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This page provides
additional information to better understand the capabilities of the CERTES
GROUP. Included here is a short white paper on Product
Lifecycle Management and a few case studies.
Case
Studies
"e-Services" " Internet " "
Software " " Systems "
Article
on the founding of TENET and the design of the TENET 210 computer
"Starting TENET,
Full Version"
Product Lifecycle Management (PLM)
INTRODUCTION
Organizational stress and
rapid change brought on by broader product lines and increasing competition,
complexity, and customer expectations have caused many companies to become
bogged down by long, painful product cycles that fail to meet goals. Some
industry sources estimate that product development project failures are running
as high as 50%.
The bottom line impact of
these failures can be staggering. Industry sources estimate poor quality costs
the average US manufacturer 15-20% of sales. Studies show being late to market
by six months reduces the five-year profits of a product as much as 33%; being
over budget by 50% with on-time delivery, however, reduces profits less than
4%. How is your team doing in coping with these conditions? Are your development
teams and projects characterized by any of the following conditions?
- Lack of competitive and
customer information paralyzes decision-making.
- Projects are started
prematurely with only a very fuzzy idea of the desired outcome.
- There are no clear goals for
determining if the project is successful.
- The ultimate customer cannot be
identified and is not adequately represented in the front-end process.
- Surprises when important tasks
are forgotten or not identified.
- Miscommunication - "Nobody
told me.", "What do you mean? That's not what we agreed
to.".
- Marketing, product development,
manufacturing, and the customer have different, conflicting agendas.
- Communications among
distributed development teams is ineffective.
- Adversarial we/they relationships,
finger pointing, blame, and lack of cooperation.
- Lack of visibility on cost of
goods, expenses and schedules.
- Buying and integrating quick
solutions costs more and takes longer than expected.
- Sales and profits short of
goals due to late, cancelled or prematurely announced products.
- Quality, service, support,
feature, or performance failures causing customer defections.
- Products are inconsistent with
company strengths and strategy.
- Lost momentum due to low morale
and the loss of key people.
- The product is forced out of
the developers into the hands of the customer with inadequate testing,
training and support.
You are not alone if you
are encountering some of these problems. We have seen various combinations of
these characteristics in many companies. These problems do not need to be
overwhelming. There are techniques and approaches that are quite effective in
providing workable solutions to these problems. They can be readily adapted to
a specific situation and do not need to incur a lot of overhead.
WHAT
IS NEEDED
Your company needs the
certainty of attaining marketing, financial and technical goals with its
product programs. Individuals contributing to the programs need experiences
they would willingly repeat on future programs - autonomy and freedom from
bureaucracy, cooperation, communications, support, flexibility to make rapid
mid-course corrections to meet goals, and the satisfaction of winning.
Real-world experiences with
start-up, growth and transitional organizations have taught us a lot about what
it takes to produce successful products. Working harder is only part of the
answer. It is also necessary to work smarter, and this requires a company wide
way of thinking, behaving, and executing. Some characteristics of 'working
smart' are:
- Products are market driven -
there is a clear vision of the customer and his requirements. If a
customer cannot be identified, the project is not ready for development.
- Customers, direct and indirect,
are part of the team from the beginning. Everyone understands that their
output is directed to a customer.
- Component level thinking is
replaced with product level thinking, as all activities affecting the
success of the product in the customer's hands are considered.
- Strategic information is
gathered on competitors, technology, standards, and regulatory trends that
may impact the project.
- Company vision, strategies, and
tactics are actively communicated to provide a common agenda for
execution.
- Plans throughout the
organization are aligned with the common agenda.
- Planning is heavily weighted
toward the front-end of the cycle. Top management and all affected
departments are involved.
- The project's success factors
are identified. Critical path items are identified and constantly
reviewed. Both are used to focus priorities.
- Communications and reviews are
frequent, timely and relevant. Information and decision meetings record
critical decisions and the reasons why they were made. Summaries are
widely communicated.
- Guidelines are developed to
describe the tasks in each phase of the life cycle and the method for
progressing from one phase to the next. All parties understand what they
are to produce, when they are to produce it, and to whom they are to
deliver it.
- Life cycle processes are
constantly improved to eliminate time consuming steps that contribute no
value, empower decision making close to the affected process, obtain
parallel execution of departments, save time in and smooth hand-offs.
- Lines between departments are
blurred and members cooperate rather than engage in time-consuming, arms
length stimulus-response negotiations.
- Program/project management
methodologies are based on team-member participation, buy-in, measurement
and accountability.
- Goal setting and results
measurement, while the product is developed and after it is shipped, are
established to provide feedback for quick corrective action.
HOW WE CAN
HELP
The CERTES GROUP can help
establish a smart mode of operation. We blend marketing, operational, and
technical management experiences to provide a corporate view to managing all
phases of the life cycle - idea, feasibility, development, introduction, and
maintenance/support. With a global, top management perspective we area able to
work with personnel throughout an organization to review its current needs,
design pragmatic programs to meet those needs, implement them in pilot tests,
and guide them through general deployment. Complementary hands-on experiences
allow us to zoom in on the details and ask the right questions when required.
The programs recommended
are unique to specific circumstances and directed to solving specific problems.
