Comparison of New Product Development (Technology Transition) Strategies Rapid Product Development or Rapid Concept (Research) to Market (Operations) Product Dev. Institute Customer focused Harvard I Development strategy - Build in market-focused actions - Prioritize projects - Market needs/customer value - Functional integration - Field work by core project team - Maximize efficiency - Begin early - Create/improve capabilities - Broaden the base Functional mapping Front-end loaded - Marketing mapping - Preliminary market assessment - Engineering mapping - Technical assessment - Manufacturing mapping - Supplier assessment - Integrative mapping - Market research Aggregate project planning - Concept testing - Research projects - Customer value assessment - Alliance-based projects - Business/financial assessment - Incremental projects Spiral development - Breakthrough projects - User needs and wants study - Next-generation projects - Full proposition concept test Development funnels - Rapid prototype and test - Research-driven - Field trial and beta test - Entrepreneurial-driven Cross functional teams - Innovation-driven - Multi-disciplinary team Development framework - End-to-end project - Customer-focused responsibility - Disciplined - Clearly defined team leader - Coherence and detailed - Excellent communications - Fit with mission - Empowerment over resources - Standardized pattern Measure and improve - Put performance metrics in place - Establish success criteria - Hold teams responsible - Continuously improve Maximize portfolio productivity - Strategic buckets - Product roadmaps - Project selection/prioritization - Resource allocations - Portfolio reviews Product innovation - Institutionalize stage-gates - Scalable/adaptable stage-gates - Automate stage-gates - Alliance-enabled stage-gates - Improve stage-gates Cooper, R G., & Cooper, R. G. (2005). Lean, rapid, and profitable new product development. Ancaster, ON: Product Development Institute. Harvard II Acceptance of risk Flexible environment Open communication - Lead time focus Organization-wide - Productivity focus commitment - Total product quality focus Value innovation Integration in the Focus on end-user needs development process Reduced lead times - Overlapping and Consistent funding communication Use of COTS - Small team sizes and Iterative development specialization Simple procurement and - Simple, flatter organizations acquisition processes Integrating customer and Flexible standards and product - Heavyweight product managers testing procedures - Customer access and orientation Decentralized decisionmaking - Leadership by concept NASA Schedule/budget constraints Collocated personnel Flat organization Concurrent engineering Contract outsourcing Streamlined acquisition COTS components Design reuse Flexible designs Front-loaded funding Simplified reviews Minimal redundancy Extensive testing Public relations LeanTEC Technology transition process Enabling environment Technology transition portfolio Project resources Project charters Project plans Project contracts Communication protocols Collaboration protocols Shared team experiences Formal reviews Manufacturing for design - Manufacturing principles focus - Rapid prototyping - Rapid tools development Common Factors Early market feedback (e.g., on each increment). Iterative development (e.g., 30-60-90 day increments). Small, highly-qualified cross-functional project teams with influential leaders (e.g., mostly PhDs). Flexible processes and products (e.g., streamlined processes and rapid-prototyping technologies). Cross-functional integration - Cross-communication - Relationship management - Organization commitment - Management commitment - Incentives to integrate Cross-functional leadership - Functional teams - Lightweight teams - Heavyweight teams - Autonomous teams (What this boils down to is integrating and streamlining research, development, and operations into a single, smaller, and more efficient organization.) Tools and methods Prototype test cycles Organizational learning Capability development Wheelwright, S. C., & Clark, K. B. (1992). Revolutionizing product development: Quantum leaps in speed, efficiency, and quality. New York, NY: The Free Press. National Research Council Superior performance in time, productivity, and quality Clark, K. B., & Fujiinoto, T. (1991). Product development performance: Strategy, organization, and management in the world auto industry. Boston, MA: Harvard. Apelian, D. (2004). Accelerating technology transition: Bridging the valley of death for materials and processes in defense systems. Washington, DC: National Research Council. Pate-Cornell, M. E., & Dillon, R. L. (2001). Success factors and future challenges in the management of faster, better, and cheaper projects: Lessons learned from NASA. IEEE Transactions on Engineering Management, 48(1), 25-35. Shroyer, E. (2002). Lean transition of emerging industrial capability (AFRL-ML-WP-TR-2002-4191). Air Force Research Laboratory, WrightPatterson AFB, OH.