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Prof. A. K. Biswas 1

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Prof. A. K. Biswas 2

Distinctive Features Of NewIndustrial Product

DevelopmentTechnology plays a veryimportant role in developing new

industrial products.In fact, technology drives thecompanies, producing industrialgoods, in their product-marketdevelopment processes whereas ‘fashion’ is the product-marketdriver in the consumer goods

companies.

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Prof. A. K. Biswas 3

Mapping The Five Types Of ProducDevelopment Projects

Product change

New coreproduct

Nextgeneration

product

Additionto product

family

Derivativesand

enhancements

More Less

DerivativeProjects

Platform projects

BreakthroughProjects

New coreprocess

Nextgeneration

process

Single

departmentupgrade

Incrementalchange

L e s s

M

o r e

Alliances andPartnership

Research and

AdvancedDevelopmentProjects

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Prof. A. K. Biswas 4

Eight Steps Of

Aggregate Project PlanDefine project types as eitherbreakthrough, platform,

derivative, R & D or partneredprojects.Identify existing projects andclassify by project type.Estimate the average time andresources needed for eachproject type based on past

experience.

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Prof. A. K. Biswas 5

Determine the desired mix of projects.Estimate the number of projectsthat existing resources cansupport.

Decide which specific projects topursue.Work to improve developmentcapabilities.

Eight Steps Of

Aggregate Project Plan

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Prof. A. K. Biswas 6

Matching Development ProcessTo Product Type

MostChallengingCrashProgrammeHigh

High

Low

Low

peed at which marketing

window is closing(Opportunity cost)

Degrees of technical innovation

required(Development Risk)

100%right

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The Third Generation Stage-gate

New Product ProcessStage 1Preliminary

Investigation

Stage 3Development

Gate1

Gate2

Gate3

Gate4

Gate5

Stage 2Detailed

Investigation

Stage 4Testing andValidation

Stage 5Full Produc-

tion & MarketLaunch

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Two Models Of Effective Product

DevelopmentTraditional ModelProject

startConcept

freezeMarket

introduction

Conceptdevelopment

Implementation

Concept lead timeDevelopment lead time

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Project start Concept freezeMarket introductio

Concept development

Implementation

Concept lead timeDevelopment lead time

Flexible model

Two Models Of Effective Product

Development

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Traditional ModelProject

start

Conceptfreeze

Marketintroduction

Conceptdevelopment

Implementation

Concept lead timeDevelopment lead time

Project start Concept freezeMarket introduction

Concept development

Implementation

Concept lead time Development lead time

Flexible model

Two Models Of EffectiveProduct Development

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ature Of The Marketing Tas

BreakthroughNew Products

Marketing Tasks- Visioning the market- Building and creating

demand for the product

IncrementalNew Products

Marketing Tasks- Listening to the market

- Effectively and efficiently

addressing existing demand

Technology Voice

Customer Voice

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The Buyer Experience Cycle

Purchase Delivery UseHow long does it take

to find product youneed?

Is the place of purchaseattractive & accessible?

How secure is the

ransaction environment?

How rapidly can youmake a purchase?

How long doesit

take to get the

productdelivered?

How difficultis it to unpack &

install thenew product?

Does the productrequire training or

expertmaintenance?

Is the product easyto store when not

in

use?

How effective arethe product’sfeatures and

functions?

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Supplements Maintenance Disposal

Do you needother productsand services to

make thisproduct work?

If so how costlyare they?

Does the productrequire externalmaintenance?

How easy is it to

maintain andupgrade the

product?

Does use of theproduct createwaste items?

How easy is itto dispose of the product?

The Buyer Experience Cycle