make more money and lower risk of failure using research (productcamp boston 2015)
Post on 18-Jul-2015
382 Views
Preview:
TRANSCRIPT
1
Make More Money and Lower Risk of Failure Using Research
ProductCamp Boston 2015
How many of you have significantly changed or cancelled products based on customer or competitor research?
Let’s talk about how AREVA applied research to dramatically improve its return from new products and services.
Copyright The Bennion Group 1 May 2015
2
AREVA Inc. North America
Customers = most of100 nuclear power plants in US (19% of all US electricity)
Established Innovation Department early in 2012; ended December 2012
Accelerated Stage-Gate ® Process
– 16 projects - one big winner, other smaller winners, quicker cancellations
$100 million in new contracts the following year from our research
Copyright The Bennion Group 1 May 2015
Stage1Stage Gate 2 Stage Gate
3Stage Gate 4
Stage Gate 5
Problem/ Need
Generate Ideas
Develop ideas into a concept/ Identify owner
Preliminary Analysis
1.Solution Scope
2.Market Analysis
3.Customer Reqs
4.Business Case
5. Risk Assessment
Validate Analysis / Development
Plan
1.Validated Stage 1 Analysis
2.Business Plan
3.Development Plan
Solution Development
1.Development of Product,
Manufacturing and Logistical
Systems
2.Launch Plan
3.Monitoring Plan
Market Introductio
n
1.Field Trials
2.Implement Sourcing /Launch
Plan
3.Approval for Wide
Distribution
Monitor Perfor-mance
Research Team Activities
Generate CustomerProblem and Product/Solution Hypothesis
Generate CompetitiveHypothesis
Test with “friendly” contacts –
1. Customer Problem Hypothesis (How sol. Solves problem)
2. Customer Hypothesis (Who I will sell to);
Outline business case
Market Analysis 1:
Estimate market size
Test customerpain/solution demand (cost if unsolved & willingness to pay);
Test value of -• One-stop shop• Quality• Cost/efficiency• value of Sys Enr,
brand• On-time delivery,
speed• Responsiveness,
dependability• Other
Market Analysis 2:
Analyze competitive differentiation and positioning; market segmentation
Market Analysis 3:
Test final product attributes, price, positioning againstdemand
As needed:
1. Assist with competitive market entry strategies
2. Monitor responses
Bla
nk M
ark
et
Entr
y M
odel
Sta
ge G
ate
Pro
cess
Concept generation based on contacts with customer and market experience
Successful launch
Incubator Team and Project Team Facilitation
Incubator Team and Project Team
Value of External Market Data
Copyright The Bennion Group 1 May 2015 3
Three Ways to Make Money
4
TIME
Too many companies provide too-small funding to too many products, wasting money on failures and losing part of the window of opportunity for successes
AREVA pushed products thru decision process quickly, shortening new product development cycles and capturing more of the window of opportunity
Copyright The Bennion Group 1 May 2015
Replacement Parts
Customer research showed demand
Competitive research showed prices AREVA wrote a business plan, reviewed it with a variety of
customers, received new information and re-wrote plan three times.
6
Lesson: Talking with both customers and competitors provided better market sizing data and price points
Copyright The Bennion Group 1 May 2015
Battery Pack Back Pack
7
Lesson: Listen to a variety of customers
Huge battery for all of plant vs. numerous small batteries for individual sensors and monitors
Copyright The Bennion Group 1 May 2015
Spent Fuel Pool Monitoring
8
AREVA built in-pool prototype for $115K after speaking with customers
Customer research showed they wanted remote monitoring
Competitive research showed design A being worked on by competitor
Design A
Design B (better than A)
Lesson: You need both customer and competitive insight to avoid “me-too” product
Copyright The Bennion Group 1 May 2015
Reactor Coolant Pump Seals
HQ in France:
– Resell our partner’s seal in US
Customer research:
– Proposed product no different
than seals already on the market
Competitive research
– Partner’s seal would sell for 30% more
9
Lesson: Kill losers with confidence
Großansicht KSB
Copyright The Bennion Group 1 May 2015
Security Software
Mounted cameras watching for terrorists, crazies, and elderly nuns
– A group of protesters, including a 82 year old nun penetrated all external barriers at a US Government nuclear facility – Quite an embaressment for Uncle Sam!
Manual process to fully automated
– Cameras re-adjusted based on tabletop models
Multiple rounds of customer research
10
Lesson: Get organization out of its comfort zone to make technological leap
Copyright The Bennion Group 1 May 2015
11
Constant Communication Maximizes Project Success
CompetitorResearcher
You
CustomerResearcher
Team
13
Mission: EastSight Consulting helps clients improve their financial performance through more effective utilization of external information in internal decision making processes
EastSight Consulting 310 Oakland St., Wellesley, MA 02481Phone/Fax: 781/416-3686 info@eastsightconsulting.comwww.eastsightconsulting.com
top related