Management Model for the Product Concept Phase in the Early Stages of Product Innovation Process

2004 ◽  
Author(s):  
Nadia Jamali ◽  
Markus Meier
Keyword(s):  
Product Development ◽  
Product Innovation ◽  
Innovation Process ◽  
Problem Definition ◽  
Product Development Process ◽  
Management Model ◽  
Market Opportunity ◽  
Organizational Capability ◽  
Product Lines ◽  
Product Concept

The product concept phase of the product innovation process is a creative and interdisciplinary activity that transforms a market opportunity and technological innovation into successful products. It is a set of activity based processes in a product-oriented enterprise, and is essential to the economics success of such organization. Well-designed processes reduce development time, create better products, generate profit, and increase market share. In contrast, poorly-designed processes can harm both product lines and the companies that manufacture them. Determining important methods in the product concept phase and determining their relationship with organizational capability are crucial to the sustainable success in product development. Studying their relationship would give us insights into the product development dynamics. This paper will focus on the development of an engineering management model for the product conceptual phase of the product Innovation process. The (PCP) begins with the scope of the project having been formalized by either a request for proposal from an external entity or an internally generated mission statement. This document will specify a particular market opportunity and lay out the broad constraints of the project. Basically it will specify which direction to go, and will generally specify a precise destination or a particular way to get there. During the product concept phase, customer needs are identified, multiple product concepts are generated based on these needs, and a single product concept is selected for further development after a thorough evaluation has been accomplished. A well thought-out product concept will consist of a description of the form, function, and features of the product as well as a set of specifications, an analysis of competitive products, and an economic justification for the project. The aim of this paper to determine the most effective methods, tools and techniques to design a theoretical product concept phase (PCP) model, which consists of four activity elements or modules. The model highlights the iterative series of activities that may take anywhere from a few seconds in the minds of individuals to many months or years for defining a breakthrough concept. The product concept phase (PCP) model will be created during the problem definition activity very early in the product development process. The PCP module will be organized in a way that requires participation by virtually all the major product development functions within the organization such as marketing, technology, product design and manufacturing. It also involves interactions with stakeholders such as customers, suppliers that are outside of the organization. The interface of the PCP module to other product innovation process phases will be achieved through the design of an IT - Platform; that includes all the needs and requirements for and form other phases.

Reliability and Accuracy of Bootstrap and Monte Carlo Methods for Demand Distribution Modeling

2011 ◽  
Author(s):  
Swithin S. Razu ◽  
Shun Takai
Keyword(s):  
Monte Carlo ◽  
Product Development ◽  
Conjoint Analysis ◽  
New Product Development ◽  
Demand Uncertainty ◽  
New Product ◽  
Product Development Process ◽  
Choice Data ◽  
Product Concept ◽  
Demand Distribution

Estimation of demand is one of the most important tasks in new product development. How customers come to appreciate and decide to purchase a new product impacts demand and hence profit of the product. Unfortunately, when designers select a new product concept early in the product development process, the future demand of the new product is not known. Conjoint analysis is a statistical method that has been used to estimate a demand of a new product concept from customer survey data. Although conjoint analysis has been increasingly incorporated in design engineering as a method to estimate a demand of a new product design, it has not been fully employed to model demand uncertainty. This paper demonstrates and compares two approaches that use conjoint analysis data to model demand uncertainty: bootstrap of respondent choice data and Monte Carlo simulation of utility estimation errors. Reliability of demand distribution and accuracy of demand estimation are compared for the two approaches in an illustrative example.

An Approach to Modeling Customer Preference Uncertainty by Applying Bootstrap to Choice-Based Conjoint Analysis Data

2010 ◽  
Author(s):  
Swithin S. Razu ◽  
Shun Takai
Keyword(s):  
Product Development ◽  
Conjoint Analysis ◽  
New Product Development ◽  
Market Share ◽  
New Product ◽  
Analysis Data ◽  
Product Development Process ◽  
Product Concept ◽  
Customer Preference ◽  
Market Shares

Analysis of customer preferences is among the most important tasks in a new product development. How customers come to appreciate and decide to purchase a new product affects the products market share and therefore its success or failure. Unfortunately, when designers select a product concept early in the product development process, customer preference response to the new product is unknown. Conjoint analysis is a statistical marketing tool that has been used to estimate market shares of new product concepts by analyzing data on the product ratings, rankings or concept choices of customers. This paper proposes an alternative to traditional conjoint analysis methods that provide point estimates of market shares. It proposes two approaches to model market share uncertainty; bootstrap and binomial inference applied to choice-based conjoint analysis data. The proposed approaches are demonstrated and compared using an illustrative example.

