Product Development


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Product Development

  1. 1. S-72.124 PRODUCT DEVELOPMENT OF TELECOMMUNICATION SYSTEMS I Elements of Telecommunication Product Development Process II Tools for Generating and Cultivating Ideas
  2. 2. S-72.124 Product Development of Telecommunication Systems <ul><li>Objectives To understand modern, high-tech product development process by theory and practice </li></ul><ul><li>Lectures discuss dominant elements of product development process: Handouts www.comlab. </li></ul><ul><li>Workshop (fall term): deals with practical cases; takes full-day work of 4-5 days </li></ul><ul><li>Lecture Diary (optional): Guides available at the course homepage. Return Diary within one week to the mailbox (E-wing 2th floor). Max length 1 page of A4. </li></ul><ul><li>Grading based on Exam, Workshop report 50/50. Lecture Diaries can increase your grade max by 0.5 (pass/failed). </li></ul>
  3. 3. <ul><li>Workshop tasks & report prepared in groups </li></ul><ul><li>Group tutoring by joint effort of Communications Lab. & industry partner(s) </li></ul><ul><li>Earlier Workshops arranged by Elisa, Telia, Ericsson, Satama Interactive, Sonera, etc. </li></ul><ul><li>Workshop topics : Prepaid Calling Cards, Wi-Fi Networks, Company Customer Relation Management (CRM) system design ... </li></ul><ul><li>Join to listen lectures and make your own notes & questions </li></ul><ul><li>Writing a Lecture Diary is a splendid tool for making systematic notes. ( guides available at: ). </li></ul>S-72.124 Product Development of Telecommunication Systems
  4. 4. Topics Today <ul><li>Telecommunications product development </li></ul><ul><ul><ul><li>Role of vision, mission and strategy </li></ul></ul></ul><ul><ul><ul><li>Defining modern product development process </li></ul></ul></ul><ul><ul><ul><ul><li>Project plan </li></ul></ul></ul></ul><ul><ul><ul><ul><li>Industrial product development </li></ul></ul></ul></ul><ul><ul><ul><li>Telecommunications business environment </li></ul></ul></ul><ul><li>Tools for idea cultivation and project management </li></ul><ul><ul><li>How to produce ideas </li></ul></ul><ul><ul><li>How to select applicable ideas </li></ul></ul><ul><ul><li>How to sketch a project plan and recognize time-critical events </li></ul></ul>
  5. 5. High-tech Product Development Financing Products Production Process Usability Quality Leadership Project management Strategic management Innovations IPR Commercialization Product design Marketing Business Plan
  6. 6. Vision, Mission and Strategy <ul><li>Vision </li></ul><ul><ul><li>A view of the future development </li></ul></ul><ul><li>Mission </li></ul><ul><ul><li>A recognized way to distribute know-how, resources and results in </li></ul></ul><ul><ul><ul><li>Own organization </li></ul></ul></ul><ul><ul><ul><li>Partner networks </li></ul></ul></ul><ul><li>Strategy </li></ul><ul><ul><li>A way to work, to acknowledge, achieve, maintain & update information flows and goals </li></ul></ul>Vision Mission Values/Attitudes Strategy … provide our customers with products and solutions that increase their competitive edge, open up new business opportunities and enable cost savings … market leader after five years … success factors for the company are technology competence within telecommunications and ICT and familiarity with telecommunications operators
  7. 7. Challenges and Rewards in Product/Service Development <ul><li>Recognizing, understanding and managing key challenges is an elementary factor to create a successful product/service development process </li></ul><ul><li>A successful development team is multi-disciplinary, motivated and cooperative </li></ul>Trade-offs Dynamics Details Timetables Economics Manifestation of creativity Satisfaction of social & individual needs Team spirit Team diversity
  8. 8. Industrial Product Development Process Theoretic functionality ? What about in practice? Sub-unit functionality? Functionality of the whole process? First demo Practical proto Mass production proto Mass production
