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Helmet Bike size Handlebars Shirt Shorts Shoes Wheels Metal Alloy Frame Crankset. Save up to 30% of you energy. SYSTEMS & STRU CTURE How to INSURE predictable reliable results. Mario Andretti and You.
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Helmet • Bike size • Handlebars • Shirt • Shorts • Shoes • Wheels • Metal Alloy • Frame • Crankset
SYSTEMS &STRUCTURE How to INSURE predictable reliable results.
Mario Andretti and You If you were to place Mario in a race car with no wheels and you were in a Honda Accord with wheels, who would win?
Rule of Structure 80% of a firm’s ability to compete and employee’s ability to succeed is driven primarily by the structure the firm has to offer. The role of management is to think…design the structure, processes and goals to insure the probability of success. MetaMatrix Consulting Group LLC
McDonalds’ Before and After Drive through before visual display Uncertain about order Frustrated with individual Increased chance of wrong order Wondering about final total price Drive through after visual display Confirmed orders before production Individual less important Increased chance of success Total price clear to viewer MetaMatrix Consulting Group LLC
Sugarbush Ski School Most profitable part of the mountain Average wait used to be 1 hour each morning Management did not understand their role 2.5 hours – changed the focus from “the magic moment” to cattle. Changed the role from teamwork to decision making Within one day the line queue dropped to 10 minutes No technology changed. MetaMatrix Consulting Group LLC
How it worked for years Adult & Private Lessons Kids Counter and Customer Service MetaMatrix Consulting Group LLC
Winning strategies and tactics Adult & Private Lessons Kids Counter and Customer Service Customer Form Counter Greeter MetaMatrix Consulting Group LLC
FAX UP FAX DOWN
Systems Define Outcomes NYS DEC’s Automated Licensing System 5 Hours and 14 minutes Replaced a hand system WorldCom Primary Contractor Named DECALS $15,000,000 Computer refused to issue licenses
6 People a day die in a pool poseidon-tech.com
ALLIANCE DEVELOPMENT
WHY WOULD YOU CARE ABOUT ALLIANCES?
Partnerships and Alliances Who are your allies? • Who are your 3 best business allies? • Who are your 3 best family allies? • Who are your 3 best co-working allies?
7 Types of Alliances Modified Lorange and Roos
Alliances Best 2nd tier T M Goal Goal
Statistics on Alliances Hergert & Morris 1988 71.3% of alliances are between rivals 37.1% of alliances are for new products Reasons for alliances 35% Competition or Distribution 25% New Technology 20% Economics of Scale 20% Legal or Regulatory
7 Strategic Tools • Objectives – True goals of both parties • Strategic – Structure and direction of firm • Budgeting – Allocation of funds • Where going to get the funds in Gov’t • Controls – How systems will be developed • Financial – Distribution and set-up • Human Resources – Who, What and Where • Risk Assessment – Is this worth the time
Alliances Best 2nd tier T M Goal Goal
The Purpose of Alliances New Reality Alliance Created Predictable Future
Something the Lord Made Who gives who credit…or…?
November 1944 – 1st Heart Surgery Eileen Saxon, a 15-month-old "blue baby," Johns Hopkins operating room. Dr. Alfred Blalock & Vivian Thomas
RQ-1 Predator MAE UAV Arming the predator with Hellfire Missiles (Army, Navy, Engineering Functional, Contractors, SPOs)
Northrop Grumman merger is a no-go Lockheed Martin has terminated its merger agreement with Northrop Grumman Corporation, ending the U.S. government's need to pursue its lawsuit to block the combination. The corporation notified Secretary of Defense William Cohen of the decision made by the Lockheed Martin Board of Directors.
