Innovation Of PT5 Walk-behind Trencher

Innovation ofPT5 walk-behind trencherApril 28, 2011Lisa Brown Elizabeth DekinderRobert Parrish Chase Vencl

Table of Contents1. Team Purpose . 31.1 Mission Statement . 31.2 Problem Statement . 32. Statement of Work . 32.1 Statement of Work . 32.2 Location of Work . 32.3 Period of Performance . 42.4 Deliverable Schedule . 52.5 Special Requirements . 53. Task List . 53.1 Product Development . 53.2 Design/Construction . 63.3 Testing/Evaluation . 63.4 Market product . 64. Market Research . 74.1 Demographic characteristics of audience . 74.2 Industry performance . 74.3 Current and potential market size . 94.4 Market research . 104.5 Applicable standards and regulations . 114.6 Acceptance Criteria/Safety information. 124.7 Key industry gatherings . 124.8 Key trade publications . 124.9 Further Market Research . 134.10 Management team and key people involved . 134.11 Product line. 144.12 Manufacturing expertise and capacity. 144.13 Marketing Techniques . 144.14 Brand, Reputation and Trademarks. 144.15 Distribution/dealers . 154.16 Ditch Witch’s financial condition. 154.17 Available financing. 164.18 Market Shares . 165. Design Research . 165.1 Scientific Literature Review. 165.2 Durability, reliability, maintenance costs, maintenance programs . 205.3 Characteristics Technically Possible . 205.4 Safety Issues . 205.5 Patent Searches . 215.6 Physical Testing & data collection. 21April 28, 2011 Page 1Spring Final Report

5.7 Modeling and Simulation . 216. Product Specifications . 226.1 Production Specifications . 227. Customer Requirements . 227.1 Customer Requirements . 228. Design Concepts. 228.1 Generation of Design Concepts . 228.2 Design Process . 238.3 Design Specifications . 248.4 Design concepts . 269. Design Evaluation . 319.1 Feasibility evaluation of possible designs . 3110. Project Budget . 3410.1 Material list and costs . 3410.2 Market projection . 4210.3 Return on Investment . 4311. Marketing/Campaign . 4511.1 Objective . 45Our objective is to sell 1,000 units within one year after release date to dealers in Oklahoma,Kansas, Texas, Colorado and Missouri. . 4511.2 Strategies . 4511.3 Tactics . 4511.4 Marketing campaign budget . 4611.5 Monitoring measurement/success of tactics . 4712. References . 4812.1 Conversations/Personal Communication . 4812.2 Related research. 4812.3 Patents . 4912.4 Websites . 4913. Appendices . 5113.1 Appendix A – Ground Breakers . 5113.2 Appendix B – The Charles Machine Works Inc. . 5113.3 Appendix C – Design Research . 5113.4 Appendix D – Industry Research . 5113.5 Appendix E – Market/Campaign Research . 5113.6 Appendix F – Campaign Materials . 51April 28, 2011 Page 2Spring Final Report

1. Team Purpose1.1 Mission StatementGround Breakers is devoted to exceeding our client’s expectations within the marketing,design and profitability aspects of our resourceful products. Our intent is to provide a productpromoting the company’s growth and development within the competitive marketplace.1.2 Problem StatementOur objective is to market, design and produce a PT5 Walk-behind Trencher with designspecifications provided by The Charles Machine Works Inc. that serves a specific audience within aprofitable business plan.2. Statement of Work2.1 Statement of WorkThe Charles Machine Works Inc. (Ditch Witch) of Perry, Okla., requested a design for asmall walk-behind trencher with the following specifications: weight of 180 to 200 pounds; smallengine size (around 5hp); maximum trenching depth of 20 inches with variable depths; andmaximum trenching width of 3 inches. In addition, Ditch Witch would like to spend no more than 1,750 in production costs, in order to market the product between 2,000 and 2,500.Comparing the potential prototype to key competitors, the small trencher will be targetedtowards rental yards, in addition to construction and landscaping businesses. The prototype couldbe used by the construction and landscaping industries for preparing areas for electrical (TV andInternet) cables, in addition to sprinkler/small irrigation systems intended for homeowners. Thisproduct has the potential to be marketed through major home improvements stores, such asHome Depot or Lowe’s – targeting homeowners with similar projects of installing fencing andirrigation.2.2 Location of WorkResearch, design and product development design took place in the Biosystems andAgricultural Engineering computer lab at Oklahoma State University in Stillwater, Okla. DitchWitch fabricated the digging teeth and frame at their headquarters in Perry, Okla. TheApril 28, 2011 Page 3Spring Final Report

construction of the prototype took place in the Biosystems and Agricultural Engineering lab.Additional product testing will take place at Cowboy Motorsports, located at Lakeview andWestern in Stillwater, Okla.2.3 Period of PerformanceIn fall 2010 we set the following as completion goals: Dec. 9, 2010, Ground Breakers willpresent preliminary designs and marketing strategies for constructing a PT5 Walk-behindTrencher. Beginning in January 2011 our group will gather/purchase/fabricating materials tobegin the construction of the prototype. We are setting March 11, 2011, as our constructiondeadline. We are planning to compete product testing and revisions by April 1, 2011. This willallow for marketing and campaign strategies to be completed for final presentations April 28,2011.April 28, 2011 Page 4Spring Final Report

