bighorn ventures introduction

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Strategic & Growth Consulting

Introduction to Bighorn Ventures

Tony Anast Bighorn Ventures

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ighorn B entures V


Bighorn Ventures

Bighorn Ventures is a growth and strategy consulting firm that works with clients on internal/organic growth, external/inorganic growth and strategy issues in consulting & interim executive engagements.

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When to Engage with Bighorn •  Consulting

–  Project work unable to handle internally –  Want to start a project, but not ready to commit to FTE’s –  Need specialized expertise –  Burst of activity / need more hands on deck

•  Interim Executive –  Need resources but want to maintain flexibility –  Periods of organizational transition –  Need to fill role quickly (e.g. before FTE can be ID’d & on

board) –  Temporary Need (e.g. health issue, sabbatical)

I need help

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Why Engage with Bighorn As an independent consultant with 20 years of industry and consulting experience, Bighorn offers clients a range of benefits: •  A leaner approach than working with large consultancies •  Ability to handle smaller projects •  Willingness to get “hands dirty” •  Can implement as well as formulate •  Speed of work with one person / lean team •  Lower cost than large consultancies and high level FTE’s

Vs.

Photos from freedigitalphotos.net

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Industries Bighorn’s clients & expertise generally reside in four industries: •  Technology

–  Semiconductors & Semiconductor Equipment

–  Advanced Materials / Nanotechnology

–  RFID / Wireless –  Payment Systems / Retail

Technology –  Web/Cloud Information & Software

Services

•  Communications –  Fiber Optics –  Communications Equipment –  Telecom

•  Energy & Clean-tech –  Water treatment/technology –  Renewable Energy –  Oil & Gas

•  Healthcare –  Healthcare IT –  Medical Services –  Medical Device

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Service Areas Bighorn has experience in the following service areas •  Market Landscape

–  Market pain & problem identification, market sizing, competitive analysis, competence analysis and technology assessment.

•  Product Strategy & Market Entry –  Segmentation, product planning / requirements, buyer & user personas, portfolio and roadmap

management, business model generation/evaluation, go to market strategy, channel and partner (whole product) development, pricing analysis, pilot / beta customer business development, beta-site management, international expansion.

•  Demand Generation & Customer Acquisition –  Marketing plan development, web marketing SEO/SEM, sales funnel & win/loss analysis, and

sales tool/collateral/thought leadership (blog, webinar etc.) development, ROI/TCO modeling, CRM selection & implementation.

•  Strategic Finance (M&A, FP&A, Fundraising) –  Buy/build/partner analysis, M&A target identification, valuation, due diligence, integration

planning, business plan & fundraising document development, fundraising facilitation, alliance & joint venture development, new product/opportunity financial analysis.

•  Other Areas of Expertise –  Decision analysis, quality (TQM, Six Sigma, Lean) programs, supply chain, project/program

management.

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Tony Anast - Principal •  Bighorn Ventures (2003-Present) - Principal

–  Consulting & Interim Executive Services –  5 Major & Several Smaller Client Engagements

•  Ardesta Ventures (2001-2002) – VP Corporate Development –  $120 M Venture Fund Focused on Nanotechnology –  Led Investments in Electronics, Communications, Cleantech

•  Level 3 Communications (1999-2001) – Sr. Manager Corp. Dev. –  Developed Capital Allocation Process –  Allocated $5 B to Areas Critical for Level 3 to Survive the Telecom Bust

•  KLA-Tencor (1996-1999) – Sr. Product Marketing Manager –  Managed Fastest Growth Product in Company History from Alpha Stage

Development to Early Maturity –  Managed $500 M Division’s Cross Product Marketing

•  Engineering & Operations Roles in Semiconductor Industry –  Harris Semiconductor (Intersil) & Bandgap Technology (Oplink)

•  MBA, Harvard Business School •  M.S. Courses in Electrical Engineering / Microlectonics Mfg., Rensselaer •  B.S. Materials Engineering, Colorado School of Mines

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Engagement Summary - GHX is a healthcare purchasing exchange that approached Bighorn to consult on a new growth initiative to develop a suite of exchange and supply chain solutions in the medical device area. Bighorn was engaged to work with various internal and external resources (market researchers, product development etc.) to build a comprehensive financial model for the growth initiative to determine the project return and its primary levers. Following the BOD’s approval of the initiative, Bighorn assessed acquisition candidates that could accelerate the time to market of the products related to the growth initiative. Once a target was selected Bighorn performed valuation analysis, provided negotiation guidance and led a due diligence / integration planning team. Other projects included the development of a Customer ROI Tool for the sales force and various decision analyses.

