File Name: innovation product development and commercialization .zip
Product development and commercialization is the supply chain management process that provides structure for developing and bringing to market new products jointly with customers and suppliers.
- Innovation for Everyone: Everything You Need to Know About New Product Development
- Innovation for Everyone: Everything You Need to Know About New Product Development
- New product development
- Innovation, Product Development and Commercialization
Just as quality and manufacturing excellence were key to competitiveness in the s, superior commercialization of technology will be crucial in the s. In the coming decade, businesses will rise and fall depending on whether they discipline their commercialization efforts. Some companies—like Canon, Philips, and Merck—already have the capability to bring sophisticated technology-based products to […]. Some companies—like Canon, Philips, and Merck—already have the capability to bring sophisticated technology-based products to market faster and more often than competitors that treat commercialization as a purely intuitive, creative process.
Innovation for Everyone: Everything You Need to Know About New Product Development
Just as quality and manufacturing excellence were key to competitiveness in the s, superior commercialization of technology will be crucial in the s. In the coming decade, businesses will rise and fall depending on whether they discipline their commercialization efforts. Some companies—like Canon, Philips, and Merck—already have the capability to bring sophisticated technology-based products to […].
Some companies—like Canon, Philips, and Merck—already have the capability to bring sophisticated technology-based products to market faster and more often than competitors that treat commercialization as a purely intuitive, creative process. Most other companies will be compelled to develop this capability if they are to thrive.
Over the past year, we have examined the difference between leaders and laggards in commercialization in the United States, Japan, and Europe. Our study found that leading companies…. These differences are not one-time occurrences that reflect specific product introductions, nor are they limited to certain nations.
The study found that the critical differences between high-performing companies and low-performing companies…. As part of the study, managers were asked to describe their commercialization processes. An interesting pattern emerged. Companies that are good at commercialization did not describe processes that are idiosyncratic to their organizations. While many businesses treat the commercialization process as a series of separate steps or an inherently creative task that should not be tightly managed, the good companies view commercialization as a highly disciplined system.
They apply to the total commercialization process the basic principles for improving manufacturing quality: they establish it as a top priority, set measurable goals for ongoing improvement, develop the necessary organizational skills, and encourage managers to take aggressive action.
To formulate hypotheses to test, McKinsey commissioned a survey of the academic and management literature and reviewed its client work in this area. Then, between December and April , McKinsey interviewed managers at 19 companies in the United States, Europe, and Japan to find out how they commercialize technology.
The number of interviews at each company ranged from as many as 50 to as few as 5, and interviews were conducted with managers at all organizational levels, from chairman to first-line supervisor.
The companies were selected to include leaders and laggards in commercialization in industries where commercialization is important, where many companies compete, and where competitive leadership has changed hands in the last decade. The authors also appreciate the cooperation and advice throughout this project of the Council on Competitiveness and its chairman, John Young.
Commercialization begins when a business identifies a way to use scientific or engineering advances to meet a market need. The process continues through design, development, manufacturing ramp-up, and marketing, and includes later efforts to improve the product.
While it is often viewed as a linear process—a series of steps performed by people in different functions—companies with strong commercialization capability see the process as a series of overlapping phases that involve many business functions simultaneously. In late , a team of researchers, engineers, and marketers formed to explore the feasibility of such a product. Still in the concept-generation phase, the team brought manufacturing engineers into the process to verify that the company could produce the print head and the printer.
Then the team submitted a formal plan, which Vancouver management approved. Next, the team had to design a manufacturing prototype that could be tested for performance, reliability, producibility, and product cost. It started with a breadboard prototype, an assemblage of components hand-wired to printed circuit boards that represented the technical core of the printer. As soon as the breadboard proved technically feasible and appropriate for the market, H-P augmented its project team with specialists in component sourcing, mechanical design, and control software.
Six months later, the expanded group released several working prototypes, complete with cabinet, control software and panel, and paper-handling mechanism, and let consumers try them. The team improved print quality based on feedback from the trials, and the Desk-Jet was ready for manufacture. While the DeskJet team was designing and developing the product, the printer factory in Vancouver and the print-head factory in Corvallis had been constructing pilot production lines. At the same time, marketing had developed distribution, promotion, sales, and service plans and had primed the sales force and scheduled an advertising blitz.
H-P officially launched the DeskJet in February —just 26 months after the Vancouver division first explored the idea. It rang up strong sales almost immediately. Most DeskJet team members transferred to other projects after the launch, but several key engineers and marketers stayed on to oversee ongoing improvements.
As customers asked for greater printing speed and more typefaces, the team went back to the concept-generation stage and executed a short version of the commercialization effort. In many markets—such as copiers, facsimile machines, computers, automobiles, semiconductor production equipment, and pharmaceuticals—industry leadership clearly depends on superior commercialization skill. In these and a growing number of industries, companies that are first to market with products based on advanced technologies command higher margins and gain share.
