BEST PRACTICES RESEARCH
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Frost & Sullivan Best Practices Award
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IRG: 16
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Industry Manager: Balaji Srimoolanathan
New Product Innovation, Aerospace and Defense
Europe, 2010
Frost & Sullivan’s Global Research Platform
Frost & Sullivan is entering its 49 th year in business with a global research organization of
1,800 analysts and consultants who monitor more than 300 industries and 250,000
companies. The Company’s research philosophy originates with the CEO’s 360 Degree
Perspective,* which in turn serves as the foundation of its TEAM Research** methodology.
This unique approach enables us to determine how best-in-class companies worldwide
manage growth, innovation and leadership. Based on the findings of this Best Practices
research, Frost & Sullivan is proud to present the 2010 Europe New Product Innovation
Award in Perimeter intrusion detection systems to Magna BSP.
Significance of the New Product Innovation Award
Key Industry Challenges Addressed b y Product Innovation
The magnitude of threat posed by today’s global terrorism and insurgency demands vital
installations to have a highly reliable intrusion detection system in place. Manned
monitoring of a target area for suspicious activity is prone to high probability of errors and
raising fences or walls for perimeter protection could be expensive. It is also important to
detect and differentiate between suspicious and normal activities. Hence perimeter
intrusion detection systems manufacturers are in constant pursuit for a cost effective, yet
agile system which could ensure a high operating efficiency.
Magna BSP Ltd manufactures OWL (Optical Watch Line System) line of products which
operate on stereoscopic technology and has a virtual wall capability which virtually seals
the desired area. “Biscopic” protection technology coupled with negligible false alarm rate
makes this system unique from its competitors. Magna BSP’s OWL is fully passive and
provides a high probability of detection.
Key Benchmarking Criteria f or New Product Innovation Aw ard
For the New Product Innovation Award, the following criteria were used to benchmark
Magna BSP’s performance against key competitors:
• Innovative Element of the Product
• Leverage Leading Edge Technologies in Product
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• Value Added Features/Benefits
• Increased Customer ROI (small change)
• Customer Acquisition/Penetration Potential
Decision Support Matrix and Measurement Criteria
To support its evaluation of best practices across multiple business performance categories,
Frost & Sullivan employs a customized Decision Support Matrix (DSM). The DSM is an
analytical tool that compares companies’ performance relative to each other with an
integration of quantitative and qualitative metrics. The DSM features criteria unique to each
award category and ranks importance by assigning weights to each criterion. The relative
weighting reflects current market conditions and illustrates the associated importance of
each criterion according to Frost & Sullivan. Fundamentally, each DSM is distinct for each
market and award category. The DSM allows our research and consulting teams to
objectively analyze each company's performance on each criterion relative to its top
competitors and assign performance ratings on that basis. The DSM follows a 10-point scale
that allows for nuances in performance evaluation; ratings guidelines are shown in Chart 2.
C har t 2 : P erf o rm an c e - ba se d Ra ti n gs f or D e cis i on S u pp o r t Ma tr i x
This exercise encompasses all criteria, leading to a weighted average ranking of each
company. Researchers can then easily identify the company with the highest ranking. As
a final step, the research team confirms the veracity of the model by ensuring that small
changes to the ratings for a specific criterion do not lead to a significant change in the
overall relative rankings of the companies.
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C har t 3 : Fr os t & S ul l iva n ’s 10 S t ep P r oc e ss f o r I d en t ify in g A war d - R ec ip i en t s
Best Practice Award Analysis for Magna BSP
The Decision Support Matrix, shown in Chart 4, illustrates the relative importance of each
criterion for the New Product Innovation Award and the ratings for each company under
evaluation. To remain unbiased while also protecting the interests of the other
organizations reviewed, we have chosen to refer to the other key players as Competitor 1
and Competitor 2.
C har t 4 : D ec is io n S u p po r t M at ri x f or
Ne w P r o du c t I nn o va ti o n A war d
Relative Weight (%)
Weighted Rating
Customer
Acquisition/Penetration
Potential
Increased Customer ROI
(small change)
Value Added
Features/Benefits
Leverage Leading Edge
Technologies in Product
Award Criteria
Innovative Element of the
Product
Measurement of 1–10 (1 = lowest; 10 = highest)
25% 25% 20% 10% 20% 100%
Magna BSP
9
9.5
8.5
9
9
9
Competitor 1
8
7
8
8.5
8
7.9
Competitor 2
7.5
8.5
7
7
7.5
7.5
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Criterion 1: Innovative Element of the Product
OWL (Optical Watch Line) system manufactured by Magna BSP is an innovative perimeter intrusion
detection system. OWL system uses stereoscopic vision technology that has multiple sensors
monitoring the same area. The system has a unique capability called Virtual Wall. The virtual wall
feature enables the user to virtually seal a desired area. By employing a network of OWL systems the
user can develop a virtual fence around a desired area without a physical fence or wall. The system
can also be installed on existing walls or fences to ensure maximum security. On the event of any
change in 3D visualization an alarm is raised. OWL has a high probability of detection and relatively
low False alarm rate (FAR) when compared to the competitor’s products. The System drastically filters
any false alarm that is caused by monotonic movements like sea waves etc. The targets are validated
according to their movement parameters in the user defined area.
