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BMNT Partners Year-In-Review 2017

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Mission Results for 2017 at BMNT Partners.

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BMNT Partners Year-In-Review 2017

  1. 1. MISSION RESULTS ™ 2017 HACKING FOR DEFENSE
  2. 2. BMNT'S BREAKTHROUGH YEAR… Over the past year we’ve leveraged insights gleaned from client engagements, industry experts and internal experiments to mature our innovation methodology to a new level. Using what we learned in building Hacking for Defense™ (H4D™), we’ve now connected a number of activities to create an innovation pipeline that we call Hacking for X® (H4X®). H4X® is a disciplined, evidence-based, data-driven process for connecting innovation activities into an accountable system that rapidly delivers solutions to hard problems. Through partnerships with elite academic institutions such as Stanford, Columbia, and Georgetown, innovative military organizations like DIUx, MD5, the National Geospatial- Intelligence Agency (NGA), the Office of Naval Research (ONR), the Army Research Laboratory (ARL), and countless bleeding edge technology startups, we’ve created a vibrant ecosystem that is purpose-driven to identify, isolate, and solve hard problems in a variety of environments. While we’re proud of how far we’ve come, we’ve only just begun. 2017 Mission Results 2017 Mission ResultsBMNT BMNT1 2
  3. 3. CONTENTS 05 How to Use This Document 07 19 What We Do Who Works with Us 23 Key Lessons / Case Studies 37 11 H4D™ By the Numbers 15 How We Work 17 Innovation Pipeline How We Helped Customers 35 BMNT’S Non-Profit Partner - H4Di 41 What’s New with the Company 2017 Mission Results 2017 Mission ResultsBMNT BMNT3 4
  4. 4. HOW TO USE THIS DOCUMENT Every day we focus on helping our customers quickly identify, validate, and solve mission-critical problems. As they move towards implementing those solutions within their organizations, it’s important for them to be able to explain what they have accomplished, how it’s different from what they’ve done in the past and from work with other companies, what sort of results they’re achieving, and how those results impact their bottom line. They also want to understand the success we’ve had with customers in other industries. We intend for this document to help them deliver that message. 2017 Mission Results 2017 Mission ResultsBMNT BMNT5 6
  5. 5. WHAT WE DO We build relationships with experts and leaders in key industries so we can leverage their expertise. Build Networks We work with clients to identify, clarify, refine and score problems so that we can focus on what’s most important. Validate Problems We facilitate client teams through a rigorous process to deliver tested solutions with quantified improvements. Discover Solutions We help customers implement and scale solutions for maximum benefit. Create Solution Pathways 2017 Mission Results 2017 Mission ResultsBMNT BMNT7 8
  6. 6. “[H4X®] provided us with the foundation on which to build solutions to longstanding problems that seemed previously immutable.” - National Geospatial-Intelligence Agency (NGA) Security Authorization “H4X® is absolutely worth pursuing if given the opportunity. The avenues that we didn’t know we had have now come to light.” - Space and Missile Systems Center (SMC) Space Based Infrared Systems (SBIRS) (Acquisitions) GREAT THINGS OUR CLIENTS ARE SAYING
  7. 7. H4D™ BY THE NUMBERS 71 Problems forwarded to .edu H4D™ programs 10 H4X® courses taught 28 Technical Terrain Walks (TTWs) completed 23 H4X® Sprints executed by BMNT Problems submitted206 112 Problems rejected Actvities Executed 2 Solutions in incubation @ H4X® Labs Solutions funded17 6 New companies formed Solutions Delivered 245 University students in H4D™ courses 3000 Interviews conducted 86 Government organizations participating University teaching teams certified32 11 Universities offering H4D™ Network Building 2017 Mission Results 2017 Mission ResultsBMNT BMNT11 12
  8. 8. As the problem owner, I wasn't sure what to expect. But, the guidance of the facilitators ensured we got through the messy parts and continued moving forward. I was pleasantly surprised with the number of tools/ techniques and the variety, as different people think/ learn in different ways. - IC program manager (DIA) “H4X® is a great workflow upset that forces you to confront all the pieces of a complex problem.” - 480th Intelligence Surveillance and Reconnaissance (ISR) Wing
