New Product Development and Stage GatesRick Berzle
Shared experiences of delivering new software products from start-ups to well established companies -- from no process to very formal stage gates.
Presented to University of San Diego Business class.
Product Lifecycle Management in Apparel industryAffine Analytics
The product life cycle describes the period over which an item is developed, brought to market and eventually removed from the market. This paper describes a simple method to estimate Life Cycle stages – Growth, Maturity, and Decline (as seen in the traditional definitions) of products that have historical data of at least one complete life cycle.
Review of book Crossing the Chasm, is a marketing book by Geoffrey A. Moore that focuses on the specifics of marketing high tech products during the early start up period.
New Product Development and Stage GatesRick Berzle
Shared experiences of delivering new software products from start-ups to well established companies -- from no process to very formal stage gates.
Presented to University of San Diego Business class.
Product Lifecycle Management in Apparel industryAffine Analytics
The product life cycle describes the period over which an item is developed, brought to market and eventually removed from the market. This paper describes a simple method to estimate Life Cycle stages – Growth, Maturity, and Decline (as seen in the traditional definitions) of products that have historical data of at least one complete life cycle.
Review of book Crossing the Chasm, is a marketing book by Geoffrey A. Moore that focuses on the specifics of marketing high tech products during the early start up period.
Resources from Business Victoria's workshop giving early stage innovators information on the steps you need to take to turn your new product into a commercial reality.
This is a lecture notes for ENT245 (Product Design and Development), Bachelor of Mechanical Engineering, UniMAP.
With the courtesy of the authors, Karl T. Ulrich and Steven D Eppinger
Resources from Business Victoria's workshop giving early stage innovators information on the steps you need to take to turn your new product into a commercial reality.
This is a lecture notes for ENT245 (Product Design and Development), Bachelor of Mechanical Engineering, UniMAP.
With the courtesy of the authors, Karl T. Ulrich and Steven D Eppinger
Chapter 2
The New Products Process
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The Procter & Gamble Cosmetics SagaStarting point: senior management commitment to new products.P&G’s Cosmetics business unit had no clear product strategy, unfocused product initiatives, and too many customer segments being targeted – in short, a lack of focus.P&G Cosmetics skillfully used all three strategic elements and made the weak business unit profitable.
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P&G Cosmetics and the PICSituation Assessment:Underserved consumer market that wanted quality facial product such as cleansers, eye products, etc.Supply chain was uncoordinated as production and shipments were not tied to demand; market forecasts were not driving shipping schedules.PIC recommended a strategic focus on products for the face – other opportunities would not be pursued.
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P&G Cosmetics and the New Products ProcessP&G Cosmetics used a phased process like that of Chapter 1.Project teams established early in process.Consumer research done early and used in the process (the voice of the customer).Tough evaluation steps were carefully implemented as new products were compared to best practices and benchmarks.
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P&G Cosmetics and the New Product PortfolioP&G Cosmetics systematically added new products such that maximum buzz and excitement was created in the marketplace.If already several eye makeup products on the market, they would not immediately launch another. Management called this an “initiative rhythm” for product launch.
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P&G Cosmetics and the Role of Effective Team ManagementSenior Cosmetics executives were committed to success as was corporate level management.Initiative Success Managers were hired to lead strategy development, manage evaluation meetings, train employees, etc.The best team leaders were sought and rewarded based on performance.
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The Phases of the New Products Process
Phase 1: Opportunity Identification/Selection
Phase 2: Concept Generation
Phase 3: Concept/Project Evaluation
Phase 4: Development
Phase 5: Launch
Figure 2.1
The Evaluation Tasks in the New Products Process
Figure 2.2
Opportunity Identification/
Selection
Concept Generation
Concept/Project Evaluation
Development
Launch
Direction;
Where should we look?
Initial Review:
Is the idea worth screening?
Full Screen:
Should we try to develop it?
Progress Reports:
Have we developed it?
Market Testing:
Should we market it?