  9. 9. Realizing Units of Industrial Product Development Marketing Design Manufacturing Team leader Central factors of a project Mechanical designers Electronics designers Marketing Team Purchasing engineer Manufacturing engineer Industrial designers Teams to design an electro-mechanical product Financial Legal Patents
  10. 10. Conventional Product Development Process MARKETING DESIGN MANUFACTURING CONCEPT DEVELOPMENT SYSTEM -LEVEL DETAILED DESIGN TESTING RAMP-UP & LAUNCH PLANNING -Promotion materials -Early production with key customers -Marketing plan -Product options -Pricing strategy -Lead users -Competitive products Identify: -market opportunity -market segments -Evaluation of early product outputs -Regulatory approvement -Performance testing -Tolerances -Components -Part geometry -Subsystems -Interfaces -Feasibility studies -Experimental prototypes -Identify new technologies -Consider product platform -Production constraints -Supply chain strategy -Estimate manufacturing costs -Suppliers for key components -Quality assurance processes -Fabrication and assembly process -Follow-up product system (O&M)
  11. 11. Maturity of Project Control Reference: T. Korhonen, A. Ainamo: Handbook of Product and Service Development in Communication and Information Technology, Kluwer Academy Press, 2003 add-hoc repeatable & defined action & integration MATURITY OF ORGANIZATION MANAGEMENT AMBITION Vision Mission Actions Measurements + management & optimization synchronization & overview control & supervision
  12. 12. Binary Organization Developed Organization <ul><li>Focus on </li></ul><ul><ul><li>interactions </li></ul></ul><ul><ul><li>excessive feedback </li></ul></ul><ul><ul><li>rapid development speed </li></ul></ul><ul><ul><li>overflow of potential ideas (at least, no lack of them) </li></ul></ul><ul><ul><li>competitors are customers </li></ul></ul><ul><ul><li>customers are extensively educated </li></ul></ul><ul><ul><li>fashion (product/organization) changes fast and unpredictable way </li></ul></ul><ul><li>Developed way to measure working of organizational body to keep it in good update shape </li></ul><ul><li>Globalization is a potential </li></ul><ul><li>Salary is a function of performance </li></ul><ul><li>Fixed organization </li></ul><ul><li>Clearly defined roles </li></ul><ul><li>Known customers </li></ul><ul><li>Known competitors </li></ul><ul><li>Known products </li></ul><ul><li>Known, traditional pricing </li></ul><ul><li>Fixed, slowly increasing market size </li></ul><ul><li>Hierachial or matrix organization </li></ul><ul><li>Slow information flow, especially in feedback </li></ul><ul><li>Quality measured in cash flow </li></ul><ul><li>Globalization is a threat </li></ul><ul><li>Salary is a function of luck </li></ul>(High-tech product development)
  13. 13. High-tech Product Development <ul><li>constant product improvements </li></ul><ul><li>high development velocity </li></ul><ul><li>knowledge sharing from suppliers, competitors , and customers </li></ul><ul><li>feedback on demand from customers </li></ul>
  14. 14. High-tech product development process <ul><li>FUZZY FRONT-END </li></ul><ul><li>Vision driven Tension </li></ul><ul><li>Values </li></ul><ul><li>Targeting </li></ul><ul><li>REALIZATION </li></ul><ul><li>PROCESSES </li></ul><ul><li>Talents & Skills </li></ul><ul><li>Strategies & Mission </li></ul>Customer interfaces Outputs Hard Constraints Quality Control Measurements Measurements CONCEPT DEVELOPMENT DETAILED DESIGN RAMP-UP & LAUNCH Customers Competitors Profitability
  15. 15. Measurements for Quality CONCEPT DEVELOP SYSTEM -LEVEL DETAILED DESIGN TESTING RAMP-UP & LAUNCH Development phases <ul><li>Good quality indicators : </li></ul><ul><li>commonly agreed: fair & simple </li></ul><ul><li>followed & updated </li></ul><ul><li>generally acknowledged </li></ul><ul><li>keep workers informed of all the relevant aspects of process goodness </li></ul><ul><li>keep customers willing to use products again and support company branding </li></ul>return of investment Technical Design Aesthetical Design Quality/price Return of Investment Customer satisfaction Follow-up of specification Target Pricing Early identification of triggers Making measurement for quality becomes easier Tracking critical fault conditions Subsystem & interface design
