Innovative Automations, Inc.
Rohit Krishna - CFO, Founder
Dixie Odell - CMO, Founder
Kedernath Ananth – CPO, Founder
Alican Bodur - CBDO, Founder
Overview• Executive Summary
• Our Team
• Company Overview
• Business Concept
• Market Research/Analysis • Marketing and Sales Plan
• Target Market and Projections
• Competitive Strategy
• Design Development Plan• Manufacturing Goals
• Reverse Engineering Process
• Schedule and Possible Issues
• Financial Cost Summary • Gross Margin
• Cost Analysis over Time
• Financial Gains for Investment
Alican
Dixie
Kedarnath
Rohit
Our TeamInnovative Automations Inc. is a brand new company offers a new level of safety by providing a keyless encrypted locking technology for home locks, cameras, and garage sensors
Alican Bodur – Chief Commercial Officer (CCO) & Business Development Manager• B.S. Industrial Engineering with OSYM Scholarship, Bahcesehir University 2008; M.S. Industrial
Engineering, University of Houston (Main Campus)
Dixie Odell – President & Chief Marketing Officer (CMO)• BSCE Undergraduate – Civil and Environmental Engineering; University of Houston (Main Campus)• Experience in sales and marketing psychology
Kedarnath Ananth – Chief Product Officer (CPO) Operations Director• B.E Mechanical Engineering at Osmania University, M.S. Industrial Engineering, University of Houston (Main
Campus)
Rohit Sridhar- Chief Financial Officer (CFO) & Chairman of the Board• M.S. Industrial Engineering, University of Houston
Company Overview
“Our mission is to provide purely outstanding home security services with the most up-to-date technology, innovative and convenient user-capabilities, with the friendliest staff and support personnel, at the lowest cost to our customers.”
Company Mission
BUSINESS CONCEPT
Our lock system allows customers to lock all entrances to the home
Ability to turn on/off lights that the user has already specified or in random mode in order to create the effect of human occupancy at home.
Automatically locks all doors and windows when the system is armed
User-controlled functions from a mobile application for smartphones, tablets, and a website for computer use
User-defined or "randomized" sequence of lighting throughout the home
Ability to allow people in your home while your awayMotion-sensored cameras with notifications of movement
while awayNotifications of who and when someone is at your houseAudible communication through intercom technology for
inside and outside the home.Doorbell with video/audio
Key Features of Products
Why We?
Our company provides top-of-the-line security products and services and aims to lead the industry by having:The most advanced security system
on the marketThe most user-friendly interface with
unlimited user-controlled functionsQuality-trained installation
professionals and the friendliest support staff
BEST PRICE ON THE MARKET because everyone deserves peace of mind.
Market Research and Analysis• Target Market:
• Anyone currently living in a home or running a business
• Rent/own
• Those interested in learning more about home security and smart home automation features
VS
• 2-3 times more likely to have a home-invasion
• Lesser chance of finding the offender after a home invasion/burglary, and slim possibility of retrieving stolen property
• In 2013, 26.4 out of 1000 homes were broken into in the US. So of all households in the US 3,505,995 homes we invaded
• Realty study done in Houston tells that 1 in 3 homes with smart features sell faster than those that don’t.
• Public awareness of features is on the rise and becoming increasingly popular
• Survey shows that 90% of previous home-intrusion criminals say that they will not pursue entering a home with a security system.
2011 2014 2017 20200
10
20
30
40
50
60
70
80
90
100
Projected Growth of Home Security/Automation Industry
% Homes w/ Secu-rity Sys-tems
% Homes w/ Smart Features
Moving average (% Homes w/ Smart Features)
Year
Perc
ent
of
Stu
dy,
%
Leading Public Interest
Security
Temperature Control
Safety
Lighting
Entertainment
Appliances
Leading Public Interest
Security
Temperature Control
Safety
Lighting
Entertainment
Appliances
Why We Beat the Competition• Highest quality systems that have
been integrated with all the most convenient and popular home automation devices and services
• Best value for the customer’s money
• We aim for 100% customer satisfaction and believe half of the sale comes form a hospitable staff and team
• We are determined and motivated by the goals we set for ourselves, our customers and the success of this company.