  9. 9. We help our clients solve hard problems. While most clients possess some of the capabilities required to discover and deliver solutions for their most pressing challenges, they are often missing something that prevents them from extracting maximum value. And that’s where we shine. We function as the connective tissue for organizations that want to go further than they’ve gone in the past. Our understanding of this role in achieving breakthroughs is reflected in our updated 2018 product portfolio: HOW WE WORK Problem Curation Playbook TTW Playbook Workshop Playbook Experimentation Playbook After Action Report Storytelling Pre-read Experiment Results Experiment Pre- read Action Plan Workshop Pre-read Market Survey TTW Pre-read Problem Statement Problem Curation Pre-read Welcome Packet Mission Model Canvas Value Proposition Canvas Workflow ACTIVITIES PRE-READS ARTIFACTS TRAINING MATERIALS DELIVERABLES Workshop Senior Leaders Brief Kickoff Technical Terrain Walk Problem Curation MVP Testing 2017 Mission Results 2017 Mission ResultsBMNT BMNT15 16
  10. 10. INNOVATION PIPELINE The H4X® Innovation Pipeline is a disciplined, evidence- based, data-driven process for connecting innovation activities into an accountable system that rapidly delivers solutions to hard problems. This is a battle-proven methodology for driving innovation that comes from: • Knowledge gleaned from decades of attacking emerging, persistent and complex problems • An extensive network of government (including military and intelligence), industry and academic experts • Access to equity capital, government contracting mechanisms, labs and manufacturing facilities Days Days - Weeks Days - Weeks Problem Curation Prioritization Weeks - Months Solution Exploration / Hypothesis Testing Weeks - Months Incubation Weeks - Months IntegrationInnovation Sourcing Horizon 3 Disruptive Network Bulding Problem Validation Solution Validation Solution Delivery Ideas Technology Problems Problem Statement Use Cases Market Survey Quickwins Graveyard I-CORPS/H4D/H4X Disruptive Opportunity Capability Renewal Engineering 2017 Mission Results 2017 Mission ResultsBMNT BMNT17 18
  11. 11. WHO WORKS WITH US Government Commercial U.S. National Geospatial- Intelligence Agency U.S. Department of Energy U.S. Defense Intelligence Agency North Atlantic Treaty Organization U.S. Army Research LabU.S. Air Force Space and Missile Center U.S. Office of the Undersecretary of Defense for Intelligence U.S. Joint Improvised-Threat Defeat Organization Australian Department of Defence, Defense Science & Technology Group U.S Defense Innovation Unit Experimental U.S. National Security Agency U.S. Air Force 480th Intelligence, Surveillance, and Reconnaissance Wing National Media Exploitation Center U.S. Army Cyber Command MD5U.S. Office of Naval Research Booz Allen HamiltonAdvocate Lutheran General Hospital Alion Robert C. Byrd Institute: Advanced Manufacturing EY General Mills 2017 Mission Results 2017 Mission ResultsBMNT BMNT19 20
  12. 12. “Thanks again for pulling together H4D™ (Hacking for Defense™). We have sponsored two projects now and the benefits to our workforce have been huge -- not just in the way they approach their work, but also in the way they teach others. H4D™ is making a huge difference, sometimes in subtle ways and sometimes in very overt ways. Thank you." - National Security Agency (NSA) “H4X® Sprint is valuable to begin changing organizational culture around capability development.” - Army Cyber
  13. 13. KEY LESSONS / CASE STUDIES USAF Multi-Domain Operating Center (MDOC) We taught a client how to kill a project and save $500M. BMNT partnered with DIUX to engage MDOC, run 2 Sprint workshops, and develop 2 Minimum Viable Products (MVPs). The client used the outcome to secure $5M in funding from the project sponsor. The results from those pilots led to the cancellation of a contract that saved $500M that would otherwise have been wasted. MDOC spent less than 1% of the program cost to determine that the proposed solution was the wrong one and then kill the project. Joint Improvised Threat Defeat Agency (JIDO) In 3 days, we introduced top, most-relevant Augmented Reality (AR) companies in the country and enabled them to discuss needs, demo headsets and understand technology limitations. BMNT partnered with JIDO to run a Technical Terrain Walk (TTW) followed by a Sprint Workshop to explore the feasibility of using a handheld device to integrate new Commercial Off-The-Shelf (COTS) capabilities into an existing defense platform. Normal procurement for such a project was slow and costly. BMNT helped the client rapidly award funds to multiple non-traditional vendors for integration work on their hardware platform via the Army Research Lab and researchers at Carnegie Mellon University. BMNT was able to help JIDO identify vendors and develop a Statement of Work and award money within 6 months (a process that could normally take 2-4 times as long). Defense Innovation Unit Experimental (DIUx) We helped the client quickly find and engage the right partner and quickly fund the development of the solution. BMNT helped the DIUx find and and purchase next- generation technology for Counter Unmanned Aerial Systems (CUAS). We ran a TTW to expose the customer to leading experts in the space and define the range of the work to be done. The customer awarded over $1.8M in funding to non-traditional technology companies identified and engaged during the TTW. These groups are now working together to explore how to build the right solution. 2017 Mission Results 2017 Mission ResultsBMNT BMNT23 24