Based on the organization's values, environment, methods and procedures, skill
sets, and the resources available, they will address any and/or all aspects of
the product life cycle - from the product idea to the delivery:
- Defining strategy, markets,
customers, products, distribution channels and support programs
- Determining product function,
compatibility, performance, reliability, support of industry and
regulatory standards, cost of goods and ROI
- Requirements for manufacturing,
support and maintenance
- Development, prototype
construction, testing, pre-production runs and beta shipments
- Training of factory, support
and sales personnel
- Third party management,
documentation, sales/marketing literature and media/promotion materials
- Program and project plans,
on-going sales, delivery and support
- End of life planning and
execution
The client's staff will
generally carry out the implementation. We participate as advisors,
facilitators or hands-on managers to achieve optimal product life cycle
results. Whether formulating and initiating new product programs or
revitalizing existing ones we are dedicated to the client's success, the
success of their people, and to their self-sufficiency.
HOW
THE CLIENT BENEFITS
A properly applied PLM
process uses pragmatic solutions customized to your specific needs to achieve
tangible bottom line results. Adopting a low overhead PLM process can
significantly improve your operations by:
- Improving
communications throughout the organization.
- Defining
the role of each organizational element during each phase of the process
– each knows what they are to deliver and to whom as well as knowing
what they are to receive and from whom.
- Defining
the criteria for moving from one phase to the next – what must be
accomplished and who must approve it has occurred.
- Improving
product and market requirements.
- Improving
product specifications.
- Identifying
the few critical tasks that have maximum schedule impact.
- Identifying
indeterminate tasks that can be schedule killers.
- Eliminating
time consuming handoffs.
- Eliminating
tasks that do not add real value.
- Shortening
development cycles.
- Lowering
development costs.
- Lowering
organizational stress.
- Improving
on-time delivery.
- Increasing
product quality.
- Increasing
customer satisfaction.
- Lowering
maintenance costs.
We can help you achieve the
confidence and certainty of being in control and to develop the skills and
experiences that can be applied to future programs.
Top Of Page
Internet Case Study
Requirement
The founding team's
business model of selling banner ads with the delivery of Yellow Pages was not
meeting goals and the company needed to be re-started with a new business
model.
Solution
CERTES GROUP was engaged to
replace the COO and build the operations team required to execute the new
business plan.
- Developed a plan to implement
new business model.
- Identified source and
negotiated acquisition of new accounting system.
- Identified source and
negotiated acquisition of software to manage multiple-level sales
organization.
- Identified source and
negotiated contract to place Internet servers with co-location service.
- Defined production flow and
tools needed for producing large number of web sites.
- Identified outside resources to
assist with web site production.
- Defined processes for billing
and collections.
- Recruited web site production
staff.
- Recruited staff to support
sales organization.
- Recruited IS staff.
- Assisted with recruiting of
CTO, CFO, VP Marketing, and VP Operations.
- Made monthly presentations at
board meeting.
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Software Case Study
Requirement
The founders of this
privately held software company wanted to change the focus of the company from
custom software development to standard products for popular industry
platforms, but needed assistance in making the transition.
Solution
CERTES GROUP was engaged to
analyze existing sales/marketing teams, define changes to them, and provide the
VP Marketing role.
- Developed re-organization plan
and gained board approval.
- Reconciled revenue with
expenses leading to downsizing.
- Established budgetary and
expense control procedures.
- Improved P&L procedures for
revenue and expense forecasts.
- Surveyed market and identified
need for new, complementary products.
- Initiated relationships to
acquire complementary products and improve time to market over in-house
solutions.
- Replaced ad agency and hired PR
agency to align MARCOM efforts with product direction.
- Improved the communications to
the developer/reseller channel.
- Increased support of European
office to double sales.
- Instituted improved processes
for customer support and their interface to development.
- Resulting changes helped
significantly in positioning the company for sale, thereby allowing the
owners to cash-out.
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e-Services Case Study
Requirement
A domestic company with a
wholly owned offshore subsidiary in SE Asia needed an experienced management
team to secure funding and provide the management skills of running a
distributed, multi-cultural organization.
Solution
CERTES GROUP was engaged by
the Board of Directors to provide the President/COO role, help secure
financing, and move the company out of its startup phase.
- Repositioned products and
services.
- Developed marketing plan with
consistent vocabulary and messages.
- Developed business and
operations plans.
- Developed investor
presentations.
- Determined cost/pricing models
for products and services.
- Consolidated multiple offshore
facilities for greater efficiency, improved recruiting, and greater
customer credibility.
- Developed budgetary procedures
which front-ended GAPP compliant financial reports.
- Developed Product Management
processes.
- Staffed CFO, VP Business
Development, VP Sales, and Director MarCom
positions.
- Made investor and BOD
presentations.
- Established credibility with
funding sources and gained increased commitments for funding.
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Systems Case Study
Requirement
Company had tentative
agreement with partner to build proprietary hardware and software for a secure,
information metering application, but needed additional study before committing
to permanent staffing.
Solution
CERTES GROUP was engaged to
provide Program/Project management services during the incubation period.
- Met with partner to review
business plan, market requirements, and product requirements and
discovered they were inadequate or didn't exist.
- Developed market and product
requirements leading to significant changes in the firmware and software.
- Worked with partner to define
the division of labor and the management of the program that had multiple
development sites around the country.
- Developed project plan.
- Recruited staff to implement
the on-chip and desktop software.
- Worked with partner to define
the back-end transaction processing systems.
- Effort then transitioned to
another partner wanting to use the technology in a DVD based, set-top box
application.
- Worked with them on the
requirements for their business model.
- Developed project plan to meet
these requirements.
- Received large order from them.
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