Criterion 2: Leverage Leading Edge Technologies in Product
Magna BSP’s OWL system is fully passive and works on the concept of Biscopic protection, two sensors
monitoring the same area which is similar to human vision. Comprising of two vertically linked IR
micro bolometer cameras and a unique algorithm the system scans for the desired area looking for
any changes in the 3D visualization of the scenery. An alarm is raised only when a change is detected
by both the sensors. The advanced signal processing techniques employed in the system enables it to
identify minute variations in the imagery. OWL system is capable of detecting targets as low as one
pixel. The combination of multiple sensors, advance signal processing and algorithm has been
effective in reducing the false alarm rate to one alarm per 24 hours.
Criterion 3: Value Added Features/Benefits
Increased Probability of detection and negligibly low False Alarm rate are the most valuable features
offered by OWL system. With its Stereoscopic vision capabilities the system can determine the
distance, size, height above the ground and azimuth of the detected target. This allows the user to
accurately determine the exact position of the target. The system alerts the user for any new static
object in the scanning area. Moreover the targets can be filtered based on user defined movement
patterns. Increased operational capability enables the system to operate in all weather conditions.
OWL system is completely automated so that it does not need any operator to monitor.
Criterion 4: Increased Customer ROI (small change)
OWL promises great rewards to the end user. Raising physical fences and walls around a large area
can be expensive and a time consuming task. A network of OWL systems can be instantly deployed to
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create a virtual fence with high protection levels. Such a virtual wall solution from Magna BSP is cost
effective in the long run and has a clear edge over the competitors.
Criterion 5: Customer Acquisition/Penetration Potential
Due to the increasing threat from global terrorism and intrusion, the need for a reliable intrusion
detection system has increased dramatically. The OWL finds a wide range of applications within the
sector. OWL has an unmatched negligible false alarm rate and a high probability of detection.
Moreover the robustness of the system ensures that it operates in all weather conditions. The OWL
system is rapidly gaining market acceptance and has clients throughout the globe. Some of its clients
are Israel Defense Force (IDF), Israel police ,Israel prison authority , Israel MOD , Israel international
airport , Finland border authority, Japan nuclear security company, Singapore air force, India NSG and
Sydney airport. The ultimate combination of accuracy, efficiency and dependability gives Magna BSP a
leading edge over its competitors.
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The CEO 360 Degree Perspective T M - Visionary Platform for Growth
Strategies
The CEO 360 Degree Perspective model provides a clear illustration of the complex
business universe in which CEOs and their management teams live today. It represents
the foundation of Frost & Sullivan's global research organization and provides the basis on
which companies can gain a visionary and strategic understanding of the market. The 360
degree perspective is also a “must-have” requirement for the identification and analysis of
best-practice performance by industry leaders.
The 360 degree model enables our clients to gain a comprehensive, action-oriented
understanding of market evolution and its implications for their companies’ growth
strategies. As illustrated in Chart 5 below, the following six-step process outlines how our
researchers and consultants embed the 360 degree perspective into their analyses and
recommendations:
C har t 5 : H ow t he C E O 's 3 6 0 Deg r e e P er sp ect iv e M odel D ir e ct O ur R es e a rch ?
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Critical Importance of TEAM Research
Frost & Sullivan’s TEAM Research methodology represents the analytical rigor of our
research process: it offers a 360 degree view of industry challenges, trends, and issues by
integrating all 7 of Frost & Sullivan's research methodologies. Our experience has shown
over the years that companies too often make important growth decisions based on a
narrow understanding of their environment, leading to errors of both omission and
commission. Frost & Sullivan contends that the successful growth strategies are founded
on a thorough understanding of market, technical, economic, financial, customer, best
practices and demographic analyses. In that vein, the letters T, E, A and M reflect our core
technical, economic, applied (financial and best practices) and market analyses. The
integration of these research disciplines into the TEAM Research methodology provides an
evaluation platform for benchmarking industry players and for creating high-potential
growth strategies for our clients.
C har t 6 : B e nc h mar ki ng P e rf or ma nc e w i t h TE A M R es ea rc h
About Magna BSP
Magna BSP, a privately held company dealing with development, manufacturing and
marketing of unique Electro-optic radar systems. Established in the year 2001, Magna BSP
has created a niche segment for itself in this market. It has its presence in the market of
homeland security, military, paramilitary and security products. OWL and EAGLE are the
flagship product lines of Magna BSP. The company’s clients are widespread throughout the
globe .Some of its clients are Israel Defense Force (IDF), Israel police ,Israel prison
authority, Israel MOD, Israel international airport, Finland border authority, Japan nuclear
security company, Singapore air force, India NSG and Sydney airport.
www.magnabsp.com
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