  16. 16. Information Society -Force Fields - Technology Politics, legislation regulation Rapidly evolving services & applications New lifestyles & fashion GLOBAL NETWORKING ECONOMY - Immediate, personalized, mobile access to services -
  17. 17. Systems & services Multimedia contents & tools Essential technologies & infrastructure New methods of working: @-business+mobile tech Factors in Telecommunications Business Framework Research networking Future & emerging technologies
  18. 18. Example: Telecommunications in Home/Office Access -TV/MOVIES -GAMES -broadcasting INTERNET services - unicasting - multicasting - peer-to-peer ... Copper (2 way) DVB-S DVB-Terrestrial (DiGi-TV) DVB-C, Cable TV ADSL/ ISDN cable- modems Mobile access: 2G: GSM 2.5G: GPRS, HSCSD, EDGE 3G : UMTS Network operators Service providers Content providers Device manufacturers ENERGY PLC Wi-Fi/ Bluetooth/ Ethernet
  19. 19. Telecom Market Players: Interoperable Hierarchy End-Users Content and Service Providers Service operators/ Telecommunications Netw. Solutions Physical Telecommunication Networks & Terminals Individuals, companies Paramount pictures, MTV.. Elisa,TeliaSonera…. Nokia, Motorola ...
  20. 20. Telecommunication Service Environment is Complex!
  21. 21. Example: Targets in Mobile Services
  22. 22. Example: Add2Phone’s* Value Network (a mobile marketing company) 1. Companies/products to be advertised/ sponsored 2. Renting advertisement space 3. Buying content (protected by IPRs) 1 2 3 *Add2phone was industrial partner in S-72.124 Workshop in spring 2000
  23. 23. Practical Value Networks are Complex For more discussion see
  24. 24. II Tools for Generating and Cultivating Ideas
  25. 25. Personal Process of Creativity 1 1: T. Korhonen, A. Ainamo: Handbook of Product and Service Development in Communication and Information Technology, Kluwer Academic Press, 2003
  26. 26. A Cycle in The Process of Creativity <ul><li>Creativity cultivation requires different talents in different phases </li></ul><ul><li>System contains in practice extensive feedback </li></ul><ul><li>Best workgroups are multidisciplinary (Developed communication skills required!) </li></ul>
  27. 27. Some Creativity Tools idea generation filter modifications associative mapping concept testing, decision making <ul><li>Random pictures/words/sentences </li></ul><ul><li>Reinforced pictures/words /sentences (doodles) </li></ul><ul><li>Lateral Thinking: Synetics </li></ul><ul><li>The Six Thinking Hats </li></ul><ul><li>Mind Maps: Fish Bones </li></ul><ul><li>SWOT-method </li></ul><ul><li>Critical Path Analysis </li></ul><ul><li>Force Field Analysis </li></ul><ul><li>Decision Tree </li></ul>
  28. 28. How to Select the Cultivation Method? <ul><li>A tool is applicable when there is information for its usage! </li></ul><ul><li>Some methods are primarily targeted for mapping the current status (eg SWOT), other for decision making (eg Force Field Analysis) and some are general purpose tools to assist project management (Critical Path Analysis). </li></ul><ul><li>Methods work well when they are used simultaneously; in-series or in-parallel, as for instance brainstorming+ SWOT </li></ul><ul><li>Successful product development requires that one should have sufficient information about </li></ul><ul><ul><li>customer's requirements </li></ul></ul><ul><ul><li>competitors’ product launches </li></ul></ul><ul><ul><li>markets </li></ul></ul><ul><ul><li>latest technology </li></ul></ul><ul><li>Vision of future trends is very important! </li></ul>Customers Markets Technology Competitors Future visions
  29. 29. Tools Focused Today <ul><li>Idea cultivation </li></ul><ul><ul><li>Brainstorming </li></ul></ul><ul><ul><li>Mind Mapping </li></ul></ul><ul><ul><li>SWOT </li></ul></ul><ul><li>Filter modifications </li></ul><ul><ul><li>Six Thinking Hats </li></ul></ul><ul><ul><li>Synetics </li></ul></ul><ul><li>Concept formation & Decision making </li></ul><ul><ul><li>Force Field Analysis </li></ul></ul><ul><ul><li>Critical Path Analysis </li></ul></ul>
