Post on 19-Jan-2016
transcript
New Product Development
Keiko Taguchi4/19/03
Agenda Vision Mission Goal & Strategy New Product Process New Product Process Description New Product Concept
Vision Plan and develop software
products that have potential to be essential infrastructure relating to banking industry and government. The software should contribute to enhance, shorten or ease current and future procedure and/or system
Mission Mission of my group is to plan new
software product for multi-application smart card, which can be used with payment software.
The new product should be used for business purpose, and should have synergy effect with current products, fingerprint authentication software and electric purse software, and expand current market.
Goal & Strategy Goal
More than $1,000,000 sales Strategy
Acquire new customer who use cards for business purpose
Provide new or enhanced products to existing customers and extend market
Percentage of failed projects where activity is not undertaken - Statistics
We can learn from the study to improve our new product development process
What should be changed
32%44%
65%51%
77%34%
11%11%
37%75%
15%23%
8%
0% 10% 20% 30% 40% 50% 60% 70% 80%
Initial screeningPrellim market assessment
Prelim tech assessmentDetailed market study
Business/ financial analysisProduct development
In-house product testsCustomer tests of product
Test market/ trial sellTrial/ pilot production
Pre- launch business analysisProduction start-up
Market launch (roll out)
Source : R. G. Cooper and E. J. Kleinschmidt
Source : R. G. Cooper and E. J. Kleinschmidt
10%
17%
17%
21%
24%
28%
31%
34%
34%
0% 5% 10% 15% 20% 25% 30% 35%
Higher success rate & customer satisfaction
Developed on target time, quality & cost
Faster to market
Improved profit performance
A learning tool: educate our people
Improved cooperation / coodination
Fewer errors; less recycling; less redesign
Improved communication
Better project control
What Stage-Gate Can Do Percentage of positive impact with
Stage-Gate process - Statistics
We can improve our new product development process with Star-Gate, for more success and less risk
The New Product Process
Gate 0
Idea Generation
Gate 1 Stage 1 Gate 2
Gate 3
Stage 2
Gate 5Stage 4Gate 4 Stage 5Stage 3 Post Launch
Pilot Testing Launch
Scoping Build Business Case
Development
Next Cycle
Discovery
Description - Gate 0 Guides new product idea direction Company vision and group mission
is the basis
0
Description - Discovery Idea Generation
Generate and store ideas Ideas come from
Sales group Planning group Customer requirements Technical group
D
Description - Gate 1 Check against Broad Criteria
Broad Criteria Product must use smart card Product must be used for business purpose Product must enhance, shorten or ease
current procedure or system Product must have potential to be installed in
government or banking infrastructure system
1
Description - Stage 1 Scoping
Object Spend little money and gather some information
Work Preliminary Market Research Preliminary Technical Research Preliminary Financial/Business Estimation Preliminary Legal Check - Patent
1
Description - Gate 2
Check against Specific Criteria Specific Criteria
Company vision/mission Product must have merit to use “smart” card - not
“magnetic” card. Product should be beneficial when installed with
existing authentication or payment software Market
Product category should have potential market size more than $10,000,000
Product market segment should be in introduction stage
2
Description - Gate 2 Specific Criteria (continued)
Technical Patent must be cleared Product must fit within current smart card memory Product should be easy to install and use for end
users Cycle time for implementation should be less than 1
year Financial
Product sales must be expected to hit $1MM Product payback period should be expected within
2 years
2
Description - Stage 2 Build Business Case
Object Verify the attractiveness of the project prior to
heavy spending Work
Detailed Research In-depth market research
Existing/potential user needs Competitive products
Detailed technical research/assessment Legal research Financial estimation
Define product
2
Description - Gate 3 Careful examination against Broad
Criteria and Specific Criteria “Must-See” Criteria
Agree ; Go and score (3) Disagree ; Kill or return to Idea Bank
“Should-See” Criteria Agree ; Score (1-3) Disagree ; No score
Compare each score and choose top 3
3
Description - Stage 3 Pilot Development
Design and Develop Pilot Software Design software structure/function Design detailed software flowchart and workflow Develop pilot software Internal test
Feedback internal test result User opinion Technical issues Financial data adjustment
Market Launch Plan
3
4
Description - Gate 4 Check attractiveness of the project
Product Features Attract Pilot users as expected in Stage2?
Yes : Go No : if the gap easily correctible, return to Stage 3,
otherwise return to Idea Bank Technology Function
Support features without significant problem as assessed?
Yes : Go No : if the problem easily correctible, return to Stage 3,
otherwise return to Idea Bank Financial Estimation
Financials are sound with attractive price as expected?
Yes : Go No : if the gap easily correctible, return to Stage 3,
otherwise return to Idea Bank
Description - Stage 4 Pilot Testing
Test Pilot Software External pilot test with partner companies
Feedback external test result User opinion Technical issues Financial data adjustment
Market Launch Plan
4
Description - Gate 5
5
Check attractiveness of the project Product Features
Accepted by users? Users are attracted and likely to buy?
Yes : Go No : if the gap easily correctible, return to Stage 3,
otherwise return to Idea Bank Technology Function
Support features without significant problem as assessed?
Yes : Go No : if the problem easily correctible, return to Stage 3,
otherwise return to Idea Bank Financial Estimation
Financials are sound with attractive price as expected? Yes : Go No : if the gap easily correctible, return to Stage 3,
otherwise return to Idea Bank
Description - Stage 5 Product Launch
Execute marketing plan
5
Description - Post Launch Keep researching user acceptance Keep watching competitor's
movement Feed back the result for next cycle
PL
Next Step After new product development
process is approved here… Design and assign teams for each
stages and gates Implement new process Head for success