Team Platinum

3 May 2005 Team Platinum 1

Team Platinum

Members:Ian McKay Sean Alcos Robert Pilkington Joseph MarchAnjalee Sinha Andrew Cherry

Website: http://www.cs.odu.edu/~cpi/cpi-s2005/iRespond/

Team PlatinumCS410

3rd May 2005

3 May 2005 Team Platinum 2

Introduction

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Problem

Communicating the need for emergency assistance from any place at any time is not always possible

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Problem Characteristics

• Inability to communicate• Isolation• Emergency

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Solution

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Outline

• Problem• Solution• Product

details• Goals, plans,

and milestones

• Budget• Management• Conclusion

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Solution Characteristics

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iRespond Will Do

• Combination GPS and cellular positioning

• On-Demand positioning

• Report location data

• Continuous transmission of distress signal

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iRespond Will Not Do

• Transmit location without being activated by the user or reveal location to anyone other than E-911– invasion of privacy

• Provide location information outside of emergency situations– higher production costs– shorter battery life– harder to use

• Provide 2-way voice communication– often impossible or unsafe– higher production costs– shorter battery life

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iRespond Fob

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U&R Unit

unit

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Modem

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Battery

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GPS Receiver

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GPS Antenna

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Cellular Transceiver

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Flash Memory

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iRespond Device

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What’s In The Box?

• iRespond key fob device• iRespond update and recharging unit• Registration instructions• User manual• Telephone cord• AC adaptor

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Company Info

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Goal

Provide a simple yet reliable method to request assistance from emergency response teams regardless of the user’s location

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iRespond

Retain Personal Privacy

User-Friendly Interface

Inexpensive Subscription

Fee

Fast Emergency Response

Portable

Objectives

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SBIR Funding

• National Science Foundation (NSF)– SBIR Phase I awards maximum = $100,000– SBIR Phase II awards maximum = $500,000– Additional supplemental award (Phase IIB) may

raise Phase II awards maximum = $750,000

• Additional Funding from Virginia CIT Funding

• Phase III Funding from private investors

http://www.nsf.gov/eng/sbir/

3 May 2005 Team Platinum 24

Schedule Overview

• Prototype Development– Developing & testing completed

Year End 2005

• iRespond Device CreationiRespond Call Center

– Developing & testing completedEnd of 2nd Quarter 2006

• iRespond Mass Production & Marketing

– Beginning 3rd Quarter 2006

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Phase 0 Milestones

1. Team Organization2. Project Initiation3. Feasibility4. Milestones5. Documentation6. SBIR7. Website8. Presentation / SBIR Submission

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Phase 1 Milestones

1. Team Organization2. Project Reanalysis3. Prototype Development4. Testing5. Documentation6. SBIR7. Website8. Phase Analysis

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Description CostPersonnel Cost $81,428.33Hard Resource Cost $15,534.48Travel Cost $680.00

Total iRespond Phase 1 Cost $97,642.81

Total iRespond Phase 1 Budget

Total Cost: $97,642.81

Phase 1 Budget

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Phase 2 Milestones

1. Team Organization2. Analyze Budget3. Gather Resources4. iRespond Device Development5. iRespond Customer Service Center

Development6. Testing7. Documentation8. SBIR

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Description CostPersonnel Cost $528,987.53Hard Resource Cost $208,824.90Total iRespond Phase 2 Cost $737,812.43

Total iRespond Phase 2 Budget

Total Cost: $737,812.43

Phase 2 Budget

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Phase 3 Milestones

1. Pre-Production2. Contracts3. Employees Hiring/Training4. Begin Production5. Marketing

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Description CostPersonnel Cost $2,432,965.40Hard Resource Cost $19,781,104.80Total iRespond Phase 3 Cost $22,214,070.20

Total iRespond Phase 3 Budget

Total Cost: $22,214,070.20

Phase 3 Budget

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Employee Months Pay Rate Cost

