Red 7 Management Solutions
Accelerating Innovation
Overview and discussion of NPD
and project management life cycle
models
Robert Grupe
2008-11-11 © 2008 Robert Grupe. All rights reserved.

Introduction
An overview and discussion of integrated
new product development and project life
cycle models for best practice
approaches to successful innovation and
accelerated time to market.
2008-11-11 © 2008 Robert Grupe. All rights reserved.

Agenda
 Clarification of PM Terminology
 Strategically Focused PM
 NPD vs. Project Management
 Models
 Waterfall Models
 Iterative Models
 Agile Approaches
 Discussion
 Roundup
2008-11-11 © 2008 Robert Grupe. All rights reserved.

Clarification of Terminology
 Product Management
 Project Management
 Program Management
2008-11-11 © 2008 Robert Grupe. All rights reserved.

Terminology:
Product Management
 Planning and marketing of a product or products at all stages of the
product lifecycle.
 Product planning (in-bound marketing)
[Product Manager (PM)]
 Defining new products
 Gathering market requirements (VoC)
 Building product roadmaps
 Product Life Cycle considerations
• Stages: introduction, growth, mature, saturation/decline
 Competitive differentiation
 Product marketing (outbound marketing)
[Product Marketing Manager (PMM)]
 Product positioning and outbound messaging
 Promotion: press, customers, and partners
 Packaging and delivery
 Competition messaging monitoring
2008-11-11 © 2008 Robert Grupe. All rights reserved.

Terminology:
Project Management
 Project Planning
[Project Manager (PjM)]
 Achieve all of the goals of the project charter while
adhering to
 Project constraints: scope, time, cost and quality.
 Project management life cycle
 5 Process Groups: Project Initiation, Project Planning, Project
Execution, Project monitoring and control, and Project closeout.
 9 Knowledge Areas: integration management, scope
management, time management , cost management, quality
management, human resource management, communications
management,risk management and procurement management.
2008-11-11 © 2008 Robert Grupe. All rights reserved.

Terminology: Program Management
[& Product Portfolio Management]
 Layer above project management focusing on selecting the best group of programs [and
products,] defining them in terms of their constituent projects and providing an infrastructure
where projects can be run successfully
 Governance: The structure, process, and procedure to control operations and changes to
performance objectives.
 Standards: Define the performance architecture.
 Alignment: The program must support higher level vision, goals and objectives.
 Assurance: Verify and validate the program, ensuring adherence to standards and alignment
with the vision.
 Management: Ensure there are regular reviews, there is accountability, and that management of
projects, stakeholders and suppliers is in place.
 Integration: Optimize performance across the program value chain, functionally and technically.
 Finances: Tracking of finances is an important part of Program management and basic costs
together with wider costs of administering the program are all tracked.
 Infrastructure: Allocation of resources influences the cost and success of the program.
Infrastructure might cover offices, version control, and IT. Planning: Develop the plan bringing
together the information on projects, resources, timescales, monitoring and control.[1]
 Improvement: Continuously assess performance; research and develop new capabilities; and
systemically apply learning and knowledge to the program.
2008-11-11 © 2008 Robert Grupe. All rights reserved.

Why is this important?
 Without clearly defined and integrated product,
marketing, and project management, innovation
will be haphazard, chaotic, and un-scaleable
with complexity and growth.
 You canʼt improve or accelerate what you canʼt
understand or control.
• Putting random people on a galley ship wonʼt ensure you
will get where you want to go or make it go faster.
2008-11-11 © 2008 Robert Grupe. All rights reserved.

Forrester Research: Most PMʼs
not being used effectively
 Distracting challenges
2008-11-11 © 2008 Robert Grupe. All rights reserved.

Forrester Recommendation:
PM for Strategic Advantage
 Focused on inbound tasks
 PM decision-making power
 Roadmap, release contents, release
acceptance
 Report to CEO/GM
2008-11-11 © 2008 Robert Grupe. All rights reserved.

New Product Development (NPD)
& Project Life Cycle Models
2008-11-11 © 2008 Robert Grupe. All rights reserved.

Code & Fix
(AKA Cowboy Coding)
System
Specification Release
(maybe) Code-and-Fix
(maybe)
2008-11-11 © 2008 Robert Grupe. All rights reserved.

Traditional NPD Process
Stage-Gate Process
Business Test /
Discovery Scoping Case Development Validation Launch Review
Stage Stage Stage Stage Stage
1 2 3 4 5
Gate Gate Gate Gate Gate
1 2 3 4 5
Idea Second Go To Go To Go To
Screen Screen Dev Test Launch
2008-11-11 © 2008 Robert Grupe. All rights reserved.

