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Akshee Problem_Inventory_Analysis
1. Problem inventory analysis
Submitted by_ Akshee Jain
What is Problem Inventory Analysis?1
In a nutshell, Problem Inventory Analysis is a method for obtaining new ideas and solutions by
focusing on problems. It uses individuals in a manner that is analogous to focus groups to
generate new product ideas.
It is a need-assessment technique designed to develop an inventory of consumer problems in a
particular product or service category and to serve as a basis for new product or service ideas.
Consumer input using focus groups, user panels, panels of experts, or complaint records might
be used to develop such an inventory.
How it works?
Problem inventory analysis is a method for obtaining new ideas and solutions by focusing on
existing problems.
Generally, problem-analysis techniques approach the question of consumer needs at a general
level. Rather than presenting the consumer with a product or category and asking her/him to
identify problems, problem inventory analysis provides the consumer with a list of problems and
asks for each what products come to mind as having that problem. This procedure is based on
two assumptions:
1. The general ways in which products and services can improve the quality of life are rather
limited.
2. It is much easier for consumers to relate known products to suggested problems than to
generate problems for a given product.
However, in developing a problem inventory for a particular industry category, it found that the
number of problems identified was rather limited. For example, in the food industry an attempt
to develop an exhaustive list of problems resulted in a total of only 134.2
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http://www.advancingwomen.com/entrepreneurialism/48774.php
2. What to keep in mind?
The results of a problem inventory analysis must be interpreted cautiously. Certain "stock" or
"expected" answers may be given that does not represent true opportunities. For example, 49%
of the respondents in this study mentioned cereal as a package that does not fit well on the shelf,
but when this suggestion was implemented by the food industry, it proved to be an unimportant
factor.
Thus, the results from a problem inventory analysis should be used primarily as clues for further
investigation. Any product problem identified should be studied in depth to determine what
percentage of the population has the problem and with what level of intensity. Problems
surviving this screening may then be pursued.3
An Example
This technique can be best understood using an example.
The following are the questions of a survey (along with the results) conducted by the food
industry for idea generation using problem inventory analysis technique. Twenty-five problem
statements were selected and put in questionnaire form to be self-administered by a sample of
housewives throughout the country (five cities).
Questionnaire
1. The package of _ doesn’t fit well on the shelf.
cereal 49%
flour 6%
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Discovering New Product Opportunities with Problem Inventory Analysis, Edward M. Tauber
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Entrepreneurship by Hisrich
3. 2. My husband/children refuse to eat _.
liver 18%
vegetables 5%
spinach 4%
3. doesn't quench my thirst.
soft drinks 58%
milk 9%
coffee 6%
4. Packaged doesn't dissolve fast enough.
jello/gelatin 32%
bouillon cubes 8%
pudding 5%
5. Everyone always wants different _.
vegetable 23%
cereal 11%
meat 10%
desserts 9%
6. makes a mess in the oven.
broiling 19%
pie 17%
roast/pork/rib 8%
4. 7. Packaged tastes artificial.
instant potatoes 12%
macaroni and cheese 4%
8. It's difficult to get _ to pour easily.
catsup 16%
syrup 13%
gallon of milk 11%
9. Packaged _ __ looks unappetizing.
hamburger helper 6%
lunch meat 3%
liver 3%
10. I wish my husband/children could take in a carried lunch.
hot meal 11%
soup 9%
ice cream 4%
These types of questions help the industries/ companies to realize the scope of a product and the
improvements that can be made, which intern results in new product development.