*
Phase 1: Opportunity Identification/Selection
Active and passive generation of new product opportunities as spinouts of the ongoing business operation. New product suggestions, changes in marketing plan, resource changes, and new needs/wants in the marketplace. Research, evaluate, validate, and rank them (as opportunities, not specific product concepts). Give major ones a preliminary strategic statement to guide further work on it.
*
Activities that Feed Strategic Planning for New ProductsOngoing marketing planning (e.g., need to meet new aggressive competitor)Ongoing corporate plan ...
Project Schedule
Name
Institutional Affiliation
Set-up of Microsoft Project
The project that will be set up by the entire team will be the creation of the entire project schedule that will play a pivotal role in the sake of a new product in the market. The project schedule will focus on the CRM implementation, marketing program and training. The name of the project would be the SPM Project Schedule and will be handled by two departments namely the Marketing and the Information Technology departments.
The SPM Project Schedule will be in two parts. One is the sales and training program in which the objectives of the sales training will be determined. In addition, there would be the determination of then various activities that the sales training program will entails including Identifying focus group targets, Preparing focus group objectives, Performing focus group, Performing survey, Performance analysis, Creating market research findings and Review market research findings among other tasks (Norman, Brotherton & Fried, 2008). .
The second part would involve the creation or the preparation of the work breakdown structure given the fact that it is the epitome of the entire project schedule and as such, it musts be prepared to offer direction on how the various tasks and activities in the schedule will be conducted on the time frame that the same will be completed and by who. The work breakdown structure will be the representation of the hierarchical decomposition of the work to be executed by the two project teams. It should be noted that it is a work breakdown structure that will determine the phases of the project schedule (Haugan, 2002). The development of the sales and training program will be by an individual while the work breakdown structure will be developed by the entire project team.
Phases
There will be five crucial phases of the entire project Schedule to address the marketability and salability of the new product which forms the reason for the project scheduling (Dyché, 2001).
new product
market research
product design
product development
marketing
project management
design
bill of
production design
marketing strategy
focus group
research
materials
production testing
marketing plan
surveys
evaluation
initial prototype
production QA
marketing collateral
research analysis
design
prototype testing
design
brochures
market research findings
documentation
production
production
advertising
concept
dev. Sign off
plan sign off
commercials
models
design
selection
Phase 1: Market research
Under phase one of the project schedules, focus will be on finding out what the customers want and how their needs can be satisfied (Robinson, 1959). The market Research phase of the project schedule will have different variables namely survey conduction, research analysis, and market research analysis.
The first variable which is conduction of the survey will aim a ...
PLM is about “managing products across their lifecycles”, and it applies to any company with a product. It applies to all sizes of companies, ranging from large multinational corporations to small and medium enterprises. It’s applied across a
wide range of industrial sectors including aerospace, apparel, automotive, beverage,consumer goods, construction equipment, defence, electrical engineering, electronics, food, life sciences, machinery, machine tool, mechanical engineering,medical equipment, pharmaceutical, plastics, shipbuilding, shoe, software, transportation and turbine.
I recently delivered a talk to product owners at Cisco. While I would normally cover this stuff over a period of two days, this was a 90 minute talk about some of the aspects of product ownership. None of this is my own creation - for I have learnt all this from the practitioner community, I am more than happy to share it with the community.
Note: If any attribution is missing, I will be happy to correct my mistake :)
In this talk, I have discussed the issues around the need to recognize the business problem being solved, how to identify that, etc. rather than only focusing on the tech.
In this talk for the students of IIM Udaipur, I have discussed how AI as technology needs to deliver business value in order for AI as a discipline to be seen as relevant to business. I have also spoken briefly about my own research work.
What is #ThoughtLeadership? Is it mindless self-promotion, or is it more like some fancy management fad? Is it more like your social media presence, or sharing stories? What is the real deal here? In this talk, I have shared some ideas from others, and also some of my own learning over the years. Hope you find the answers you were looking for...
How does one go about blogging? Or, why to even blog in the first place? In this talk, I have shared some of my key learning over last 15 years of blogging
I delivered this guest lecture for the marketing team of Corteva Agriscience undergoing an executive program at ISB, Hyderabad. I have explained what is digital business model innovation, and how it could apply to agrobusinesses.
