Tuesday, July 31, 2018

Business Plans


The business plan for companies needs to be done in real-time. It starts with an honest description of company capabilities and an accurate assessment of customer needs.

Sales Rep feedback and Market Research need to drive this plan based on the realities of the marketplace in real-time.  Addressing customer needs with product improvements and new product development can take time. Therefore, an accurate assessment of expected sales and expected duration of the demand is required.  Not every opportunity can be seized.

Sales, Market Research and Engineering need daily contact. Engineering may not be able to meet the product specifications required for the improvement or new design. Engineering performance is critical. All of this needs financial analysis and the management of these companies need good, solid business judgment to assess all the inputs.

The development of the hybrid engine for the Toyota Prius is the best example of “game changing” engineering aimed at a continual customer demand. Toyota unveiled the Prius in Japan in October 1997, two months ahead of schedule, and it went on sale that December. The total cost of development was an estimated $1 billion. The Prius was 20 years in the making and was a long-term development project where timing paid off.

Norb Leahy, Dunwoody GA Tea Party Leader  

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