Companies that spin out variants more rapidly and leverage their core technologies across more markets earn higher returns. Superior commercialization skill is, then, among the most important competitive challenges managers will face in the coming decade. The ability to commercialize technology, to move a product from concept to market quickly and efficiently, is crucial in light of changes in the business environment. First among these now-familiar trends is the increasing proliferation of new technologies and the speed with which they render previous technologies obsolete.
Empirical evidence of this trend is abundant and includes the shrinking life cycles of many products. Typewriters are one example. The first modern generation of typewriters was mechanical and dominated the market for some 25 years, but subsequent generations of typewriters have had progressively short lives: 15, 7, and 5 years.
That is, it took 25 years for sales of mechanical typewriters to fall below sales of electromechanical ones; 15 years for electro-mechanical models to give way to entirely electric ones; 7 years for sales of electric models to be over-taken by sales of microprocessor-controlled machines; and 5 years for sales of first-generation, microprocessor-controlled models to be exceeded by sales of second-generation machines.
Injectable cephalosporins—drugs that are prescribed for various bacterial infections—followed the same pattern in the West German hospital market. The first generation of these drugs was introduced there in Not until did sales of second generation cephalosporins surpass those of the original products. But a fourth generation began to overtake the third in only one year. Technological innovations also are spreading very rapidly, a result in part of the growth of research consortia and international suppliers.
Indeed, it is difficult to point to an important technology breakthrough in recent years that was—and remained—truly proprietary. And technology is increasingly expensive. Perhaps the most powerful and familiar example of the rapid cost inflation of developing base technologies is the silicon process technology used in DRAM production. Another factor driving the increased importance of commercialization capability is the fragmentation of markets—the result of higher real per capita incomes and more sophisticated consumers.
In the U. Many of these market segments remain untapped until a company introduces a product offering that is tailored to that niche. These competitive realities make the capability to commercialize technology at least as important as traditional sources of advantage such as scale, skilled labor, possession of proprietary technology, and access to capital.
Companies that possess the capability to bring technology to the market can often drive out competitors. Companies that lack it may see even prominent market positions quickly erode. Xerox and certain Japanese microcomputer printer manufacturers learned this lesson the hard way. Xerox dominated the copier market for many years, but in the mids, its four-to seven-year development cycle cost it that lead.
In , competitors like Canon began introducing mid-range plain-paper copiers in quick succession. Since Xerox had no competitive mid-range model of its own, it embarked on a crash program to develop one. The resulting product—the model—was unreliable and too expensive. Moreover, Xerox was unable to introduce variants quickly enough to position the as part of a product family covering several segments of the mid-range market.
Canon, on the other hand, had developed great skill at commercializing technology. It produced a number of technology innovations and launched four low-end and mid-range copiers in quick succession with speeds, respectively, of 12, 20, 30, and 40 copies per minute. Xerox has since strengthened its commercialization skills. Just as Xerox dominated the copier market in the early s, Japanese companies practically owned the microcomputer-printer business in the early s. But in the mids, Hewlett-Packard used its ability to commercialize technology to take share away from the entrenched players.
In quick succession, H-P introduced a broad line of printers based on innovative laser, ink-jet, and software technologies. Companies like Hewlett-Packard that have the capability to manage the commercialization process differ from other organizations in four respects.
They get products or processes to market faster, use those technologies in products across a wider range of markets, introduce more products, and incorporate a greater breadth of technologies in them. Time to Market. When base technologies are widely available and product life cycles are short, getting to market quickly is essential.
For one thing, the company that is first to market often can command premium pricing because of its de facto monopoly. Those early premiums are important since prices decline rapidly as soon as competition arrives. Companies typically try to offset the price declines by improving production efficiency, but the resulting savings are not necessarily enough to compensate for sliding prices and to recover high development costs.
Early entrants also achieve volume break points in purchasing and production sooner than laggards, and they gain market share. In some industries, like prescription pharmaceuticals, the market-share rewards for being first are especially great.
Many managers fail to acknowledge the benefits of getting to the market first. The same program managers who know to the penny what an additional engineer will cost and what profits will be lost if the company misses manufacturing cost targets seldom can quantify the losses associated with a six-month slip in the development process.
They willingly slow down the development process to contain the project budget or to hit their cost targets. Range of Markets. The cost of developing technologies is high—and rising. Companies that incur these costs must spread them across as many product and geographic markets as possible. Otherwise, they will be unable to recover costs, maintain price parity, and renew development efforts—all of which are essential to competitiveness.