25 Years of Evolution of Software Product Management: A practitioner's perspe...Tathagat Varma
How has the role and function of product management evolved over the years? In this talk, I have shared my notes from my personal journey over the last 25 years.
2. Early Civilization
15th-19th Century
20th Century
21st Century
3. 2570 BC Great pyramid of Giza completed.
Some records remain of how the work was
managed: e.g. there were managers of each of
the four faces of the pyramid, responsible for
their completion (subproject managers).
208 BC The first major construction of the
Great Wall of China.
4. Christopher Wren (1632–1723) was a 17th century
English designer, astronomer, geometer,
mathematician-physicist and one of the greatest
English architects in history. Wren designed 55 of 87
London churches after the Great fire of London in 1666,
including St Paul's Cathedral in 1710, as well as many
secular buildings of note.
Thomas Telford (1757-1834) was a Scotish stonemason,
architect and civil engineer and a noted road, bridge
and canal builder, who for example managed the
Ellesmere Canal and Pontcysyllte Aqueduct.
Isambard Kingdom Brunel (1806–1859) was a British
engineer best known for the creation of the
Great Western Railway, a series of famous steamships,
including the first with a propeller, and numerous
important bridges and tunnels.
5. 1910s
The Gantt Chart developed by Henry Laurence Gantt (1861–1919)
1950s
The Critical path method (CPM) invented
The US DoD used modern project management techniques in their Polaris project.[2]
1956 The American Association of Cost Engineers (now AACE International) formed
1958 The Program Evaluation and Review Technique (PERT) method invented
1960s
1965 International Project Management Association (IPMA) established as International Management
Systems Association (IMSA)
1969 Project Management Institute (PMI) launched to promote project management profession
1970s
1975 PROMPTII methodology created by Simpact Systems Ltd (source: PRINCE2 manual)
1975 The Mythical Man-Month: Essays on Software Engineering by Fred Brooks published
1980s
1984 The Goal by Eliyahu M. Goldratt published
1986 Scrum was named as a project management style in the article The New New Product Development
Game by Takeuchi and Nonaka
1987 First Project Management Body of Knowledge Guide published as a white paper by PMI
1989 PRINCE method derived from PROMPTII is published by the UK Government agency CCTA and
becomes the UK standard for all government information projects
1990s
1996 PRINCE2 published by CCTA (now OGC) as a generic product management methodology for all UK
government projects.
1997 Critical Chain by Eliyahu M. Goldratt published
6. 2001 AgileAlliance formed to promote
"lightweight" software development projects
2006 Total Cost Management Framework
release by AACE
7. The process of bringing a new product or
service to market. There are two parallel paths
involved in the NPD process: one involves
the idea generation, product design and detail
engineering; the other involves market
research and marketing analysis. Companies
typically see new product development as the
first stage in generating and commercializing
new products within the overall strategic
process of product life cycle management
used to maintain or grow their market share.
8.
9. Following steps could be sequential, parallel,
or even skipped, but mostly required:
Idea Generation
Idea Screening
Concept Development and Testing
Business Analysis
Beta Testing and Market Testing
Technical Implementation
Commercialization
New Product Pricing
10. Idea Generation is often called the "fuzzy front
end" of the NPD process
Ideas for new products can be obtained from basic
research using a SWOT analysis (Strengths, Weaknesses,
Opportunities & Threats), Market and consumer trends,
company's R&D department, competitors, focus groups,
employees, salespeople, corporate spies, trade shows, or
Ethnographic discovery methods (searching for user
patterns and habits) may also be used to get an insight
into new product lines or product features.
Idea Generation or Brainstorming of new product,
service, or store concepts - idea generation techniques can
begin when you have done your OPPORTUNITY
ANALYSIS to support your ideas in the Idea Screening
Phase (shown in the next development step).
11. Idea Screening
The object is to eliminate unsound concepts prior to
devoting resources to them.
