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Smart products: why and how?
 Smart Products: Sirris’ vision




                          het collectief centrum van de Belgische technologische industrie
SMART as a Product or Technology Strategy


       Sirris & Agoria identified this theme
  as highly important for the technology industry
        because of its disruptive potential
       to create new innovative products
        and so creating sustainable growth




                              © Sirris | www.sirris.be | info@sirris.be | 5-10-2011   2
Definition of SMART: a tentative consensus

A Smart Product
• uses information about itself, other products, or its
   environment
• to provide new or multiple functionalities
• that are able to differentiate the product in a particular
   market

A smart technology
• can be turned into an offering
• that enables other products to become smart products




                                      © Sirris | www.sirris.be | info@sirris.be | 5-10-2011   3
•   Smart   composites
•   Smart   body protection
•   Smart   eco-system infrastructure
•   Smart   learning
•   Smart   systems
•   Smart   fertilizing




                          © Sirris | www.sirris.be | info@sirris.be | 5-10-2011   4
Smart products
      with (smart) materials
WBCSD Vision 2050
(The World Business Council for Sustainable Development)


                        Next innovation wave
                        = about sustainable innovation
                        = about smart innovation with materials




                                                           © Sirris | www.sirris.be | info@sirris.be | 5-10-2011   5
Smart materials make Smart Products
= a response to megatrends


   [Environmental]
   Materials that are sustainable
   (they have to ensure longer lifetime &
   decrease environmental impact)             [Geopolitical]
                                              Less strategic (or scarce) materials
                                              that are less available e.g. in Belgium

[Technological]
Smart Materials or smart
combinations
of materials to increase the
effectiveness of materials
used (Multifunctional,
Functionality on demand, ...)


                                            © Sirris | www.sirris.be | info@sirris.be | 5-10-2011   6
Smart Products

•   Smart Products using smart materials to respond to a
    changing business environment:

    •   The drive to do less with more
        (C2C, sustainable materials, netshape
        functionality, ...)
    •   Replace or avoid scarce materials by a smart
        replacement
    •   Think multifunctional
    •   Use Smart Materials to enhance
        product features & suprise your
        customer
    •   Rethink your business model if
        required

                                          © Sirris | www.sirris.be | info@sirris.be | 5-10-2011   7
Let’s Smartize your product




                        het collectief centrum van de Belgische technologische industrie
Smart? Come again please

A Smart Product
• uses information about itself, other products, or its
   environment
• to provide new or multiple functionalities
• that are able to differentiate the product in a particular
   market

A smart technology
• can be turned into an offering
• that enables other products to become smart products




                                      © Sirris | www.sirris.be | info@sirris.be | 5-10-2011   11
Smart in your Company Case…

    Opportunity                 Smart                       Smart                             Realization
     Spotting                 Positioning                 Exploration                            plan


•   Self Conscious       •   Product & market         •   Finding the right               • Business model & Risk
                                                          building blocks                   Analysis
•   Ambient Conscious    •   Business related                                             • Technology evaluation
                                                      • Experimentation
•   Eco-system Conscious • Technology related         • Technology scouting
                                                                            • KSF’s

•   User Conscious       •   Product engineering      •   Network building
                         •   Specific opportunities



      options                   themes                     scenarios                                 decision

                                                                           … 4 rounds
                                                            © sirris 2010 | www.sirris.be | info@sirris.be | 5-10-2011   12
Round 1: Smart Opportunity Spotting




                       het collectief centrum van de Belgische technologische industrie
                                                       © Sirris | www.sirris.be | info@sirris.be |
                                                                              5-10-2011        13
4 dimensions for making products smart

                     Make the
                   Product more
                   Self-Conscious




      Make the                        Make the
    Product more     Product        Product more
      Ambient-                      Eco-System
     Conscious                       Conscious



                      Make the
                    Product more
                   User-Conscious


                                                   14
4 dimensions for making products smart

                     Make the
                   Product more
                   Self-Conscious




      Make the                        Make the
    Product more     Product        Product more
      Ambient-                      Eco-System
     Conscious                       Conscious



                      Make the
                    Product more
                   User-Conscious


                                                   15
4 dimensions for making products smart

                     Make the
                   Product more
                   Self-Conscious




      Make the                        Make the
    Product more     Product        Product more
      Ambient-                      Eco-System
     Conscious                       Conscious



                      Make the
                    Product more
                   User-Conscious


                                                   16
4 dimensions for making products smart

                     Make the
                   Product more
                   Self-Conscious




      Make the                        Make the
    Product more     Product        Product more
      Ambient-                      Eco-System
     Conscious                       Conscious



