191904_The Kettle_Revision 1 Davica Thomas

advertisement
Student’s ID: 1500410/1
MDI Critique
1.0 INTRODUCTION
Marketing, Design and Innovation (MDI) teaches us how a product or service changes over time
impacting on cost and quality. MDI gives a new perspective, showing the benefits and constant
technological innovations and improvements within any industry and to satisfy the demands,
needs and wants of the consumer. Kotler’s definition of Marketing states “It is a management
process responsible for identifying, anticipating and satisfying customer requirements
profitably.”
The objective of this paper is to demonstrate the evolution of a product over a period of time, the
benefits, and cost effectiveness, usefulness to modern lifestyle, durability and implementation of
new technology within organizations continuously competing in offensive innovative strategies.
Being the first to manufacture a product.
2.0 INFLUENCE
Overwhelmed by the speed of innovation in its many forms, products and service, being
given this task was not easy to write about, this created some indecision about the product to
be utilized for the assignment. After much reflection it was determined that the kettle, would
be my choice of topic. “The amazing kettle, my time saver.” Many perceive its sleek shapes,
styles and available colors, a convenience taken for granted but used quite frequently. Great!
A good product as any to critique, used every single day at least six to eight times daily.
Incremental innovation has demonstrated that modern technology has significantly enhanced
the lives of modern man, by the continuous improvement of products or services.
Student’s ID: 1500410/1
3.0 CRITIQUE
3500 to 2000 years ago a container was used for cooking by the Mesopotamian, which was hung
on an iron post over a cooking flame. The concept then came about to add two handles to the
sides of the pot as a safety feature when holding it. A spout was also added to control the flow of
hot water when pouring, which then became the invention of the kettle. Trott (2012) p. 15 states
that invention is the process of converting intellectual thoughts into a tangible new artifact
(usually a product or process).
Cast Iron Kettle
During the 19th Century there was an incremental innovation, Trott (2012) p. 213 states that an
incremental innovation will build upon existing knowledge and resources within the firm leading
to the enhancement of its competencies, with the development and design of new materials such
as copper, steel, iron, silver, aluminum and chrome,which were now used. The design feature
being rounded with a flat bottom, allowed this new pot to sit flat. This kettle could now be placed
over direct heat. The benefit of using these new materials was that it reduced the heating time of
the water. This design helped to keep the temperature because of the enclosed physical
appearance.
As people became more aware of the usefulness of the kettle, its safety and its quick boiling
time, a need was expressed by the consumers based on sales for the product, this need was then
fulfilled by the manufacturers. From an idea of a cooking bowl to adding two handles, a spout
2
Student’s ID: 1500410/1
and a lid to a pot, the kettle was invented from metal to fulfill consumer demand, and is clearly
demonstrated in the conceptual framework of innovation.
Science and
Technology
base
Technological
developments
Needs of the
Market
Fig. 1.4. Conceptual Framework of Innovation
“The recognition that innovation, according to Trott (2012) pg. 15 is the management of all the
activities involved in the process of idea generation, technology development, manufacturing and
marketing of a new (or improved) product or manufacturing process or equipment, occurs
through the interaction of the science based technological development and the needs of the
market which was a significant step forward.” (Trott 2012, Pg. 22.)
3
Student’s ID: 1500410/1
Fig. 1.2 The interaction between development of activities and the design environment.
The Spectrum of design activities
Engineering
Product
Fashion
Mechanical
Industrial design
Market/societal change
Electronics
Outward appearance
Style
Chemical
Human factors
Consumer expectations
Manufacturing
Required quality
Research, knowledge and experience built up over time will enable the Organisation to
inform the three areas below
Engineering solutions
Form Concept
Design trends
Functional design
Form
Fashion
Cost effectiveness
Color
Styling
Manufacturing
Graphics
Emotions
Considerations
Packaging
Packaging
Ergonomics
Product
Development
4
Student’s ID: 1500410/1
In 1891 a Systemic Innovation “which only made sense only in conjunction with other
innovations.” Von Stamm (2008) Pg. 426 took place with the introduction of the first electric
kettle by the Carpenter Electric Company. This invention is a two part – system, the element
being in a separate compartment and not immersed in water, also attached to the kettle was an
electrical cord.
Research and Development factors revealed that the disadvantage of the electrical kettle, was the
non-inclusion of an on and off switch when the water reached its boiling point. The consumer
had to monitor and switch off the kettle manually, this was time consuming and also dangerous.
If the water burned off, a fire can be caused, a fuse blown or the burning out of the element of
the kettle. The customer would then have to purchase a new kettle.
Further research and development was conducted to improve this existing product, to satisfy the
demand and needs of the consumer, whilst awaiting the manufacture of a new and improved
quality product, thereby increasing sales.
According to (Murray 2003) “It’s only by understanding what the customer really wants, that we
can identify the innovative opportunities and then we can see if technology can bring to bear on
the opportunity that exist. Being innovative is relatively easy – the hard part is ensuring that
your ideas become commercially viable.”