Project Manager 2.84 $30,000.00 $7,100.00Task/Doc Specialist 2.70 $22,000.00 $4,950.00Financial Specialist 2.70 $24,000.00 $5,400.00Technical Specialist 2.70 $22,000.00 $4,950.00Database Specialist 2.60 $24,000.00 $5,200.00Marketing Specialist 2.60 $22,000.00 $4,766.67Electrical Engineer 2.70 $60,000.00 $13,500.00Webmaster 2.60 $22,000.00 $4,766.67Total Salary $50,633.33Employee Overhead (40%) $20,253.33Total Employee Cost $70,886.67

Communications Consultant 0.80 $50,000.00 $3,333.33Hardware Consultant 0.80 $55,000.00 $3,666.67Network Consultant 0.30 $60,000.00 $1,500.00Injection Molding Consultant 0.70 $35,000.00 $2,041.67Total Consultant Cost $10,541.67

Total $81,428.33

Phase 1 Personnel

Consultants

Employee Months Pay Rate CostProject Manager 8.25 $80,000.00 $55,000.00Task/Document Specialist 4.00 $22,000.00 $7,333.33Financial/Accounting Director 4.00 $65,000.00 $21,666.67Technical Specialist 4.00 $45,000.00 $15,000.00Marketing Director 4.00 $60,000.00 $20,000.00Networking Engineer 3.00 $62,000.00 $15,500.00Electrical Engineer 8.00 $60,000.00 $40,000.00Webmaster 2.00 $28,000.00 $4,666.67Call Center Supervisor 3.00 $33,000.00 $8,250.00Customer Service Manager 3.00 $55,000.00 $13,750.00HR Manager 3.00 $70,000.00 $17,500.00Traffic/Scheduling Analyst 4.00 $35,000.00 $11,666.67Sales Director 5.00 $60,000.00 $25,000.00Tester 3.00 $32,404.00 $8,101.00Design Engineer 1 8.00 $59,478.00 $39,652.00Database Admin/Designer 6.00 $60,000.00 $30,000.00Database Engineer 6.00 $80,000.00 $40,000.00Total Personnel Cost $373,086.33Employee Overhead (40%) $149,234.53Total Phase 2 Personnel Cost $522,320.87

Legal Consultant 1.00 $80,000.00 $6,666.67

Total $528,987.53

Phase 2 Personnel

Consultants

Employee # Employees Months Pay Rate CostProject Manager 1 12.00 $95,000.00 $95,000.00Task/Document Specialist 1 12.00 $30,000.00 $30,000.00Financial/Accounting Director 1 12.00 $65,000.00 $65,000.00Technical Specialist 1 12.00 $45,000.00 $45,000.00Marketing Director 1 12.00 $60,000.00 $60,000.00Webmaster 1 6.00 $28,000.00 $14,000.00Call Center Supervisor 3 12.00 $33,000.00 $99,000.00Customer Service Manager 1 12.00 $55,000.00 $55,000.00Training Specialist 1 2 6.00 $38,000.00 $38,000.00Database Maintenance Staff 1 12.00 $81,791.00 $81,791.00Customer Service Rep 1 20 12.00 $18,720.00 $374,400.00Technical Support Rep 10 12.00 $24,960.00 $249,600.00Help Desk Support 1 12.00 $37,662.00 $37,662.00Network Systems Admin 1 12.00 $50,000.00 $50,000.00HR Manager 1 12.00 $70,000.00 $70,000.00HR Staff 2 12.00 $45,000.00 $90,000.00Traffic/Scheduling Analyst 2 12.00 $35,000.00 $70,000.00Sales Director 1 12.00 $60,000.00 $60,000.00Tester 2 12.00 $32,404.00 $64,808.00Database Admin 1 12.00 $60,000.00 $60,000.00Total Personnel Cost $1,709,261.00Employee Overhead (40%) $683,704.40

