Session 2: Product Development Agenda Questions from last lecture Product Development Process Example – SQUID SBIR Program “Muddiest Points” Input Sheets Homework Due Session 3

Commercialization Model Technology Equipment Producer System Producer Project Developer Project Owner Business Development Process Product Development Process Project Development Process Project Operator User

3 Customer Need Product Development Starts with a Need

4 Customer Need DesignFab & Assembly TestingProduction Simple Product Development Model

5 Customer Need Conceptual Design Fab & Assembly Dev. Testing ProductionDelivery and Support Expanded Product Development Model Qual. Testing Preliminary Design Detailed Design Design broken into Conceptual, Preliminary, and Detailed Testing broken into Development and Qualification

6 Customer Need Conceptual Design Fab & Assembly Dev. Testing ProductionDelivery and Support Product Development Model with Rework Qual. Testing Preliminary Design Detailed Design Rework Rework is required during development testing Re-design Drawing changes Fabrication & assembly Re-test

7 Customer Need Conceptual Design Fab & Assembly Dev. Testing ProductionDelivery and Support Testing During Design Reduces Rework Qual. Testing Preliminary Design Detailed Design Testing Rework Component testing during design reduces development rework

8 Customer Need Conceptual Design Fab & Assembly Dev. Testing ProductionDelivery and Support Integrated Product Development & Support (IPDS) Model Qual. Testing Preliminary Design Detailed Design Testing Rework Phase 1 Pre-Concept Phase 2 Concept Phase 3 Product Definition Phase 4 Detailed Design Phase 5 Fabrication, Assembly, Test & Readiness Phase 6 Initial Delivery, Support, and Improvement

9 Customer Need Conceptual Design Fab & Assembly Dev. Testing ProductionDelivery and Support IPDS Model with Major Deliverables Qual. Testing Preliminary Design Detailed Design Testing Rework Phase 1 Pre-Concept Phase 2 Concept Phase 3 Product Definition Phase 4 Detailed Design Phase 5 Fabrication, Assembly, Test & Readiness Phase 6 Initial Delivery, Support, and Improvement Proposal Requirements Sketches Trade Studies Solid Model Trade Studies Detailed Drawings Specifications Qualified Prototype Production Drawings Production Units Support Resources

10 Customer Need Conceptual Design Fab & Assembly Dev. Testing ProductionDelivery and Support Integrated Product Development & Support (IPDS) Qual. Testing Preliminary Design Detailed Design Testing Rework Phase 1 Pre-Concept Phase 2 Concept Phase 3 Product Definition Phase 4 Detailed Design Phase 5 Fabrication, Assembly, Test & Readiness Phase 6 Initial Delivery, Support, and Improvement Proposal Requirements Sketches Trade Studies Solid Model Trade Studies Detailed Drawings Specifications Qualified Prototype Production Drawings Production Units Support Resources

11 Customer Need Conceptual Design Fab & Assembly Dev. Testing ProductionDelivery and Support The Concept of Commercialization Qual. Testing Preliminary Design Detailed Design Testing Rework Phase 1 Pre-Concept Phase 2 Concept Phase 3 Product Definition Phase 4 Detailed Design Phase 5 Fabrication, Assembly, Test & Readiness Phase 6 Initial Delivery, Support, and Improvement Proposal Requirements Sketches Trade Studies Solid Model Trade Studies Detailed Drawings Specifications Qualified Prototype Production Drawings Production Units Support Resources Commercialization Proof-of-Concept

12 -Customer Needs - Opportunity Assessment -Opportunity ID - Decision to Pursue Phase 1 – Pre-Concept Customer Input -Bus & Pgm Plans - Risk Abatement -Conceptual Design - Proposal Phase 2 – Concept -Detailed Plans - Detailed Layouts -Trade Studies - PDR Phase 3 – Product Definition/Process Development -Design Definition - Key Characteristics -Manufacturing Definition - CDR Phase 4 – Detailed Design -Hardware Fab - Production Readiness -Development Testing - Qualification Testing Phase 5 – Fabrication, Assembly, Test & Readiness -Manufacturing - Problem Resolution -Customer Support - Customer Data Phase 6 – Initial Delivery, Support, and Improvement Customer Satisfaction

IPDS Key Points Life Cycle of Project in Six Phases Each Phase has Exit Criteria Phases can Overlap for Fast Cycle Time Integrated with a Multi-functional Team Program Kickoff is Key Setting the Vision Input from all Team Members

Design Problems are not Textbook

Design Encompasses Many Activities

Design follows “Controlled Convergence”

Product Development Summary Product Development is … A primary engineering function. A primary business process. Both design and implementation.

Product Development Summary Integrated Product Development is… State-of-the-art, generic approach. Factors all requirements into the design early. Uses a multifunctional team to integrate.

