Product Innovation MID-TERM

Imran Hashmi Paras Irshad Salman Gul Iqra Shokat Usama Shamsi

Table of Contents
1. 2. 3. 4. 5. 6. 7.

Introduction Team Structure Business Concept/ Model Mission Statement Production Plan Marketing Plan Human Resources Plan

Introduction
Portavations is a company conceived by young techneupreneurs that aims to be a pioneering manufacturer of AMS (Appliance Managing Systems).

We at Portavations are introducing two AMS models, one is our standard household model which is called PortaControl, with PortaControl users can manipulate (switch on and off) 4 home appliances the other product is called PortaControl4U which is customized according to the clients usage.
The main driving force behind this venture is the need to have AMS by making it more accessible in Pakistan, since a product of this nature is uncommon of we also aim to make people aware of the usage of AMS. Portavations makes use of wired and wireless technology for an architecture completely based on standard communications protocols. The end result is a line of products enabling people to configure their home appliances and giving them more control within the confines of their homes and outside too Information, data and drawings embodied in this business plan are strictly confidential and are supplied on the understanding that they will be held confidentially and not disclosed to third parties without the prior written consent of Portavations
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Team Structure
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In order to achieve the benchmark that we have set for ourselves Portatvations has assigned specially qualified managerial professionals to keep abreast of the technological developments within the industry.
Paras Irshad MANAGING DIRECTOR parasmd@portavations.com Imran Hashmi CHIEF TECHNICAL & FINANCIAL OFFICER imranctfo@portavations.com Iqra Shaukat BRAND MANAGER iqrabm@portavations.com Salman Gul HR MANAGER salmanhr@portavations.com Usama Shamsi LINE MANAGER usamalm@portavations.com
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0301-8287222

0302-8287222

0303-8287222

0304-8287222

0305-8287222

Business Model
modus operandi
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Our AMS systems uses wireless technology to function, the main components include a Bluetooth module, a GPRS modem and a GSM module. So after a PortaControl is purchased the user can register 4 appliances by either running our Android application (which runs by Bluetooth or SMSs) or by sending text messages to the main GSM component.

After registration the four appliances can be switched on and off by running the Android App or by sending a text message denoting a specific appliance.

Business Model
value proposition
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Successful business models convert new technologies into economic value, in our case the innovation lies not only in our products but in the model itself. The market for AMS in Pakistan is still untapped and has tremendous potential to grow. Value proposition: everybody and anybody who owns a home, purchases home appliances, there has not been considerable evolution in the way that these appliances are used. We want to provide solutions to ease the usage of appliances, the benefits this will reap are: 1. Energy conservation 2. Minimizing of energy bills 3. Time and cost effectiveness 4. Ease of operations

1.

2.

Business Model
market segment
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Anybody and everybody who runs a household or owns a sizeable real estate and has a cell phone. People who have a friendly outlook towards technology. People who are easily influenced by technological advancements. Potential consumers are identified further in to this document.

Business Model
revenue generation
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Revenue making channels are the following: Selling standard PortaControl units. Selling PortaControl4U units, more profitable. Advertisements on the Android applications.

1. 2. 3.

Mission Statement
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The fundamental mission of Portavations is to provide its clients with convenience protect the life and property of the customers we serve in a manner consistent with the highest ideals within our industry and to take advantage of those scientific advancements which will help us succeed in that endeavor. We dedicate ourselves to providing unsurpassed, personalized, quality monitoring of appliances.Whether your concerns are residential or commercial, we provide customized solutions to suit your needs. PortaContro has committed its energies to a policy of teamwork, reciprocal understanding and growth in the long-term business relationships with our customers and employees alike. We endeavor to be the preferred AMS for all whom we serve and pledge to conduct our business with uncompromising honesty, wisdom, discretion and sound judgment.This commitment extends to customers, employees, stakeholders ... and to the communities and the industries with which we do business.

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Production Plan

Production Contracts
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We will be outsourcing our supply line through giving out contracts. Contracts of hardware components will be given out.

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Material Acquirement
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Components for the product will be acquired from wholesalers. The components will not be made in our supply line.

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Hardware Components of a single unit of PortaControl

1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12. 13.

