indicators.  How m uch are people willing to pay for a product that they can get for as little as $20 in a less attractive version? o The Nest Smoke Detectors are currently $99. o The Birdi Smoke Detectors are currently $119. o Products with less smart features than the products listed above range from €30 - €75. Final Selection The team decided based on the research above and the project they felt best met the charter to pursue the affordable 3D printer and refillable filament spools. Opportunity ID Process PMPs Consulting Group Justin Alexander, Rowena Stone, Nicole Wahlgren, and Scott Youngkin 2/6 /2015 (Updated 3/23/2015) Page | 6 Step 5 – Select Exception Opportunities The team performed the following two Real -Win -Worth -it Frameworks for the affordable 3D printer to determine if it was worth it to pursue the project further. The team rated each question on a scale from 1 to 5, 1 meaning the team does not feel the 3D prin ter meets the requirement and 5 being the team strongly feels the requirement is met by this product. An average score above 3 for each section indicates the project team feels strongly about the product. 3D Printer 1. Is there a real market and a real product? Notes Is there a need? 4 3D printing technology while not new is continuing to grow. It is still a young enough market there are still many opportunties within this market. Can the customer buy? 4.5 Most of our target customers we envision being able to afford a ~$1000 3D printer Will the customer buy? 3.5 Concern that customers might not yet see the advantage of buying this product Is there a viable concept for a product already? 5 Is the product acceptable within the social, legal, and environmental norms? 3.5 Is the product feasible? Can it be made? Is the technology available? Does it satisfy the needs? 4.5 Will our product satisfy the market? Is there a relative advantage to other products? 4 Can it be produced at a low cost? 3 Low cost printing is a high risk but one the team is aware of and has plans to address Are the risks perceived by the customer acceptable? 3.5 Total 4 2. Can we win? Can our product or service be competitive? Can we succeed as a company? Opportunity ID Process PMPs Consulting Group Justin Alexander, Rowena Stone, Nicole Wahlgren, and Scott Youngkin 2/6 /2015 (Updated 3/23/2015) Page | 7 Do we have a competitive advantage? Is it sustainable? 3.5 Would go to market with a size and cost advantage but do not believe that it would be long before another company creates a competitive product. Is the timing right? 4 Will we beat our competition? 4.5 Do we have superior resources? 5 Our company has a lot of experience in printer development Do we have the management that can win? 4.5 Do we know the market as well as or better than our competitors? 4 Total 4.25 3. Is it worth doing? Is the return adequate and the risk acceptable? Will it make money? 3.5 Based on initial research the team feels we can make money but are still concerned with margins Do we have the resources and the cash to do this? 4 Are the risks acceptable to us? 4 Does it fit our strategy? 5 Team feels this product meets the charter established Total 4 Based on our results of the RWW Framework the team determined that we would like to pursue the 3D printer concept. Step 6 – Reflect on the Results and the Process The results of the reflection on our decision making process are as follows: - How many opportunities identified came from internal versus external sources? o 3 internal choices were presented – Freestyle Coke Machine, 3D printer, and Smoke detector o 1 external – GPS locator discovered through a team mate and a friend - Did we consider dozens or hundreds of opportunities? o Each member of the project team spent significant time considering options for the project. We then presented our top ideas to each other and narrowed down the decisions further. We finally settled on the top four ideas and then progressed through the 5 st eps listed above. - Was the innovation charter too narrowly focused? Opportunity ID Process PMPs Consulting Group Justin Alexander, Rowena Stone, Nicole Wahlgren, and Scott Youngkin 2/6 /2015 (Updated 3/23/2015) Page | 8 o After completing the process the team concluded the charter probably could have been narrower. - Were our filtering criteria biased or largely based on the best possible estimate of eventua l product success? o The filtering criteria may have been slightly biased to the smoke detector and 3D printer concepts because after presenting suggestions the team was drawn to both of those ideas more. - Are the resulting opportunities exciting to the team ? o The team is very excited about the potential of the 3D printer and all members are looking forward to working on the product.