  14. 14. “[We conducted] more research in a day and a half than anyone [internal to this organization has done to date] on this problem.” - Defense Intelligence Agency (DIA) Senior Expert - Relative to the TTW “H4X® validated commercial interest in our datasets from companies we would not have otherwise interacted with.” - Space and Missile Systems Center (SMC) Space Based Infrared Systems (SBIRS) Future Ground and Exploitation Division
  15. 15. USAF Space-Based Infrared Systems (SBIRS) Future Ground and Exploitation Division - SBIRS Tools, Applications and Processing (TAP) Lab We leveraged H4D™ to develop an understanding of the dual use potential of their defense focused product data (i.e. valuable both to defense/intel and commercial users). In a H4D™ Sprint (Problem curation, Technical Terrain Walk (TTW), Workshop), the SBIRS team worked rapidly through the steps needed to deliver an Minimum Viable Product (MVP) of their space-based infrared (IR) datasets. We exposed the SBIRS team to leading edge technology and companies working with Machine Learning (ML) and Artificial Intelligence (AI) algorithms to exploit data coming from space-based assets. Numerous early stage companies (who are not traditional suppliers to the defense and intelligence industry) validated the assumption that commercial companies would be interested in using SBIRS IR data sets to build their commercial capabilities. This activity could ultimately lead to delivering more robust product back to the USAF to exploit their own data. The validated commercial interest in their IR datasets justifies continuing to fight for declassification and making the effort to engage with companies that are non-traditional defense suppliers. This activity accelerated the pathway to de-classifying data sets to provide to companies as an Minimum Viable Product (MVP) to learn the value of the data, explore use cases, build commercial remote sensing exploitation algorithms, and expand the ecosystem of partners. Defense Intelligence Agency (DIA) - Budget Execution We used an H4D™ sprint to help an intelligence agency to develop better internal management tools. They developed three solutions pathways and are testing two in order to provide simplicity and transparency to the way they operate and manage their budget. While this project is ongoing, the H4D™ Sprint resulted in three Minimum Viable Products (MVP). First, DIA developed and began testing an Application Programming Interface (API) with a leading data integration company. This API would integrate the legacy databases that analysts use to record and track business operations. DIA also tested whether analysts could teach the API to provide advance warning of the agency under-executing its budget. Second, DIA began investigating the utility of a customized "dashboard" for every level of the agency. This tool can visualize the current status of budget execution for each person in the workflow. Despite client excitement about the solution, the third MVP, was scrapped due to unforeseen political issues within the agency. The H4D™ Sprint provided the problem owner with validated approach to shift the balance of their day-to-day efforts. With these solutions, they can increase time invested in analyzing their programs for effectiveness, and decrease time spent merely calculating how much of their budget they've spent. This capability can lead to improved business operations and budget decisions. 2017 Mission Results 2017 Mission ResultsBMNT BMNT27 28
  16. 16. “This process, in a short amount of time, changed the direction and focus of my research.” - Army Research Lab Problem Owner “We need to bring in this process at the strategic level to inform how we determine our research priorities.” - Army Research Lab Senior Leadership "We need to do more of these with other users.” - Joint Improvised-Threat Defeat Organization (JIDO)