The screeners should ask several questions:
o Will the customer in the target market benefit from the
product?
o What is the size and growth forecasts of the market segment/
target market?
o What is the current or expected competitive pressure for the
product idea?
o What are the industry sales and market trends the product
idea is based on?
o Is it technically feasible to manufacture the product?
o Will the product be profitable when manufactured and
delivered to the customer at the target price?
12. Concept Development and Testing
Develop the marketing and engineering details
o Investigate intellectual property issues and search
patent data bases
o Who is the target market and who is the decision maker
in the purchasing process?
o What product features must the product incorporate?
o What benefits will the product provide?
o How will consumers react to the product?
o How will the product be produced most cost
effectively?
o Prove feasibility through virtual computer aided
rendering, and rapid prototyping
o What will it cost to produce it?
13. Business Analysis
Estimate likely selling price based upon competition
and customer feedback
Estimate sales volume based upon size of market
and such tools as the Fourt-Woodlock equation
Estimate profitability and breakeven point
14. Beta Testing and Market Testing
Produce a physical prototype or mock-up
Test the product (and its packaging) in typical usage
situations
Conduct focus group customer interviews or
introduce at trade show
Make adjustments where necessary
Produce an initial run of the product and sell it in a
test market area to determine customer acceptance
15. Technical Implementation
New program initiation
Finalize Quality management system
Resource estimation
Requirement publication
Publish technical communications such as data sheets
Engineering operations planning
Department scheduling
Supplier collaboration
Logistics plan
Resource plan publication
Program review and monitoring
Contingencies - what-if planning
16. Commercialization (often considered post-
NPD)
Launch the product
Produce and place advertisements and other
promotions
Fill the distribution pipeline with product
Critical path analysis is most useful at this stage
17. New Product Pricing
Impact of new product on the entire product
portfolio
Value Analysis (internal & external)
Competition and alternative competitive
technologies
Differing value segments (price, value, and need)
Product Costs (fixed & variable)
Forecast of unit volumes, revenue, and profit
18.
19.
20.
21.
22.
23. Stage 1 Pure function is all that
matters: If the one thing it does is the
only option available, people will be
happy with it.
Stage 2 Feature Wars: The number of
features matters because frequently
the buyer doesn't understand what
each feature actually means. Later in
this phase, specific features do make a
difference as people are looking for
certain features to make their
purchase decisions.
Stage 3 Experience Wars: The
experience and total cost of
ownership matters most. Products
with fewer -but better- features will
trump the more feature-laden
winners of Stage II.
Stage 4 Commodities: The actual
item becomes absorbed into a larger
product mix. Individual features of
the technology no longer matter, but
become a price/performance issue for
the integrator.
24. Could be thought of as a series of ‘phases’ or
‘stages’ (PMBoK, 4/e):
Project Phases are divisions within a project where
extra control is needed to effectively manage the
completion of a major deliverable.
Project phases are typically completed sequentially
but can overlap in some project situations.
The phase structure allows a project to be segmented
into logical subsets for ease of management,
planning and control.
The number of phases, the need for phases, and the
degree of control applied depend on the size,
complexity and potential impact of the project.
29. A serial lifecycle is one in which all the phases occur in order.
One phase has to finish before the next one starts. Many waterfall projects don’t require
that each phase finish before next one starts, but do require that if you’re in phase n, you
have to complete phase n-2.
An iterative lifecycle is one where you prototype pieces of the product.
You might prototype pieces of the architecture or pieces of features. You might even plan to
throw those pieces of the product away. In my experience, the more the project team counts
on throwing away pieces of code, the more likely you are to keep them around! Either way,
the key is that you try something to learn about how this code might work in the product.
An incremental lifecycle is where you build chunks of the product,
most often feature-by-feature.
The iterative/incremental lifecycles use timeboxes, also known as
iterations, to finish chunks of work.
The iterative part of this lifecycle is the revisiting of the product pieces. The incremental
part is the finishing of the pieces you commit to finishing in this timebox. If you’re building
a banking application, you might finish, as in test and demo to the customer, a piece of
functionality such as “withdraw fast cash money.” You might still have other withdrawal
stories or requirements to finish in a future iteration. But “withdraw fast cash money” is
done inside one timebox and you can show people it works.