3 Reasons Having an Investor’s Notebook is Important
Until recently, every inventor who wanted a patent had to keep a detailed and witnessed inventor’s log to track the progress of their creations. The idea behind the notebook—besides being a useful written document for the inventor, of course—was that if the patent came into dispute, the inventor could prove that he or she was the first to invent.
But when Congress passed the America Invents Act in 2011, the patent system changed. Instead of being “first-to-invent” the system is now “first-to-file”—meaning that patent rights now go to the first person to file the paperwork (although there are certain protections in place to make sure people aren’t just stealing others’ ideas and then flying through the filing process).
Opinions on this switch are mixed, and why that is is a topic for another post. But the switch was made in order to match patent laws in the rest of world, which are generally based on a first-to-file system.
So, does this mean inventors should abandon the detailed note-keeping that’s been a part of the invention process for centuries? Hardly. Here are three reasons you should hang on to that pen and paper.
- Keeping detailed records is imperative to the design process. Anyone who’s taken an invention through multiple designs knows that without proper notes, it’s very hard to remember what exact changes you’ve made over time. Even if you’re absolutely sure you’ll remember it—maybe you’ve changed something as major and basic as the function of your product—assume that you won’t (and chances are you’ll be right in this assumption).
- If you do end up in legal proceedings, your notebook can provide a record for the courts. One always hopes that legal proceedings and patent disputes won’t ever come into the picture, but if they do, you’ll be in a vastly better position if you have a record of your invention process. Those dates and contacts you kept? They could be invaluable if you have to prove the product is actually yours. In some cases, you may even have to prove that you invented a certain feature of your product.
- You’ll always be ready for your next great idea. There’s a reason the world’s great thinkers, from Mark Twain to Charles Darwin, never left home without a notebook: they never knew when they were going to hit on their next big idea, be it Huckleberry Finn or evolution. Sure, neither Huck Finn nor evolution came together in a single notebook entry—but that just goes to show how vital it is to keep regular notes. One day, you could be reading through your notebook and find that you’ve accidentally cobbled together a great product idea.
Write down everything, from the ideas you have about improving your product to what worked and what didn’t. Always include a date with each entry and write down the names and contact information of people you’ve spoken to about your product, whether they’re friends and family or professionals in the industry your product is destined for. If you’re talking to vendors or others who might become involved in your process, make sure you write down what you talked about and when. If you want to be really careful, you can even audio record the conversations, as long as the person you’re speaking with is ok with it.
This is a rarity—most patents are never challenged—but you’ll want to be prepared. Patent lawsuit costs can run you anywhere from $650,000 to more than $5 million, depending on how much the claim is worth.
It can be a pain to carry around a full-sized notebook—which is why there exist pocket-sized ones. Pick one up and keep it with you at all times. If even that’s too much, take a regular piece of paper, fold it up, and keep that in your pocket. As long as you’ve got a pen with you, you’ll always be prepared for inspiration to strike.
When it comes to selecting an inventor’s notebook, any type is fine except for loose leaf binders. You’ll want one without removable pages, to make sure that your notes stay in chronological order.
And while you may think you’re more of a typing than a writing person, keeping a physical record is always a better idea. Paper notebooks can’t disappear in the event of a computer crash, or when your cell phone falls into a toilet (because, eventually, that’s going to happen to all of us).
If your notebook is full of great ideas that you just need a little help making into realities, contact us at Pivot International. We’d love to help you with whatever you need, from figuring out product design to manufacturing your product. And, of course, we always like comparing notebooks!
A Tribute to Inventors, Part 2: 5 Great Women Inventors
Throughout history, women inventors have worked as hard as their male counterparts at creating new, exciting, and useful products. From beer (which some historians claim was first brewed by Mesopotamian women, according to BuzzFeed), to the medical syringe, to the life raft, inventions by women can be found any and everywhere.
For starters, look around your kitchen—women invented both the dishwasher (Josephine Cochrane) and the modern refrigerator (Florence Parpart), not to mention the hand-cranked ice cream maker (Nancy M. Johnson).
Here are five more great women inventors, and the inventions they gave us.
- Melitta Bentz. We have this wonderful German woman to thank for modern coffee. Near the turn of the 20th century, Bentz created the filter system that coffeemakers use today—her version used thick paper and a pot with holes punched in it, allowing the coffee liquid to drip through the holes while the grounds stayed trapped in the paper. This was a huge improvement on the regular way of brewing coffee by simply boiling grounds. Keurig, Mr. Coffee, Cuisinart — they all owe their basic design to Bentz.