INTER-ORGANIZATIONAL INNOVATION PROMOTERS IN SMALL, KNOWLEDGE-INTENSIVE FIRMS

2009 ◽  
Vol 13 (03) ◽  
pp. 441-466 ◽  
Author(s):  
JAN INGE JENSSEN ◽  
ERLEND NYBAKK
Keyword(s):  
Product Development ◽  
Product Innovation ◽  
Organizational Innovation ◽  
Positive Impact ◽  
Innovation Process ◽  
Environmental Scanning ◽  
Top Management ◽  
External Relations ◽  
Knowledge Intensive ◽  
Positive Effect

This paper examines the relationship between external relations and innovation in small, knowledge-intensive Norwegian firms. Our findings indicate that external relations are beneficial for innovation. The analysis shows that it is necessary to treat innovation as more than a concept. Our independent variables related differently to product innovation, process innovation, and market innovation. We found that market participation in product development has a positive impact on product, process and market innovation. We also found that top management interaction with other firms had a positive effect on market innovation and that top management interaction with external R&D had a positive effect on product innovation. This finding probably indicates that access to R&D resources is vital for product development in the context of knowledge-intensive products. The results also show that participation in conferences and courses positively influences process and market innovation and that systematic environmental scanning positively influences product innovation.

New product development-processes in the fashion industry

2019 ◽  
Vol 10 (3) ◽  
pp. 689-708 ◽  
Author(s):  
Rora Puspita Sari ◽  
Nabila Asad
Keyword(s):  
Product Development ◽  
New Product Development ◽  
Financial Analysis ◽  
New Product ◽  
Product Development Process ◽  
Fashion Industry ◽  
Structured Interviews ◽  
Product Lines ◽  
Content Type ◽  
Development Processes

Purpose The purpose of this paper is, first, to examine the design requirements of Islamic fashion in the new product-development process; second, to explore the different practices of new product-development activities from successful and unsuccessful new product lines; and third, to investigate the sequence of the new product-development practice in the fashion industry, specifically the Islamic fashion industry in Indonesia. Design/methodology/approach Questionnaires were distributed and semi-structured interviews were conducted to collect information regarding the practice of the new product-development activities. The Mann–Whitney U test was performed based on the quality of the new product-development activities of 100 Islamic fashion firms, including five innovative companies that had won several awards in Indonesia. An analysis of the extent to which fashion firms were engaging in new product-development activities provided a more detailed picture of the sequence of those activities. Findings Islamic norms were adapted during the early design and promotional phases of new product development in Islamic fashion. Various choices of design and colour in Islamic fashion were also perceived as a way of preaching to women to dress more accordingly to the Islamic norm. The new product-development activities that were conducted differently for successful vs unsuccessful new product lines were idea conceptualisation, market analysis, technical and engineering analysis, financial analysis and commercialisation. The commercialisation phase was given the least priority of all the activities. Nevertheless, it contributed to the very first communication to the customers about new product lines. Originality/value This study makes an important contribution to the deeper and more detailed research on how Islamic fashion companies perceive Islamic values during new product developments and how they perform new product-development activities between successful and unsuccessful products.

Life Cycle Design With Green QFD-II

1998 ◽  
Author(s):  
Yanping (Paul) Zhang ◽  
H. P. (Ben) Wang ◽  
Chun (Chuck) Zhang
Keyword(s):  
Life Cycle ◽  
Product Development ◽  
Phase I ◽  
Process Design ◽  
Quality Function Deployment ◽  
Product Development Process ◽  
Phase Iii ◽  
Technical Requirement ◽  
Product Concept ◽  
Product Concepts

Abstract Green Quality Function Deployment-II (GQFD-II), a new methodology for product development or improvement, is introduced in this paper. By integrating Life Cycle Costing (LCC) into QFD matrices and deploying quality, environmental and cost requirements throughout the entire product development process, GQFD-II elaborates the original GQFD, in which Life Cycle Assessment (LCA) and QFD are combined to evaluate different product concepts. GQFD-II includes three major phases. Phase I - Technical Requirement Identification. Quality house, green house and cost house are established in this phase, where customer, environmental and cost requirements are established and documented. Phase II - Product Concept Generation. A series of product concepts are generated to satisfy the requirements established in Phase I. These concepts can be evaluated with respect to quality, environment and cost. The best product concept is then selected. Phase III - Product/Process Design. In this phase, the requirements from previous phases are deployed into all product/ process design stages. In this paper, an illustrative example (light fixtures) is used to demonstrate the concept of GQFD-II.

Empirically Testing Factors Increasing Manufacturing Product Innovation Success

2018 ◽  
Vol 15 (02) ◽  
pp. 1850019 ◽  
Author(s):  
Tor Guimaraes ◽  
Ketan Paranjape ◽  
Mike Cornick ◽  
Curtis P. Armstrong
Keyword(s):  
Product Development ◽  
New Product Development ◽  
Absorptive Capacity ◽  
Product Innovation ◽  
Innovation Process ◽  
New Product ◽  
Competitive Intelligence ◽  
Strategic Leadership ◽  
Management Of Technology ◽  
Proposed Model