2.4 Deliverable ScheduleThe following deadlines we must meet and complete in order for our group to be successful:Ground Breakers Deliverable ScheduleDateNov. 1, 2010TaskDeliver toPreliminary sketchesTeamWork Breakdown StructureInstructorsMarketing meeting with Matt Collins at Ditch WitchDitch WitchReturn Groundhog T-4Ditch WitchNov. 15, 2010Proposal Report – 1st draftInstructorsDec. 9-10, 2010Fall PresentationsInstructors/DWDec. 13, 2010Self, peer & class evaluationsInstructorsGroup Web page dueInstructorsDec. 17, 2010 (nlt)Deliver list of materials to clientDitch WitchMarch 11, 2011Construction/building prototypeTeam/Ditch WitchApril 1, 2011Complete testing, repairs & revisionsTeam/Ditch WitchBegin marketing and campaign strategies/tacticsTeamNov. 5, 2010April 29, 2011Final PresentationsMay 6, 2011Deliver prototypeDitch Witch2.5 Special RequirementsGround Breakers traveled to Perry, Okla., to visit Ditch Witch to retrieve parts andcommunications materials during February – April. A list of materials was provided on Feb. 4to ensure all components were delivered in a timely manner.3. Task List3.1 Product Development Initial research (Before Oct. 22, 2010 - completed)o Ditch Witch’s purpose, products and resourcesApril 28, 2011 Page 5Spring Final Report

o Industry and market sizeo Competitors’ purpose, product, resources, business plans and campaigning strategies Product test top competing products to identify competing products’advantages/disadvantageso Dealers and supplierso Patentso Technical characteristicso Safety issues Business plan (Nov. 2-14, 2010)o Develop budget (Nov. 8-14, 2010)o Marketing strategies (Nov. 2-8, 2010)o Campaigning tactics (Nov. 2-8, 2010)3.2 Design/Construction Review initial research and notes (Oct. 22 – Nov. 14, 2010) Sketch possible mini-trencher prototype(s) in Solid Works (Oct. 22 – Nov. 14, 2010) Develop list of materials and provide to client Build and construct mini-trencher prototype (Beginning in January 2011)3.3 Testing/Evaluation Test prototype for product durability, reliability, maintenance needs and safety issues(March 11 – April 1, 2011) Evaluate prototype through product testing (March 11 – April 1, 2011) Adjust/repair prototype to fix any problems or improvements identified during producttesting (March 11 – April 1, 2011) Finalize construction (By April 1, 2011) Retest, evaluate and improve as needed3.4 Market product Rough draft of Owner’s manual for prototype Tool Kits (Trade Show kits) – Dealers (March – April 20, 2010) Spec SheetsApril 28, 2011 Page 6Spring Final Report

PowerPoint (Talking points for dealers) w/ competitor info AdvantagesTrade Show Media Kits (March – April 20, 2010) High resolution photos Press release Create advertisements for primary trade publications (April 2011) Video4. Market Research4.1 Demographic characteristics of audienceAlthough Ground Breakers’ goal was to make the PT5 Walk-behind Trencher accessible andusable for anyone, we narrowed Ditch Witch’s audience to males between the ages of 25 and 55 –regardless of industry. In verbal communication with Matt Collins and Jeff Smith of Ditch Witch onNov. 5, 2010, the demographics of the audience we identified is synchronized with thedemographics they plan to target in their marketing efforts.4.2 Industry performanceThe following analysis of three key industries targeted includes economic status, generalcharacteristics, psychographic characteristics, and industry size and growth. Supporting industryreports can be found in Appendix C.Rental YardsAccording to the IBIS World Industry Report, “Tools, Equipment and Other Rental Centersin the U.S.,” the rental industry has seen a 4.7 percent decline since 2005, falling to 4.42 billion inrevenue. However, IBIS World Reports predict the industry revenue to improve by 2015, rising toan average annual rate of 8.2 percent and 6.56 billion. As of October 2010, the rental industry has7,515 contributing businesses. Positive predictions of the U.S. real estate market encourageeconomic growth in residential, industrial and commercial construction industries. Althoughindustry reports provide evid

Innovation of PT5 walk-behind trencher April 28, 2011 Lis