  17. 17. Army Research Lab (ARL) We piloted an approach to apply H4X® to the transfer and commercialization of ARL research and technologies and led to the redirection of $2M in funding. ARL wanted to explore early technology transfer opportunities for thermo-photovoltaic (TPV) technology to be used in a man-portable power generator. We explored potential commercial markets and opportunities for co- development of the technology and then conducted a Beneficiary Discovery workshop that invalidated the near- term viability of commercial markets. ARL subsequently explored other transition opportunities and identified early adoption use cases. The workshop identified new research avenues and ultimately shifted the near-term direction of ARL's research from smaller to larger scale applications. Workshop lessons prioritized and guided ARL's investment of $2 million in funding for TPV R&D. ARL Researchers broke with traditional research lab paradigms and found value in reaching out to end-users to improve their understanding of what research must be accomplished. A coalition of supporters around TPV was formed, MVPs and an experimentation plan were developed moving forward. 2017 Mission Results 2017 Mission ResultsBMNT BMNT31 32 Joint Improvised-Threat Defeat Organization (JIDO) Beneficiary Workshops - LA & Alexandria We helped JIDO understand and communicate its value to its end users and expand its knowledge of commercially available solutions. We hosted two one-day Beneficiary Discovery workshops in our Los Angeles, CA and Alexandria, VA offices. Attendees included, Explosive Ordnance Disposal (EOD) robot operators, robot manufacturers, robot Program Managers (PMs) and industry leaders in Artificial Intelligence (AI) and Machine Learning(ML). In these workshops, robot operators and makers discussed technical limitations of current robots and learned how State-of-the-Art (SOTA) AI/ML systems could help resolve current robot limitations. Participants learned who would use the solution, how they would use it, and what technologies might be feasible. After the Los Angeles session, at least one, robot maker continued follow- on conversations with an industry leader to explore how to implement identified solutions, while another robot operator met with Shield.ai for detailed product demo. The Alexandria session led to follow-on discussions between JIDO and leading AI/ML companies, and invitations to the FOCUS Hackathon (hosted by JIDO) that would allow them to explore and prototype important solutions. JIDO is using innovation leadership activities like this to extend its reach to be viewed as the nucleus of robot solutions for the warfighter...not just for drones.
  18. 18. “[H4X®] allows stakeholders to get to the root of the problem by dispelling misunderstandings and teaming to resolve what’s left.” - NGA Security Authorization “The experience has been transformational for the students and the college.” - Defense Aquisition University (DAU) (Special Assistant to the Dean)
  19. 19. BMNT’S NON-PROFIT PARTNER - H4Di H4Di, BMNT’s non-profit partner, provides a pathway to identify and intake government problems and to certify educators to deliver the H4D™ course in a university setting. Started at Stanford in early 2016, Hacking for Defense™ (H4D™) is a graduate-level class that brings together bright and motivated engineering, business, and policy students to work on a government problem over the course of a semester, where they rapidly iterate prototypes and produce solutions. In 2017, H4D™ was taught at eight schools: Stanford University, Georgetown University, Columbia University, James Madison University, University of Pittsburgh, Boise State University, University of Southern Mississippi, and Defense Acquisition University. In 2018, we expect to expand to another 15 universities, for a total of 23. Congress has recognized the value that H4D™ delivers. The 2018 National Defense Authorization Act (NDAA) authorized the Secretary of Defense to allocate $15M to support Hacking For Defense™ programs around the country, highlighting that "... by presenting national security problems to universities and education centers, increasingly diverse stakeholder participation will aid in the rapid development of solutions to national security challenges and improve Department of Defense (DOD) recruitment of young technologists and engineers with critical skill sets, including cyber capabilities." H4Di was very productive in 2017. From the 206 problems submitted to BMNT for curation, H4Di distributed 71 problems to university programs that were worked on by 245 university students. As a result of the H4D™ University Programs, 6 new companies were formed and funded. 2017 Mission Results 2017 Mission ResultsBMNT BMNT35 36
