Engineering Development

New Products

- 2 -

New Product Idea Funnel

• Trade Shows

• Visits to Customers

• Input from Rep’s

• Input from Sales Mgr.

• Existing Products

• New Technologies

- 3 -

Product Approval Process

Business PlanBusiness Plan Functional Spec.Functional Spec. Planning Spec.Planning Spec.

- 4 -

Business Plan

• The business case must be made.

• Describe product & objectives

• Analyze Market

• Competitive Analysis

• Marketing Strategies

• Product Cost Analysis

• Does Conclusion support moving forward?

- 5 -

Functional Specification

• Everyone is on the same page

• Key Technologies

• Opportunistic Features

• Physical & Electrical Specifications

• Agency Approvals

• Support Services

• Production Impact

- 6 -

The Planning Specification

• Marketing roll-out plan is detailed

• Engineering Plan & Schedule

• Product price & CGS

• Planned Return on Investment (ROI)

• Final Recommendation

- 7 -

Product ROI Example

• Assumed NRE was $75K

• Product Life of 10 years

• CGS is half of sell price

• Breakeven @ 2 years• Total return 7 times

investment

- 8 -

Detailed Design

• Create Schematic & Design PCB

• Create BOM by Route

• Firmware/Software

• Mechanical Design

- 9 -

Design Review

• Manufacturability

• Changes to Spec’s?

• Design Risks

• CGS Update

• Budget & Schedule Check

- 10 -

Prototype Verification

• Assembled using production processes

• Test Outline

• Recurring Tests– Product Test

Requirements (PTR)

• Non-recurring Tests– Environmental– ESD Tester Shown

- 11 -

Prototype Validation

• Validation follows Verification

• Third party Labs

• CE EMC Directives

• UL for Safety

• Shock & Vibration

• MTBF

• Customer “beta” test

- 12 -

Product Documentation

• New Product Process Checklist

• New Component Items in ERP

• New Product Items in ERP

• On-Line Product Design Archive

- 13 -

Product Activation

• Project Engineer Formally Approves

• Prefix “(PROTO)” removed from ERP

• Production builds to forecast

• Engineering closes project

- 14 -

Thank You!

• Thank you for participating in the 2011 National Sales meeting!