Success
Quality
Low Cost
Customer
Service
Ambition
Marketing and Sales Plan• We have included all of what
our largest competitors have, but we’ve made them more user-friendly (so anyone can use them)
• Best price for the amount of services we offer
• Best value of all competitors
Some Available FeaturesKwikset Smart Home
VIVINTADT
PULSELIFE
SHIELD
INNOVATIVE AUTOMATIO
NS, INC.
Price Range per month UNKNOWN$39.99-$89.99
$29.99-$64.99
$29.99-$59.99
$19.99-$49.99
Activation/Installation Fees $0 $99 $0 $0 $0
Wireless Door Locks X X X XWireless Window Locks XVideo Cameras (with motion detection/notification) X X X
Light Control (manual or random) X XAudible intercom technology from smart app XWireless Monitoring (24/7/365) X X X X XDoorbell (audio/video) XThermostat Control X X X XKey Fob X X X XGarage Sensor Capabilities X X X X
Table 1: Largest Competitive Industry Features per Service Provider
Who’s Who in the Alarm Industry
• There are roughly 13,000 alarm companies in the US. That’s right – 13,000, and new ones are springing up all the time as established companies merge, close, or are bought out.
• Over half the alarm industry’s monthly fees are controlled by the “little guys” – the 12,900 traditional regional and local companies, mostly family owned, who have been offering the same thing the same way for years. Don’t look to them for innovation, but they do offer good service.
Design Development Plan
Incremental Cost to Buy (for 250 systems) ($141,560)
Incremental Cost Savings:
Direct materials $51,250
Direct labor $42,550
Variable overhead $7,725
Fixed overhead $4,500
Incremental decrease in profit if outsourced:
($35,535)
Table 2: Cost for OEM vs Outsourced Manufacturing
Main Components of a home security system
• CPU- brains of the system
• Keypad and sirens
• Battery back up for about 48 hours
• Two way voice module
• Door/window wireless sensor
• Motion sensor
• Key chain remote
Additional Equipment's
• monitored smoke/heat detector, glass break sensors, wireless sensor and audible communication through intercom.
MANUFACTURING AND ASSEMBLY• We are an integrator company
• Chips are assembled in our unit and they are made by TMSC and acquired
• Sensors and other components made by Honeywell
Innovative Automation monitoring pricesIA Monitoring Basic
$19.99/monthIA Intermediate
$34.99/month
IA Advanced$49.99/month
Text Alerts IA Basic + IA intermediate +
Thermostat Wireless door locks Voice control
Fire/Smoke alarm Wireless window locks Mobile and Internet access
Operate from Phone CO monitoring Garage Control
High-Decibel Alarm Light control
Infrared motion detector
• Automated door lock, Wireless indoor camera, Wireless Outdoor camera, Glass break sensor have to be purchased extra for one-time cost to customer.
Schedule and Issues• Because it is a startup company we are looking to assemble a
total of 500 Control panels at first.
• After making further profits we will looking to open a chip manufacturing plant in the future.
The issues
• The main issues will be in the supply chain if the chips and the other products will not arrive in time.
• If the assembling does not go according to the plan.
• Overhead cost estimate is greater than expected.
Building the most user-friendly interface not only helps the customer, it makes us better too!!!We will spend the appropriate amount of time
in order to build the most functional and easy-to-control interface for ourselves and our customers. By doing this we will work harder at the beginning, but we will save time and money in the future by:• Reducing the amount of confusion from
customers calling and needing assistance• Speeding up troubleshooting issues• Faster and easier installation and
maintenance• Hassle-free for both parties.
People like life to be easy? Why not give them that little bit extra. They see the difference we bring!
Start up Funding
Profit and Loss
Cash flow
Balance Sheet