The Four Phases of a New Products Process
Chapter 2: The New Products Process
- The overall new products process-that combination of steps/activities/decisions/goals, and so on that, if performed well, will churn out the new products the organization needs.
- The process is not over when the new product is launched. It ends when the new product is successful, usually after some in-flight corrections (such as with the special in-store display piece).
- Basic New Product Process (some firms refer to it as a stage-gate process): o Opportunity Identification and Selection o Concept Generation o Concept/Project Evaluation o Development o Launch
- Advantages of this process: o Improvement in product teamwork o Less rework o Greater success rate with new product o Earlier identification of failures o Improved launch o 30% shorter cycle times
- Overlapping phases occur in the process because there is much pressure for firms to accelerate time to market for new products.
- Product development is a multifunctional program, where all functions work together as a cross-functional team to accomplish the required tasks.
- Phase 1: Opportunity identification and selection o Ongoing marketing planning o Ongoing corporate planning o Special opportunity analysis
- Opportunities identified for the activities above: o An underutilized resource o A new resource o An external mandate o An internal mandate
- The process of creatively recognizing the opportunities is called opportunity identification. Most firms have ongoing strategies covering product innovation.
- Product Innovation Charter (PIC).
- Phase 2: Concept Generation
- Product concepts – creating new product ideas.
- Phase 3: Concept/Project Evaluation
- Concept test – to see what the potential consumers thought about the new product.
- Project evaluation – capitalizing on the idea, no longer just evaluation the idea.
- Quality Function Deployment – method of project management and control. Also called Product Protocol.
- The overall new products process-that combination of steps/activities/decisions/goals, and so on that, if performed well, will churn out the new products the organization needs.
- The process is not over when the new product is launched. It ends when the new product is successful, usually after some in-flight corrections (such as with the special in-store display piece).
- Basic New Product Process (some firms refer to it as a stage-gate process): o Opportunity Identification and Selection o Concept Generation o Concept/Project Evaluation o Development o Launch
- Advantages of this process: o Improvement in product teamwork o Less rework o Greater success rate with new product o Earlier identification of failures o Improved launch o 30% shorter cycle times
- Overlapping phases occur in the process because there is much pressure for firms to accelerate time to market for new products.
- Product development is a multifunctional program, where all functions work together as a cross-functional team to accomplish the required tasks.
- Phase 1: Opportunity identification and selection o Ongoing marketing planning o Ongoing corporate planning o Special opportunity analysis
- Opportunities identified for the activities above: o An underutilized resource o A new resource o An external mandate o An internal mandate
- The process of creatively recognizing the opportunities is called opportunity identification. Most firms have ongoing strategies covering product innovation.
- Product Innovation Charter (PIC).
- Phase 2: Concept Generation
- Product concepts – creating new product ideas.
- Phase 3: Concept/Project Evaluation
- Concept test – to see what the potential consumers thought about the new product.
- Project evaluation – capitalizing on the idea, no longer just evaluation the idea.
- Quality Function Deployment – method of project management and control. Also called Product Protocol.