Purpose: Important determinants of new product development success fall into five main areas encompassing strategic leadership, competitive intelligence, management of technology, specific characteristics of the company's innovation process, and the company's absorptive capacity to use available knowledge to produce and commercialize new products. Unfortunately the existing knowledge on each of these five areas is not being shared by researchers in the other areas, thus the models are focused on the particular research area. This study tests these constructs as a set of determinants of product innovation success. Design/methodology/approach: A field test using a mailed questionnaire to collect a relatively large sample of manufacturing companies has been used to test the proposed model. To eliminate possible multicollinearity among the independent variables, a multivariate regression analysis was used. Findings: The results provide clear evidence about the importance of competitive intelligence, strategic leadership, competitive intelligence, management of technology, specific characteristics of the company's innovation process, and company absorptive capacity with company success in new product development. Research limitation/implications: Despite the relatively broad scope of the proposed model, other factors may also be important and should be included in future studies. Practical implications: The items used for measuring the main constructs provide further and more specific insights into how managers should go about developing these areas within their organizations. Originality/value: While the study is grounded in the literature of what until now have been five separate areas of knowledge, it proposed a unique integrated model for these areas important to new product development.

The Fuzzy Front End: Concept Development in the Automotive Industry

2014 ◽  
Author(s):  
Christer W. Elverum ◽  
Torgeir Welo ◽  
Martin Steinert
Keyword(s):  
Product Development ◽  
New Product Development ◽  
Automotive Industry ◽  
Early Stage ◽  
Innovation Process ◽  
New Product ◽  
Product Development Process ◽  
Structured Interviews ◽  
Fuzzy Front End ◽  
Front End

The fuzzy front end (FFE) of new product development (NPD) is a term that refers to the early stages of the innovation process. This paper investigates the FFE in the automotive industry and addresses the challenges of working in this phase of the innovation process, as well as the academic definition of the FFE relative to the real world. Two parts of the innovation process have been identified and characterized as FFE: the concept-work within satellite front-end departments and the work within the pre-development phase of the vehicle new product development process. It has been identified that one of the greatest challenges related to working in the FFE is developing viable concepts that will “sell” internally. Estimating and conveying the overall value of the final product in terms of costs and customer benefits are two of the key elements that make it difficult to achieve internal “buy in”. Furthermore, it is argued that the most common academic perception of the FFE seem to be inadequate since it only concerns work that ends with a go/no-go decision whether to continue into development or not. Consequently, it fails to capture early-stage development work of transformational innovations, where the decision of development has already been made and the uncertainty is related to the execution of the work — and — not the outcome. Semi-structured interviews with a total of eleven employees at seven different automotive OEMs form the basis for the conclusions made herein.

DEVELOPMENT OF AN AUDIT TOOL FOR PRODUCT INNOVATION: THE INNOVATION COMPASS

2006 ◽  
Vol 10 (01) ◽  
pp. 1-18 ◽  
Author(s):  
ZOE J. RADNOR ◽  
HANNAH NOKE
Keyword(s):  
Product Development ◽  
Case Studies ◽  
New Product Development ◽  
Product Innovation ◽  
Innovation Process ◽  
New Product ◽  
Research Process ◽  
Research Projects ◽  
Audit Tool ◽  
Research Project

This paper will present the development of an audit tool called the Innovation Compass. It will show how the tool was formulated through a research project, which was aiming to understand the innovation process within organisations. The creation of the Innovation Compass was driven by the research process and, as this paper will give an example of, validated through its application to case studies. The paper gives a greater understanding of the elements of the tool and, how it could be used and developed in other research projects considering innovation and New Product Development.

scholarly journals Fan economy in the Chinese media and entertainment industry: How feedback from super fans can propel creative industries’ revenue

2016 ◽  
Vol 1 (4) ◽  
pp. 331-349 ◽  
Author(s):  
Yilu Liang ◽  
Wanqi Shen
Keyword(s):  
Product Development ◽  
Design Thinking ◽  
Innovation Process ◽  
Creative Industries ◽  
Product Development Process ◽  
Entertainment Industry ◽  
Chinese Media ◽  
The Gift ◽  
Collaboration Process ◽  
High Level

The media and entertainment industry in China is witnessing the changing nature of its relationships between fans and the artists/studios they follow. Fans, once merely passive recipients of marketing campaigns, are now shifting from sharing their original work (fan art, fan vids, fan fics) as active members of fan communities, and participants within the “gift economy”, to being content experts leveraged as co-creators by studios seeking to ensure the success of productions before they are released into the marketplace. China’s media and entertainment companies are beginning to embrace the creative powers of their fans, and are seeking new ways to develop, invest in, and nurture their fan community towards the co-creation of products, especially with high level “super fans”, surpassing the mere driving of purchases through lifestyle affinity. In this paper we define and discuss elements of Chinese “fans”, their evolving relationship with artists and studios, and their impact on the Chinese media and entertainment industry. This includes a description of fan “levels”, an adaptation of the ARPU (average revenue per unit) used to measure fan value, and a review of social media platforms that provide a technological base for company/fan interaction. We share examples from China’s music, film, and television industries based on interviews with industry practitioners, and offer some insights on how companies can benefit from this collaborative product development practice. In conclusion, we draw parallels between the direction of the fan-studio collaboration process with the rapidly expanding innovation process known as “design thinking”, where companies incorporate feedback from side-by-side collaboration with customers and expert users during the product development process.

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