                      Make the
                    Product more
                   User-Conscious


                                                   17
4 dimensions for making products smart

                     Make the
                   Product more
                   Self-Conscious




      Make the                        Make the
    Product more     Product        Product more
      Ambient-                      Eco-System
     Conscious                       Conscious



                      Make the
                    Product more
                   User-Conscious


                                                   18
The Smart Opportunity Spotter




                        © Sirris | www.sirris.be | info@sirris.be | 5-10-2011   19
Example

•   A company offering bicycles to people in a city




                                       © Sirris | www.sirris.be | info@sirris.be | 5-10-2011   20
Example: bicycle company
                         Use the usage
                         data of bicycles
                                                             Use a self-
                         to optimize
                                                             healing rubber
                         distribution
                                                             to prevent flat              Use recyclable
                         across the city
                                                             tires                        metarials that can
                                                                                          be re-used in
                                                                                          another
                                                                                          applicaiton
  Add location
  system (gps)t o
  bicycles to
  retrieve lost ones
                                                                                             Set up alliances
                                                                                             with tourist
                                                                                             department of
                                                                                             city to promote
  Add noise and                                                                              touristic routes
  pollution sensor
  to offer services to
  government




                          Observe users
                          and provide them   Use an adaptive
                          with alternative   material to fit the
                          routes             seating to every
                                                            © Sirris | www.sirris.be | info@sirris.be | 5-10-2011   21
                                             user
Round 2: Smart Positioning




                       het collectief centrum van de Belgische technologische industrie   22
Smart Positioning

•   Introducing smart products involves many different aspects.
•   Often a more complex discussion than on enabling
    technologies alone.
•   It can require rethinking of the actual technology & product
    development, of organizational, engineering & design
    aspects or even impact your current business model, revenue
    streams or the market your are in.
•   On the other hand you as a company might be in possession
    of technology that can enable other companies to create
    smart products.




                                      © Sirris | www.sirris.be | info@sirris.be | 5-10-2011   23
Understanding what is relevant and what to
master for your Smart Opportunity
•   Technology related themes
•   Product & market related themes
•   Product engineering related themes
•   Business related themes
•   Specific opportunities




     Have been bundled in an inspirational document




                                         © Sirris | www.sirris.be | info@sirris.be | 5-10-2011   24
Smart Positioning Wheel




                          © Sirris | www.sirris.be | info@sirris.be | 5-10-2011   25
Technology related themes

•   Specific relevant material based technologies
•   Specific relevant ICT technologies
•   Emerging technology domains of interest
•   Packing a technology as a service
•   Mastering technologies and technology domains
•   Make or buy decisions
•   IPR protection of technologies
•   …




                                     © Sirris | www.sirris.be | info@sirris.be | 5-10-2011   26
Product & market related themes


•   New functionalities
•   New application domains
•   New value propositions
•   …




                              © Sirris | www.sirris.be | info@sirris.be | 5-10-2011   27
Product engineering related themes


•   Engineering & development challenges
•   Key design requirements & constraints (safety, size, power
    consumption, …)
•   Interdisciplinary design
•   …




                                       © Sirris | www.sirris.be | info@sirris.be | 5-10-2011   28
Business related themes


•   Business opportunities for making products smart
•   Differentiators for the product
•   Complementary assets (value capturing)
•   Business Models & transition to new business models
•   Place in the value chain, or changing position in the value
    chain
•   …




                                        © Sirris | www.sirris.be | info@sirris.be | 5-10-2011   29
Specific opportunities


•   Opportunities concerning data sets in your possession
•   User communities you have set up
•   New disruptive innovations
•   ®evolutions of existing products
•   Sustainability of current offering
•   …




                                      © Sirris | www.sirris.be | info@sirris.be | 5-10-2011   30
Example
Add location system (gps) to bicycles




                         © Sirris | www.sirris.be | info@sirris.be | 5-10-2011   31
Self-healing rubber tires, adaptive materials for bike seat
                                                 Technologies for location awareness
                                                 Technology for noise pollution sensors

 Community of                                                          Technology Scouting Program
 commuters                                                        Technology Partners

Mobility data


                                                                         Optimizing distribution


            New revenue streams
            By selling data
                                                                            Touristic Sector
                Recycling of bike
                or bike parts

                                                                  Collecting pollution data

                                                      Equipping the bicycles

                                                      Software development

                                                      © Sirris | www.sirris.be | info@sirris.be | 5-10-2011   32
                                      Privacy
Round 3&4: Smart Exploration & Plan




                       het collectief centrum van de Belgische technologische industrie
                                                       © Sirris | www.sirris.be | info@sirris.be |
                                                                              5-10-2011        34
Exploring and Planning Smart Opportunities