- Katherine Blodgett. The first woman to earn a Ph.D. in Physics at Cambridge University, Blodgett later became a researcher with General Electric in the 1940s. While she contributed research to many different projects, one of her most important inventions was non-reflective glass. Today that glass is used in everything from computer screens to eyeglasses and windshields.
- Grace Hopper. Hopper was a pioneer in computer science, working with Howard Aiken to invent the Mark 1 computer back in 1944. The computer took up a full room and weighed five tons. Later, Hopper worked with a team of researchers who developed one of the world’s first programming languages, COBOL. Hopper was also the first person to coin the term “bug” for a system disruption, although one can’t give her too much credit for creativity—there was an actual bug, a moth, stuck in the computer and causing it to malfunction. Hopper removed the moth, but the term bug stuck.
- Hedy Lamarr. An Austrian film star who emigrated to the United States, in the 1930s and ’40s Lamarr was famous the world over for her beauty. She also, however, co-invented technology to radio-steer a torpedo using technology called frequency hopping. The idea was to create a secret radio signal that couldn’t be intercepted, because it would hop from frequency to frequency. Although Lamarr secured a patent for the idea, when she showed it to the American Navy, they scoffed. Today, frequency hopping is used in all kind of wireless communication, from cordless phones to GPS. Lamarr, sadly, didn’t receive credit or acknowledgement until many years later, and she never received any profit.
- Ada Lovelace. The daughter of the legendary Romantic poet Lord Byron, Ada Lovelace is often called the first computer programmer. Lovelace had an incredibly sharp mathematical mind, and was raised to be a rational, scientific person by her mother, who feared she’d inherit her father’s wildly poetic tendencies. After her marriage in 1835, she met the mathematician Charles Babbage, who was working on designs for what was essentially an early computer (he called it the Analytical Engine). The two struck up a friendship and close working relationship, and Lovelace began studying advanced mathematics herself. Later, she was asked to translate an article on Babbage’s Analytical Engine, which she did—but in addition to the translation, she added her own notes and explanations, which were three times as long as the original article had been. The notes contain what scientists call early computer programs, as well as ideas for what the computer would eventually be used for, like creating music and coding both numbers and letters.
Do you have an invention that will someday be on a list like this? Let Pivot help you take your product from concept to reality with our product design, development, and manufacturing services. Contact us for a consultation today!
A Tribute to Inventors, Part 1: Our Top 5 Lesser-Known Favorites
At Pivot, we love inventors. We love your drive, your ambition, your bold thinking—and we love the fact that you’re able to turn those things into ideas for products that will improve people’s lives.
We know that the road from concept to production can be a long and difficult one. And we also know that it’s almost impossible to travel it alone. That’s why we’re so passionate about helping inventors with services from concept, design for manufacture and assembly, and supply chain management to setting up a business.
In honor of all you do, we’d like to present a list of our favorite top five lesser-known inventors.
Edward Nairne—the eraser
Where would inventors, or any great mind, be without the eraser? Up until Nairne invented the rubber eraser in 1770 (according to popular belief, anyway), people used pieces of bread, bits of sandstone or pumice, or wax to remove marks from paper. So next time you break out a pencil, think of this visionary Englishman.
Robert Yates—the can opener
It’s Yates, another Englishman, whom we can thank for not having to open canned food with a hammer and chisel. Seriously. Back when canned food was patented, in 1820, there was no way to open it other than brute force and a bit of finesse. Yates invented the first can opener in 1855, but the can opener we all know and love didn’t come along until William Lyman created it in 1870. Up until then, can openers were so heavy duty that they mainly stayed in grocery stores.
James Goodfellow—the ATM PIN
Now, this is a guy we can really get behind. With the invention of the PIN in 1966, Goodfellow changed personal finance forever. He had been hired to figure out how to let people take money out their banks on nights and weekends, and it is said that he invented the ATM (although there are two other inventors, John Shepherd-Barron and John D. White, who can claim some credit as well).
Goodfellow did definitely invent the PIN system for verifying identity, matching a four-digit numerical code to an encrypted card. He received royal honors for the invention in 2006.