Traditional Project Management
Waterfall Model
Product
Concept
Requirements
Analysis
Architectural
Design
Detailed
Design
Coding and
Debuging
System
Testing
2008-11-11 © 2008 Robert Grupe. All rights reserved.

Waterfall with Risk Reduction
Product
Concept
Requirements
Analysis
Architectural
Design
Detailed
Design
Coding and
Debuging
System
Testing
2008-11-11 © 2008 Robert Grupe. All rights reserved.

Waterfall with Subprojects
Product
Concept
Requirements
Analysis
Detailed
Architectural Design
Design
Coding and
Debuging
Detailed
Design
Subsystem
Testing
Coding and
Debuging
Detailed
Design
Subsystem
Testing
Coding and
Detailed Debuging
Design
Subsystem
Coding and Testing
Debuging System
Testing
Subsystem
Testing
2008-11-11 © 2008 Robert Grupe. All rights reserved.

Waterfall with Overlapping
Phases (Sashimi)
Product
Concept
Requirements
Analysis
Architectural
Design
Detailed
Design
Coding and
Debuging
System
Testing
2008-11-11 © 2008 Robert Grupe. All rights reserved.

Design-to-Schedule
Product
Concept
Requirements
Analysis
Architectural
Design
High Priority: Detailed design, code, debug, test
Medium High Priority: Detailed design, code, debug, test
Run out of time or
Medium Priority: Detailed design, code, debug, test Release
money here
Medium Low Priority: Detailed design, code, debug, test
Low Priority: Detailed design, code, debug, test
2008-11-11 © 2008 Robert Grupe. All rights reserved.

Design-to-Tools
2008-11-11 © 2008 Robert Grupe. All rights reserved.

Iterative Project Management
Models
2008-11-11 © 2008 Robert Grupe. All rights reserved.

Spiral (Boehm)
Repeat as required
1. Determine 4. Develop 6.
objectives, 2. Identify and 3. Evaluate iteration 5. Plan the next Commit to an
alternatives, resolve risks alternatives deliverables and iteration approach for next
constraints verify correct iteration
2008-11-11 © 2008 Robert Grupe. All rights reserved.

Evolutionary Prototyping
No
Design and
Complete
Initial implement Refine Customer
and
concept initial prototype acceptable?
release
prototype
2008-11-11 © 2008 Robert Grupe. All rights reserved.

Staged Delivery
(AKA Incremental Implementation)
Product
Concept
Requirements
Analysis
Architectural
Design
Stage 1: Detailed design, code, debug, test, delivery
Stage 2: Detailed design, code, debug, test, delivery
Stage n: Detailed design, code, debug, test, delivery
2008-11-11 © 2008 Robert Grupe. All rights reserved.

Evolutionary Delivery
Product
Concept
Preliminary
Requirements
Analysis
Architectural Deliver Final
Design and Version
System Core
Develop a Version
Incorporate
Delivery the
Customer
Version
Feedback
Elicit Customer
Feedback
2008-11-11 © 2008 Robert Grupe. All rights reserved.

Agile Project Management
“There is nothing new
under the sun but there
are lots of old things
we don't know.”
Ambrose Bierce
2008-11-11 © 2008 Robert Grupe. All rights reserved.

Agile Principles (2001)
 Customer satisfaction by rapid, continuous delivery of useful software
 Working software is delivered frequently (weeks rather than months)
 Working software is the principal measure of progress
 Even late changes in requirements are welcomed
 Close, daily cooperation between business people and developers
 Face-to-face conversation is the best form of communication (Co-location)
 Projects are built around motivated individuals, who should be trusted
 Continuous attention to technical excellence and good design
 Simplicity
 Self-organizing teams
 Regular adaptation to changing circumstances
2008-11-11 © 2008 Robert Grupe. All rights reserved.

Agile Characteristics
 Time periods in weeks rather than months
 time period as a strict timebox.
 Work is performed in a highly
collaborative manner.
 If the sponsors of the project are
concerned about completing certain goals
with a defined timeline or budget, agile
may not be appropriate.
2008-11-11 © 2008 Robert Grupe. All rights reserved.

Agile Methodologies (Partial)
 Agile Unified Process (AUP)
 Simplified IBM Rational Unified Process (RUP)
 Extreme programming (XP)
 Feature Driven Development (FDD)
 Scrum
 “Pig” Roles
• Product owner (VOC - Product Manager)
• ScrumMaster (Project Manager)
• Team (Developers)
 “Chicken” Roles
• Users
• Stakeholders (customers, vendors)
• Managers
2008-11-11 © 2008 Robert Grupe. All rights reserved.