                        © Sirris | www.sirris.be | info@sirris.be | 5-10-2011   35
•   Alex Osterwalder & Ives Pigneur
•   A set of simple, tested tools for understanding,
    designing, reworking, and implementing business
    models
•   A common language for systematically understand,
    design, and implement a new business model - or
    analyze and renovate an old one
•   Co-authored by 470 Business Model Canvas
    practitioners from 45 countries
•   Financed and produced independently of the traditional
    publishing industry.
•   http://www.businessmodelgeneration.com/


                                   © sirris | www.sirris.be | info@sirris.be | 5.10.11   36
Canvas for Coaching companies

IRCEL-
CELINE
                                                                      personal     Governme
                                                                     service       nt
                                              Offering
                                              Pollution
                                              data


                     Software
                     developers

                                                                      electronic
                                                                     Internet
                                                                     service



            Data              IT         Salary
Software    server            personel
developme                                                 pay data
nt
                                                                      monthly
                                                                     fee

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Sirris materials day 2011 how to smartize your product - hans vercammen - sirris

  • 1. Smart products: why and how? Smart Products: Sirris’ vision het collectief centrum van de Belgische technologische industrie
  • 2. SMART as a Product or Technology Strategy Sirris & Agoria identified this theme as highly important for the technology industry because of its disruptive potential to create new innovative products and so creating sustainable growth © Sirris | www.sirris.be | info@sirris.be | 5-10-2011 2
  • 3. Definition of SMART: a tentative consensus A Smart Product • uses information about itself, other products, or its environment • to provide new or multiple functionalities • that are able to differentiate the product in a particular market A smart technology • can be turned into an offering • that enables other products to become smart products © Sirris | www.sirris.be | info@sirris.be | 5-10-2011 3
  • 4. Smart composites • Smart body protection • Smart eco-system infrastructure • Smart learning • Smart systems • Smart fertilizing © Sirris | www.sirris.be | info@sirris.be | 5-10-2011 4
  • 5. Smart products with (smart) materials WBCSD Vision 2050 (The World Business Council for Sustainable Development) Next innovation wave = about sustainable innovation = about smart innovation with materials © Sirris | www.sirris.be | info@sirris.be | 5-10-2011 5
  • 6. Smart materials make Smart Products = a response to megatrends [Environmental] Materials that are sustainable (they have to ensure longer lifetime & decrease environmental impact) [Geopolitical] Less strategic (or scarce) materials that are less available e.g. in Belgium [Technological] Smart Materials or smart combinations of materials to increase the effectiveness of materials used (Multifunctional, Functionality on demand, ...) © Sirris | www.sirris.be | info@sirris.be | 5-10-2011 6
  • 7. Smart Products • Smart Products using smart materials to respond to a changing business environment: • The drive to do less with more (C2C, sustainable materials, netshape functionality, ...) • Replace or avoid scarce materials by a smart replacement • Think multifunctional • Use Smart Materials to enhance product features & suprise your customer • Rethink your business model if required © Sirris | www.sirris.be | info@sirris.be | 5-10-2011 7
  • 8. Let’s Smartize your product het collectief centrum van de Belgische technologische industrie
  • 9. Smart? Come again please A Smart Product • uses information about itself, other products, or its environment • to provide new or multiple functionalities • that are able to differentiate the product in a particular market A smart technology • can be turned into an offering • that enables other products to become smart products © Sirris | www.sirris.be | info@sirris.be | 5-10-2011 11
  • 10. Smart in your Company Case… Opportunity Smart Smart Realization Spotting Positioning Exploration plan • Self Conscious • Product & market • Finding the right • Business model & Risk building blocks Analysis • Ambient Conscious • Business related • Technology evaluation • Experimentation • Eco-system Conscious • Technology related • Technology scouting • KSF’s • User Conscious • Product engineering • Network building • Specific opportunities options themes scenarios decision … 4 rounds © sirris 2010 | www.sirris.be | info@sirris.be | 5-10-2011 12
  • 11. Round 1: Smart Opportunity Spotting het collectief centrum van de Belgische technologische industrie © Sirris | www.sirris.be | info@sirris.be | 5-10-2011 13
  • 12. 4 dimensions for making products smart Make the Product more Self-Conscious Make the Make the Product more Product Product more Ambient- Eco-System Conscious Conscious Make the Product more User-Conscious 14
  • 13. 4 dimensions for making products smart Make the Product more Self-Conscious Make the Make the Product more Product Product more Ambient- Eco-System Conscious Conscious Make the Product more User-Conscious 15