Jack Clements—the travel coffee cup lid
Without Clements, there’d be a lot more coffee spills in our cars, at work, in department stores—really anywhere you see that ubiquitous white plastic coffee cup lid. Clements was hired by the Solo Cup Co. to figure out how to make it easier to drink coffee while traveling, and he came up with the domed lid that you see on Starbucks cups and many others. The dome was an important innovation, as it helps to reduce the spills you often get with the flat, fold-back lids that preceded Clements’ invention.
Incidentally, the dome also prevents the whipped cream on your gingerbread latte from being totally flattened.
Margaret Knight—the flat-bottomed paper bag
Children everywhere would be bringing their lunches to school in shapeless paper sacks if it weren’t for Margaret Knight. Knight was an employee at a paper bag factory in the 1850s when she came up with the idea for a new and improved paper bag. After realizing how flimsy the typical bag was, she invented a machine that would fold paper and glue it together, creating a bag that was both stronger and could stand up on its own. She created a wooden prototype, and sent it off to a machine shop to be replicated in iron. While it was there, a male employee stole the idea and patented it as his own. But ultimately, justice was served—Knight sued the employee and won, eventually establishing her own paper bag factory.
Of course, these are just a few of the inventors who have improved our daily lives with their creative thinking. Here at Pivot, we’ve been able to help many more. Find out more about the products we’ve helped develop on our portfolio page, and if you have a great idea that you need some help getting to market, contact us!
Three Ways to Fund Your Product Idea
So you’ve got your concept, you’ve done some market research, and you’re ready to start developing your product. The only thing missing: money.
This is where lots of people with great ideas find themselves giving up. Securing funds to help you begin your product development can be daunting—after all, most people feel uncomfortable asking for money, especially because in order to get it, you have to be your own hype man (or woman). That can be a difficult role to step into.
But step into it you must if you want to ever get past the idea phase. Luckily, you don’t necessarily have to beg your family and friends to give you some of their hard-earned cash in order to get the funding you need (although you certainly can). Here are a few of the ways to fund your product development.
Bootstrapping
This is a popular one among entrepreneurs in the know, because with bootstrapping, the only person you’re accountable to is yourself. Bootstrapping involves using your own personal assets to fund your idea, without outside funding from investors. That could be personal savings, lines of equity, or revenue from another business. The idea is to start generating revenue as quickly as possible, so that the business becomes self-sustaining.
The advantage to bootstrapping, as mentioned above, is that you have complete control over how and when to spend those funds (unless, of course, you have a partner). The disadvantage is that you could end up running through your savings without much to show for it. However, according to Investopedia, there are lots of successful businesses that have been launched through bootstrapping, like Mint.com, Apple, and eBay.
If you’re considering bootstrapping, you’ll want to take a clear and realistic look at what your funding needs are and how quickly you want to achieve them. If you’re OK putting some money aside each month for a couple of years until you have what you need, then bootstrapping is probably perfect for you. If your funding needs are relatively small—$8,000 rather than $80,000—that’s another indicator that bootstrapping could work.
A final consideration is how long you expect it to take to get your product to market so it can generate revenue. If it’s a relatively short timeframe, then using your own money might be easier than going through other avenues.
Just remember: nothing is ever guaranteed, so any money you spend you should be prepared to lose.
Crowdfunding
Today, crowdfunding—raising money from individuals via the internet—is practically synonymous with Kickstarter and Indiegogo, two of the best-known crowdfunding platforms. There are several more out there, however, and you should do some research to figure out which one might be best for you.
GoFundMe, for example, is geared more toward causes and personal fundraisers. If you are working on a product with a humanitarian or social purpose—solar water filters for use in Indian villages, for example—you may want to check the site out. Just make sure you are crystal clear in your description of how the funds will be used. The last thing you want is for people to think they’re donating to a cause instead of funding your product.
Kickstarter is one of the top platforms out there, and there are lots of success stories that have come from it. One important characteristic of this site is that if you don’t reach your funding goal, you don’t get to keep any of the money. Indiegogo, on the other hand, has a Flexible Funding option that does allow you to keep any money you earn, even if you don’t meet your goal.
One of the most important precursors to a successful online crowdfunding campaign is to have a thoroughly-researched, well-presented value proposition. If you don’t put in the time to explain very clearly and persuasively why you deserve a stranger’s money, you most likely won’t get it.
And then there’s always the old-fashioned method of crowdfunding: asking your friends and relatives to invest in your idea. Make sure you’ve got the same clear value proposition, and be kind and gracious if they turn you down. If they say yes, keep them informed as you go through your development process.
