2012/06/29 Leave a comment
Our industry needs a better methodology for managing robotics development.
I just a had a great entrepreneurship conversation. My entrepreneur friend opened my eyes to the possibilities for robotics in an industry, platform space, and application that I had pretty much written off. The application was using robots to collect data–the simplest and earliest task for any class of robots. He had taken a fresh look at an industry he knew intimately and seen that there was an opportunity to do something extraordinary and make some money.
This friend is not a robotics expert, but he’s been awakened to the potential in the robotics field. His big concern and great hesitancy to jumping into this business is establishing a workable business model. He sees the potential in the opportunity with the vividness of an insider, but when it comes to the robotics he could use, he sees the immature, expensive junk of an outsider’s eye. He’s vividly aware of the danger he might not structure the business or implement the technology in such a way as to be the guy who becomes profitable and grows first. He saw that it would take a lot of money and time just to prove out the concept and that it might take much longer to figure out the right business model. Meanwhile, his fledgling robotics company would be burning cash at the combined rate of a software, hardware, and an operations company with a direct sales force–not a very pretty proposition.
I didn’t really have anything to say to him on that front other than hackneyed cliches about iterating, pivoting, and the value of moving early. It really occurs to me that my friend is already following what little we know about how to build a robotics company. Be a great whatever-you-are first (medical device, logistics solution, toy, etc.) then have it be a robot. Don’t market the thing as a robot; market it as a new technology solution to a real problem that is worth money to solve. Be willing it iterate (fail on first attempts). Go to market with the least capability that you can get paid any money at all for. All great principles, but it seems like we’re still missing the kind of prescriptions that have developed for software.
The Lean Start-up movement, combined with movements like Agile Development have brought much more rigor to how software development in early stage companies is managed. More traditional software and engineer models are still applicable to projects where the desired outcome is well known. In most of my conversations with engineers, it seems like robotics engineering has not reached a similar stage of maturity. It is difficult for robotics engineers to communicate to business leaders when they will know something that allows for opportunities in business decision making, let alone accurately forecast the true cost of a development job.
The most successful robotics companies do a great job managing development. However, when you talk to their founders or engineering leads, they are often at a loss to explain what they did differently from failed efforts. They might explain how they avoided some basic pitfalls–like outsourcing design work–but they often have a very difficult time offering an affirmative description of what they did, why it worked, and how they kept the engineering process and the business on track towards the correct goal. If robotics is ever going to be the semi-conductors of the 80’s, web of the 90’s, or social and mobile of today, our industry will need to develop a compelling description of how to stay on track towards successful technology and business outcomes.