The document discusses a case study on improving new product development (NPD) processes within a consumer products company facing cost control and efficiency challenges. It emphasizes the importance of understanding true NPD costs, aligning resources effectively, and highlights the significant financial implications of product launches, including a high failure rate for new products. Additionally, it introduces Profitiviti's software that offers a process-based costing methodology to enhance operational insight and profitability.

1. 1EXAMPLE CASE STUDYNew Product DevelopmentPROACTIVE Business Optimization

2. COMPANY BACKGROUNDConsumer Products CompanyMain IssuesStrong Cost Control / Reduction Pressures

3. Improving Efficiencies Around Product LaunchesApproach – Develop a Process-Based-Costing Organizational ModelDefine List of Business Processes

4. Rank Each Business Process

5. Strategic Value

6. Contribution to Growth

7. Maturity

8. Align Resources, Department Budgets & Capital Project Spend to Business Processes2

9. IMPROVING EFFICIENCYNew Product Development (NPD) is Considered a Strategic & Growth Oriented Business ProcessDo you know the true cost of the New Product Development process?