end user in B2B for ~ Personal Protective Equipment
Hello,
I’ve just read the book and found the structure helpful.
However, I am left with a doubt on who the end-user and DMU are in my target market.
I am in the area of wearable exoskeletons to reduce occupational ergonomic risk, so I use PPE as a comparable example in that an exoskeleton is intended to reduce exposure to risk factors for Work-related Musculo-Skeletal Disorders (WMSD).
Now, the worker is the one wearing the exoskeleton, the plant manager (or comparable) is the one selecting the exoskeleton as possible equipment to improve the ergonomics of a given activity, and the company owner (or whoever’s responsive for budgeting equipment) is probably approving the purchase/acquisition.
Any suggestions on how to interpret the situation to inform the 24 steps, and on markets with similar dynamics that I might learn more about?
Thanks in advance!
Stefano
Stefano,
Wearable exoskeletons! Brings back memories of our days with SensAble Technologies. Tough area but things have gotten a lot more favorable in the past 25 years.
You have a good start on breaking things down for the DMU. There could be various ways that this could work but the most obvious one I see is the following:
- Worker ==> End User: This is the easiest one. Since they are using the device and must find it acceptable to use, this is the place to start. If won’t use it, there will be no value generated and the game is over for building a sustainable business. Will they pay for it? That is an interesting question. Probably not the best path but worth considering as it would streamline things. Maybe it could be included in the company’s FSA program (Flexible Spending Account if you are in the US) or some other health benefit available through the company’s health coverage program. Depending on the country it could be the government… Worth thinking about.
- Plant Manager ==> (Possibly) Economic Buyer: As you mention above, this is the most likely (but not the only possible) economic buyer if the equipment is not expensive. If it a significant expense that needs to go thru the capital budgeting process, depending on the size of the company, it could get kicked further up. In that case the the Plant Manager becomes someone who could have veto power or a champion.
- Company Owner ==> (Possibly) Economic Buyer: It seems from your PMR that you believe this person is the EB and she may well be in your context but in the general B2B with larger companies, these types of issues don’t go that far and then the owner simply has more of the veto power. But if it is a big capital expenditure that has to go through the annual capital budgeting process, it may have to go about the Plant Manager but that is company specific.
- What I Think You Are Missing: Who will be the Champion? Who will strongly advocate for this? The Union? The top Health and Safety executive at the company? Others?
In the end, really digging into the DMU will serve you well and getting a rich understanding to answer these questions will be extremely worthwhile for you to invest in. Tough stuff but the payback is better than another week in product development, even if the latter is more fun and seemingly obvious.
One other comment, have you look at Disciplined Entrepreneurship Workbook yet? There are worksheets and a lot more about how to think about implementing the process described in my first book. Make sure to read the chapter about Windows of Opportunity and Triggers. Very relevant to what you are thinking about now.