Radix Inc. may be based in a small southwestern Ontario town, but it has been big on innovation for 21 years.
This company in Tecumseth designs, builds and delivers leading-edge custom equipment for manufacturers in a variety of industries, from aerospace and automotive to candy and pharmaceutical production. Radix’s products feature the latest in technology-based solutions, employing advanced robotics, machine vision and custom software.
“Usually what we do is custom automation but with that innovation edge, with that high-tech aspect to it,” says Shelley Fellows, vice-president of operations for Radix, and a co-owner, along with her husband, president and CEO Ross Rawlings, and vice-president of engineering Nick Dimitrov.
An example is their “tool tracker,” which combines high-resolution cameras with vision-based tracking software to provide companies with error proofing and product traceability.
“You know with 100 per cent certainty that fastener is bolted down – security guaranteed for your customers,” explains Ms. Fellows. “And you have traceability on it, so if someone comes to you and says, ‘I have a question about this,’ you can say, ‘I have data to say this bolt was fastened when it left our factory.’ ”
Radix started out in the automotive sector, with Ford Motor Company as its first client, which is also the reason it was located near Canadian auto hub Windsor, Ont. Over the years, Radix diversified, focusing on leading, not following, when it came to technological innovation. “My husband and I founded the company because of his insight and predictions about the role of software and computer technology in manufacturing,” says Ms. Fellows. “He really was visionary about that.” Now the Radix client list also includes big-player names like GM, Toyota, Magna, Cadbury, Mars Foods and Jamieson.
New projects are often sparked by a call from an engineer with a problem for Radix to solve, like new volume or a change in their product. Other times, the company uses its instincts and knowledge to recognize gaps in the marketplace and figure out how to fill them.
“If there isn’t a solution out there or a technology that will address that particular need, we will invest in it,” she says. “We’re driven to solve problems. As a company, that’s what we do. We’re super-smart problem solvers, and so, for us, there’s a drive to learn new things all the time.”
Darren Meister agrees. The drive to learn is an essential part of becoming a true innovator, says Mr. Meister, the John M. Thompson Chair in Engineering Leadership and Innovation at the University of Western Ontario and an associate professor at the Ivey School of Business.
“Innovation is often [about] watching people and saying, ‘Hey, I think we could do that better,’ when [people] might not even know they need it,” he says. “If you went out in 2004 and asked people if they needed Facebook or Twitter, most [of them] would have said, ‘That sounds stupid.’ And yet, [social media services have] become fairly indispensable tools.”
Companies also need to know the difference between invention and innovation, says Mr. Meister. “Invention is where you create new things. Innovation is when you create new things that have value for someone.”
To differentiate themselves from the competition, companies need to find those early adopters of their product. “To go from that small set of early adopters to the mass market is not trivial, but if you don’t do the first part, you’ll never do the second part,” he says.
CIBC Tips:
Mind the gap
Recognize opportunity: An important key to innovative success is being able to pinpoint gaps and opportunity where an investment in innovation could close it. Increase your market knowledge and understanding of current solutions to identify enhancement opportunities.
Build a culture of innovation: Foster a culture where innovation and problem-solving are valued. Cultivate innovative behavior like the sharing of ideas, ensuring team members have a channel to share.
Be a visionary: Being first to apply an enhanced version of a known solution in a new market is just as impactful as being first to market with a net new product or service. Diversify your thinking and cast a wide net in terms of how your product and/or service can be used.
Once you've found those early adopters, pay attention to what they can teach you. “It’s less market research and more market observation,” he explains. “Go out and see how people are using it.”
And if you’re an established company introducing a new innovation, it’s important to pick that first set of clients carefully – the customer who loves you but wishes your product could be better; the “frustrated heavy user,” Mr. Meister calls them. “They like you [and] you have credibility with them, but they are willing to take a chance on the new product. But they can’t be the super-happy customers, because they won’t necessarily want anything different.”
Ms. Fellows agrees that it’s important to have clients who are willing to take a risk on a new technology. “For some of the more wildly unconventional solutions, we do have to have that champion in our customer, that customer that is willing to say, ‘I believe you can do this for us.’ They have to be willing to take a chance, to be comfortable with risk, even if it’s well-informed, researched risk.”
But while innovation is most often the driver in Radix’s products, the company has to be constantly vigilant about safety standards.
“We also have to remember that these are manufacturers whose goods need to be safe,” notes Ms. Fellows. “We’re driving those cars, we’re eating those gummy bears, we’re using their products every day, so we have to make sure that what we’re recommending to them will support their product’s safety, security and quality.”
Ms. Fellows says much of the company’s new business is by referral, from either its customers or suppliers. It also comes from observing what’s happening in the industries Radix serves.
“We have the advantage that we’re in the plants. We are working in our customers’ environments, so we can see the trends that are out there,” she says. “We have that big picture.”
Radix will continue to innovate and reach further, says Ms. Fellows, because even after 21 years, the company isn’t content to rest on its laurels.
“[If we] sit back and say, ‘We’ve accomplished everything we want to accomplish,’ we’d be closing the company in the next week. Technology has changed so rapidly and it will continue to change. It’s exciting to be a part of it.”
This content was produced by The Globe and Mail's advertising department, in consultation with CIBC. The Globe's editorial department was not involved in its creation.