Business Readiness Levels [BRL].ppt

1、Business Readiness Levels BRL,A measure of risk To whom?,Why is this important?,Not every SBIR company is looking to become a volume supplier Some companies may prefer licensing as a commercialization strategy or prefer to outsource production to another entity that manufactures under their label. N

2、Gs BRL model assumes a specific commercialization strategy i.e. to become a volume manufacturer.,Business Models,TRL, MRL, BRL,Aligning the readiness levels,Who should evaluate readiness?,Readiness of any type is best assessed by an independent third party, using a well developed tool However, it is

3、 valuable to apply a tool for self-assessment.,Aligning readiness levels,Conceptually, the intent was to establish a metric comparable to the 9 point TRL scale and the 10 point MRL scale TRLs were first introduced in 1989 by NASA In 2002 DoD began to focus on TRLs. Understanding the maturity level h

4、elps decrease risk and therefore, associated costs,Design a parallel BRL tool,Intent of BRL,The BRL tool developed by NG is intended to provide an indication of business risk to a government entity that is looking to invest additional funds to facilitate technology deployment.,Conceptually,Business

5、Readiness Level refers to those business considerations that have a high probability of affecting the success or failure of a technology transitioning to a government program while adhering to an agreed upon budget and schedule.,How is this relevant to you?,It is important to understand how decision

6、 makers view your technology and companyIt is beneficial to understand perceived weaknesses and what steps you can take to mitigate them.,TWELVE FACTORS,BRL dimensions,Fitness Levels 10 is best,1: Commercialization Experience,DEFINITION The degree to which the management team has successful new prod

7、uct commercialization experience,1: Commercialization Experience,1. Commercialization Experience,The degree of experience you have had with commercialization is a reflection of the situations you have encountered and addressed. Very useful metric for partners, investors, gov Implications for SBC If

8、you do not have the management expertise described here, consider Advisory Boards with expertise as an initial risk mitigator When looking at your technology portfolio, focus on moving at least one compelling opp forward,2: General Management,DEFINITION The degree to which general management executi

9、ves/skills are in place at the company,2: General Management,3. Functional Management,DEFINITION The degree to which functional management (R&D, Manufacturing, Financial, Marketing & Sales) skills/staff are in place at the company.,3: Functional Management,4. Technical Sales and Support,DEFINITIONTh

10、e degree to which the company can provide technical sales support to potential customers before the sale, and provide training technical support, warranty, and repair service to customers after the sale,4: Technical Sales & Support,5. Liquidity & Access to Capital,DEFINITION The availability of cash

11、 to support current operations, The degree to which the company has access to capital sufficient to move the product to the next higher TRL/MRL raise BRL scores, and grow the business. Size of revenue backlog, defined as firm future revenues from signed contracts,5: Liquidity & Access to Capital,6.

12、Competitive Position,DEFINITION The degree to which competition threatens the viability of the product. The full range, from directly competing products, to completely different customer alternatives, should be considered “competition“,6: Competitive Position,7. Customer Knowledge,DEFINITION The deg

13、ree to which the company knows its potential customers, customer applications, and all customer requirement for the product.,7: Customer Knowledge,8. Customer Commitment,KNOWLEDGE The degree to which customers are committed to expend resources sufficient to move the product to the next higher TRL/MR

14、L. A customer is an organization with authority and funding to buy products in quantity. Organizations/programs whose mission is R&D 9such as DARPA, AFRL, ARL, ONR, the SBIR program) and investors are NOT customers.,8: Customer Commitment,9. Affordability,DEFINITION The degree to which the product i

15、s affordable to customers, in terms of R&D, acquisition and deployment operation and support, and disposal costs.,9: Affordability,10. Intellectual Property Management,DEFINITION The degree to which the company is able to protect is own intellectual property through use of patents, trademarks, trade

16、 secrets, license agreements, or non-disclosure agreements,10: Intellectual Property Management,11. Forecast of Sales,DEFINITION The degree to which expected annual sales of the product will exceed the expected total investment,11: Forecast of Sales,12. Forecast Uncertainty,DEFINITION The degree of uncertainty that actual sales will meet or exceed the forecast sales.,12: Forecast Uncertainty,