Regulator IC (7805) Regulator IC (7812) Diodes/Bridge Rectifier Transistor Relay LEDs Capacitor Bluetooth module Max 232 IC LCD Crystal GSM Module Power Supply

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Costing
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Costing of the hardware components per system would be approx PKR 6500. Cost of assembling the items would be approx 1000 to 1500 inclusive of labor. Cost of Delivery and Installation will be discussed with the distributor and bidding will be done on contracts. Cost of customized equipment will be charged as per order.

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HARDWARE COMPONENT Regulator IC (7805) Regulator IC (7812) Diodes/Bridge Rectifier Transistor Relay LEDs Capacitor Bluetooth Module Max 232 IC LCD Crystal GSM Module Power Supply

QUANTITY 100+ 100+ 100+ 100+ 500+ 100+ 5000+ 100+ 100+ 100+ 100+ 100+ 100+ TOTAL TOTAL Cost/Unit(Appro x)

APPROX. COST / Unit in PKR 35 37 20 40 12 10 45 900 50 200 25 3000 300 4674

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6500

External Requirements
Client ` Mobile Phone Supporting our Application
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Controller used to manage electrical appliances

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Marketing Plan

Overview
PortaControl and PortaControl4U are products desperately needed in the local market. We aim to introduce it only in Karachi, as our test market, at least for the first year of operations. Since Karachi is the industrial hub and is also the financial capital of Pakistan, it is our first priority to gain the market in Karachi since our product is a solution to problems that most of the companies, businesses and households face here.

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Marketing Aims and Objectives

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To introduce a feasible solution for a frequently identified problem. To capture the target audience using effective marketing and promotional tools. To establish our products as the first of its kind solution. To establish a brand identity and a prominent presence in the electronic market.

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Target Market
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The Industrial Sector

We aim to provide a solution for cost cutting in the different industries by extending a product that can help manage the resources in an easy, efficient and cost effective way.

House Owners

People who want to run their households without incurring heavy electricity bills.
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Businesses

Implementing this device can cut overall costs in organizations, making them achieve their core objective of profit maximization.

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Target Audience
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Geographic:
Karachi

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1.

Demographic:
Gender: Male and Female (But mostly people who would have the financial and individual liberty to implement this system either in their houses or business) Age:Typically 25 and above (Depending on role in family and business)

2.

Psychographic:
Enterprising individuals that want to use their electrical resources in a more efficient manner.

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SWOT Analysis

Strengths
- Advantage of being an industry pioneer. - Offering a solution to a widely recognized issue. - Can reduce electricity bill to a significant degree. - Can be customized to fit users preferences. - Simple functioning - Customizable

Weaknesses
- Easily replicable - Difficult to explain the functionality to many households. - No repeat purchases

Opportunities
- Can expand into many different industries. - Export opportunities

Threats
- High potential for
competition - Component delivery time depends on outsourcing. Delivery time can lead to a lag in production.

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Industry Analysis
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Since our products is the first of its kind, this is a whole new initiative put forth, leading to the inception of an industry itself. Its functionality enables it to be adapted in almost any industry since all industries rely on electrical resources and also aim to be cost efficient.

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There are home automation systems available, but not so widely implemented in the local market. But this is different from any of those systems. The key element is the ease and comfort with which one can have the control of their house hold appliances and businesses at their fingertips at all times.

That is our

Unique Selling Point.

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Application in Different Industries

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Service Industry.
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(hotels)

Health Industry.
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(hospitals)

Education Industry.
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(classrooms)

Production Industry.
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(production line)

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Positioning
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A high quality product. Environmentally conscious. Good to save money. For socially responsible ventures and individuals.

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Marketing Mix
Price PortaControl @Rs. 25, 000 Standard System with 4 relays. PortaControl4U Customized product will be priced in accordance to the number of relays added to meet customer need.

Place:
All major stores carrying basic electronic equipment: Aghas, My Super Store, EBCO, Hyperstar, Dolmen Mall.

Wont have its own personal outlet but will be at major stores all over Karachi. Promotion: A mix of ATL, BTL and PR, with strong focus on PR and BTL.

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Marketing Mix- Packaging

Simple Design, Product features on the box. Extensive User Manual inside.

