The Profound Value Proposition of
Product Line Roadmapping

1
Roadmapping Orientations
Customer-centric

Supply chain-centric

Technology-centric

Product line-centric

Business planni...
Products in Development
(Portfolio of Projects in the Stage Gate Process)
RiskAssessorTM Statistical Model
Analysis of Pro...
Accumulated Expected-Launch
Value of the Stage Gate Portfolio
$45,000

$45,000

Adjusted for RiskAssessorTM
calculated ris...
Improving the Portfolio
What can be done to this portfolio to meet the financial objectives?

Confidential – The Adept Gro...
Key Insight
The portfolio needs Bigger Better Bubbles
1 Discovery and creation of exceptional product concepts is
essentia...
Flow of NPD Processes
RIGHT

PROJECTS

RIGHT
Production and
Product
Management

Business
Strategy
Product Line
Roadmapping...
Full Process Architecture of NPD
Product Line Roadmapping is a sub-process within the full architecture that drives the
po...
Full Process Architecture of NPD
The platform links technologies to market
2013

TARGET MARKET
SEGMENTS

2014

2015

2016
...
Generic Product Line Roadmapping
Phase 1

Roadmapping RampUpTM is a trademark of The Adept Group

Portfolio
Reso urces
Lif...
Four Unique Components of
Product Line Roadmapping
1

The direct link to NPD portfolio management: Does this portfolio car...
Construct of Insight Flow
1

Valued Insight to Planning
Prioritization

Information to Valued Insight
Information
Raw Insi...
Construct: Cross-organization,
Cross-hierarchy Processes
Valued Insight to Planning
Prioritization

Information to Valued ...
Five Key Contributors to Value
1

2

Improved Product Line
Strategies:

Remove Latencies:

Smart product line roadmaps
ena...
Five Key Contributors to Value
5

4

True Linkage to Business Strategy:

Front-to-Back Process Integration:
Product line r...
The Profound Value Proposition
of Product Line Roadmapping
1

Notably increased efficiency and proficiency:
 Each of the ...
Call to Action
• Assess where you are with respect to product
line roadmapping
• Begin an internal dialogue on how to impl...
Learn More
Upcoming Workshop:

Strategizing & Roadmapping the Product Line
April 1 @ 9:30 am - April 2 @ 5:00 pm, Chicago,...
Thank you for this opportunity to share some insights with you.
Paul O’Connor, NPDP
paul.oconnor@adept-plm.com
904-551-067...
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The Profound Value Proposition of Product Line Roadmapping

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Most organizations have advanced significantly their New Product Development processes, practices and techniques. Today, top management is placing much focus on orchestrating and optimizing their portfolios of new product development projects. To do this, however, requires much more than just shuffling around the existing projects and shifting resources from one project to another. Simply stated, bigger, better product development projects must also be added to the portfolio. It is well executed Product Line Roadmapping that sets the playing field and yields the innovation targets for gaining and creating such bigger, better projects.

This slide presentation reveals the profound value impact of Product Line Roadmapping within and across an entire process architecture.

For more information contact Paul O'Connor at The Adept Group Limited, Inc.


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The Profound Value Proposition of Product Line Roadmapping