Obviously, there was intense pressure to find ways to recover that spending. One way to spread costs is to leverage core technologies across multiple product and geographic markets. In the late s, Northern Telecom anticipated that developing the software for its digital switch was going to be expensive, so it made an aggressive drive to spread the technology across many markets at the same time.
Northern Telecom also used part of the software in several product areas like PBXs, hybrid analog-digital switches, and fully configured central-office switches.
Honda, too, spreads the costs of innovation over several product markets. When it invested heavily to develop multivalve cylinder heads with self-adjusting valves, for example, it applied the technology to motorcycles, cars, lawn mowers, and power-generation equipment. Similarly, Canon exploits its basic investments in optics and lens grinding across the markets for photolithography, cameras, and copiers.
It has used the miniaturized motors from its photolithography equipment in its cameras and is now incorporating them in copiers. Hewlett-Packard uses technology from its instrumentation business in half a dozen highly differentiated markets, from oscilloscopes to cardiac analyzers.
Joint ventures, technology crosslicensing, and marketing relationships are effective solutions for companies that lack the ability to spread technology costs. International marketing alliances have worked well for drug companies.
Innovation for Everyone: Everything You Need to Know About New Product Development
developing innovative products or services. Conclusion. In order to successfully develop and commercialize. disruptive innovations, not only does.
New product development
The future of your company is dependent upon it staying relevant. In this day and age, that means that new, innovative products must keep pace with the marketplace. The following guide is a comprehensive lesson on product development for both new products and those undergoing a revamp. We explain what new product development is, as well as the history and pioneers of product development. Next, we delve into all of the different process models, including product development lifecycles, and discuss the best practices for developing your own processes along with some tips from our experts.
In business and engineering , new product development NPD covers the complete process of bringing a new product to market, renewing an existing product or introducing a product in a new market. A central aspect of NPD is product design , along with various business considerations. New product development is described broadly as the transformation of a market opportunity into a product available for sale. For many technology-intensive firms their approach is based on exploiting technological innovation in a rapidly changing market. The product can be tangible something physical which one can touch or intangible like a service , experience , or belief , though sometimes services and other processes are distinguished from "products".
Innovation, Product Development and Commercialization
Actively scan device characteristics for identification. Use precise geolocation data. Select personalised content. Create a personalised content profile. Measure ad performance. Select basic ads.
Крошечная сноска гласила: Предел ошибки составляет 12. Разные лаборатории приводят разные цифры. ГЛАВА 127 Собравшиеся на подиуме тотчас замолчали, словно наблюдая за солнечным затмением или извержением вулкана - событиями, над которыми у них не было ни малейшей власти. Время, казалось, замедлило свой бег. - Мы терпим бедствие! - крикнул техник. - Все линии устремились к центру. С левого экрана в камеру неотрывно смотрели Дэвид и агенты Смит и Колиандер.
Kleinschmidt, “An Investigation into the New Product Process: Steps, Deficiencies and Impact”,. Journal of Product Innovation Management, 3 (), 2 T. Kono.
Метрах в пятистах сзади в снопе искр на шоссе выкатило такси. Набирая скорость, оно столкнуло в сторону Пежо-504, отбросив его на газон разделительной полосы. Беккер миновал указатель Центр Севильи - 2 км. Если бы ему удалось затеряться в центральной части города, у него был бы шанс спастись. Спидометр показывал 60 миль в час. До поворота еще минуты две. Он знал, что этого времени у него .
Так появился апельсиновый мармелад. Халохот пробирался между деревьями с пистолетом в руке. Деревья были очень старыми, с высокими голыми стволами. Даже до нижних веток было не достать, а за неширокими стволами невозможно спрятаться. Халохот быстро убедился, что сад пуст, и поднял глаза вверх, на Гиральду. Вход на спиральную лестницу Гиральды преграждала веревка с висящей на ней маленькой деревянной табличкой.
Чем могу служить. Беккер держался той же версии: он - немецкий турист, готовый заплатить хорошие деньги за рыжеволосую, которую сегодня нанял его брат.
Но это теперь не имело никакого значения, мысль о смерти ее не пугала. Смерть остановит боль. Она будет опять рядом с Дэвидом. Шифровалка начала вибрировать, словно из ее глубин на поверхность рвалось сердитое морское чудовище.
Энсей пользовался всеобщим уважением, работал творчески, с блеском, что дано немногим. Он был добрым и честным, выдержанным и безукоризненным в общении. Самым главным для него была моральная чистота. Именно по этой причине увольнение из АН Б и последующая депортация стали для него таким шоком. Танкадо, как и остальные сотрудники шифровалки, работал над проектом ТРАНСТЕКСТА, будучи уверенным, что в случае успеха эта машина будет использоваться для расшифровки электронной почты только с санкции министерства юстиции.