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Public Relations
Its important to develop necessary relations with stakeholders, especially the customers, within the first year of operations.
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With in a year, we aim to gain recognition in the public and be known as a must have for the target market.

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Public Relations
This is can be done by building a customer base using public relation tools like:
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Public Service Messages Online advertorials Corporate videos Sponsorships

The PR campaign will kick off half way through the marketing year in order to first establish presence in the market through ATL and BTL and then use the customers recall to reinforce good values to be associated with PortaControl.

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One of the key mediums that we aim to use is Social Media so that awareness of the product increases.
(while this product has a target market that is not typically on facebook, it would still be effective to educate as many people as we can about the product at hand so that brand and product recall increases and a general buzz is created)

The aim of the social media campaign is to get the attention of the people who create the hype.

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Timeline
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May 2012 Release three promotional videos in a

sequence. First one can show just the introduction of the product, the next will be released to communicate the features and usability and the third one will be a proper advertisement video. These will be done on social media like facebook, youtube etc.
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June 2012 Print Ad in Dawn for 2 Sundays in the

month. Rs 40, 000 x 2.

July 2012 Launch Website August 2012 - Sponsorship for a corporate Event
like Brand Managers Forum Rs 50, 000 (inclusive of 10 minute session at the event for PortaControl)

September 2012 Product trial and promotion at

different institutes in Karachi.

Handing out advertorials and promotional material.

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Marketing Budget
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October 2012 Public Service Messages about electricity wastage and preservation of resources. November 2012 Release corporate videos to

other businesses. Focus on the need for social responsibility. Launch TVC on Business Plus
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December 2012 Focus on generating good WOM

in newspapers, magazines.

January 2013 - Extensive marketing at corporate

events through sponsorships.

February 2013 Incorporate the product in 5

different businesses and do case studies on them. Have them use and endorse the product through social media.

March 2013 Video release on the impact that PortaControl has made so far Showing the customers that its a growing phenomenon and that they too should go out and get it. April 2013 Publish reports for different stakeholders.

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Marketing Budget
What? 1 Print Ads 2 Domain Name and Webhosting 3 Sponsorship 4 Promotional Material to hand out 5 TVC for business plus 6 Sponsorship(s) 7 Free product trial 8 Reports When? How many? Jun-12 Jul-12 Aug-12 Sep-12 Nov-12 Jan-12 Feb-12 Apr-12 Cost

2 Rs. 80 000 1 Rs. 4000 1 Rs 50 000 1000 Rs 10 000 1 Rs 1500000 4 Rs 100 000 5 Rs 125 000 Rs 20 000

Total

Rs 1889000

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Human Resources Plan

HR Plan
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It is essential for a company to have an extensive HR plan. - Roles and Responsibilities of Team Members Throughout the Project - Staffing Management Plan to Include: ` - How resources will be acquired ` - Timeline for resources/skill sets ` - Training required to develop skills ` - How performance reviews will be conducted ` - Recognition and rewards system

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HR Plan
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Project Manager (PM), (2 positions): responsible for the overall success of the two products, namely PortaControl and PortaControl4U .The PM must authorize and approve all project expenditures. The PM must possess the following skills: leadership/management, budgeting, scheduling, and effective communication. Design Engineer (DE) (2 positions): responsible for gathering coding requirements for the Software Upgrade Project.

Implementation Manager (IM) (1 position): The IM is responsible for the distribution, implementation, and monitoring of the new software upgrade. Training Lead (TL) (1 position): The TL is responsible for training all the sales staff and customer care staff. Project Organizational Charts This section provides a graphic display of the project tasks and team members. The purpose of this is to illustrate the responsibilities of team members as they relate to the project tasks. Performance Reviews: The project manager will review each team members assigned work activities at the onset of the project and communicate all expectations of work to be performed.

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HR Plan
Recognition:
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- Upon successful completion of the Software Upgrade Project, a party will be held to celebrate the success of each team member with the team members families present. - Upon successful completion of x number of KPIs - Team members who successfully complete all of their assigned tasks will have their photo taken for inclusion in the company newsletter. - The company will provide free family movie tickets for the top two performers on each project.

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Exit Strategy

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