Total Phase 2 Personnel Cost $2,392,965.40

Legal Consultant 1 6.00 $80,000.00 $40,000.00

Total $2,432,965.40

Phase 3 Personnel

Consultants

Total Cost: $3,043,381.27

Total Personnel Cost

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Resource Number of Units Cost Per Unit Total CostFOB Case Prototype 1 $10,000.00 $10,000.00GPS Receiver 2 $59.95 $119.90GPS Antenna 2 $17.95 $35.90CDMA Radio Chip 2 $20.00 $40.00Mobile Phone Antenna 2 $3.00 $6.00Rechargable Battery 2 $19.98 $39.96Recharging Station 2 $38.94 $77.88Flash Memory 2 $11.95 $23.90Internal Circuits and Board 2 $1.47 $2.94Solder 4 $2.00 $8.00Soldering Iron 4 $10.00 $40.00Database Server 2 $2,500.00 $5,000.00Redhat Linux 2 $0.00 $0.00Ethernet Cables CAT 6 4 $35.00 $140.00

Total Hard Resources Cost $15,534.48

Phase 1 Hard Resources

Resource Number of Units Cost Per Unit Total CostCall Center 1 $42,000.00 $28,875.00Work Stations 20 $1,800.00 $36,000.00Office Equipment 20 $230.00 $4,600.00Phones 20 $140.00 $2,800.00Network Equipment 1 $80,000.00 $80,000.00Testing Equipment 1 $40,000.00 $40,000.00Molds + Case Production + Assembly 100,000 $0.17 $16,500.00Call Center Phone Number 2 $24.95 $49.90Total Phase 2 HD Cost $208,824.90

Phase 2 Hard Resources

Resource Number of Units Cost Per Unit Total CostCall Center 1 $42,000.00 $42,000.00Work Stations 10 $1,800.00 $18,000.00Office Equipment 10 $230.00 $2,300.00Phones 10 $140.00 $1,400.00Testing Equipment 1 $40,000.00 $40,000.00Shipping 10000 units 100,000 $0.19 $19,305.00Shipping 500,000 $0.13 $65,000.00Call Center Phone Number 2 $24.95 $49.90Server UPC 2 $1,000.00 $2,000.00Call Center Phone Number 2 $24.95 $49.90Bulk Component Cost 100,000 $22.66 $2,266,000.00Bulk Component Cost 500,000 34.65 $17,325,000.00Marketing Costs 1 $800,000.00 $800,000.00Total Phase 3 HD Cost $19,781,104.80

Phase 3 Hard Resources

Total Cost: $20,005,464.18

Resource Cost

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Description CostPersonnel Cost $3,043,381.27Resource Cost $20,005,464.18Travel Cost $680.00

Total $23,049,525.45

Total iRespond Budget

Total Cost: $23,049,525.45

Total Budget

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Description CostUnit Profit @ $40.00 Each $24,000,000.00Subscription Profit $55,308,015.00Less Overhead Cost $22,214,070.20

Total Profit $57,093,944.80

Yearly Profit

Profit

$57,093,944.80

Yearly Profit assuming 600,000 units sold

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Return on Investment

-20

0

20

40

60

80

100

1,000 10,000 100,000 1,000,000

Units Sold

Ne

t P

rofi

t (M

illio

ns

of

Do

llars

)

Breakeven Point

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Competition

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Risk Matrix1. Rejection by FCC

2. Similar features implemented by cellular phone companies

3. Lower-cost competition

4. Unforeseen production costs

5. Unforeseen testing expenses

6. Similar products fromestablished companies

7. Late deliveries fromhired subcontractors

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Risk MitigationRejection by FCC

Research

Unforeseen testing expenses

Careful planningIncremental testing

Similar features implementedby cellular phone companies

Marketing

Lower-cost competition

Reduce functionalityChange fee structure

Unforeseen production costs

Reduce functionalityChange fee structure

Similar products fromestablished companies

Marketing

Late deliveries from subcontractors

Penalty & recovery clausesCarefully chosen subcontractors

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Marketing Plan

CompetitionCompetitionDistributionDistribution

Marketing Marketing MixMix

EconomicsEconomics

StartStartStartStart

Consumer Consumer AnalysisAnalysis

Framework for approaching: Framework for approaching:

Marketing strategy model Marketing strategy model for iRespond.for iRespond.

Marketing strategy model Marketing strategy model provides an excellent frame provides an excellent frame of reference for our of reference for our marketing cases.marketing cases.

