Case Study

MIDIOR works with a variety of clients specializing in electro-mechanical and industrial products and services. These firms develop highly engineered products, many of which are components of bigger products or systems. Today, the challenge for industrial products firms is achieving revenue growth in a climate of tight cost control, flat or shrinking markets, and aggressive global competition. We bring proven processes for improving the outcome of new product development to those firms looking for growth in mature markets.

Products are changing
The very nature of product development and management is changing for companies that make industrial products and services. Software and systems tools are now being applied to what was once a piece of iron on the manufacturing floor, thereby changing the definition of the product and demanding a different management process.

One of our clients, a manufacturer of large cutting and spreading machines, embedded software into what was previously a manual process to make adjustments to measurements. With a software interface to the product and a database of adjustment parameters delivered as a subscription service to customers, the product development and management discipline looked like something found in high tech companies. Product development methodologies such as StageGate that are popular with manufacturing firms were not designed to produce this changed manifestation of the product. MIDIOR helps our industrial products clients tune their existing product development processes and complement them with a product management discipline that is unique to their requirements. More often than not, this results in the identification of new growth opportunities, increased profitability, and reduced cycle time for decisions about new products.

Risk can be a good thing
As with many management systems, most new product development methodologies are mechanisms for identifying and reducing risk. That's not a bad concept, but it certainly doesn't encourage innovation or change. On the contrary, it tends to mold every project into a common profile and we believe that every project is unique. We agree with someone who once said, “the objective of most management systems is to reduce all of the risk in a new product until there is no opportunity left”. As we see it, risk should be compensated, not avoided at all cost. The companies that learn to capitalize on more of the non-intuitive opportunities are the ones that will continue to find growth.

The MIDIOR approach for industrial products and services has been demonstrated in a number of fields including manufacturing automation, specialty materials, paper and packaging, among others. Companies looking for a fresh approach with the potential for breakthrough results represent the typical MIDIOR client in this industry. Those looking to maintain the status quo need not apply.

Case Study