Angel Investors
They’re called angel investors for a reason: These wealthy individuals are just looking to invest in great ideas that they believe will become profitable in a reasonable amount of time. The amount of the investment varies, but it generally is between $50,000 and $250,000.
Angel investors have come more into the public eye recently, as they’re often involved in startups like social media companies or mobile and tablet apps. This can give the impression that securing an investor is, if not easy, not terribly difficult.
If you decide to try to secure an investor, it’s best to wait until you at least have a functional demo or prototype that you can show him or her. Unless your idea truly is the next big thing—and everyone recognizes it—an angel investor probably won’t want to take the risk.
If you’re ready to start your product development process, Pivot International can help. We handle everything from conceptualizing and product management to prototyping—so you have something to post on your Kickstarter page or show potential investors—and can even help with manufacturing, supply chain management, and business development. Contact us today!
Sources:
https://www.entrepreneurial-insights.com/financing-option-business/
https://www.investopedia.com/articles/investing/082814/companies-succeeded-bootstrapping.asp
Turning Your Dreams into Reality – It’s All About Ambition
The quiet, gentle rocking of the water cradling your boat, coupled with a light breeze in the air and the warm touch of the sun make fishing one of life’s greatest pleasures. With such a serene environment, it’s very easy to enjoy the sport of fishing—until you get home. Once you arrive back home, it’s your duty as a fisherman to skin your fish—otherwise, how will you be able to eat it? For eons, the grueling process of skinning fish has always been the same; that is, until the four-person company Ultimate Fishing Gear contacted us about a revolutionary product idea they had.
Enter the Skinzit. This automated skinning device is a product that we here at Pivot worked together with Ultimate Fishing Gear to develop. Our team of engineers and product development experts located in Kansas City worked together with the company’s owners, Eric and Perry Parks, and investors Chris and Brian Kielian, while another team of ours in Asia also worked on the development of Skinzit. To allow the Ultimate Fishing Gear group to have a hands-on experience with the development of their innovative product, we traveled with them to our experts in Asia so they could see the finished product in person and approve its production.
By the end of the process, we had worked together with Ultimate Fishing Gear to create a truly one-of-a-kind product. The Skinzit is now the easiest way to remove skin and rib bones from fish—plus it produces less waste than any other method of skinning, allowing the user to get at every last edible bit of the fish. But how does the Skinzit work exactly? Watch your Skinzit work in 2 easy steps—the bones go through the first pass, and the skin goes through the second pass, ultimately leaving you with nothing but beautiful fillets from the fish.
It cuts the cleaning process time down by 50%, and being fully automated, the Skinzit is easy to operate, so anyone can use it. It can be recharged simply by plugging it into an AC wall outlet, and thankfully, it’s easy to clean.
Working together with clients through constant, open communication to ensure we have the right idea of what they want and need is important to us. We want to ease the process of manufacturing a new product for both those who are new to and those who are familiar with the process. That’s why, in 1985, we made the decision to go global by opening a procurement office in Taiwan, a manufacturing division in the Philippines in 1989, and a new business facility located in Europe in 2014. Since we are headquartered in the US, but also have multiple locations outside the US, we provide the ease of working with a US company, and the financial affordability product developers look for ina manufacturing partner. Let our engineering and design experts take your ideas and bring them to life. If you’re interested in pursuing a new product but don’t know where to start, contact us today!
Changing Biometric Security Technology with the IDL500
Ensuring proper identity is a key element in the way schools, businesses, and our country ensure safety. Living in the digital age, we’re used to having information at our fingertips, and when it comes to security, that speed and ease of access becomes even more important. We here at Pivot are proud to have worked together with a client to take a product they had already designed, and improve it, creating the IDL500, a mobile computer for everything dealing with ID management, badging, and field-based enrollment requirements.
When the client first came to us, they already had a product designed for these purposes, but with indefinite delivery and indefinite quantity.They needed to look at alternatives for ways they could keep up with the pressing demand for their products. So they turned to us here at Pivot to help them with their problem. What they already had was a Device Master Record (DMR). We took our Oracle Agile Product Lifecycle Management software (PLM) and imported their DMR in order for us to be able to work on the design.
After reviewing the design of their DMR we made suggestions for their throughput and yield, and also showed them that the funding needed in order to manufacture this device with Pivot would decrease dramatically from their current amounts. The client quickly understood that having us help them with their product would greatly benefit them, so we helped them produce a better, more efficient ID management mobile computer.
