Opportunities arising from the Lead User Method for Festo

01/02/2023

Wintersemester 2022-23 / FESTO

EXECUTIVE SUMMARY

Festo is a German automation company based in Esslingen am Neckar, Germany. Festo produces and sells pneumatic and electrical control systems and drive technology for factories and process automation. Festo Didactic also offers industrial education and consultation services and is one of the sponsors and partners of the WorldSkills Mechatronics Competitions. Sales subsidiaries, distribution centers and factories of Festo are located in 61 countries worldwide. The company was named after its founders Albert Fezer and Gottlieb Stoll.

Goal

The project goal is to define how Festo can reach out to its Lead Users and how to cooperate with Lead Users in order to find innovative ideas for further development of the company. The main focus here is on finding the right Lead Users for the specific project which then leads to new breakthroughs and opportunities from potential collaborations. A related goal is to how can Festo integrate Lead Users for the further development of Festo LX and evaluate a potential “how to do it” concept. In this context, Festo wants to be seen more as a partner than a manufacturer for its customers. Not only short-term solutions for immediate implementation such as building up a customer service but also maintenance of long-term partnership with its clients in order to stay competitive and innovative on the market.

Methodology

In order to better understand the whole theoretical background desk-based research was performed. Furthermore, to get a better understanding of implementation of Lead User Method in various companies a best practice analysis was conducted. Through this identification, the relative strengths and weaknesses of direct and indirect competitors and analogous market were assessed. Several direct, indirect, and analogous markets are analyzed. This enabled the gathering of internal information and perspectives. In addition, some interviews were conducted to gain a better understanding of customers behavior and their needs related to the usage of the certain product/service in various industries. Furthermore, a weighted score matrix was created to present a clear picture of Lead User Methods in various companies as part of a suitable strategic recommendation.

Results

The results from the best practice analysis, interviews, and desk research indicated that the implementation of the Lead User Method would bring a lot of new opportunities in different departments of Festo. Moreover, the Lead User Method would allow Festo not only to expand its product portfolio but also expand its network and customer base. With the help of the interviews, it was possible to identify that Festo’s clients are interested in participating in Lead User Workshops to exchange ideas regarding innovations. In support of the best practice analysis results, we have provided a guide with some meaningful steps for the successful implementation of the Lead User Method for Festo, which was a key outcome of the project as requested by Festo.

Cooperation Partner

  • FESTO
    Ruiter Str. 82
    73734 Esslingen am Neckar, Germany
    www.festo.com 

Contact Person

  • Dr. Ute Gebhard - ute.gebhard@festo.com

Student Team

  • Linda Dubrova

  • Nataliya Koryakina

  • Karin Rothová

  • Kyrylo Sazhiienko

Project Manager

  • Caroline Fabian, M.Sc.

  • Shtefi Mladenovska, M.Sc.