Product Development Summary Integrated Product Development and Support (IPDS) is… Specific process developed by AlliedSignal. A six-phased approach that features Exit criteria for each phase Ability to overlap phases to achieve Fast Cycle Time Use of a multi-functional team Detailed procedures and deliverables for each phase.

Areas Where Students Have Trouble Using a FMEA and Requirements to drive detailed analyses Using a simplified model to evaluate trades Integrating component tests early in design process Using simple equations to validate more detailed models Learning to bound the problem

Areas Where Students Have Trouble Establishing Need through a “Voice of the Customer” process Translating VOC into measurable engineering requirements Creating an expanded requirements list Establishing a method to verify each engineering requirement Performing trade studies Understanding the distinction between features and benefits

Example Project Non-Lethal Stopping Device Home Land Security Small Business Innovative Research (SBIR) by Engineering Sciences Analysis Corp. (ESA) SQUID Example.ppt

S afe Q uick U ndercarriage I mmobilization D evice Stored Configuration 14-inch Diameter 4-inches high Less than 50 lbs DOT approved All-Weather Capability Rugged Construction Hi-Temperature Resistant

Overall Schedule Manufacture Product/ Customer Support Logistics Preliminary Design Review (PDR) Critical Design Review (CDR) Validation Test Report/ Review VOC Technology Assessments Development Concepts Concept Definition Phase III SBIR Phase II SBIR Phase I Proven Feasibility - 6mos DHS Prototype SQUID - 24mos Stops representative vehicle SQUID to Mkt 12-18mos after Phase II

Problem Formulation Identify and Characterize Problem Voice of Customer Requirements

Current methods are ineffective The SQUID is the solution to these problems Problem and Opportunity Officer proximity is hazardous Vehicle proximity is hazardous stats - one officer killed every 11 weeks as a result of pursuit Collateral damage - 42% of persons killed or injured are innocent bystanders

VOC Overview Users Police departments Sheriffs’ offices Border Patrol DPS/Highway Patrol DoD/National Guard

Phase I - Requirements DHS Solicitation – Develop new vehicle stopping technologies / techniques –Compact, Lightweight, easily transportable & Deployable Weigh less than 150 lbs –Inexpensive & Safe –Deployable by ground-based personnel or helicopter (air assets) –Stop a 5,000 lb vehicle 50 MPH – Off-road 120 MPH – Hard Surface Complete stop within 500 ft from initial engagement Incapacitate for 30 min or more

Concept Design Abstract Embodiments Proof-of-Concept Testing Evaluation and Selection Verify there are no “Show Stoppers” – Analysis – Testing Conceptual Design Definition

Concept Design Candidate Abstract Embodiments Stop-Stick Variant Net Variant Axle Wrap

Baseline Concept Functional Block Diagram

Baseline Concept Functional Block Diagram Identified basic physics to be employed Indicated potential “show stoppers” that guided analysis and testing tasks Basic Principle: Straps absorb kinetic energy Redesign: Controlled skid absorbs kinetic energy

Proof-of-Concept Test Stand

Proof-of-Concept Testing Example Secondary Tendrils Launch –Ensnare rotating component –Leader pulls in secondary net Tendril Windings

Gas Generator Pressure Volume Pressure boundary Winding Cavity Frangible top & bottom Gas Generator Pressure Volume Pressure boundary Winding Cavity Frangible sides Gas Generator Pressure Volume Pressure channel Directional Ball Valve Projectile / Plugs Concept 1 Concept 2 Concept 3 Packaging Concept Study

Key Components Frangible Balls & Adhesives Tendril Windings Activation Electronics Straps wrapped around perimeter Gas Generator CAD D rawing of Baseline Concept

Phase 1 Program Schedule & Deliverables

Configuration Design Functional Block Diagram Component Trade Studies Bench Testing Component Analyses Evaluation and Selection Baseline Configuration Design Definition

Phase 2 Goals Prototype works – stops Durango SUV Production design – meets DTC target Commercialization Plan – MOU with a manufacturer – Patent – Phase 3 Plan

Component Testing System Testing Preliminary Design Detailed Design Fab/Test Hi-Spd Testing Hi-Spd Test Design-to-Cost Deliver DHS Test Prototype Deliver Final Report Program Management and Commercialization Planning Monthly Progress Reports Overall Phase 2 Schedule

41 Functional Block Diagram (FBD) created as part of the Failure Modes and Effects Analysis process Functional Block Diagram