Research and
Development
Manufacturing
Marketing
Linear Model of Innovation – Fig. 1.5. P. 22
5
Student’s ID: 1500410/1
In 1922 the Swan Company created an electric kettle, whereby the element was sealed in a metal
tube submerged in water unlike previous electric models, which was also slow boiling. This
faster design caught on and soon most companies implemented the following strategies.
Technical designs were constantly changing to suit the different segments of the market.
Evolution of the kettle from the pot on a flame, to an electrical kettle, to a canister and the sun’s
energy which can boil water in minutes. This growth and development over a period of time is
reflected in the S curve, as shown in the model under-mentioned.
Fig. 6.4. Technology life cycles and S-Curves
6
Student’s ID: 1500410/1
As technology evolved, several organizations improved their products, competing for market
share, altering the uniqueness of Design using their core competencies, towards ensuring their
dynamic capabilities were utilized which would impact on the organizations critical success
factors, ensuring customer demands are fulfilled at a competitive price.
Strategies used by organizations such as Bonavita, Sunbeam, Hamilton Beach and Proctor Silex
are as follows.
Offensive
This is launching of one’s product into the market before the competition. According to Trott
(2005), “This strategy demands a significant research and development activity and is usually
accompanied by substantial marketing resources.”
Defensive
The company is quick to manufacturer, design, develop and market using reverse engineering
resulting in a lower cost. “For such strategy the company needs to be agile in manufacturing,
design and development, and marketing so as to respond quickly to those companies that are first
into the market.” (Trott, 2005)
Imitative
Using economies of scale, the company is able to manufacture at a lower cost. Trott (2005)
maintains, ‘The company requires exceptional skills and capabilities in production and process
engineering.”
Uniqueness of the Design Elements
7
Student’s ID: 1500410/1
The kettle has transformed over time, using technological trajectory several designs have been
developed using modern materials, as discussed below.
Glass Kettles
According (Trott 2012 p. 201,202) “Technology in itself does not mean success; firms must be
able to convert intellect, knowledge and technology into things that customer want. This ability is
referred to as a firm’s competencies; the ability to use its assets to perform value- creating
activities.”
Tthe automatic kettle was unveiled and introduced in 1956, this took time and necessitated the
involvement of experiment and people, keeping abreast of technological advancement.
In the 19th century the Cordless Electric Kettle with a 360 degree rotation shows a systemic
innovation meaning the kettle was designed in two parts, the jug with a heating element and
secondly, the cord attached to the base and an electrical cord which can be plugged into a power
outlet.
“To exploit technological opportunities a firm needs to be on a technological escalator.” (Trott
2012, Pg. 197). Technological trajectory impacted positively on this new invention of the kettle
by adding an automatic switch on and off button, which causes the kettle to stop electrical flow
through it automatically, preventing the elements from overheating. Changes such as these were
made to satisfy customer demands. Other features included were varying colors, sizes, shapes,
some even being opaque with measurement markings, to suit the decor of the consumers’ kitchen
or office.
8
Student’s ID: 1500410/1
The end result of this new and improved and reengineered product came about because of a
series of interdependent steps. “Innovative stimulus capacity and performance using creativity,
leadership skills coupled with technology, research and experiment, product and process
innovation as described in Fig. 3.5.(Trott 2012} p.91
Innovation stimulus
Leadership
People Management
Knowledge Management
Creativity
Innovation capacity
Innovation Performance
Technology Management
Product innovation
R&D Management
Process innovation
Management
Fig. 3.5. Innovation stimulus, capacity and performance
21st century modern man realizes the need for more sophisticated and energy efficient products
which specifically speaks to the customer needs, therefore some customers were looking for
heated water, without the use of electricity or flame, particularly consumers who spend lots of
time outdoors, such as campers, hikers, and who may live in rural areas with no electricity. How
do we create a product to satisfy the needs of this niche market? To be competitive the
organization had to develop a new product to suit and satisfy these specific needs and consumer
sentiments, Core competencies and dynamic capabilities were the key to success.
“Technology push refers to research and development being conducted in new technology,
which drives the development of new products.’ (Refer to Fig. 1.5. Linear models of innovation).
This is evident with the introduction of the solar kettle which specifically benefitted consumers
who spent time outdoors or those who many not have an electrical supply. The progress and
development of the solar kettle can be termed as disruptive or radical innovation, which is an
innovation that eventually disrupts an existing market, thereby creating new or even a niche
9
Student’s ID: 1500410/1
market, by improving a service or product in an unexpected way, this may cause a price
lowering, for previously manufactured products.
Fig.1.8. Disruptive Innovation (Trott 2012, Pg. 27) as shown in the diagram below. Disruptive
innovation is an innovation that eventually disrupts an existing market, thereby creating a new or
niche market, by imposing a service or product in an unexpected way, this may cause lowering
of price, for previously manufactured product.
Performance
Traditional
technology
Customer’s demand
for performance
Disruptive innovation
Time
Fig 1.8 Disruptive Innovations
The kettle experienced several incremental innovations over time, at present it has now reached
the stage of radical innovation, by the advent of the solar powered kettle.
