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Mary Kaye Denning |
| NASA Glenn Research Center,
Cleveland, OH 44135 |
|
August 12, 2008
|
Hi. I’m Mary Kaye Denning. Thank you for
coming today. I’m delighted to be here with you and, more
so, because this gathering --a cross pollination of
inventors, process people and manufacturers-- is symbolic of
how we can create opportunity for ourselves, by creating
orders for American
manufacturing.
To give you a little background about me, I moved to Cleveland
in the fall of 2006.
I grew up in rural North Carolina. After graduation from UNC, I
moved to New York City for a six-month internship. It worked
out, I stayed thirty years. In the course of my career: I’ve
been a student, a researcher, a designer, an inventor, a
manufacturer, a marketer, a retailer and an
entrepreneur.
Looking back, I’ve been successful; and more than once, I’ve
had to dust myself off and start
again.
I’ve made money; I’ve lost money. I’ve tied my well-being to my
dreams. All of these personal experiences lead me to see -- for
those of us in the innovation industry -- a
better-way-to-market for ideas.
I’ll explain more as we go
along.
Everyday, someone asks me, so why Cleveland? Well, folks,
Cleveland is like living in Disneyland for a garage inventor,
like me.
I’ve learned the hard way: an idea goes nowhere without process
people. And Cleveland is a land of
opportunity.
I was looking for a manufacturing culture--hard-working people
with community-based values, a ready and able community of
support services, and a high concentration of contract
manufacturers with excess capacity to sell. I’ve found it
here.
Let’s face it, contract manufacturing has had either bad press
or no press, which results in many unenlightened people saying
that innovation and American manufacturing are withering on the
vine. But I argue, they are dead
wrong.
Today, with this conference. my vision of organizing a
community that assembles innovation comes to
life.
In our community, there are inventors, innovators, process
people and manufacturers, appropriately aligned with on the
ground economic development leaders. You know, a community much
like our audience today. I believe it is this mindset — a
supply chain for the American inventor — that can refuel the
American dream.
So, where do we
start?
First, we must correct the disadvantage that independent
innovators must overcome relative to big business. Independent
inventors for the most part, don’t have a process, and
consequently, they don’t have a relationship with the service
people who they need to get the product development job done.
Having spent a career working in New York designing consumer
products and making them production-ready, I have come to
realize that new product-development tools and resources are
skewed to favor enterprise-based businesses, that is, companies
organized by task, a way of streamlining and processing
innovation.
Getting new products to market is an overwhelming task for the
independent inventor. But it is much less so for big business.
They have people on staff to assign to projects —
.they have idea people, research
and development people, product design people, engineers,
production people, attorneys, and marketing
people.
Simply put, big business is prepared to cover the bases from
start to finish. While the inventors and many contract
manufacturers, who became accustomed to branded manufacturers
doing those jobs, have none of these
advantages.
And so my move to Northeast Ohio, to be on the front lines of a
manufacturing community looking for orders, was my first step
in doing so.
Today is the day our revolution begins. I invite each of you to
join in and become a part of the renaissance in contract
manufacturing. Together, let’s Re-invent, “Made in
USA”.
Innovation is a part of the American culture, just like apple
pie and ice cream. We’re a nation of immigrants. Many of these
immigrants came in pursuit of a dream that couldn’t be attained
in their native countries, because of class or another barrier.
Once in America, they found opportunity to apply practical
solutions to problems they faced. These practical solutions
improved our way of life.
Their inspiration came from daily experiences. The innovation
that followed became the democratizing factor that enabled the
average American to benefit from the luxuries and lifestyles
once reserved for the socially
elite.
Think about it... every industry in America began with one
person’s bright new idea, or someone’s persistence at refining
it. Just think, right here in Cleveland, industrial giant John
D. Rockefeller exercised his vision of how to refine and retail
gasoline. Another native of Ohio, Thomas Edison, didn’t invent
the original light bulb; but he did perfect a 50-year old idea
with a process improvement, the incandescent light
bulb.
George Westinghouse wasn’t the first to bring electricity to a
city; Edison did that in New
York.
But, Westinghouse did improve upon Edison’s work and introduced
alternating current which made it possible to transmit power
over long distances.
Several people from Ohio, including Scottish immigrant and
Clevelander Alexander Winton, made cars; but, it was Henry Ford
who introduced the transforming process of demand, the assembly
line, making every citizen a
customer.
Silicon Valley; and all that it connotes, began in 1938 with
Bill Hewlett and Dave Packard inventing and manufacturing
electronic equipment in their garage at 367 Addison Street in
Palo Alto, CA. The garage and the company still
exist.
So what does this history lesson tell
us?
--There is no industry that can survive without
innovation.
--Products don’t mysteriously make their way to
market.
--Innovation goes nowhere without research, engineering,
marketing and a whole lot more.
--Without a new product development mindset, there can be no
trading. No way to make a
profit.
But, if we cultivate inventors and give them access to the
resources they need to bring ideas to market, orders will
result.
It’s now 2008, and we suffer from excess manufacturing
capacity, idle machines, laid-off workers, an inability to
connect with like-minded process people, low to no visibility
of our factories and a low pulse on consumer demand — all
because we’ve been waiting on someone else” to do the job for
us.
It’s time to stop waiting. Together, let’s reinvent, “Made in
USA”.
We know that the spirit of innovation resides in the soul of
America. Those independent inventors bring solutions that solve
problems and feed the food chain along the way. And, that many
of these new ideas breed jobs and even kick start industries.
So, you can believe that re-inventing Made in USA starts by
connecting people in contract manufacturing to innovators who
can create orders.
What happened to American innovation?
Let’s look at this timeline and find the
answer.