Although it’s currently not on the market, here are some elements of the IDL500 that we helped develop:
- Ambidextrous one handed use
- Support for ABIS—finger, facial, voice, IRIS
- Geospatial, time, identity data fused
- Full QWERTY 40 keyboard
- Operates on Windows CE6
- Rugged mobile computer
- Links to cloud-based identity services and Edge servers
- Smartcard support: TWIC, CAC, PIV, PIV-I/C, passports, driver’s license
- Application to read, verify, and validate government issued credentials
- Identity services provide powerful backend storage, organization, manipulation, analytics& apps
Pivot International has biometric security technology as one of its specialties. When you’re looking for a partner to help you produce tech for something as vital as ID management or security, you want to ensure you choose a company that has extensive experience working with inventors and companies to bring their product to market, and that has stood the test of time. You want a company that is easy to work with, and that couples affordability with professionalism and expertise. That company is Pivot. With over 40 years in the industry, facilities located globally, and vast experience in the field of biometrics, we are the right choice for anyone looking to develop and manufacture products in the ID management field, the security technology field, or anything else in the realm of biometrics.
Let our engineering and design experts take your ideas and bring them to life. If you’re interested in pursuing a new product but don’t know where to start, contact us today!
The Language of Invention: Explaining Words You Need to Know
Every great innovation begins as an idea. The path from idea to tangible reality, however, can be long and sometimes complicated. Here are a few terms useful in the world of product design and development and ways Pivot International can help you bring your idea from initial concept to the market.
3D printing: a process which creates a physical object using a 3D computer-generated model. A 3D printer can rapidly create components or models from a graphic representation which previously only existed as software. Pivot International uses 3D printing in a number of capacities, including rapid prototyping.
3D rendering: the use of a computer to convert a computer-generated wire frame model into a 3D graphic model. Often used as part of the CAD process. If you’d like to see what your concept will look like before the first prototype is even built, Pivot International can help you create a 3D image to your specifications.
accelerated business model: Pivot International’s business is to take a concept and develop it into finished product. We recognize market circumstances can change quickly and we act accordingly, moving through the design and development phases as quickly as possible without losing the precision, accuracy, and attention to detail you need.
box-build assembly: also known as systems integration, this is assembly work that does not require printed circuit boards. It includes the installation of components and sub-assemblies, the installation of cabling and wires, and the creation of the device’s enclosure. Pivot International can provide this service for you, whether you are creating a prototype or a finished product, or just a proof of concept.
CAD (computer-aided design): software used by artists, architects, engineers, and many others to create detailed 3D images or drawings. It can also be used to create highly precise 2D drawings. Many concepts progress quickly into CAD, because it’s often easier to work with something visible. Pivot International offers CAD technicians and facilities as part of its design process.
CE certification: the CE mark, formerly known as the EC mark, is a mandatory mark for some products sold in the European Union. It signifies compliance with European laws a product needs to follow before it can be manufactured or sold in certain nations. Pivot International can make sure your product passes CE certification.
clean room assembly: assembly of a product in a room virtually free of contaminants, including dust, water vapor droplets, and other particulate matter. Such an environment is necessary for the construction of delicate components like microchips. Pivot International has such facilities and engineers with the knowledge to build in such an environment.
concept drawings: an illustration of a particular idea, generally created before a physical model of any kind has been developed. Often the first step of product development after an idea is developed. Pivot International can provide artists to create concept art to your specification.
contract manufacturing: outsourcing to other companies for components or products. These are some of the services Pivot International provides.
CSA: CSA International (Canadian Standards Association), a member of the CSA Group, is a provider of product testing and certification services for electrical, mechanical, plumbing, gas and a variety of other products. Recognized in the U.S., Canada and around the world, CSA’s marks appear on billions of products worldwide.
device master record: called DMR for short, this is the collected records necessary to create and manufacture a product, like the drawings, schematics, and specifications. Pivot International can assist you in developing all the materials that should be a part of your DMR.
electrical engineering: engineering involving the application of electricity, electronics, and electromagnetism. Pivot International can provide electrical engineers to build your creation, whether prototype, proof of concept, or finished product.
FCC: the Federal Communications Commission is an independent agency of the United States government, which regulates all communications by radio, wire, television, cable, and satellite in the U.S., including U.S. territories. If a product involves any of the previously mentioned fields in the United States, it has to comply with FCC standards. Pivot International can assist you in ensuring your product does not violate FCC regulations.