10
Student’s ID: 1500410/1
Design of the solar kettle, a radical innovation aspect, is a thermal vacuum tube which absorbs
the sun rays and converts it to energy or heat. Fold out reflectors opens out to generate solar
power, creating boiling water, (technical aspect). These kettles were specifically designed to be
portable, containing at least three cups of water, creating the look and feel of a regular thermos.
As demonstrated by (Trott 2012 Fig. 1.3. Pg. 122) tells us “The object of the design is to meet
the needs and expectations of the customer, good design therefore starts and end with the
customer”.
11
Student’s ID: 1500410/1
High
3
Applications
Engineering
1
Exploratory
Research
4
Combining
Market opportunities
with technical
capabilities
2
Development
Engineering
Uncertainty
about
outpu
Low
Low
Uncertainty about process
High
Figure 3.2 Pearson’s uncertainty map
Source: A.W. Pearson (1991) ‘ Managing innovation: an uncertainty reduction process’, in Managing Innovation, J.
Henry and D. Walker (eds), Sage/OU.
12
Student’s ID: 1500410/1
MARKETING
Marketing is the management process where one can identify the needs and wants of the
consumer, based on research and development estimating or predicting future demands and the
buying behavior of the consumer, ensuring satisfaction through customer relationship and
management ensuring and creating loyalty thereby identifying it’s success factors,
BRANDS
DIFFERENTIATION
Bonavita
Precise goose neck sprout
Sunbeam
Varying temperature adjustments
Hamilton Beach
Variety colors and sizes
Proctor Silex
Variety sizes ,cordless
This can now be further explained using the 7P’s of marketing. Usefulness of the design and
quality as revealed by the swot analysis. Product, The design of the heating element
distinguishes the rate or speed of boiling for the different types of kettles, thereby automatically
shutting off when boiling point is reached, or simmering as some brands are equipped with
different types of settings or adjustments.
The Price is based on the target market, their socio economic status, which can be derived so as
to maximize profits. The product should then be placed strategically as defined by market
13
Student’s ID: 1500410/1
research so as to capture the target market for specific features such as varying temperature
control.
The promotion element can be achieved through advertising, brand awareness, so as to ensure,
the product maintains a competitive edge within the market.
The introduction of new technology dictates that the process of manufacturing leans towards
quality, and added features.
Physical evidence can be seen based on the variety of colors, shapes, styles. It is also important
to consider the general attitudes of people as it relates to their needs and wants as expressed by
the evolving consumer.
Target Marketing.
BRANDS
TARGET MARKET
Bonavita
High Income earners
Sunbeam
High income earners
Hamilton Beach
Upper Middle class
Proctor Silex
Middle class
The innovation cycle of kettles, has evolved based on the above characteristics. Consumer
pattern refers to the degree of change required in the thinking and behavior of the consumer in
purchasing a product (Trott, Pg 62), this evaluates how people buy, what they buy, when they buy
and why they buy.
14
Student’s ID: 1500410/1
BRAND APPEAL
In today’s market, with the many brands and variety of kettles and their constant technological
innovations, it is increasingly competitive and difficult to select one over the other causing the
consumer to purchase your product. A successful brand combines an effective product, a
distinctive identity and added value as perceived by customers. The goose neck Bonavita kettle
is the authors choice of a superior product, as would be outlined by the use of Kotler Brand 6
Levels of meaning.
The Goose neck Bonavita has indeed proven itself to have exceptional quality and deliver
superior performance, as a result of good engineering. The goose neck Bonavita derives
benefits of savings, as a result of new innovative strategies, making it energy efficient. It is also
produced with additional safety features when compared to its competitors.
The Goose neck Bonavita kettle carries with its organizational values as defined by the prestige
allocated to the product, by being in the market for a long time. Organizations culture is also
enhanced as the product is differentiated to suit the various consumer types.
The writer has indeed evolved with the creativity and efficiency demonstrated by the
commitment of the producer maintaining its organizational culture towards the development of
the kettle.The Goose neck Bonavita by virtue of it’s known brand defines the individual
personality of the consumer who chooses it. The author can be defined as a tea connoisseur , who
uses the product for personal satisfaction.
15
Student’s ID: 1500410/1
High Quality
High Price
Low Price
Low Quality
5.0 PATENTS
16
Student’s ID: 1500410/1
A patent is a set of exclusive rights, given to an inventor for a limited period of time. Patents
have advantages and disadvantages. Morris Russel William patented the first electric kettle on
April 11 1960.
17
Student’s ID: 1500410/1
6.0 CONCLUSION
Embarking upon this task was welcomed, as confidence was achieved allowing and enabling
myself to overcome limitations within the organization, acknowledging Marketing Design and
Innovation has been essentially linked to consumer buying behavior and a key element in its
venture of maintaining a competitive advantage. Organizations should implement continuous
technological innovation harnessing the organizations core competencies and dynamic
capabilities as this is the key to satisfying consumer demand, whereby increasing the
organization’s profitability, engaging and influencing innovation.
The author refers to the Pearson’s Model of uncertainty which gives me the platform to evaluate
risks, within the organization. Being a student of MDI has transformed me into a conduit of
information, bridging my practical experience with the now attained theoretical knowledge,
enabling the organization to chart a new way forward.
18
Download