  1. 1. The Profound Value Proposition of Product Line Roadmapping 1
  2. 2. Roadmapping Orientations Customer-centric Supply chain-centric Technology-centric Product line-centric Business planning-centric Our focus is… Product Line-Centric Roadmapping Confidential – The Adept Group 2
  3. 3. Products in Development (Portfolio of Projects in the Stage Gate Process) RiskAssessorTM Statistical Model Analysis of Project Risk 36 30 Months Left BellRinger1 (31%) 24 Ultimate 7 (29%) 18 RioGrande (55%) 12 6 Venus J (77%) 0 0 1 2 3 4 5 Stage Completion in Stage Gate Process Gate 0 Stage 1 Gate 1 Stage 2 Gate 2 Stage 3 Gate 3 Stage 4 Gate 5 Stage 5 RiskAssessor is a trademark of The Adept Group Confidential – The Adept Group 3
  4. 4. Accumulated Expected-Launch Value of the Stage Gate Portfolio $45,000 $45,000 Adjusted for RiskAssessorTM calculated risk $40,000 $40,000 $35,000 $35,000 $30,000 (4) (4) (4) $25,000 $30,000 $25,000 (3) $20,000 $20,000 $15,000 $15,000 $10,000 $10,000 $5,000 $5,000 (1) $0 $0 2014 2015 2016 2017 2018 RiskAssessor is a trademark of The Adept Group Confidential – The Adept Group 4
  5. 5. Improving the Portfolio What can be done to this portfolio to meet the financial objectives? Confidential – The Adept Group 5
  6. 6. Key Insight The portfolio needs Bigger Better Bubbles 1 Discovery and creation of exceptional product concepts is essential to NPD portfolio optimization. 2 Optimizing an NPD portfolio without a defined front-end process is problematic. Confidential – The Adept Group 6
  7. 7. Flow of NPD Processes RIGHT PROJECTS RIGHT Production and Product Management Business Strategy Product Line Roadmapping (PLR) Front-End – Concept Generation Stage Gate Targeting Innovating Delivering Here is another simple insight: The quality of the output from one sub-process… has extreme impact on the performance of the set of projects in the next sub-process. Confidential – The Adept Group 7
  8. 8. Full Process Architecture of NPD Product Line Roadmapping is a sub-process within the full architecture that drives the portfolio This chevron depicts the “Full Architecture” of product development from strategic planning through in-market life cycle management. Product Line Roadmapping Each sub-process has: 1. Work Flow 2. Information Flow 3. Decision Flow Confidential – The Adept Group All should be aligned and streamlined 8
  9. 9. Full Process Architecture of NPD The platform links technologies to market 2013 TARGET MARKET SEGMENTS 2014 2015 2016 Seg 1 2017 XXX Seg 2 PRODUCT LINE PLATFORMS YYY ZZZ A B PIMs PIDs PRODUCTS IN THE MARKET PRODUCTS IN DEVELOPMENT (STAGE-GATE) Technology 1 PICs Technology 2 PRODUCTS IN CONCEPT (TARGETS FOR NEW PRODUCTS/INNOVATION) C TECHNOLGY BUILDING BLOCKS Technology 3 Confidential – The Adept Group Technology 4 Technology 5 ???? 9
  10. 10. Generic Product Line Roadmapping Phase 1 Roadmapping RampUpTM is a trademark of The Adept Group Portfolio Reso urces Life Cycle Strateg y • Set up an iterative process to improve information quality and the “genius” of insights. Pro duct L ine • Facilitate organizations in designing and implementing an iterative product line roadmapping process… from Adept generic to client customized. Techn olo gy Marketin g Current Conditions Phase 2 Segment Selection 101 Segment the Market Drill Down Phase 3 Charters Draft Charters 104 Identify Contributors , Influencers and VOC Participants 107 Identify & Prioritize Future Customer Needs through VOC 108 Analyze Potential PICs versus Competition 109 Analyze Potential PICs vs. Distribution Channels 105 Identify Market Trends and Opportunities 102 Generate Directional Policy Matrix 106 Identify Actions to Improve Competitiveness 201 Assess Technology Platform Capabilities Phase 4 Reshape Charters 204 Generate Technology Roadmap based on PLP 202 Identify Enabling Technologies based on VOC 304 Evaluate Proposed Portfolio vs Key Criteria 401 Identify Current Resource Utilization 402 Define Resource Need going forward 305 Rationalize Portfolio Mix to Optimize Portfolio 403 Develop Resource Proposal that Closes Identified Gaps 302 Evaluate PIDs vs Key Criteria 404 Rationalize Resource Plan 501 Collect Revenue and Profit Forecasts 503 Craft Lifecycle Action Plan 502 Map PIMs & PIDs onto Lifecycle Curve 602 Conduct Current Competitive PL Strategy Assessment 601 Identify Current Desired Product Line Strategy 701 Identify Current Platforms for PIMs and Extensions 702 Map PIDs onto Product Line Complete Doc’s & Plans 205 Generate Technology Action Plan, Integrate into overall roadmap 203 Identify Technology gaps 301 Evaluate Impact of PIDs on Portfolio Optimize & Rationalize 604 Define Recourse Options for PL Strategy 603 Evaluate Desired Strategy versus Actual Strategy 103 Select Target Segments Confidential – The Adept Group 703 Identify Road Map Gaps and Opportunities 704 Generate Potential PICs 605 Analyze Impact of Proposed PICs on PL Strategy 705 Reshape PICs based on VOC , Tech map, PLP Gaps 706 Rationalixe Road Map to Close Gap in PL Growth Goals 706 Create Summary Documents 10
  11. 11. Four Unique Components of Product Line Roadmapping 1 The direct link to NPD portfolio management: Does this portfolio carry out each product line roadmap? 2 Focus on product line platform leverage and product line strategy. One or more platforms become the focal point of roadmapping iterations. 3 Using all information and transformed insights, creatively generate targets for innovation, products in concepts (PICs), new platform exploration, and technology scouting charters … for inclusion in the front end portfolio. It’s about the flow: raw information value insight decisions/actions 4 “Fits strategy” transforms to “on roadmap.” Individual new product concepts do not go to concept screening. Rather, due diligence is to convert the concept to a PIC… evaluate its position on a roadmap… build out the PIC using roadmap constraints and insights… move the PIC to concept generation. Confidential – The Adept Group 11