FDA: the Food and Drug Administration, the regulatory body for food and drug production and distribution in the United States. Anything meant to be ingested must first pass FDA approval before it can go to market. Pivot International’s manufacturing facilities are FDA registered.
high-volume production: basically mass-production, the process of building a large number of items rapidly. Generally, these items are all the same, or very similar in construction and appearance. Pivot International has mass-production facilities for the creation of both components or finished products.
IEC: the International Electrotechnical Commission creates international standards for certain technological products. Pivot International can build your product so it follows IEC standards.
industrial design: or just ID, is a professional service which creates products and systems per user specification; one of the many services Pivot International provides.
integrated systems: an engineering term regarding the process of making different subsystems of a product into a functioning unified system. Pivot International’s engineers will work with you so your project comes together just as you envisioned it.
ISO 13485 certification: ISO stands for International Organization for Standardization. Any medical devices designed and manufactured must receive ISO 13485 certification. Pivot International can help you comply with these standards if you have a medical device in mind.
ISO 9001 certification: Quality management standards from the International Organization for Standardization. If you want a product to have a global reach, it will need ISO certification. Pivot International can help you achieve the required standards.
looks-like model: a non-working model of your concept that looks and feels like the finished item. Pivot International can create a looks-like model to your specification.
manufacturing: to make something on a large scale using machinery, or to invent or fabricate. These concepts are at the core of Pivot International.
mechanical assembly: the act of putting a product together for a manufacturer. Pivot International has skilled mechanical assemblers who can build complex items, including clean room manufacturing, or items which require special certification or requirement standards.
printed circuit board assemblies (PCBA): a printed circuit board serves both as mechanical support and an electronic connection to various components within a device. They can be multi-layered to pack more components into a smaller space. Engineers at Pivot International can build PCBAs into your devices as needed.
product design: the creation of a new product meant to go to the market. The term encompasses the entire creation of a product, from its initial conception to the point where it can be declared as finished. Pivot International can help you every step of the way.
product development: the process of designing and creating a new product. This term covers all the technical details of creating a product, including the methods used to manufacture and test it. Pivot International provides the tools an inventor needs to develop a product from concept to market.
proof of concept: a proof of concept (POC) a working model of a product or component created to demonstrate a certain idea will work in the real world, as opposed to just on paper. Pivot International can help you create a proof of concept model, which is often one of the first steps to attracting investors.
prototype: the demonstration model of a new item or system. The not quite ready for market model of your idea, a prototype is often used as a test to work out any flaws that may not have been immediately apparent during earlier phases of development. Pivot International can build a prototype of your device once you reach that stage.
rapid prototyping: methods used to quickly create a working model, usually from 3D images build with CAD software, and utilizing a 3D printer to quickly build components. All of these techniques, and the equipment and personnel necessary to utilize them, are available through Pivot International.
RoHS: the Restriction of Hazardous Substances. A restriction in the use of certain substances in electrical and electronic equipment in the European Union. If you plan to sell your product in the EU, Pivot International can ensure it follows RoHS standards.
software development: programming, documentation, testing, and refining of applications. Pivot International has teams of software developers on staff who can assist you with any software your concept requires.
specification: the details of a specific product, including its components, any physical dimensions, and other notes pertinent to its design. Pivot International works to the specifications provided by the client.
turnkey solution: a system easily introduced into current practices. If your product offers a turnkey solution, it can be smoothly inserted into your already existing routine. We will work with you to create a turnkey solution, if that is among your goals.
TÜV: In German, it stands for Technischer Überwachungs-Verein, which is Technical Inspection Association in English. These independent consultants inspect facilities for safety and provide various ISO certifications. Pivot International can assist you with compliance with TÜV standards.
UL: the Underwriters Laboratories began in the United States, but their standards are observed around the world. They have been analyzing the safety of new products for well over 100 years. Pivot International can assist you during the design process and make sure your device will pass UL testing.
If you’d like more information on any aspect of bringing your new product idea to market, don’t hesitate to give us a call. We’d be more than happy to discuss the product development and manufacturing processes with you. Contact us today!