Engagement Type: Consulting – 22 Months

Projects: •  Market Landscape – Reviewed market research to develop revenue model. •  Strategic Finance – Developed comprehensive financial model to validate market entry opportunity. •  Strategic Finance – Performed M&A target identification, valuation and negotiation. •  Strategic Finance & Project Management – Lead due diligence and integration planning team. •  Demand Generation & Customer Acquisition – Developed customer ROI tool. •  Demand Generation & Customer Acquisition – Evaluated business model options for market entry. •  Product Strategy & Market Entry – Performed several pricing and decision analyses.

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Engagement Summary – The Water Company TWC combines a novel nanotechnology materials set and a new system design to make Capacitive Deionization (CDI), a water treatment process, economically competitive with other treatment options. As it was developing its technology TWC, which is backed by UHNW angels such as Eli Jacobs (former owner of the Baltimore Orioles), engaged with Bighorn to evaluate CDI’s commercialization options. Bighorn evaluated numerous water treatment market niches and profiled competitive technologies to select the best commercialization options for TWC. Once target markets were defined, Bighorn refined TWC’s sales collateral, identified and worked with the sales team to attract beta customers and helped manage beta sites. In addition Bighorn authored an update to TWC’s fundraising documents. Engagement Type: Consulting to Interim Executive – 30 Months Projects: • Market Landscape – Researched market pain and market size in ten segments of the water treatment, mining and chemical industries • Market Landscape – Performed competitive analysis of competing water treatment technologies and assessed capabilities of TWC’s CDI technology • Product Strategy & Market Entry – Worked with executive team and BOD to select target markets, developed detailed market research and defined product requirements for target markets. • Demand Generation & Customer Acquisition – Sales Collateral Formulation & Updates • Product Strategy & Market Entry – Beta Site ID, Business Development and Site Management. • Strategic Finance – Authored Update to TWC Fundraising Documents

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Engagement Summary – Altela Altela had developed the first generation of their AltelaRain water treatment technology and had placed beta units with inventors in Altela from the oil & gas industry when Bighorn was engaged. Bighorn validated that the Piceance Basin (Western Colorado) had high costs for managing fracture flow-back and produced water and was an attractive market for AltelaRain. Following this Bighorn developed two customers in the Piceance for the AltelaRain treatment solution (which were Altela’s first two non-investor customers) and modeled the pricing different customers in the basin would accept. In addition Bighorn identified product requirements and channels for future development of the AltelaRain solution. Engagement Type: Consulting – 15 Months Projects: • Market Landscape – Validated and sized the opportunity for AltelaRain system in the Piceance Basin. • Product Strategy & Market Entry – Developed detailed understanding of Piceance Basin and its water treatment options & challenges to define value pricing points for Altela. • Demand Generation & Customer Acquisition – Developed business at Altela’s first two non-investor customers, both in the target Basin. • Product Strategy & Market Entry – Identified future product requirements and business channels for the AltelaRain service.

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Engagement Summary – SkyeTek, an RFID reader technology company, had raised its Series A ($2 M) venture financing and selected a new CEO as they engaged with Bighorn. Bighorn evaluated the industry, SkyeTek’s early customers successes and its technology / competencies to select a strategy focused on embedded RFID. Once the strategy was set, Bighorn defined a set of new products, developed a marketing team, developed collateral and led outbound marketing activities that led to 40% revenue & 139% bookings CAGR, 69% increase in web traffic and 32% growth in developer kit sales. This growth required incremental venture financing for which Bighorn developed all the fund raising collateral and participated in investor discussions for a $10 M Series B financing. Bighorn also developed a company dashboard and worked on channel strategy for a RFID remote inventory solution.

