Founder of ADL Ventures and Fraunhofer at MIT | Creating HardTech Ventures at the Corporate Start-up Interface | Expert in Industrialized Construction & ClimateTech | Senior R&D Leader, Board Member & Serial Entrepreneur
Past failures in the Industrialized Construction (IC) industry have provided invaluable lessons. ????? Here's a comprehensive guide to navigate and succeed based on those experiences: 1?? Business Model ? Leverage Brand for Sales Aggregation: Use your brand strength to consolidate sales and build a market presence. ? Inclusive Leadership: Foster an inclusive leadership style to avoid internal retaliation and promote a collaborative environment. ? Avoid the "Manufactured Housing" Albatross: Steer clear of the stigma associated with manufactured housing to project a distinct identity in the market. 2?? Financing ? Beware of Undercapitalization: Adequate capital is crucial; undercapitalization can be detrimental to project success. ? Budget for High Product A&E Costs: Factor in high costs for product architecture and engineering to avoid financial pitfalls. ? Separate Risk Capital from WIP Funding: Use risk capital judiciously and avoid funding work in progress with it. 3?? Design ? Appeal to "Center Bell Curve" Aesthetics: Design with the majority in mind to cater to a broader market. ? Hire DfM Design Specialists: Bring in specialists who understand Design for Manufacturability (DfM) principles. ? Building System Customization: Utilize a building system that provides customization options for flexibility. 4?? Operations ? Continuous Manufacturing Improvement: Prioritize ongoing improvements in manufacturing discipline to enhance efficiency. ? Prudent Automation Practices: Avoid malpractice in automation; ensure that it aligns with operational needs. ? Yearly Product and Process Evolution: Evolve products and processes annually to stay ahead of market demands. 5?? Marketing ? Leverage Brand for Sales Aggregation (Reiterated): Reiterate the importance of leveraging your brand for consolidating sales. ? Steady Progress and Construction: Adopt a gradual approach, steadily building projects to ensure quality. ? Focus on Core Strengths: Concentrate marketing efforts on the company's core strengths for a targeted market approach. Learning from past setbacks is integral to the success of future endeavors in the Industrialized Construction industry. Implementing these insights can pave the way for a resilient, innovative, and successful IC enterprise. ?? What other lessons do you think are crucial for the success of Industrialized Construction ventures? Ken Semler Gary Fleisher Audree Grubesic Tom Hardiman, Doug Tollin, Daniel Small, Steve Burrows Landon Boucher Christian Beck Christi Powell Robert Johnson Bob Bender Henry Mickleburgh Aarni Heiskanen Angela Gardner Karl Dixon Charles Leahy Ben Hershey Jordie Puchinger Josh Lowe Jason Schroeder John A. Provo Ed Dunn Daniel Pollard Tim Kuntz Gene Meredith Rob Howard Eric Schaefer Etai Timna Paul Richards Dennis McMahon Ken Kunka , Greg Otto Santiago Ossa Gon Zifroni Steven Haylestrom
Charles Leahy
10 个月
Here's what will kill a young company or new technology faster than any other - the business environment. And right now it's not good. I'm hearing it from many and we are seeing it as well. As we all know interest rates are at 20+year highs. Interest rates are SIGNIFICANTLY tied to economic activity in the construction sector, especially the housing sector. As values have leveled out, people can not afford to move unless they are downsizing. And new entrants to the market are significantly held back due to the high rates. Grants and incentives - most often obtained by the well-connected - may be enough to get a business going, but not enough to sustain a poorly implemented idea. - continued in next reply to this note.
Paul Richards
10 个月
Please think of a “PAN” industry approach, thanks “Gordon”for that suggestion, in the UK we are trying to industrialise construction, build long term relationships with the supply chains not short term single projects “thanks Ron” for that, if we enable the supply chain to grow with a “PAN” industries approach we will become far more efficient, in the UK ￡21 Billion pa is lost due to mistakes, weather, and inefficiencies, so mistakes can be reduced, the Weather is The “Thunderhaus,”( had to get that one in) efficiency is the objective. The tech world know what common parts exist through all construction so that data exists, now if industry starts collaborating better we can all benefit from best practice and become more efficient. If forgot to add its estimated ￡40Billion could be saved with a PAN industry approach. That’s where the money is!
Karl Dixon
10 个月
Thanks for sharing
Think broadly about systems and pre-assembly. Lessons can be learned from industrial cabinetry as well.
Jack Maloney
10 个月
I think there is some room for tax breaks for this nascent industry to be able to compete against foreign competitors. Fair tax breaks and assistance from municipalities would help. It can be done, but logistics are very important. Duplicating products,programs, targeted tax credits. Use all the empty space available for this purpose. Have rules and exclusive access to avoid replication.
Cesar Mascorro Jr
10 个月
I love the information here Nolan Browne! I would add the need of sales approach that is based on what the company is looking to accomplish. The sales team needs to understand "WHY" the company exists and "WHY" this product is what is being manufactured. After aligning with the right reasons, that team will devour the knowledge needed to operate at a HIGH LEVEL. SALES and MARKETING...havent seen one business survive without it.
Paul Richards
10 个月
Some great insights, Timing is everything, build awareness, build trust, build relationships, and champion others, the industry needs everyone aiding change. Change is inevitable, can our business model last until such time as change becomes best practice. Couldn’t think of how to end that sentiment. So best practice is all I had.
Chris Lawrence
10 个月
More solid wisdom, thanks Nolan
Santiago Ossa
10 个月
Having a strong customer focus goes a long way. Many of the past failures have focused too strongly on perfecting the technology and the manufacturing (supply) and not enough on understanding the customer. I agree that having a strong marketing strategy and tailoring to the "center of the bell curve" can help secure demand, but if you can't point to your target customer's profile (at least initially), maybe you're still starting too broad. - Keep in mind that many times, especially if you're selling B2B, your paying customer is not your final customer.
Director Customer Experience | MBA in Marketing Data Analytics
10 个月Be curious?? Creating an environment of curiosity sparks learning, innnovation, and industry advancement which is another success lesson.