Actual Team Outcomes

Concept

Detailed design

Picture
Customer survey and Market research by student teams
Inside the book
​Invention Phase 1: Conceive an Idea
An idea to solve a problem, meet customer needs, or to grab an opportunity; refine the idea
​Invention Phase 2: Develop a Product (or service) from the Idea—Value creation
Reduce the idea to a product or service for a target market, develop and improve it, protect the intellectual property 
​Planning Phase 3: Business model and business plan development—Adding to the value
The business model, on paper, covers all aspects of the business to generate sales, revenue and profits. Business plan projects cash flow for three to five years assuming the business model is functioning—investors look for business plans and cash flow
Excel Templates for estimating the following are downloadable from this website for use by students and book users--you will need the template to develop a business plan that includes a cash flow projection for 3 to 5 years--see cash flow example below that was developed by a student team. A cash-flow projection is one of the few inputs used by potential investors to arrive at a pre-investment valuation of the company before making an investment. To make an investment of $200,000 in a company valued at $1,000,000, an investor would seek 20% ownership.
  1. Revenue
  2. Cost of Goods Sold
  3. Selling and Admin expenses
  4. 5-year cash flow

"LEARN HOW ENGINEERS CREATE VALUE"
​This book does not need a teacher
However, the book can serve as a textbook in university and college courses for engineering and business students. 
The book includes a 10-week syllabus
that results in a patent application and a Business Plan

---------------------------------------------
​See below
 An alternative 15-week syllabus
​using the book

Course Summary and objective: 
  1. Book can be used in 10- or 15-week-long semesters.
  2. Most learning occurs in student teams--collaborative learning.
  3. Teams create a new product, conduct patent search, develop a business model and business plan for a new startup business.  
  4. Teams make countless unfamiliar engineering and business decisions. 
  5. Teacher forms teams composed of a mix of disciplines.
  6. Require teams to select a product for class project.
  7. A finished class project is a business plan--it could become a real business.   
 
Learning outcomes 
  1. Create value from their ideas, products, intellectual property, business model and a business plan. 
  2. Work in intensive project teams with different majors.
  3. Make several unfamiliar decisions.
  4. Integrate knowledge from many disciplines. 
  5. Write professional reports and present them to investors or business audience.
​WEEK 1
  1. Introduction to the course/term project; Assign teams 
  2. Show videos; Goldieblox and ReadeREST 
  3. Chapter 1; Chapter 2; Chapter 3-5
WEEK 2
  1. New product ideas, new products; Chap 7-9 
  2. Class discussion of ideas Worksheet 2-1 and 3-2
WEEK 3
  1. Each team submits three ideas--evaluate the ideas in open class--learning moment
  2. Product Development Chap 10, 11 
  3. Prepare a customer survey; Worksheet 3-1 
WEEK 4
  1. Principles of engineering for product development 
  2. Chap 6, 14;  Worksheet 4-1 
  3. INVENTIONS, IP, and PATENTS, patents search 
  4. Chap 17-19, 22 
  5. Guest lecture: Use a local patent attorney, and librarians with access to US Patent Office
​WEEK 5
  1. Patent search 
  2. Patent application preparation 
  3. Chap 21, 22, 23, 25-27; Worksheets 5-1 to 5-4 
WEEK 6
  1. Macro-economics, Defining and refining your target market
  2. Market research, market size estimate
  3. Chap 28, 29, 31. WK 6-1 
  4. DUE: RESULTS OF CUSTOMER SURVEY—Written Report and presentation (grade 5%) 
WEEK 7
  1. Marketing, and social media marketing, Competitor research
  2. ENGINEERING Design issues for the team products
  3. Chap 30-33, Worksheets 6-2
WEEK 8
  1. Manufacturing and procurement, break even
  2. Make or buy; Sales and Distribution; advertising; marketing 
  3. Cost of reaching a customer
  4. Chap 34-37; Worksheet 7-2; 7-3 
  5. DUE: Patent search report (5% grade); evaluate in class (use a local patent attorney, or librarian)
WEEK 9
  1. Pricing, what price to charge?
  2. Estimate costs, project sales and cash flow for 5 years
  3. Use Excel digital template from the author to project cash flow
  4. Chap 38; Worksheet 8-1 to 8-4
  5. DUE: Written draft patent application (grade 10%; get assistance from patent attorney for grading)
WEEK 10
  1. Business Model 
  2. Chap 39-40; Business model worksheet 9-1 
  3. Mentoring session on Business Model with teams 
WEEK 11
  1. DUE: Business Model, written report + presentation 5% grade
  2. Preparing the business plan 
  3. Startup business organization
  4. Legal organization/ethics
  5. Chap 41, 42, 45-47 
WEEK 12
  1. Financing the startup business
  2. Estimate five year cash flow
  3. DUE: FIVE-YEAR CASH FLOW PROJECTION--written report and presentation (5%) 
  4. Chap 43-44; Worksheet 10-1
WEEK 13
  1. Illustrative business plan—Amazon.com
  2. Comprehensive business plan outline
  3. Mentor teams in class on business plan
  4. Chap 48, 49 
WEEK 14
  1. Business plan mentoring sessions with teams during class
  2. Worksheet 10-2
WEEK 15
  1. DUE: Comprehensive written business Plan (27% grade)
  2. Presentation of business plan (8 minutes, 8% grade)--invite local investors and/or entrepreneurs to serve as judges​

Business Outcomes: Cash flow projection by student teams

Click here to Download the template for cash-flow projection

Five-year cash flow projections by a student team.