PPT on 3M Innovation..

Founded in 1902 at Minnesota.

Five businessman set out to mine a mineral deposit for grinding-wheel abrasive.

Deposits proved to be of little value

New 3M company focus on sandpaper products.

The world’s first waterproof sandpaper, which reduced airborne dusts during automobile manufacturing was developed.

Masking Tape was invented- an innovative step toward diversification and the first of many Pressure-Sensitive Tapes.

Technical progress resulted in Cellophane Tape for box sealing and soon hundreds of practical uses were discovered.

Product team comprise technical individuals◦ involve process engineers

ensure the particular product under development could be efficiently made

provided feedback about 3M’s manufacturing capabilities Allowed for technical employees to take

matters in their own hands. Marketing input traditionally came from

current customers and sales representatives. Product developer focus on finding new

angles or twists on the early trends.

Data from sales representative with daily contact with physicians or registered nurses.Gather some 30 nurses biannually from across the nation in a room to obtain reactions to proposed products.Customer evaluation of currently marketed products.Site visits to observe physicians and nurse at work, with the intent to identify unforeseen needs.Data on risk factors for diseases.

Hiring out for market research created too many interfaces between development teams and customers

Information obtained was not necessarily proprietary- anyone could open up a medical textbook to find key risk

factor for diseases.Understanding customer and market needs would not

suffice- customers were somewhere blind about their own needs,

and thus could not provide clues about developing revolutionary products.

They want to product a breakthrough products.◦ Want to find new ways

Identify leading-edge customer needs Develop concepts for breakthrough products and services Customer-focused product development process

Definition◦ Method : An accurately forecasting market opportunity

by taping the expertise base of” lead users.”◦ Lead User

The people whose experience are ahead of the market segment.

They may lead in either target or analogous market. They may be involved with just one or more attributes of the

problems users met.

Purpose◦ unearth product development opportunities.

Advantages:richer and more reliable information.better products and service concepts.acceleration of the product and service development process.

Necessary Elements:supportive managementa cross-disciplinary team of high skilled people.a understanding of the principles of Lead User research.

Compose:4-6 people from marketing and technical department12-15 hours per week spent on the projectproject typically takes 5-6 months

3M wanted to find a breakthrough infection control product. ◦ Surgical drapes

Probe the team with questions◦ What do you know about this market?◦ How important is the skin itself as a source of infection?

Build up an invaluable database of information◦ Know the need for good surgical drapes

Make sense of all the information gathered in stage 1

Prove more effective the current products ◦ easy to apply and remove.

Talk to a wide range of experts◦ veterinary science to medics from MASH.

Turn up other experts◦ Theater make-up business to veterinary sciences to

oceanographers.

Identify important trends in infection control◦ Travel to extreme situation: surgical environments in

developing countries◦ Send product developers to visit potential customers.

Identify lead users◦ Veterinary hospitals, make-up artists in Hollywood

How to pool the combined knowledge and talent to develop product concepts?

Hold a workshop◦ 11 3M personnel and 11 outside experts

Focus on efficacy and cost Four challenges

◦ Lack of structure in many corporate meeting◦ Introverted and extroverted participants

Artist’s idea VS. surgeon’s squash◦ Find ways to marry very creative ideas with technical

feasibility.◦ Lie in navigating a sea of facts

Interplay of Q&A from diverse range keep the process afloat.

Customer preference for the new products

Creation of new growth for division, with the goal of double-digit annual growth.

Boosted global presence of the division.

Higher growth for the rest of 3M through incorporation of proprietary 3M technology with patient protection.

Economic line◦ One size fit all ◦ timesaving◦ Low cost material◦ apply anti-microbial substances to skin

Skin Doctor line◦ Hand-held vacuum mode -mop up surface liquids ◦ Original laying mode

Antimicrobial ‘armor’ product line◦ Consistent with current strategy of reactive infection

control◦ Open the door to new business opportunities(2 billion)

Focus on qualitative probing of the right questions◦ Traditional method focus on quantifiable question and

research

Evolution or revolution?◦ Combining technologies from more than one core areas

is evolution.◦ Lead users method is a revolution

Think about challenging the entire business strategy. Think that we gather and use information differently than

before Provide emotional support