XTIA Ltd.
A new SaaS business for the inspection process of the manufacturing industry at a Japanese startup
The Challenge
XTIA, a Japanese startup manufacturing inspection equipment, was launching a new digital service project that aims to improve the inspection process of the manufacturing industry.
The project was initiated with the goal of Digital Transformation the inspection process using data obtained from inspection equipment. The concept was to create a data platform that would become the core for the smart factories in the future.
After communicating with the client and observing the client's factory, it became clear that our data platform concept does not solve the customer's real pain points. In other words, the concept was technology-driven and not customer-oriented.
Since none of the customers were interested in the original concept, Data Platform, I had to consider a new digital solution idea.
HIGH LEVEL TIMELINE
From September 2020 to August 2021
(Until I quit XTIA)
THE TEAM
Cross-functional team
of 2 engineers and 2 sales specialists
KEY GOAL
Verify product-market fit of the new solution idea
My Role
I was assigned as a product manager in the 0 to 1 phase of this project. My main responsibility was to generate new digital solution ideas from the product side and business side.
The three main areas of my role were business, UX, and technology.
Business
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Product market fit validation
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Product and business strategy development
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Creating solution ideas and materials for investors
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Communicating with clients
UX
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User research
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Ideation
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Prototyping
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User Testing
Technology
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Project Management
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Communication with the engineering team
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Define product requirements
Understanding
The User
Our main clients were small and medium enterprises. Their operations were different from those of large manufacturers, so it was useful to conduct research by visiting them in person rather than through literature.
Small and medium-sized Japanese manufacturing companies were not digitalized very much. In particular, the inspection process was found to be a low priority for investment because it is a process that does not make a profit. Therefore, we found it difficult for customers to invest in our digital solutions, which are based on the installation of our equipment.
In addition, many companies managed their inspection processes on paper. It has a negative impact on time, cost, and quality management, and this proved to be a pain point for many manufacturing SMEs.
Managing inspection process with paper
It has negative impacts on time, cost, and quality management.
For example;
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paper records are transcribed onto spreadsheets later
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inspection results cannot be checked in real-time, which causes rework in the manufacturing process
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takes time and manpower to investigate inspection records when a defect is found in a product
Ideation and
Prototyping
Through user research, we focused on the digitalization of the inspection process. We were able to obtain a partner company that has this pain point, and we analyzed their inspection documents and processes to make a concrete solution and create a prototype.
Based on the information we received from our partners, we implemented ideation with help from our domain specialists. Prototyping was conducted in Figma. Since there was no UX designer on the team, I, the product manager, took on this role. Prototyping was very useful for user interviews and proposals. It facilitated communication with users and enabled us to extract valuable insights.
By iterating this process, we were able to understand that a lot of companies have pain points in managing the inspection process by paper and our digital solution idea is effective for them. Finally, we could velified the product-market fit.
Lessons Learned
Solutions that are acceptable to the market must consider not only the technology but also the users' needs. That is why I decided to study UX in the UXP Master's program in Milan.
XTIA has ingenious technology, but that alone was not enough for customers to accept it. Understanding their real pain points through user research allowed us to create the solution idea.
At the same time, from a business perspective, the solution was difficult to leverage XTIA's core competencies and create synergies with existing businesses. Although it is difficult to develop a multifaceted business in a startup with limited management resources, I would like to watch on management's decision regarding this new business idea.