5 Simple Methods to Reduce Your Production Costs
Unfortunately, bringing an invention to market is always going to cost you money. How much money is inherently subjective and can be negotiated, but there are certain costs that will need to be paid no matter what. You should always expect costs to accrue from design, development, and tooling needs, but it’s also necessary to include costs for initial supply orders as well. With all the different ways you’ll be spending your money, it is vital that you know the various cost reduction strategies available so you can keep more dollar bills in your pocket. Here at Pivot, we help clients perform cost reductions on their products all the time. So we decided to create a list of 5 simple methods to reduce your production costs.
Reduction in Cost of Materials
One of your biggest expenses when creating any invention will be the cost of your materials. While you might think that some materials are vital to your product, take a second to step back and look at all the necessary factors in your design. The way your materials are positioned in the marketplace can change day by day due to supply and demand, or even politics. Do your research beforehand and keep an eye on the marketplace for shifting prices on materials, which can lead to massive cost reductions for your product. You can also seek out bargain buys for materials, long term supply agreements, or even try bartering tricks such as trading your finished goods for those raw materials.
Reduction in Cost of Production Location
Finding a location for the production of your product can be a pain. This can especially be the case when you don’t live in the area, there isn’t viable communication with the production facility, and you are handling all of the communication on your own. That’s why partnering with a company who owns its own production facilities globally can exponentially speed the process and allow for a larger production cost reduction. Luckily for you, we do all of the above, from freeing you from the stress of supply chain management to finding you the best deals with our global manufacturing network.
Reduction in Cost of Design
Sometimes you might think that your product truly needs that extra little feature – but that one extra feature could cost you thousands of dollars in production costs. What did consumers enjoy about your product when you had it tested? What features were they confused by? Balance your choices based only on what you’ll really need to keep consumers happy.
Reduction in Cost of Prototyping
Prototyping is extremely important when creating a proof of concept for investors, but becoming stuck within the never-ending cycle of re-prototyping and re-design can be harmful to your company. The process can take time which could have been used to get your idea to market more quickly, ultimately reducing your costs across the board.
In the engineering phase, time will literally equal money, so while it is not a good idea to rush your product to market, it can be helpful to expedite the prototyping phase by using virtual models (Computer Aided Design). Not only will this allow you to show a viable proof of concept, but it can help your engineers and supply chain speed up the process. However, keep in mind that there are some investors who would love to see a physical model, so do your research beforehand to determine what is best for your product. Check out our eBook on prototyping while you’re at it to get a better idea on what you might need for your invention!
JIT Production
While the JIT (just-in-time) production system has received criticism in recent years, it still remains one of the most effective ways to cut costs for your company. By utilizing “just in time” production, a company is able to cut carrying and inventory surplus costs by only ordering what is essential and necessary before the product goes to market. However, keep in mind that this will add heavy pressure on your suppliers, so it is highly suggested to discuss capabilities with them beforehand to make your needs clear and maintain a strong relationship.
Interested in finding out more about what Pivot can do to reduce the cost of your product? Contact us today, whether you’re just beginning the design process or already have a finished product.
The Benefits of Starting Your Own Business vs. Licensing Your New Product
According to the SBA (Small Business Association), approximately 600,000 new businesses are started each year. Even with all the associated risk and the hard work, there’s something that draws people toward starting their own small business. There must be some great advantages in starting up your own company, as opposed to working for someone else or licensing your product for someone else to manage.
It’s not easy to start up your own business. There are a thousand different details to consider, from production of your product, to marketing, to fees and regulations. But for thousands upon thousands of entrepreneurs, the benefits far outweigh the difficulties. When you run your own business, you’re doing what you want to do, following your passion instead of someone else’s. Once your business is established, you can choose your hours, spending those important times in your life with your family instead of on the job. Whatever happens, it’s your choice.
Still, some people look at the apparently daunting task of starting up their own business and choose instead to license their creation to a larger concern, so their only job from that point is to collect royalties. In many cases, these entrepreneurs feel they don’t have the ability to build their creation on their own, unaware of the possibilities of outsourcing their production and distribution to an outside party. Don’t let your lack of a team of engineers or a manufacturing plant force you into feeling like licensing is the only choice you have. Maintaining control of your product can do far more for you and your creation than simply reaping royalties.
All the Risk — But All the Rewards
When you run your own business, all the burdens are on you, but your product is yours. If your creation has great success, the benefits will belong completely to you. When you license your product to someone else, you give up the risk, but you also lose creative control, and often a lot of the profit. Those willing to take the plunge into the world of business may very well see new possibilities they could not even imagine just a few short months earlier.