Engagement Type: Consulting & Interim Executive (1099 & 1040) – 30 Months Projects: •  Market Landscape – Defined market strategy via analysis of the market, customers and competition. •  Product Strategy & Market Entry – Defined and launched of four well-received new products including an EDN award winner. •  Demand Generation & Customer Acquisition – Built marketing team - Two FTEs and seven contractors and $300K marketing

budget. •  Demand Generation & Customer Acquisition – Provided sales tools which helped grow revenues 40% and bookings 139%. •  Demand Generation & Customer Acquisition – Improved lead generation via outbound and web marketing resulting in a 69%

increase in web traffic and 32% growth in developer kit sales. •  Product Strategy & Market Entry – Evaluated channel options for a remote inventory solution and initiated partner discussions. •  Strategic Finance - Developed all fund raising collateral and engaged with investors leading to SkyeTek’s $10 million Series B

venture financing.

•  Strategic Finance - Developed company dashboard presented monthly to SkyeTek’s Board of Directors.

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Engagement Summary - Symyx (acquired by Accelrys in 2010) developed the field of combinatorial materials science (CMS). CMS was commercialized via materials R&D services and associated R&D hardware and software products. Bighorn engaged with Symyx to evaluate extending its R&D alliances outside of the energy (refinery & fuel cell) catalyst business into areas such as electronic, orthopedic and clean-tech materials. Bighorn researched the market and identified ~60 Global 1000 alliance targets and engaged a large number of these targets. While interest in R&D alliances was found, it was evident that a sustainable business fitting the Symyx business model did not exist. Engagement : Interim Executive (1040) – 16 months Projects: •  Market Landscape – Researched and sized the collaborative R&D services market for electronic,

orthopedic and clean-tech materials •  Demand Generation & Customer Acquisition - Pursued collaborative research & strategic alliances with

a targeted set of Global 1000 R&D organizations. •  Demand Generation & Customer Acquisition - Developed ROI model for collaborative research services

in the orthopedic materials based on market share movements. •  Strategic Finance – Evaluated nanotechnology materials acquisitions and venture investments •  Market Landscape – Supported the market assessment and business planning for an oil viscosity

sensor business which led to the spin off of Visyx .

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Project Examples – Market Landscape Market Landscape projects cover the following areas: Market pain & problem identification, market sizing, competitive analysis, competence analysis and technology assessment. Example Bighorn Market Landscape Projects •  GHX – Review third party & internal market research to develop revenue model for business entry. •  The Water Company – Researched market pain and market size in ten segments of the water treatment, mining and

chemical industries. •  The Water Company – Performed competitive analysis of competing water treatment technologies and assessed

capabilities of TWC’s CDI technology •  Altela – Validated and sized the opportunity for AltelaRain system in the Piceance Basin. •  SkyeTek – Defined market strategy via analysis of the market, customers and competition. •  SkyeTek – Researched and sized the collaborative R&D services market for electronic, orthopedic and clean-tech

materials •  Symyx – Researched and sized the collaborative R&D services market for electronic, orthopedic and clean-tech materials •  Symyx– Supported the market assessment and business planning for an oil viscosity sensor business which led to the

spin off of Visyx .

Example Pre-Bighorn Market Landscape Projects •  Ardesta – Defined pain points and sized markets for Translume a company venture financed by Ardesta •  KLA Tencor – Worked with sales team to size market for 22xx products and enhancements

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Project Examples – Product Strategy & Market Entry Product Strategy & Market Entry projects cover the following areas: Segmentation, product planning / requirements, buyer & user personas, portfolio and roadmap management, business model generation/evaluation, go to market strategy, channel and partner (whole product) development, pricing analysis, pilot / beta customer business development, beta-site management, international expansion. Example Bighorn Product Strategy & Market Entry Projects •  GHX – Performed several pricing and decision analyses related to new market entry •  The Water Company – Worked with executive team and BOD to select target markets, developed detailed market

research and defined product requirements for target markets. •  The Water Company – Beta Site ID, Business Development and Site Management. •  Altela – Developed detailed understanding of Piceance Basin (oil & gas extraction basin) and its water treatment options

& challenges to define value pricing points for Altela. •  Altela – Identified future product requirements and business channels for the AltelaRain service. •  SkyeTek– Defined and launched of four well-received new products including an EDN award winner.

