Just sit back for a minute and think of the process involved to deliver you the computer sitting on your desk or the phone sitting in your hand (I am assuming you are reading this column in an electronic form of course). As electronics companies grow in size and complexity and the devices themselves grow in intricacy, this process has evolved into a precisely tuned procedure where many parts are moving at the same time – often in different parts of the world - to deliver the final product. It all starts with the concept team to imagine what consumers might want in a product. These people are futurists as they are trying to predict what consumers will want years in advance.
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As much as these futurists make a range of decisions on specifications and design, a company about to invest a number with lots of zeroes in it wants to be sure - so another team will perform extensive market research. After the green light from the product research team, the product goes into design development to work out the exact componentry that will make up the product. Most products have many new components contained within and a list of annual new patents issued. The list of companies with the most patents in 2015 reads IBM; Samsung; Canon; Qualcomm; Google; Toshiba; GE; Intel; Microsoft and Sony with 36,108 patents amongst them. In 1984, the top 10 companies only had a combined total of 4975 patents. With high-end computers to aid in the final design, a perfect working model is produced… on a computer screen. Extensive testing is undertaken on a virtual product before even the thought of producing a prototype. Designs are tweaked and subtle changes are made. A common-sense test is typically applied by a separate team. Engineers sometimes miss practical concepts that are relevant in the real world. “It might look great, but putting the power button on that side won’t work for left-handed people.”
Finally, after all of the above, a prototype is produced. Not just one but hundreds. They are used, tested, dropped, bounced and generally abused. There was the famous incident when an employee of a major electronics firm was using a prototype at a bar one night and got a little drunk and left it behind. Social media lit up when someone found it and posted the info. Either one of two things happened. The employee was fired for being so silly or was given a promotion for helping build up demand for the product when it was finally released!
After the prototype testing phase, it is time to start manufacturing. It is one thing to produce a few hundred of a product. What about if you want to produce a few million? Donald Trump has said he wants Apple to manufacture iPhones in the United States. That sounds great – but Foxconn is the current contractor engaged to manufacture iPhones and they have 150,000 employees in Asia dedicated to the task. Where do you suddenly find factory space and the employees in the US to take over? In addition to these employees, you have a myriad of suppliers in your supply chain and they need to have the ability to produce the quantities you want. Any one break in the chain and manufacturing stops. After all the testing and research and predictions, this is where the tough decisions are made. Over-manufacture and risk not selling all the products or under-manufacture and miss out on sales. Once you have a few million shiny widgets sitting on the factory floor, what is the process to get them into the hands of your consumers. Direct sales? Company owned stores? Partners? Chain stores? How do you market your product to let the world know that this wonderful new product is available?
When all of this is set in place, I am sure there are thousands of people who then sit back and cross their fingers and hope that it all goes according to plan. With so many variables, there are times when consumers complain about an issue that goes wrong. I tend to look at the flip side. With such a complicated process and so many variables, I am amazed at how many products the manufacturers get right every single day.