  30. 30. Brainstorming <ul><li>Objectives: Bring about creative solutions (even for unidentified!) problems </li></ul><ul><li>Take solution candidates one after another until unusual solutions are generated </li></ul><ul><li>For a start take a word or words, from “a dictionary at hand” to feed the process and apply associations </li></ul><ul><li>Generate ideas without critics ! Thus </li></ul><ul><ul><li>many potential solution candidates are generated </li></ul></ul><ul><ul><li>whole problem dilemma may change! </li></ul></ul><ul><li>For concluding the session </li></ul><ul><ul><li>analyze results for instance by SWOT, FFA and/or Mind Mapping </li></ul></ul><ul><ul><li>Condensed and classified ideas can be used to support new sessions or other applications </li></ul></ul>
  31. 31. Brainstorming - Leader and Group Tasks <ul><li>Session leader </li></ul><ul><ul><li>definition of the start-up point </li></ul></ul><ul><ul><li>gives limits to the problem </li></ul></ul><ul><ul><li>gives limits to discussions (These limits must be very broad) </li></ul></ul><ul><ul><li>minute amount of critics </li></ul></ul><ul><ul><li>encouraging and enthusiastic </li></ul></ul><ul><ul><li>follows (the fixed) session time table! </li></ul></ul><ul><ul><li>Takes care that ‘idea jamming’ is only temporary! </li></ul></ul><ul><li>Session participants </li></ul><ul><ul><li>have diverged orientations related to the problem at hand </li></ul></ul><ul><ul><li>their background is as different as possible </li></ul></ul><ul><ul><li>good communication skills </li></ul></ul><ul><ul><li>substance should be known preferably by everybody (at least by somebody!!!) </li></ul></ul>
  32. 32. Individual vs. Group Brainstorming <ul><li>Individual BS </li></ul><ul><ul><li>many ideas </li></ul></ul><ul><ul><li>tendency to jam into fixed trails </li></ul></ul><ul><ul><li>easy to find unresolved questions </li></ul></ul><ul><li>Group BS </li></ul><ul><ul><li>ideas develop themselves into more elaborated form </li></ul></ul><ul><ul><li>ideas develop more efficiently </li></ul></ul><ul><ul><li>there might be less ideas (group follows the group behavior laws!) </li></ul></ul><ul><li>One may mix individual and group barnstorming: For instance each member might first BS of his own and then one may have a meeting based on each individual’s BS sessions </li></ul>
  33. 33. Getting more fruitful Brainstorming <ul><li>Methods of Six Thinking Hats (Edward de Bono) or Six Eyes* (Rodney King) can be used to get Brainstorming to work better: </li></ul>facts: figures, information needs and gaps intuition: feelings and emotions logical negative: judgment and caution logical positive: why something works creativity: alternatives, proposals, what is interesting, provocations and changes meta-cognition : creativity process control
  34. 34. Understanding process outputs a different way <ul><li>Themes can be seen from different perspectives by using “Synetics*”: </li></ul>*Gordon, W.J.J., Synetics: The development of creative capacity, 1961. Fig: Axon 2002,
  35. 35. Synetics questions explained <ul><li>Substitute/Simplify (What would you do in my place?) </li></ul><ul><li>Combine (Think about software being capable of evolving and </li></ul><ul><li>reproducing?) </li></ul><ul><li>Adapt (Think what would happen if you would have wings?) </li></ul><ul><li>Modify/Distort (What if cars would sometimes be used upsidedown?) </li></ul><ul><li>Put to other purposes (Think your mailbox as a kite!) </li></ul><ul><li>Eliminate (What would you end up by removing the batteries?) </li></ul><ul><li>Rearrange/Reverse/Scale (Reverse the order of blocks?) </li></ul>