Example Pre-Bighorn Product Strategy & Market Entry Projects •  KLA-Tencor - Supported a 40-person 22xx cross-functional product development team from alpha stage to early

maturity. •  KLA-Tencor - Managed 22xx product line, which developed a company record $28 million of revenue in first 6 months

after launch. •  KLA-Tencor - Defined market requirements, assessed tradeoffs, & coordinated project plan for product line extensions. •  KLA-Tencor - Introduced pricing strategy overhaul targeting the increased adoption of ILM system solution.

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Project Examples – Demand Generation & Customer Acquisition Demand Generation & Customer Acquisition projects cover the following areas – Marketing plan development, web marketing SEO/SEM, sales funnel & win/loss analysis, and sales tool/collateral/thought leadership (blog, webinar etc.) development, ROI/TCO modeling, CRM selection & implementation. Example Bighorn Demand Generation & Customer Acquisition Projects •  GHX– Developed customer ROI tool for a medical device supply chain SaaS product. •  GHX – Evaluated business model options for market entry. •  The Water Company – Sales collateral formulation & updates. •  Altela – Developed business at Altela’s first two non-investor customers, both in the target oil & gas basin. •  SkyeTek – Built marketing team - Two FTEs and seven contractors and $300K marketing budget. •  SkyeTek – Provided sales tools which helped grow revenues 40% and bookings 139%. •  SkyeTek – Improved lead generation via outbound and web marketing resulting in a 69% increase in web traffic and 32%

growth in developer kit sales. •  Symyx – Pursued collaborative research & strategic alliances with a targeted set of Global 1000 R&D organizations. •  Symyx – Developed ROI model for collaborative research services in the orthopedic materials based on market share

movements.

Example Pre-Bighorn Demand Generation & Customer Acquisition Projects •  KLA-Tencor – Supported sales force with account strategy development and a wide range of marketing collateral. •  KLA-Tencor – Developed marketing collateral, website content and collaborated on PR / advertising plan & development. •  KLA-Tencor - Improved adoption of ILM system at five target accounts that analysis indicated were only partial adopters.

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Project Examples – Strategic Finance Strategic Finance (M&A, FP&A, Fundraising) projects cover the following areas: Buy/build/partner analysis, M&A target identification, valuation, due diligence, integration planning, business plan & fundraising document development, fundraising facilitation, alliance & joint venture development, new product/opportunity financial analysis. Example Bighorn Strategic Finance Projects •  GHX – Developed comprehensive financial model to validate market entry opportunity. •  GHX – Performed M&A target identification, valuation and negotiation. •  The Water Company – Authored Update to TWC Fundraising Documents •  SkyeTek- Developed all fund raising collateral and engaged with investors leading to SkyeTek’s $10 million Series B

venture financing.

•  SkyeTek- Developed company dashboard presented monthly to SkyeTek’s Board of Directors. •  Symyx– Evaluated nanotechnology materials acquisitions and venture investments

Example Pre-Bighorn Strategic Finance Projects •  Ardesta- Directed all venture investment and development activities in Optics, Electronics, and Clean Energy. •  Ardesta - Investigated display, nanoelectronics, LED lighting, fuel-cell, battery, and solar cell investment candidates. •  Ardeseta – Performed due diligence, valuation, and led investment anaysis in Translume (micromachining) and

NeoPhotonics (fiber optics) •  Ardesta – Negotiated Translume’s IP licensing agreements with the University of Michigan and Clark-MXR. •  Level 3 - Developed a process for allocating capital and performing project evaluation that leveraged traditional

measures such as NPV/ROI as well as advanced approaches such as Real Options and Game Theory. Provided recommendations for allocating $5 billion targeted at areas that were critical to Level 3’s survival in the telecom bust.

•  Level 3 - Filtered M&A candidates and recommended acquisition/alliance targets to provide Level 3 with a Canadian market & network footprint.

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