Innovations of new products that change the world are what are going to help the U.S. maintain an edge in the hard sciences such as engineering, mathematics and technology.  With daily life becoming more complex, new “normal” needs to be created to allow people to still earn a living, but have more flexibility in how they do that. The cost of living in various metropolises are not decreasing, instead, they’re increasing. It’s amazing how traditional methods compare with newly virtualized companies and how small changes impact the environment.  This will specifically concentrate on two product development firms and their current business and engineering practices.

This case study is the comparison between two product development companies with similar goals but very different processes. This will focus on the new product development process based on virtual teams developing a product. Less energy, wasted paper, gas, time, and global resources combined with virtual collaboration tools like voice over IP / web conferencing, project wikis etc. PBWiki and Skype allow for consultants to be worldwide and not be restricted by geography – as a result, available personnel includes the most qualified professors, researchers, scientists and manufacturers.

The global product development process includes individuals from around the world, the teams are globally distributed and engineering is performed at multiple geographic locations, both low and high cost regions and their product development process is distributed through a network of qualified individuals not restricted by their geographic location.  Through globalization of the NPD process, it allows for global collaboration of different ideas, different views to provide the best possible outcome for the new product.  Every culture and country has it is own way of designing and developing new products.  Their outlook can also provide a different perspective on why and how things could be developed.  For example, the United States (compared with Europe) is not as environmentally conscious when it comes to creating innovation.  Europeans are historically more aware how their actions impact the environment.

The traditional design consultancy firm was created to design products for businesses.  Their core disciplines include industrial design, human factors, sustainable design and engineering (mechanical and electrical).  This traditional firm employs approximately 200 people spanning 5 offices in Boston, LA, Seoul, Milan and Shanghai creating a global presence for the necessity of their products.

By simply reducing the two major components of travel, it would significantly reduce the carbon footprint.  According to their own report, the majority of their Greenhouse Gas Emissions are “Optional Emissions” rather than necessary overhead.

The virtual design firm is a much smaller design consultancy firm that operates primarily virtually, although sometimes utilizing a small office to hold meetings and logistical operations.  They operate in a more down and dirty fashion utilizing an agile, low-phase process that maximizes the cost and time utilizing only the necessary individuals to bring the product to fruition.  Because they operate from personal locations, the product development costs are 50-60% less than the more traditional firms. Since it is a virtual company, they understand and utilize telecommunications to their maximum capabilities to create an efficient and more importantly, effective product development cycle.  The global virtual team allows for real time productivity – i.e. when it is nighttime in the U.S., the individuals on the other side of the world are working.

The virtual network is as extensive as any design firm however, the individuals are not restricted by location nor does a specific team restrict them because we consult globally.  Depending on the project, the criteria of necessary skill sets are always changing.  One week, three mechanical engineers will be collaborating, the next week, it will be one mechanical, an electrical and a designer working on a project.  In real time, information can be shared, not being constrained by “(s)he’s not at his desk”.

Through the progress of virtual collaboration, it is changing the way new products are brought to market.  Globalization and virtualization has leveraged product collaboration by expanding the value chain, partners, employees and suppliers.  Expanded collaboration on product design allows for faster turnaround, reduced development cost, increased product innovation and faster time to market.

Traditional product development has generally not included much interaction with the client nor their input.  However, with new online tools becoming available, virtualization of the product development cycle has gained more economic value that involves joint collaboration between client and company.  Moran and Ghoshal say “it is not resources per se, but the ability to access, deploy, exchange and combine them that lies at the heart of value creation”.   Virtualization and virtual companies have added new avenues for companies to expand their value creation and customer relationships.

Virtualization can improve the energy efficiency of a company if implemented correctly.  This research can provide a starting point for future studies to expand upon.  While the proportions of carbon dioxide emissions are more “favorable” in a virtual company, this study cannot exactly pinpoint the total difference in emissions. The travel emissions are seen as less favorable because the travel is not always directly related to the value added that employees bring to the development process.  Based on these assumptions the conclusion can be reached that the proportion of carbon emissions are better spent at Flashpoint because they are more directly correlated with value adding activities.

By Jessica Chin, Flashpoint Development Project Manger / Mechanical Engineer

Low volume tooling is typically lower cost in terms of investment, but lower production capacity and higher unit cost. Gets you to market faster with production units. High volume tooling is more expensive – longer lead time, but more capacity and lower cost.

For new ventures, it usually makes sense to do low volume tooling first, then high volume. Unless you have a ton of booked orders – then it might make sense to go high volume from the start.

Check out Protomold for more information

Check out this interview with Tucker Marion, the Managing Partner of Flashpoint Development as he discusses his academic and industry perspectives of bootstrapping, team building and product development.