  36. 37. Mind Mapping <ul><li>Mind Mapping is a technique to organizing information in its natural associative way, that is multidimensional. </li></ul><ul><li>Procedure: </li></ul><ul><ul><li>List the main topic, subtopics and facts . Search short expressions for them all. </li></ul></ul><ul><ul><li>Identify the main connections between themes </li></ul></ul><ul><ul><li>Set the main theme in the middle of the paper and arrange the sub-themes to surround the main theme </li></ul></ul><ul><ul><li>Recognize idea groups (for instance by colors) </li></ul></ul><ul><ul><li>Indicate interdependencies as the cause and consequence by arrows </li></ul></ul><ul><ul><li>Use symbols and figures and even sub-maps to give to total picture </li></ul></ul>
  37. 38. Example of a Mind Map Mind Manager (
  38. 39. Mind Mapping Summarized <ul><ul><li>A Mind Map is an associative structure . Therefore its topology contains a lot of information. </li></ul></ul><ul><ul><li>Mind Map allows to identify the essential features and links of the problem at glance. </li></ul></ul><ul><ul><li>Mind Maps can be an extremely compact way to present information. </li></ul></ul><ul><ul><li>A problem of mind mapping is that the chart may up to be so messy that it can even hide the main themes. Therefore Mind Map can, and should be cultivated after it is formed by pruning less important branches </li></ul></ul><ul><ul><li>Mind Maps can be created by computer program (as MindManager ® or eMindMaps ® ) or by using simple detachable notes on a blackboard . </li></ul></ul>
  39. 40. Alternate Mind Mapping <ul><li>Fishbone* diagram : Enables to focus onto the problem and perceive the causes and its relative importance </li></ul><ul><li>After drawing the diagram the next step is to analyze the magnitude of each of the identified causes </li></ul>*
  40. 41. SWOT analysis <ul><li>SWOT is applicable for sorting unorganized knowledge bases and analyzing current status </li></ul><ul><li>Successful SWOT yields structured mapping of the problem at hand </li></ul><ul><li>For instance in product analysis </li></ul><ul><ul><li>identify strength and weaknesses of the product </li></ul></ul><ul><ul><li>search through possibilities and threats (for instance for product launch) </li></ul></ul><ul><li>Realization: List all the relevant properties and sort them into SWOT boxes! </li></ul>inside outside Strength Weakness Opportunity Threats
  41. 42. A case of SWOT: WAP-based Knowledge Base Service* Strength Expandable, flexible, easy to use, dynamic, easy to personalize, bypassing of telephone exchange, more effective graphics, utilization of location information Weakness Need for WAP terminal managing, search routines require dedication Opportunity If first at the market may be a killer-kind app. Due to usage of immediate location info by GPS or GSM location technology Threats No popularity, one applies terminal specific catalogs, competitive techniques may hit markets *S-72.124 spring ‘99
  42. 43. Force Field Analysis <ul><li>FFA is a method to analyze factors for and against an act </li></ul><ul><li>Objective: To create an unified description of the factors forming the problem. This is used to alter the process state to the wanted direction! </li></ul><ul><li>Benefits </li></ul><ul><ul><li>Describes all the relevant forces </li></ul></ul><ul><ul><li>Allows to plan </li></ul></ul><ul><ul><ul><li>contra strategies for negative forces </li></ul></ul></ul><ul><ul><ul><li>supporting strategies for positive forces </li></ul></ul></ul><ul><li>The FFA method: Identify, Sort and Grade the different forces and illustrate the problem by a diagram including the forces! </li></ul><ul><li>The first result of this method describes the current state </li></ul><ul><li>Alteration of forces can change the current state to the objective state ! </li></ul>
  43. 44. Force Field Analysis: Example
  44. 45. In Conclusion... <ul><li>We had an overview on Telecommunications Product Development Process </li></ul><ul><li>We discussed the following ”mind- and process mapping” techniques: </li></ul><ul><ul><li>Brainstorming </li></ul></ul><ul><ul><li>Mind Mapping </li></ul></ul><ul><ul><li>SWOT analysis </li></ul></ul><ul><ul><li>Six Thinking Hats </li></ul></ul><ul><ul><li>Synetics </li></ul></ul><ul><ul><li>Force Field Analysis </li></ul></ul><ul><li>The best way to learn these methods is test and use them! </li></ul>