Configuration Trade Studies Outer Strap Material (6) Twaron Nylon Deployment (2) Warm Gas CO2 Cartridge Housing Connection (3) Syringe Nipple Event 1 Barbs (6) Roofing Nail Drywall Screw Bladder (8) Polyolefin Silicone Strap Configuration (3) Accordion Party Favor Barb Attachment (4) Grommets Clip-on Unfurl Pressure (Range) 350 psi psi Barb Orientation (5) Elastic Foam Weighted Base Sticky Substance (7) Glissopal (PIB) Carbotac (Acrylic) Firing Mechanism (2) 22 Ca Primer Shell Warm gas Muzzle Inclination (Range) Vertical Only Multiple angles 30º-90º Event 2 IR Sensor (3) Optek Keyence Electronics Squib Circuit (2) SCR SCR/Relay Delay Control (2) DIP switches Rotary Material (2) Aluminum Steel/Plastic Housing Trade Study (How many studied) Primary choice is boxed Secondary choice Design Area Legend

Parametric Design Models – Performance – Sizing – Cost Optimization Studies Subsystem Testing Evaluation and Selection Baseline Preliminary Design Definition

Parametric Design Model

Parametric Design Example Truck Weight, 1000s lbm Required Strap Strength, 1000s lbf Skid Distance, ft Strap Strength Skid Distance LEGEND * Initial Speed of Vehicles = 50 mph

Design-to-Cost (DTC) Analysis

Prototype Development

Movie

Detailed Design Phase 3 Activity Emphasis on Commercialization Prototype Detailed Design Package Prototype Build and Test Program Detailed Design for Production

Project Management Project Plan Weekly Team Meetings Metrics –Schedule –Budget –Performance Focus on Deliverables

Work Breakdown Structure (WBS)

Phase II Program: On Schedule; On Budget Six-Month Summary Budget$162,454 Earned Value$182,454 Actual$181,849 Variance: Ahead on Spool Launch * Includes Six-Month Review and SFR Milestones as Completed

SWOT Analysis Business Strategy 1.Exec Summary 2.Company Summary 3.Products and Services 4.Market Analysis 5.Strategy and Implementation 6.Management 7.Financial Plan ESA Business Plan Commercialization Strategy SWOT Analysis Market Study Core Competencies Analysis Benchmark MER Corp. 1.Exec Summary 2.Company Summary 3.Describe Product 4.User Profile and Market Size 5.Potential Competition 6.Competitive Advantages 7.Marketing Strategy 8.Proposed Distribution Channels 9.Financing needs and sources 10.Financial Projections Commercialization Plan SQUID Commercialization Plan

Jan Feb Mar Apr May Jun 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q SBIR Phase 1: Demonstrate Feasibility of Concepts ($100K) SBIR II Demo Functionality SBIR III Commercialize $750K $0 P ASU Technopolis: Launch Pad -Coaching and 1-hour experts review -15-minute storyboard presentation ASU Mgt 450 Team: Research Project SurveyID Potential Customers ID Potential Competitors Entry/Exit Barriers Final Report/ Commercialization plan Opportunity Technology/Product Customers Market Competitors Operations Alliances Mgt Team Financials Strategic Issues ASU Technopolis Presentation Storyboards SWOT Analysis Business Strategy 1.Exec Summary 2.Company Summary 3.Products and Services 4.Market Analysis 5.Strategy and Implementation 6.Management 7.Financial Plan ESA Business Plan 2-Page Commercialization Strategy for SBIR II Proposal -What is the first product that this Technology will go into? -Who will be your customers, and what is your estimate of market size? -How much $s will need to take to market and how will it be raised? -Does your company contain marketing expertise or how will you get it? -Who are competitors and what price/quality advantages do you have? Commercialization Strategy SWOT Analysis SQUID Description SQUID Development Product Features Sales Projection and Pricing Talley Industries -Cost Estimates -Factory capital needs FINANCIAL PRO FORMA -Sales Projection -Price -Cost of Goods Sold -G&A and Selling Costs -Taxes -Investment Costs -Depreciation -Profit -Breakeven analysis -ROI Financing & Marketing Expert Advice MGT 450 Team Research Questions Is the strategy of growing into a manufacturing company the best approach for ESA? What is the best mechanism to bring this product to market— JV, merger, VC, LOC, etc.? What are the end user require- ments for the product? How can ESA stay connected with potential end-users during the SBIR phases? What is the market in terms of size, segmentation, competition, entry/exit barriers, etc. What are the costs associated with developing, commercializing, and producing the product? What are the projected sales volume, revenue stream, and profit stream for the product? What is the proper Figure of Merit to compare this opportunity with other ones ESA could pursue? Literature Review Roadmap for ESA SBIR: Non-Lethal Vehicle Stopping Technology Benchmark MER Corp. 1.Exec Summary 2.Company Summary 3.Describe Product 4.User Profile and Market Size 5.Potential Competition 6.Competitive Advantages 7.Marketing Strategy 8.Proposed Distribution Channels 9.Financing needs and sources 10.Financial Projections Non-Lethal Stopping Technology Commercialization Plan

Homework Due Session 3 Review slides for sessions 1, 2, 3 and 4 to prepare for quiz during Session 4 HW1: Investigate some solar projects, pick one and identify input for each of the bubbles given in the generalized commercialization plan chart.