8. Building a Business Around Your Invention
Perféct: The Perféct phase is a transitioning period between prototyping and production. A business evolved around an invention may already have existing product revenues. However, the business may desire to improve its product in order to further grow in volume and sales. A business’ worth is often benchmarked against its long term track record of sustainable sales and steady growth.
In the “Perfect” phase, the product’s sales are purposely kept at low volumes in lieu of understanding its performance in the market, and thus iterating it as needed while refining its final marketing growth strategy. The profit margin during this phase may be lower than anticipated due to a higher pre-production manufacturing cost and a low volume of the product. At this phase of product development it is important to not build excessive inventory and to respond quickly to product improvements. EfO Design can gather and analyze market data and perfect the design of a product or of a process: EfO Designs can provide forecasts of the various costs associated with growth expansion strategies so that a business owner can be empowered to make informed decisions. Finally, EfO Designs can develop marketing and sales strategies tailored to focus on meeting business growth criteria, and objectives.
In this phase it is not uncommon to develop a 2nd generation iteration of the product and if the product further succeeds in the market, it becomes the pray of competing businesses as they try to copy the product or offer an enhanced version. EfO Design helps its clients make smarter investment decisions that most likely will to lead to faster sustained returns on investment.
Profit: The work is not complete until profits are maximized. Achieving this goal requires continual process improvement. This is where your product or process develops its brand. During this phase development, customer trust and brand reputation are critical to the long term survival of the business. Some important questions need to be addressed during this phase. For instance, are the customers satisfied with the quality and service they receive? Does the product and processes live up to the perceived or declared claims?
Maintaining overall quality is paramount. Service history data must be collected and analyzed to pinpoint areas of needed improvement. It is important to minimize the number of defects by inserting in the manufacturing process multiple inspection points that allow for dynamic control. The companies that make the product, as well as the skilled workers who directly handle the part need to be properly incentivized in order to build long lasting quality into their products.
EfO Design can gather and analyze production data and work with its clients in order to establish licensing agreements that can ensure that the product’s reputation is established early on during its debut and its profits maximized. EfO Design can also work with manufacturers in order to minimize waste, maximize efficiency and gradually phase in automation as product volumes and outputs rise. EfO Design ensures that the derived processes are executed within the utilization of Lean Six Sigma principles so that a competitive advantage is always sought after.