We’re in the 1890’s...Thomas Edison, the father of the US
Census Bureau, identifies the profession ‘inventor’ as a job
classification. Think Robert Fulton. Alexander Graham
Bell.
Let’s now move forward and look to the moment after the Great
Depression started.
Capital dries up pushing out-of-work independent inventors into
working for corporate America in order to feed their families.
Research labs, universities and the US government now own the
bulk of their output.
Moving forward, the decade of the 40’s put us at war. During
that time, the US Census Bureau removed the job classification
of ‘inventor’ from its data
collection.
So, in relative terms, with the stroke of an administrator’s
pen, Thomas Edison is unemployed. Just think about that. And at
the end of that decade, the manufacturing sector — the first
service industry of all times— is reclassified as a
“consumable” by the Census Bureau, putting it in the same
category as fish.
This re-classification, in our opinion, drove manufacturing
away from its core competency, jeopardizing the very essence of
its existence — a warranted privilege:
being in service to
its customer.
The decade of the 50’s, with the war over, led off with Wall
Street increasing pressure on manufacturers to deliver higher
returns on their capital, encouraging the industry to find
lower labor costs.
The 60’s, a time of striking contrast, Corporate America goes
vertical causing manufacturing to lose further touch with its
customer. Inventors, unable to survive independently, get a
fancy education and don a three-piece suit or lab
coat.
The 80’s, Globalization becomes a manufacturing strategy to
deliver higher returns on capital. Outsourcing, especially to
Asia, influences design leading to mass production of
more-of-the-same, just cheaper.
The 90’s...
Wal-Mart ushers in unprecedented retail discounting.
Merchandisers insist cheaper keeps the registers ringing.
Contract manufacturers start to see red and the bleeding can’t
be stopped. It becomes apparent that the American contract
manufacturer is left holding the bag. Today, popular opinion
says “imports conquer all.” Contract manufacturers are
scrambling to figure out, ‘how are we going to make money
now?”
Compared with the past, what happened? The short answer is we
lost the connection between the vital people — the innovators,
the new product development people, contract manufacturers, and
the workforce.
So, how did this happen?
It’s not a simple answer. It was a combination of factors
including technology providing different ways to do business.
This started whittling down the people factor in business. We
didn’t have any idea of what we lost until we felt the pain of
an economy with fewer things to make here at
home.
But when innovation succeeds, contract manufacturers fill
orders. The task of our non-profit, GaragelnventorLive.org, is
to cultivate inventors so they can connect with new product
developers. This is the quickest way to create new factory
orders.
Garage Inventors are the voice of the American consumer. They
sense, feel and see opportunity. In response, they come up with
practical solutions that make life
easier.
And businesses grow. By empowering inventors with a
manufacturing language and by giving them access to better
tools, they will build opportunity for themselves which will
put more business into the
pipeline.
When we open the playing field to
everyone
— a scientist, a stay-at-home morn, an engineer, a retiree, a
nurse, a painter, we have the catalyst we’ve been looking for.
This opportunity will give everyone a chance to prove their
ideas’ worth.
GaragelnventorLive.org will be the place to get started and
make your connections. It’s the place where every inventor will
have the opportunity to link up with process people and build a
supply chain. This transforming approach to innovation will
give inventors a way to trust in the organized process of
getting-to-market. Gaining confidence in their skills allows
them to return their attention to what they love to do,
inventing.
By following a course of action with clearly defined
deliverables, the inventor is empowered to connect with people
who can test a concept, engineer it, run it through the
gauntlet of marketing hurdles — and turn his idea into a
commercially viable solution. With a marketing plan in hand,
the independent inventor is ready for a presentation to a
manufacturer, an investor, or an
entrepreneur.
Think about the way our economy
works.
What is the business of manufacturing? The global answer is to
build the economy. To get a perspective on this statement,
think China. Now, within that context, what is the economic
role of the inventor, and every other workforce participant?
Well, if you’ve never thought about it, their role is to create
new jobs. So, if we work together, we can re-fuel the American
dream by building a stronger economy and more new jobs. This
will place a new foundation under our transitioning economy,
starting right here in Northeast
Ohio.
Independent inventors sometimes don’t understand the value of
process and often lack the business skills needed to
communicate. GaragelnventorLive.org, when operational, will
provide a platform where they can get started and move forward
in a progressive manner by using the Garage Inventor’s Supply
Chain™.
There are hurdles to overcome. Production-ready can be equated
to the Holy Grail. But with sequencing the tasks and bringing
the right process people online when needed, we can reduce the
time to market and the expense of doing
so.
It’s been well proven that supply chain management eliminates
wasted energy and the misuse of both human and financial
resources. We know that for a supply chain to work, every
provider is dependent on the subsequent link
partner.
Try to skip a step and the process locks up like a computer
with insufficient memory. Now ask yourself, how many times has
doing things out-of-order killed a good
deal?
GaragelnventorLive.org will be the place for inventors to build
their supply chain. It’s going to be a place for providers to
list their core competencies for-hire, to match and interact
with other process people.
Contract manufacturers, once dependent on others to bring
orders, will now be empowered to build the relationships they
need and develop the products they need to grow. We have to be
proactive and adopt a new mindset. If contract manufacturing is
ever going to get back in the game, there’s no better way than
by linking production with an investment-worthy inventor. I’ll
say it again; garage inventors are the voice of the consumer.
We must cultivate their
services.
They see problems and create solutions. If we do this, we put a
face on American manufacturing
again.
GaragelnventorLive.org will be the Capital of
Know-how™—the Garage Inventor’s new product development
platform and the headquarters of America’s manufacturing
process people.
It’s already under construction. And if you go to
GaragelnventorLive.org, you’ll see the outline of our vision, a
hint of what’s to come.
© 2008 - 2009 Mary Kaye
Denning GarageInventorlIve.org
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