What is a Product? A product is something sold by an enterprise to its customers. What is Product Development? Product development is the set of activities beginning with the perception of a market opportunity and ending in the production, sale, and delivery of a product.
Characteristics of Successful Product Development Product Quality Product Cost Development Time Development Cost Development Capability
Who Designs and Develop Products?3 Functions to a Product Development Project: a. Marketing b. Design c. Manufacturing
The Composition of a Product DevelopmentTeam for an electromechanical product of modest complexity. LEGAL FINANCE MARKETING LEGAL PROFESSIONAL INDUSTRIAL MANUFACTURING ENGINEER ENGINEER TEAM LEADER PURCHASING MECHANICAL SPECIALIST DESIGNER ELECTRONICS DESIGNER
Products of the Future According to two professional “trend- watchers,” here is a glimpse of technologies that will find their ways into our lives in the near future.
Intelligent refrigerators will track food inventories, and will either provide a hard-copy shopping list or send an electronic list to a home-delivery service. Intelligent wallpaper will transform a wall to a television, a computer screen, works of arts, etc. Robotic lawn mowers will tend the grass within any specified boundary. “Nanny-cams” hidden in teddy bears permit parents to watch their children at daycare; camera- surveillance systems will keep an eye on latchkey kids home alone.
Lasers and decay-preventive gum and toothpastes will minimize the need for the dentist’s drill. Robots will dispense gasoline, and know your preferred grade. “Smart” heart pacemakers will be placed in the wrist.Source: “Lifestyle of the Next Millennium: 65 Forecasts,” The Futurist, July-August 1998.
The Conflicting Masters of New Products Management Quality Value Time Cost
The new products process must respond to the three unique inputs – the right quality product, at the right time, and at the right cost. The three inputs tend to conflict with each other, though there are synergies too. The three inputs contribute to the value of new products, but in different ways and in different amounts from project to project.
What is Kainotophobia? fear of change, and thus resistance to it.
New ProductsCategories:1. New-to-the-World Products - these products are inventions that create a whole new market. ex. Digicams, Ipods, laser printers2. New-to-the-Firm Products - products that take a firm into a category new to it. The products are not new to the world but are new to the firm. ex. P&G first shampoo or coffee, AT&T Universal Credit Cards, Sony Camera and laptop.
1. Additions to existing product lines - products that are line extensions in the firm’s current market ex. P&G’s Tide Liquid Detergent, Coke zero, Coke Light1. Improvements and Revisions to exiting products. - current products made better ex. Sunsilk, Bear Brand Milk
1. Repositionings - products that are retargeted for a new use or application. ex. Aspirin repositioned as a safeguard against heart attack. Arm & Hammer Baking Soda repositioned as a refrigerator’s deodorant.6. Cost reductions - new products that simply replace existing products in the line, providing the customer similar performance but at a lower cost. ex. Safeguard in plastic packaging
Activity 1: List down as many as you can on the Breakthrough Innovations that changed yours lives.
Laser surgery Camcorder Birth control pill Apollo lunar spacecraft Space shuttle Home VCR Computer disk drive Home smoke alarm Communication satellite Organ transplanting CT scan Bar coding Fiber-optic systems Liquid crystal display Integrated circuit Disposable diaper CAD/CAM
Note: This list was completed in the early part of the 1990’s. If you were to redo the list today, undoubtedly the Internet or World Wide Web would be in the top 30. What other products would you like to add if you were compiling this list today?