  20. 20. HOW WE HELPED CUSTOMERS Improved customer outcomes are the best evidence of success. Nothing makes us happier than to see our clients achieve something that was previously elusive or thought impossible or that would have taken months -- or even years -- longer using their traditional approach. We’ve selected a few of our customer success stories to illustrate the impact of a successful project: Customer Outcome: $500M Capital Freed A “pivot” is a change in strategy without a change in vision. Many organizations suffer from a “zombie projects” problem - projects that continue on long after it’s clear that the project output will fail to meet user needs. We helped a client turn a small investment into several 3 to 6 month pilots that gave them enough data to justify killing such a zombie project, freeing $500M for investment in more agile solutions. Critical Success Factor: Making a “pivot, persevere or kill” decision Customer Outcome: Reduction in Time to Market During a 3-day sprint, we introduced a client to the top, most relevant Augmented Reality (AR) companies in the country, enabling them to discuss needs, use the hardware, and understand the technology limitations. They left that sprint with a plan of action and a committed team that built a solution in days that would otherwise have taken months. Critical Success Factor: Rapid engagement with the right partner at the right time 2017 Mission Results 2017 Mission ResultsBMNT BMNT37 38 Customer Outcome: Increased Impact and Effects We helped several clients develop a richer and broader understanding of their problem sets. This enabled them to prioritize activities and resources to focus on the ones with the most impact. Critical Success Factor: Focusing on solving the right problems first
  21. 21. Customer Outcome: Increased Relevance We helped an intelligence agency understand and communicate its value to its end users so they understood how the agency provided value. Additionally, we helped the agency expand its knowledge of commercially available solutions so that it could better execute those missions. C r i t i c a l S u c c e s s Fa c t o r : Fo c u s i n g communications and outreach to build knowledge and awareness Customer Outcome: Reduction in Time to Value We helped a client quickly find and engage the right partner and quickly fund the development of the solution. Critical Success Factor: Rapidly evaluating potential partners and engaging an effective funding mechanism 2017 Mission Results 2017 Mission ResultsBMNT BMNT39 40 Customer Outcome: Better Use of Funds We piloted an approach to apply H4X® to the transfer and commercialization of research and technologies that led to the redirection of over $2M in funding. Critical Success Factor: Using data and evidence versus opinion and politics Customer Outcome: Improved Process and Tools We helped an intelligence agency develop better internal management tools. They developed three solution pathways and are testing two in order to provide simplicity and transparency to the way they operate and manage their budget. Critical Success Factor: Better metrics and internal control processes Critical Success Factor: Demonstrating the dual-use value of an existing product Customer Outcome: Increased Market Valuation We helped a client develop an understanding of the commercial / dual use value of their defense-focused product data.
  22. 22. WHAT’S NEW WITH THE COMPANY In 2017, we grew our Palo Alto office, expanded our team, and stood up three new offices. We’ve also expanded our offering portfolio... And we’ve only just begun! We’ve got big growth plans for 2018 that include... • Expanding H4X® Labs to incubate, fund and grow startups from emerging solutions • Adding new customers in National Security and Commercial sectors • Expanding the breadth and depth of our talented team across the country • Adding new offices to create a present in Austin, Boston & Boulder • Expanding our program offerings to support manufacturing, urban resilience & healthcare • At least doubling the number of universities participating in H4Di • Accelerated Sprint Workshop • Experimentation Playbook • New Problem Curation Software • New Problem Assessment Algorithm • New Workshops (Beneficiary Discovery, Problem Curation) DC Boston Palo Alto LA We’re proud to say we’re a work in progress. As a bootstrapped startup, our growth is dependent upon -- and a reflection of -- actual customer validation of the impact of the work we do together. We deliberately review the “how” and “why” behind our successes and failures so that we can adjust accordingly to continually exceed our customers’ expectations. 2017 Mission Results 2017 Mission ResultsBMNT BMNT41 42

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