  12. 12. Construct of Insight Flow 1 Valued Insight to Planning Prioritization Information to Valued Insight Information Raw Insight Rearrangement, Clustering, Aggregation of Raw Insight Transform to Value Insight : Comprehension, Rationale CTQ of Insight: - Timing, Speed, Depth, Robustness, Accuracy - Context Relevancy of Source; Data Target - Intelligence of Information to Insight Aggregation - Validation of Data, Information, Insight - Value in Context of Plan (Current, Future State ) How well? What Quality? 3 2 Transfer Sharing and Recognition of Insight Decision Prioritization CTQ of Transfer: - Behavioral / Cultural - Methods / Approaches to Communications - Structural Focus: Responsibility, Roles - Strategy Dynamics / Roadmap Fit How well? What Quality? Product Definition and Value Realization Product Definition Action ; Insight Utilization Realization of Value from Insight CTQ of Value Realization: - Project & Process Management - Portfolio Management How well? What Quality? Organizational Capability and Quality of Insight Flow Confidential – The Adept Group 12
  13. 13. Construct: Cross-organization, Cross-hierarchy Processes Valued Insight to Planning Prioritization Information to Valued Insight Information Raw Insight Rearrangement, Clustering, Aggregation of Raw Insight Transform to Value Insight : Comprehension, Rationale CTQ of Insight: - Timing, Speed, Depth, Robustness, Accuracy - Context Relevancy of Source; Data Target - Intelligence of Information to Insight Aggregation - Validation of Data, Information, Insight - Value in Context of Plan (Current, Future State ) Transfer Sharing and Recognition of Insight Decision Prioritization CTQ of Transfer: - Behavioral / Cultural - Methods / Approaches to Communications - Structural Focus: Responsibility, Roles - Strategy Dynamics / Roadmap Fit Product Definition and Value Realization Product Definition Action ; Insight Utilization Realization of Value from Insight CTQ of Value Realization: - Project & Process Management - Portfolio Management Technology & Intellectual Property Intelligence Market Intelligence Product Line Strategizing and Roadmapping Front end Portfolio Management Project Portfolio Management Concept Generation Product Definition Stage Gate Process Project Management Confidential – The Adept Group 13
  14. 14. Five Key Contributors to Value 1 2 Improved Product Line Strategies: Remove Latencies: Smart product line roadmaps enable the creation of realizable product line strategies • Enabling a line of products, not just a one-off product • Providing a game to beat competitors, with full due diligence and understanding • Leveraging the product line platform… implying notable strategic gains Product line roadmaps improve speed-to-market due to shared vision, alignment, collaboration and coordination… across all stakeholders • More efficient and timely execution across functions • The minimization of latency (lost time) of full product line build out Confidential – The Adept Group 3 Faster Organizational Response: Product line roadmapping (the process) enables organizations to recognize and respond quickly to specific new opportunities, risks, changes, th reats… proficiently manage uncertainty • Product line roadmapping generates the content of what-if explorations of uncertainty • Enables an organization, across all functions, to quickly and intelligently react to all environmental influences 14
  15. 15. Five Key Contributors to Value 5 4 True Linkage to Business Strategy: Front-to-Back Process Integration: Product line roadmapping extends the impact of stage/gate and portfolio management to levels these processes cannot accomplish alone • Gate Criterion: “Is this project critical to the roadmap?”; enabling an understanding as to whether the organization is working on the right set of projects • Portfolio Management: “Is this portfolio „balanced‟?” becomes “Does this set of projects fulfill the needs of the roadmap(s)?” Product line roadmaps are a significant addition to business strategy… enabling linkage of product line strategies with one another and with other strategy “links” • In business strategy… links in a chain to create a business strategy: Ex: a supply chain strategy link, sales strategy link, operations strategy link, an intellectual property strategy links, a human resource strategy link and multiple product line strategy links. • Roadmaps define product strategies as specific links enabling connection with other product line strategies… more than just coordination of product development activities with non-product development activities • Establishes a critical and recognizable role for product line strategies in overall business strategy Confidential – The Adept Group 15
  16. 16. The Profound Value Proposition of Product Line Roadmapping 1 Notably increased efficiency and proficiency:  Each of the five contributors will increase output measure (Speed, Strategic Impact, Resource Use Efficacy) by at least 10% and as much as 30%. If each contributing factor added a 15% gain (1.15 raised to the 5th) then you will double the output of a product line’s build with the same resource input. 2 Gain competitive advantage:  Through focused, coordinated actions that leverage the product line platform an organization will gain competitive position. 3 Investment breakeven is so low:  While my claim is to double the output of a product line, the breakeven point on the needed investment is usually 90%+ less than my claim Confidential – The Adept Group 16
  17. 17. Call to Action • Assess where you are with respect to product line roadmapping • Begin an internal dialogue on how to implement roadmapping • Learn more about how to gain a market advantage with a successfully implemented product line roadmapping process Confidential – The Adept Group 17
  18. 18. Learn More Upcoming Workshop: Strategizing & Roadmapping the Product Line April 1 @ 9:30 am - April 2 @ 5:00 pm, Chicago, IL (near airport) In-depth training on developing a powerful product line strategy and detailing an intelligent roadmap of its execution. Lead by: Paul O‟Connor of The Adept Group Limited, Inc. www.adept-plm.com/Product-Line-Roadmapping-Workshop Access Free Downloadable Resources, including articles, whitepapers, and webinars: http://adept-plm.com/product_line_roadmapping/ Confidential – The Adept Group 18
  19. 19. Thank you for this opportunity to share some insights with you. Paul O’Connor, NPDP paul.oconnor@adept-plm.com 904-551-0673 www.adept-plm.com 19

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