Your Creation Remains Yours
It’s very likely you’re going to spend many hours bringing your product to market and selling it, working with a good team to get things just right. It’s hard work, but it’s not going to feel like work, because you’ll be doing something you love, taking a dream of yours and making it into reality. When you have an idea to make it better, you can just do it without consulting anyone else. It’s yours, to do with as you please.
The Customer Connection
Licensing separates you from your product in every way, including most forms of customer feedback. When your product belongs solely to you, not only can you deal directly with clients who love what you’ve made, you can choose not to do business with clients whose business practices or personalities clash with your own.
Community Building
Eventually (or even from the start), you may want to have employees, and those employees will be taken from your local community. You’ve become a job creator, someone who’s giving back to the community. Even if your business is essentially a one-person endeavor, whatever you create is obviously something useful, because no one would buy it otherwise.
The Perils of Licensing
There are benefits to licensing, to be sure, but most of them come from the loss of control you suffer from giving up the rights to your product. Just remember, once you sign the contract, the company that’s licensed your product may not even put it on the market. That first payment may be all you ever see and you’re back to the drawing board to create something new. And if they do produce it, they may not properly produce it or distribute it.
Instead of getting paid directly from the customers who love your product, you’ll have to wait for royalties, which are only a percentage of the profit you would have otherwise received. That means the sales will have to be particularly good for you to make any real money. Good or bad, royalties don’t last forever. The typical length is about three years, which means even if your licensed product does extraordinarily well, you won’t be making money off it forever.
Easier Than You Think
Starting with just a great idea, it can look like an impossible task to get a product from conception to reality. Fortunately, you don’t have to do it alone. Great ideas deserve a shot at success and the right outsourcing options can provide that shot, allowing any inventor or entrepreneur to achieve his or her dream and make the world a better place on their own terms. Let Pivot International help you bring your product to life. Request your free consultation today.
https://www.nolo.com/legal-encyclopedia/evaluating-business-idea-faq-29068-4.html
https://www.inc.com/guides/201101/top-10-reasons-to-run-your-own-business.html
https://smallbusiness.chron.com/information-small-business-startups-2491.html
4 Things to Remember About Product Support
A great customer support process is an integral part of excellent customer service. If something goes wrong with your product, you need to be able to deal with the problem effectively and efficiently. However, product support, and customer service as a whole, often isn’t given the priority it should receive.
“Entrepreneurs often rank customer support below engineering, sales, or marketing when it is really of the utmost importance for any growing business or brand,” explained entrepreneurs Chris Herbert and Christian Smith. “Through your customer-support channel, clients are actively telling you how they want your product to work or where you could improve your business.”
How can you develop excellent product support? Here are the four things you need to remember when designing and developing support for your product:
1. Start out with email
When you’re just getting started, it is best to keep support strictly to email. Adding voice communication is an excellent personal touch, but it increases the amount of time required to resolve the problem and offer support. With email, it is much easier to manage the average time required to respond to each ticket, while also maintaining quality. Once you are more established, you can always add other forms of support communication.
2. Use a customer support system
There are tons of great customer support systems out there, such as Desk and Zendesk. These systems are incredibly affordable and make it quite easy to organize support tickets and track customers’ support history.
3. Set metrics
Make sure you are keeping track of important support metrics, such as average time spent per support ticket and the number of customers reporting each type of problem.
“By defining the key metrics for your support team, you can easily monitor how efficiently and effectively your team is working,” Herbert and Smith explained. “Our team found that measuring the average time per ticket not only makes sure that we are maximizing our support team’s efficiency but encourages staff to find smarter ways to solve customers’ problems and improve the product.”
4. Train and coach your support team continuously
“Companies with great service routinely spend 3 percent to 5 percent of salaries training team members — experienced as well as new,” explained Martin Zwilling, an executive and veteran startup mentor. “Leaders have found that keeping everyone on top of changes in technology, competition, and customer demands is critical to success. Service people need this as required team support.”
As part of this training, you will also want to empower your team members to address customer needs that go beyond just basic problems or fault problems.
“Involve team members in the fix to customer problems, as well as fixing the faulty process causing the problems. Empower them to look beyond simple rules for solutions, not out of habit, routine, or fear,” Zwilling added.
Pivot International is a product design, development, and manufacturing firm with strengths in software development, electrical engineering, mechanical engineering, and industrial design. If you are interested in engineering a new product or updating an existing product, contact us at 1-877-206-5001 or request your free consultation today.