Boeing Lockheed General Dynamics F-22 Joint Venture
Boeing and Lockheed • United Space Alliance (USA) is one of the world’s leading space operations companies. Established in 1996 as a Limited Liability Company (LLC), USA is equally owned by The Boeing Company (NYSE:BA) and Lockheed Martin Corporation (NYSE:LMT) and employs people in Texas, Florida, Alabama, California and Washington, D.C. USA manages and conducts space operations work involving the operation and maintenance of multi-purpose space systems, including systems associated with NASA's human space flight program, Space Shuttle applications beyond those of NASA, and other reusable launch and orbital systems beyond the Space Shuttle and Space Station. • As the prime contractor for NASA’s Space Shuttle Program, United Space Alliance is responsible for the day-to-day operation and management of the U.S. Space Shuttle fleet and brings a broad range of expertise to the job, including: • • Mission Design and Planning • Flight Operations • Software Development and Integration • Payload Integration • Integrated Logistics • Astronaut and Flight Controller Training • Vehicle Processing, Launch and Recovery
Fermi National Accelerator Laboratory Universities Research Association, a consortium of 90 research universities.Accelerators & Colliders Proton to 99.999946 the speed of light Interior of Fermilab's linear accelerator
Hollywood Model • $21,000 Spent on sign in 1923 • Hollywood Real Estate Group • Mount Cahuenga • Movie Industry Alliances • Small firms brought together • Limited time frame • Small film companies • Disband when done
Security Consortium Started 1992 Purpose to exchange information Meets twice per year Create Standards Watch Legal and Ethical Direction Run by US Government Includes Academia, Private firms, Government and Non-Profits FaceMulti-modal Fingerprint Retinal Hand and Finger Geometry Vein Handwriting Various/Others Iris Voice/Speaker http://www.biometrics.org
Life of the alliance Mother and father create a child: Results if both committed? Results if one is committed?
HOW COULD YOU USE THIS EVERY DAY? What might be the results?
New Product and Service Development
NEW PRODUCT &SERVICE DEVELOPMENT How to INSURE predictable reliable results.
NP&SD - Russian Roulette $10 Million Dollars
Accounting Invoice, Software IT Software, Server, Computers HR Training, Handbook, Leasing Maintenance Chemicals, Tools Logistics Shippers, Online tracking Engineering New process, Forms Design On-line service, ASP Finance Proposals, Credit Cards Sales New video, Products Manufacturing Equip., Staging Systems Operations 24 tech Support, Site Select Marketing Ad Campaign, Survey NP&S are all over…
New Product Failure “25 to 45 % of new products launched, fail. Percentage will vary by industry.” Dr. Robert G. Cooper in his book, “Winning at New Products” “19,000 new products were introduced to supermarkets and half disappeared from the shelves within two years.” David A. Light, Harvard Business Review, November-December 1996, Briefings from the Editor, based on 1995 study.
Draw a picture of how you do it now.
NP&SD Attrition SURVIVAL RATE(%) 100 90 80 70 60 50 40 30 20 10 0 IDEAGENERATION COMMERCIALIZATION SCREENING EVALUATION DEVELOPMENT TESTING 0 10 20 30 40 50 60 70 80 90 100 CUMULATIVE TIME IN PROCESS (%)
Starting Strong Discovery Scoping Gentle screen Strategic alignment Feasibility Magnitude of Opport. Market attractiveness Product advantage Fit with policies Killer variables Internet Search Library Search Focus Groups Concept Test User Test Idea Screen Gate 1 Stage 1
Making sound decisions Gate 2 Build Business Case Competitive analysis In-depth research /with customers Target market Delineated Product Concept Product strategy Product benefits Value proposition Spell out desired Features Attributes Requirements Specs Market investigation & study Manufacturability Cost to manufacture Investment Stage 2 Legal Technical Sales Involved Marketing Involved Payback period
Creating the right product Gate 3 Development Parallel marketing & operations Rapid prototype Working model First prototype Legal - patents Lab tests In house tests Alpha Tests Update financials Facilities requirements Market launch plans Continue - Customer feedback Marketing analysis Stage 3 Decision to spendConfirm case
Make sure you didn’t miss anything Gate 4 Testing & Validation Extensive validation Product process Customer acceptance Economics of product In-house test continue User trials continue Trial limited production Pretest Trial sell Test market Financial Analysis Stage 4 Review probable execution Revised financials Quality = original definition Work reviewed Go to test
Increased success rates Gate 5 Stage 5 Launch Quality of testing Quality of validation Financial review Post Launch Review Review costs Review profits Review strengths Review weaknesses Review what learned