  • 14. 4 dimensions for making products smart Make the Product more Self-Conscious Make the Make the Product more Product Product more Ambient- Eco-System Conscious Conscious Make the Product more User-Conscious 16
  • 15. 4 dimensions for making products smart Make the Product more Self-Conscious Make the Make the Product more Product Product more Ambient- Eco-System Conscious Conscious Make the Product more User-Conscious 17
  • 16. 4 dimensions for making products smart Make the Product more Self-Conscious Make the Make the Product more Product Product more Ambient- Eco-System Conscious Conscious Make the Product more User-Conscious 18
  • 17. The Smart Opportunity Spotter © Sirris | www.sirris.be | info@sirris.be | 5-10-2011 19
  • 18. Example • A company offering bicycles to people in a city © Sirris | www.sirris.be | info@sirris.be | 5-10-2011 20
  • 19. Example: bicycle company Use the usage data of bicycles Use a self- to optimize healing rubber distribution to prevent flat Use recyclable across the city tires metarials that can be re-used in another applicaiton Add location system (gps)t o bicycles to retrieve lost ones Set up alliances with tourist department of city to promote Add noise and touristic routes pollution sensor to offer services to government Observe users and provide them Use an adaptive with alternative material to fit the routes seating to every © Sirris | www.sirris.be | info@sirris.be | 5-10-2011 21 user
  • 20. Round 2: Smart Positioning het collectief centrum van de Belgische technologische industrie 22
  • 21. Smart Positioning • Introducing smart products involves many different aspects. • Often a more complex discussion than on enabling technologies alone. • It can require rethinking of the actual technology & product development, of organizational, engineering & design aspects or even impact your current business model, revenue streams or the market your are in. • On the other hand you as a company might be in possession of technology that can enable other companies to create smart products. © Sirris | www.sirris.be | info@sirris.be | 5-10-2011 23
  • 22. Understanding what is relevant and what to master for your Smart Opportunity • Technology related themes • Product & market related themes • Product engineering related themes • Business related themes • Specific opportunities  Have been bundled in an inspirational document © Sirris | www.sirris.be | info@sirris.be | 5-10-2011 24
  • 23. Smart Positioning Wheel © Sirris | www.sirris.be | info@sirris.be | 5-10-2011 25
  • 24. Technology related themes • Specific relevant material based technologies • Specific relevant ICT technologies • Emerging technology domains of interest • Packing a technology as a service • Mastering technologies and technology domains • Make or buy decisions • IPR protection of technologies • … © Sirris | www.sirris.be | info@sirris.be | 5-10-2011 26
  • 25. Product & market related themes • New functionalities • New application domains • New value propositions • … © Sirris | www.sirris.be | info@sirris.be | 5-10-2011 27
  • 26. Product engineering related themes • Engineering & development challenges • Key design requirements & constraints (safety, size, power consumption, …) • Interdisciplinary design • … © Sirris | www.sirris.be | info@sirris.be | 5-10-2011 28
  • 27. Business related themes • Business opportunities for making products smart • Differentiators for the product • Complementary assets (value capturing) • Business Models & transition to new business models • Place in the value chain, or changing position in the value chain • … © Sirris | www.sirris.be | info@sirris.be | 5-10-2011 29
  • 28. Specific opportunities • Opportunities concerning data sets in your possession • User communities you have set up • New disruptive innovations • ®evolutions of existing products • Sustainability of current offering • … © Sirris | www.sirris.be | info@sirris.be | 5-10-2011 30
  • 29. Example Add location system (gps) to bicycles © Sirris | www.sirris.be | info@sirris.be | 5-10-2011 31
  • 30. Self-healing rubber tires, adaptive materials for bike seat Technologies for location awareness Technology for noise pollution sensors Community of Technology Scouting Program commuters Technology Partners Mobility data Optimizing distribution New revenue streams By selling data Touristic Sector Recycling of bike or bike parts Collecting pollution data Equipping the bicycles Software development © Sirris | www.sirris.be | info@sirris.be | 5-10-2011 32 Privacy
  • 31. Round 3&4: Smart Exploration & Plan het collectief centrum van de Belgische technologische industrie © Sirris | www.sirris.be | info@sirris.be | 5-10-2011 34
  • 32. Exploring and Planning Smart Opportunities © Sirris | www.sirris.be | info@sirris.be | 5-10-2011 35
  • 33. Alex Osterwalder & Ives Pigneur • A set of simple, tested tools for understanding, designing, reworking, and implementing business models • A common language for systematically understand, design, and implement a new business model - or analyze and renovate an old one • Co-authored by 470 Business Model Canvas practitioners from 45 countries • Financed and produced independently of the traditional publishing industry. • http://www.businessmodelgeneration.com/ © sirris | www.sirris.be | info@sirris.be | 5.10.11 36
  • 34. Canvas for Coaching companies IRCEL- CELINE personal Governme service nt Offering Pollution data Software developers electronic Internet service Data IT Salary Software server personel developme pay data nt monthly fee