Adaptive (Agile) vs
Predictive (Plan-driven)
Strengths of each:
 Adaptive  Predictive
 Low criticality  High criticality
 Senior developers  Junior developers
 Requirements change  Requirements don't
very often change too often
 Small number of  Large number of
developers developers
 Culture that thrives on  Culture that demands
chaos order
2008-11-11 © 2008 Robert Grupe. All rights reserved.

Model Selection Criteria
 How well do my customer and we understand the requirements at the beginning of
the project? Is our understanding likely to change significantly as we move through
the project?
 How well do we understand the system architecture? Are we likely to need to make
major architectural changes midway through the project?
 How much reliable do we need?
 How much do we need to plan ahead and design ahead during this project for future
versions?
 How much risk does the project entail?
 Are we constrained by a predefined schedule?
 Do we need to be able to make midcourse corrections?
 Do we need to provide customers with visible progress throughout the project?
 Do we need to provide management with visible progress throughout the project?
 How much sophistication do we need to use this lifecycle model successfully?
2008-11-11 © 2008 Robert Grupe. All rights reserved.

Project Management Models:
Strengths and Weaknesses
Commercial
Pure Code-and- Modified Evolutionary Staged Evolutionary Design-to- Design- Off-the-shelf
Model Capacity Waterfall Fix Spiral Waterfall Prototyping Delivery Delivery schedule to-tools software
Works with poorly
Fair to Fair to
understood Poor Poor Excellent Excellent Poor Poor to fair Fair Excellent
excellent excellent
requirements
Works with poorly
Fair to Poor to
understood Poor Poor Excellent Poor to fair Poor Poor Poor Poor to excellent
excellent excellent
architecture
Produces highly Fair to Poor to
Excellent Poor Excellent Excellent Fair Excellent Fair Poor to excellent
reliable system excellent excellent
Produces system with Poor to Fair to
Excellent Excellent Excellent Excellent Excellent Excellent Poor N/A
large growth envelop fair excellent
Manages risks Fair to Poor to
Poor Poor Excellent Fair Fair Fair Fair N/A
excellent fair
Can be constrained to
predetermined Fair Poor Fair Fair Poor Fair Fair Excellent Excellent Excellent
schedule
Has low overhead Fair to
Poor Excellent Fair Excellent Fair Fair Fair Fair Excellent
excellent
Allows for midcourse Poor to Fair to
Poor Fair Fair Excellent Poor Poor to fair Excellent Poor
corrections excellent excellent
Provides customers
Poor Fair Excellent Fair Excellent Fair Excellent Fair Excellent N/A
with progress visibility
Provides management Fair to
Fair Poor Excellent Fair Excellent Excellent Excellent Excellent N/A
with progress visibility excellent
Requires little manager
Poor to
or developer Fair Excellent Poor Poor Fair Fair Poor Fair Fair
fair
sophistication
2008-11-11 © 2008 Robert Grupe. All rights reserved.

Accelerating the NPD Life Cycle
Model
Ideaisation Go:No-Go
Scoping Go:No-Go
Planning Go:No-Go
Development Go:No-Go
Testing Go:No-Go
Launch Go:No-Go
Maintenance
Retirement
Project Lifecycle Framework EOL
© 2008 Robert Grupe. All rights reserved.

Discussion
2008-11-11 © 2008 Robert Grupe. All rights reserved.

Take Away
Recommendations
“For which of you,
desiring to build a
tower, doesn't first sit
down and count the
cost, to see if he has
enough to complete it?”
Jesus
2008-11-11 © 2008 Robert Grupe. All rights reserved.

Take Aways for
Accelerating Innovation
 Ready-Aim-Fire
 Haste makes waste (penny wise, pound foolish)
• Choosing the wrong models will result in unfulfilled
expectations and delays
2008-11-11 © 2008 Robert Grupe. All rights reserved.

Take Aways for
Accelerating Innovation: Ready
 Recognizing the difference between
 product management,
 marketing, and
 project management
 Having a well defined NPD process
 Not standardizing on only one project model
 Having a positive teamwork environment,
inspirational leadership, focused vision, and
necessary skills

Take Aways for
Accelerating Innovation: Aim
 Ensuring up-front homework done first
 Ensuring the resources(staff) & time to do
it right
 Verifying available resource costs (people
and time)
 Selecting the most appropriate project
model
 Taking the time to do the planning right

Take Aways for
Accelerating Innovation: Fire
 Being flexible within parameters
 Regular review of processes and
methods
 Regular, frequent review of new ideas
and market information

Fini
 Robert Grupe
 robert.grupe@red7managementsolutions.com
 +1.314.266.7321
 Further reading
 Forrester “Making Product Management A Strategic
Resource”
 Winning at New Products, Robert G Cooper
 Rapid Development, Steve McConnell
 PDMA Visions magazine, Jun & Sept 2008
2008-11-11 © 2008 Robert Grupe. All rights reserved.