755: Serving the Creators | Craig Foster, CFO, Picsart

CFO THOUGHT LEADER

During 2018, the very year Craig Foster joined Bright Machines, the San Francisco–based company was spun out from contract manufacturing firm Flex, raised a headline-grabbing $179 million in Series A funding, and shed its original moniker, AutoLab AI.

By all accounts, the manufacturing start-up, which promised to use a combination of robots and new software to perform manual labor, was open for business. However, like many start-ups, Bright Machines had yet to add some basic business functions.

“We had a sense of product, but we didn’t have any infrastructure whatsoever,” comments Foster, who notes that among the company’s most immediate needs was an HR executive hire—someone capable of populating the company with experienced managers.

Still, arguably more critical to future of the business were the remedies for certain flaws that had begun to become visible in the company’s maturing business model.

“I had been working there only a few months before I realized that the business model was simply not going to work,” explains Foster.

“Basically, we had a blueprint for how things were actually supposed to come together but only a semblance of one for what the business model was supposed to look like going forward,” continues Foster, who adds that over a period of months he worked with the CEO and the company’s board to “retool” the model to better facilitate customer recurring revenues and place less emphasis on the services aspect of the company’s offerings.

“We needed not a reset of the model but just a retooling in terms of how we thought about pricing, product, and development, and we needed to retool these things in concert,” observes Foster, who notes that the new mind-set kept the distinct value that Bright Machines offers its customers in sharper focus.

Says Foster: “It was a tough bandage to rip off, but I had great support from the board and everyone else at the time.” –Jack Sweeney