Tucker Marion Interview from Tom Ermolovich on Vimeo.

Inventors often say, “I thought of that” while product developers say “I worked on that, but put it down”.

eDGe

During 2007-2008 we worked on a dual screen media device aimed at being the e-reader for kids in school, we called it gBook (left).  To the right is the new eDGe, which was covered in the NYT on 12,6 is enTourage Systems future release of their e-text book.  The feature sets were and are identical, good developers think a like.  The project was stopped due to lack of funding, and we moved on.

Have a reason for putting a project down and feel good about moving onto the next opportunity.  Just because someone else launched it doesn’t mean it is going to be a success or that stopping was a mistake.

To learn more about our effort in the e-text book space and for a few tips on development, check out our Case Study Presentation.

A bottle of soda and a toothbrush.  It is hard to imagine that these products can be made to stand out and even be desired above necessity…  I went shopping recently and I was amazed by the pull of two products.  The first a coke bottle, but not any coke bottle…  it was a ball of joy.  Even hidden in the store everyone in my shopping party had to have one, and when the soda was gone it got refilled.

The second product I was impressed with was a new electric tooth brush that was as skinny as a pencil.  It stood out dramatically as being significantly thinner than any high quality electric tooth brush I have ever seen.

What product limitations are you ignoring and following the status quo?  Are you considering what the product will look like on the shelf next to all the others… now, in 6 months, in 1 year?

Innovation made easy with modern advances in cost efficiencies, lower tool costs and shared spaces.

The new tinkerers use Hackerspaces, a shared tool supply, space and a community. Tool prices including 3D printers, CNC machines and many others have plummeted from hundreds of thousands of dollars to a few thousand.

An article (WSJ) and radio show (NPR).

Many focus on the financial aspect of Superbowl Ads. I agree that $3 million is astonishing for a 30 second commercial, but I think about that differently. If a company is going to spend an amazing amount of money for 30 seconds, it must be a pretty good example of what the top minds in marketing think work these days. So lets see what we can learn from these commercials.

1. Humor. A funny ad catches eyes, sparks word of mouth and makes people curious, although it has a limited life (not funny after 10 times) and the message can often get lost.

2. Animals are great. Think of the Geicko Gecko, the Budweiser Clydesdale/ frogs, the Sobe Lizzard. What animal would work for you?

If nothing comes to mind, review the advertisements from NBC, hopefully inspiration will strike and at a minimum have some laughs.

This week on Judge Alex an invention dispute was heard between uncle and nephew. Episode intro:

LOUIS’ GREAT INVENTION
WILSON vs. LEONARD
Louis says his nephew Theodore stole his “invention” which he claims had the potential to make him a millionaire! Louis claim Theodore took his idea and started marketing it behind his back. Louis claims when he ran out of money to market his invention he went to Theodore for help but instead he “duped” him into giving him the full rights to his invention and stole all the profits. Theodore claims he did not steal Louis’ invention and claims Louis is just a bad businessman. What does Judge Alex have to say about that? Tune in today and find out. (SHOW #4157)
Episode 4JA082

Of course I couldn’t help but tune in this afternoon during lunch to find out the details. As it turns out, it was a straight forward contract case. The nephew bought the invention from him for a lump sum and put his experience of product promotion behind the product, but the product failed. Apparently others were coming up with similar ideas and although it got into stores, it didn’t last for long. Although the invention failed in the marketplace, the lump sum payment was still enforced (at least to the maximum for small claims court).

This case really showed the difference between selling an invention for a lump sum and a licensing agreement. The lump sum is there success or failure, a license requires success. Unfortunately the enforcement of the filing was very limited, the uncle getting only $5,000 for the $30,000 agreement.

Many disputes like this arise from contracts, so read them! It is amazing how many people will read the first few lines, scan the middle and read the ending. If you have questions ask for clarification, get the language changed to be specific and understandable and if things get dicey bring in a lawyer.

Quickparts, a prototype shop sent over their CEOs new book, Better Be Running: Tools that Drive Design Success.  Although I am not very far into it, so far so good.  I really appreciate the send out as it was on my book list after reading some reviews from Inventors Digest.  I look forward to passing on a more complete review once I am done.  Feel free to send over any books, we’ll read them.

I found this article last night by Dharmesh Shah on his blog, onstartups.com about early releasing.  While the article is focused on software, a quick work replacement (software = products) reveals that the two development paths are actually quite a like.  There is always a race to market, even if you don’t know it and going back to the drawing board for a better product does not mean you will win.  The article certainly motivated me, I hope you have the same feeling.
Wimps Wait. Revolutionaries Release Early