A L L R O A D S L E A D T O I N N O VAT I O N 261 Han's Laser could eliminate a great deal of expensive factory testing and could also offer a basic model that could be gradually adapted to the customer's true needs. The end result was a machine that was gradually tailor-made to better suit each specific situation. It turned out to be a more effective approach than a one-size-fits-all design that would have only partially met each customer's requirements. As Han's Laser progressively adapted its machines, it was able to improve its basic design. Between 1996 and 1999, the company made more than 3,000 improvements to its original machine. Delivery to customers was faster. Cash flow was substantially improved. Service was immediate. Customer satisfaction and loy- alty reflected the fact that having a technician on the scene increased brand loyalty and a sense that the company actually cared about each individual client. Other Ways to Innovate Not all innovation is in the product. Occasionally, tweaking the business model can lead to a dramatic change. In the early 1990s, China International Marine Containers (CIMC) imported its pro- duction line of 10,000 containers a year from Germany. Over the next five years, CIMC began producing its own containers, and its technicians began applying technology borrowed from the auto industry. By 1996, the company had increased production by 2000 percent, making CIMC the world's largest producer of shipping containers. In fact, by 1996, CIMC was producing one out of every five new shipping containers in use around the world. It progressed far enough to establish its own R&D center in 1997. One of its first innovations was to replace the expensive aluminum used in refrig- erated containers with a specially treated steel at a substantial cost savings. The development, done in partnership with Germany (which licensed the steel treatment technology to CIMC), resulted American Management Association / www.amanet.org