Any company involved in Research and Development (R&D) will agree it is an exciting journey, and one full of unique challenges. Reflecting on our own journey of bootstrapping and organic growth, we know that learning from past mistakes is invaluable.
While recently reviewing our archives, we were reminded of our SiriuS-2 machine. This impressive dual touch screen vending machine made it all the way to pre-production, unfortunately, though, never to market.
R&D can sometimes lead us astray, such as when the passion and drive to innovate and push boundaries conflicts with commercial realities.
We have learned many key lessons since development of our first smart vending machine, the 46” HD touch screen SiriuS. Falling into the trap of over-engineering a solution is all too easy. Similarly, reinventing the wheel is absolutely to be avoided whenever possible. Keeping a keen eye on project scope is also essential. For instance, the desire to perfect one particular component can take an unreasonable amount from a project’s time and budget. Inevitably this leaves fewer resources available for the development of other components, and negatively affects the end-product.
Developing new solutions is incredibly exciting, but it’s crucial to carefully consider both technological and commercial aspects. When estimating, if you initially think, “this part will only take 6 months to develop and cost £20k”, double it – allow a buffer and plan for 1 year and £40k. Focus on the essential elements that are important for the overall solution, and always include a healthy buffer for both time and budget in your R&D project management.
Finally, think about how you will produce the finished solution in volume. If a client places an order for 10,000 units, consider how you can price this aggressively, scale your business resources to cope with the production demand, and all while still delivering each unit to the same high level of quality. This production challenge is particularly significant for SMEs dealing with expensive hardware.