
Daniel Small from DaVinci Consulting sees the offsite construction industry from inside some of the industry’s top manufacturers. He’s been in the construction industry for over 20 years, playing a big part in all parts of the business, from engineering, marketing, sales, business, and product development, to now innovation, consulting, and strategy.
He has worked with various companies, from start-ups to top 100 manufacturers, and knows what it takes for construction companies not just to innovate, but to innovate strategically and successfully.
Typically, the concepts of engineering and innovation don’t go together. Stereotypically, engineering requires the logical brain, whereas innovation requires the creative side. He noticed that, in companies, the technical people are usually separated from the marketing and sales teams because they think, speak, and operate so differently.
The construction industry is notorious for being slow regarding innovation, he observed. His solution is acting as a bridge to pairing the two with his proven methodology.
He uses a scientific approach to spark reliable, sustainable, and measurable innovation in the construction industry. The name of his business, DaVinci Consulting, stems from DaVinci’s ability to combine the scientific, process-based, and methodical with creativity and innovation. Daniel believes that combining the two is better than specializing in only either of the two.
Jobs-To-Be-Done (JTBD) is an innovation paradigm created by Clayton Christensen and expanded upon by Tony Ulwick, Stephen Wunker, and many others. It’s a philosophy stating that the only reason someone buys something is to get a job (the JTBD) done.
Looking at innovation from this standpoint makes things much clearer versus focusing on solutions, which can fluctuate and change.
For example, think of how a drill has evolved over time. The solution for creating a hole has changed, from hand augers to robots, but the job (creating a hole) has stayed the same. See, if you focus solely on the technology or solution, you will continuously fall behind. Focus instead on the job for more stability and assurance.
Also, it is essential to remember that the customer is the expert on the job, not the solution to get that job done. So, don’t ask them solution questions! Instead, ask job-related questions to understand their needs and inform your innovative process.
Getting clarity on your market’s needs does three things for innovation:
The traditional innovation process takes an ideas-first approach, which is risky and makes it hard to decide which ideas to execute. Coming up with 500 ideas may be exciting, but at the end of the day, it’s discipline, process, and data that will lead to actual success—although we don’t always perceive these things as “exciting.”
Using a needs-first approach, you can consider the market’s needs, so there are parameters for innovation. You can then execute an idea strategically for reliable results. JTBD can help guide the process of finding and structuring those needs within a marketplace. Daniel’s approach to innovation makes it safe, so you don’t have to spin the roulette wheel of unstructured, uncontrolled innovation.
The offsite construction industry in the US grew from manufactured housing, which operates from a very different set of codes than modular construction. Daniel believes these origins have brought baggage to the industry in public perception and methodologies.
Public Perception:
Daniel says, “We have a real PR problem in modular construction,” because the public hasn’t been educated in what modular is. Often, the public imagines old-school manufactured housing, and the idea of modular or offsite construction brings about concerns of quality and aesthetic.
Methodologies:
For building, many offsite construction manufacturers have used the same traditional onsite construction methodologies—just in a warehouse. Although still better than onsite construction, these older factories haven’t innovated in terms of product and process for a long time.
Impactful practices and approaches aren’t necessarily just automation or robotics, which can actually bring about diminishing returns if not executed strategically. For example, machine-assist implementations can be helpful for lifting, improving productivity, and reducing fatigue.
There’s room for process improvements across the board. An optimized, manufacturer approach can benefit older factories that are simply constructing as they would in the field to reduce production time and become more efficient.
Most companies can benefit from leveraging technology better. This is about identifying and capturing opportunities for efficiency improvements, so manufacturing runs more smoothly and effectively.
An innovation project with a process-based approach is ideal for the construction industry, where many are engineers at heart. This is what Daniel does with DaVinci Consulting.
When innovating, many companies make the mistake of asking the wrong questions to the wrong people at the wrong time. They ask customers questions about solutions, or they’ll ask their team questions about their customer’s job.
This is a misguided approach to innovation and will lead to garbage input which, naturally, leads to garbage output.
Instead, be methodical, stay focused, and communicate strategically.
The five steps of new solution development are easy to remember based on the acronym DMADV.
D: Define
Define the customers (AKA Job Performers), and the job they’re trying to do (JTBD). Then conduct qualitative interviews to gather “need statements” related to the JTBD.
M: Measure
Quantify, measure, and rate needs according to importance and satisfaction. This will tell you which needs are underserved (unmet), and by how much.
A: Analyze
Analyze the measured data using statistical analysis to discover opportunities for innovation.
D: Design
Design improved solutions to address the unmet needs identified through the above data measurement and analysis.
V: Verify
Before solution development, go back to the Job Performers to verify that the new/improved solution enhances their ability to do the job.
Lean Six Sigma methodology plus the philosophy of Jobs-To-Be-Done explicitly catered to the construction industry makes up Daniel’s process which he calls Engineerovation™.
It’s critical to have a third party help with strategic innovation. Innovation is risky and costly when done wrong, and it can be challenging to get an eagle-eye perspective on a business when you’re inside it. And, instead of learning these processes from scratch and taking time and energy away from what you do best, it’s most efficient to bring in an expert who already has the experience and specialized knowledge needed to do your job.
With proven principles and a strategic approach, your success can skyrocket and even become predictable, which is much better than relying on the “see what sticks” method. If you’d like to learn more about how Daniel can help your offsite construction company, reach out to him by email at dsmall@davinciinno.com.
Stream Modular is a transportation logistics company specializing exclusively in modular construction. We help modular manufacturers and builders transport mods, pods and panels so they arrive on time and safely to the build site.