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Marketing Strategy

Targeting Positioning Communicate Branding

• Select target market• Study unmet needs. •Sales history•Demographics•Psycho-Graphics•Behavioral Differences•Overall Growth•Competitive challenge

•Total Value “ – “ Total Cost

• Competition matrix Vs Customer needs.

•Identify needs, interestof each target audience•Define core message•Explore range of Co-mmunication channels.•Communication Matrix

• Creating your brand identity.• Building brand awareness and recognition.•Delivering a positive brand experience.

http://www.blueminegroup.com/strategy.asp

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Specific market segments that we can win and dominate.

ELDERLYELDERLY

TARGET

WOMEN

Target Market

FAMILIESFAMILIESCell-Phone LudditesCell-Phone Luddites

18+ yrs Old18+ yrs Old

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Customer Characteristics

• Desire security– Will pay for additional security

• Value privacy• Live in urban areas• Rely on Emergency Medical Services

(EMS)

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0

5,000,000

10,000,000

15,000,000

20,000,000

25,000,000

30,000,000

35,000,000

40,000,000

45,000,000

Peo

ple

0-9 10-19 20-29 30-39 40-49 50-59 60-69 70-79 80-89 90-99 100+

Years

2003 U.S. Population by Age

Individuals

http://www.census.gov/popest/national/asrh/NC-EST2003/NC-EST2003-01.pdf

18+

Overall Market

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• Reaching out to the most influential participants for iRespond like...

Communications

711

Businesses

Grocery StoresGas Stations

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Sales

• According to a Harris Interactive Study

– Nearly 60 percent of consumers surveyed would likely feel more safe and secure if they owned a mobile phone.

– 76 percent of non-cell-phone-owners would want a mobile phone in emergency situations

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Positioning

The value propositions for iRespond.

• Privacy • Security • Cost-effectiveness

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Emergency Cell Phone Use

http://www.nhtsa.dot.gov/people/injury/research/wireless/c2.htm

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Cell Phone Expense

$45.15 $45.27$45.56

$47.37 $47.42

$48.40

$49.46

$49.91

$49.49

$50.64

$42.00

$43.00

$44.00

$45.00

$46.00

$47.00

$48.00

$49.00

$50.00

$51.00

JUN-2000

DEC-2000

JUN-2001

DEC-2001

JUN-2002

DEC-2002

JUN-2003

DEC-2003

JUN-2004

DEC-2004

Semi-Annual, Average Monthly Cell Phone Bill 2000-2004U.S. Dollars

http://files.ctia.org/pdf/CTIAYearend2004Survey.pdf

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Subscription PlanMarketing Incentive:

• Lower cost to customer forguaranteed yearly funds.

• Possible discount for senior citizens.

Monthly Payment Plan:$9.99 Per MonthMore Expensive No Guaranteed Funds

Yearly Payment Plan:$99.99 Per YearLess Expensive Guaranteed Funds

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SWOT Analysis

Strengths: – Assurance of privacy– Precise tracking of the victim’s position. It has the ability to get a

response for the victim within a span of a few minutes.

Weaknesses: – Does not offer a two-way voice communication. – Security of the database – Signals may get interrupted due bad weather

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SWOT Analysis

Opportunities:- Market trends indicate devices for Location based technologies (LBS) have begun to gain prominence. - Make an alliance with some multimedia companies.- Once our product is a hit in the United States we may like to introduce our product to the International markets.

Threats: Our major threat is from the rise in increasing competition.

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Marketing Research

In our marketing research we have to cover these areas:

• Competitors: - Target market of our competitors- Market trends- Developments in this type of technology and product.

• Channel Marketing: - Channel competition - Emergence of new channels - Major players in the production of this kind of product.

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Management Plan

Development Plan Evaluation Plan

Marketing Plan

Financial Plan

Risk Management Plan

Scheduling Plan

Organizational Plan

Management Plan

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Evaluation Plan

Phases will be evaluated based on criteria in their respective evaluation checklists.

Frequency of Evaluation:1. At regular intervals in phase2. Upon phase completion

Evaluation plan is re-evaluated before starting each new phase.

PHASE 0 PHASE 1 PHASE 2 PHASE 3

EVALUATION PLAN

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Conclusion

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References

• Basic 911. (2005). Federal Communications Commission. Available: http://www.fcc.gov/911/

• Battery Charger/Cablehttp://www.ixap.com/sti_ProdDet.asp?sku=CHAV-8900-TC001&BrandID=AV&ClassID=CH&cid=CHAV&sPageNo=1&PmdName=AUDIOVOX-9900

• Bergman M. (2004). U.S. Cell Phone Use Up More Than 300 Percent,Statistical Abstract Reports. U.S. Census Bureau News. Available: http://www.census.gov/Press-Release/www/releases/archives/miscellaneous/003136.html

• Bonsor, K. (2005). How Location Tracking Will Work. Howstuffworks. Available: http://people.howstuffworks.com/location-tracking2.htm

• CDMA Radio Chip http://www.investors.com/editorial/tech.asp?v=4/1

• Cell Antennahttp://www.cellphoneshop.net/

• Cleveland-Office-Space.com. (2005). Cleveland Office Space Market Overview. Cleveland Office Space. Available: http://www.cleveland-office-space.com/

3 May 2005 Team Platinum 58

References

• Copper Wirehttp://www.allelectronics.com/cgi-bin/category.cgi

• Dan Arvin, Pioneer Plastics• Enhanced 911 Wireless Services. (2005). Federal Communications

Commission. Available: http://www.fcc.gov/911/enhanced/• Flash Memory Cards

http://www.flash-memory-store.com/64mb-compact-flash.html• GPS Mobile Locator / Tracker Cell Phone

http://www.gpslocators.com/cogpsmolo.html• Hot Jobs. (2005). Salary. HotJobs.com. Available: http://

salary.hotjobs.com/• LED Lights

http://www.allelectronics.com/cgi-bin/category.cgi?category=340050&type=store

• Lee M. (1997). Choosing cleaning service requires more than quick sweep. Savvy Business Shopper. Available: http://www.bizjournals.com/bizwomen/consultants/savvy_business_shopper/1997/06/16/column54.html

3 May 2005 Team Platinum 59

References

• Office Finder. (2005). Office Space Calculator. Office Finder. Available: http://www.officefinder.com/officespacecalc.html

• PCBpro Instant Quote Form. (2005). PCBpro. Available: http://www.pcbpro.com/pcb-quote.php

• Rechargeable Lithium Batteryhttp://www.ixap.com/sti_deft_plists.asp?SkuD=BTAV-9900-LI001&ModelID=9900&ClassID=BT&TypeID=all&BrandID=AV&gID=419

• SafeGuardian One Button GPS Cell Phonehttp://www.safeguardian.com/

• Technical Support Rep. (2005). Monster.com. Available: http://jobsearch.monster.com/getjob.asp?JobID=27806931&AVSDM=2005%2D03%2D28+11%3A03%3A55&Logo=1&q=technical+support+rep.&sort=rv&vw=b&cy=US&brd=1,1862,1863

• TFM-560U Trendware 56k fax/modemhttp://www.tigerdirect.com/applications/SearchTools/item-details.asp?EdpNo=671885&CatId=564

• Trimble Lassen IQ GPS Receiverhttp://www.sparkfun.com/shop/index.php?shop=1&cat=63&

3 May 2005 Team Platinum 60

References

• Trimble-Ultra Compact Embedded Antennahttp://www.sparkfun.com/shop/index.php?shop=1&cart=214595&cat=64&

• US Department of Justice, “Criminal Victimization in the United States, 2002 Statistical Tables”http://www.ojp.usdoj.gov/bjs/pub/pdf/cvus02.pdf

• Wherify Wireless Location Serviceshttp://www.wherifywireless.com/corp_home.htm

3 May 2005 Team Platinum 61

Questions?

Team PlatinumCS410

7 April 2005

Members:Ian McKay Sean Alcos Robert Pilkington Joseph MarchAnjalee Sinha Andrew Cherry

Website: http://www.cs.odu.edu/~rpilking/cs410/