B2B Chapter 12- Grp Presentation PPT

7/29/2019 B2B Chapter 12- Grp Presentation PPT

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Business to Business Marketing

Presentation

On

Managing Innovation

and

New Industrial Product Development


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Group Members

Lalit Chaudhari (8020)

Rucha Joshi (8055)

Kunal Kokane (8063)

Sneha Bhongade (8083)


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A planned, deliberate

process characterizes the

develop of some new

products whereas a

circuitous and chaotic

process typifies others.

Why? Research suggests

that strategic activity

within a large

organization falls into two

broad categories: inducedand autonomous strategic

behavior.

Table 12.1 7th ed

Patterns of Strategic Behavior

Induced Versus Autonomous Strategic Behavior:

Selected Characteristics of the marketing Strategy

Formulation Process


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Senior management at 3M

Company will not commit

to a project unless a

Product Championemerges and will not

abandon the effort unless

the champion gets tired.


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Some development projects center on improving the

manufacturing process.

Some on Improving products.

Others on both process and product improvements.

Exploring the

Technology Portfolio of a Firm


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Four Types of Development Projects

1. Derivative projects center on incremental product enhancements,incremental process improvements, or incremental changes on both

dimensions.

2. Platform projects create the design and components that are shared

by a set of products.

3. Breakthrough projects establish new core products and new core

processes that differ fundamentally from previous generations.

4. Research and development is the creation of knowledge concerning

new materials and technologies that eventually leads to commercial

development.


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Product Family

Products that share a common platform but have differentspecific features and enhancements that are required for

different sets of consumers.

Strategists argue that a firm should move away from a

planning emphasis that centers on single products.

The move toward a product family perspective requires

close interfunctional working relationships, a long-term

view of technology strategy, and a multiple-year

commitment of resources.


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Innovation Winners in

High-Technology Characteristics

1. Limited StructureCreating successful products to meet changing customer needs requires

flexibility but successful product innovators combine this flexibility with a

few rules that are never broken.

2. Real Time Communication and Improvisation

Improvisation involves activities in which the design and execution of

actions approach convergence with each other in time.3. Experimentation: Probing into the Future

Creators of successful product portfolios did not invest in any one version

of the future but, instead, used a variety of low-cost probes to create

options for the future.

4. Time Pacing

Product innovators carefully manage the transition between current andfuture projects while less successful innovators let each project unfold

according to its own schedule.


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Although the definitions of failure are somewhat elusive,

research suggests that 30 to 40 percent of industrial

products fail.

The Major

Drivers of a

Firm

s NewProduct

Performance

Developed by Cool Pictures and MultiMedia Presentations


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New Product Development Process

Successful companies employ a high-quality new productdevelopment process--careful attention is given to the execution of the

activities and decision points. Benchmarking characteristics:

The firms emphasized upfront market and technical

assessments.

The process featured complete descriptions of the product

concepts, product benefits, positioning, and target markets.

Tough project go/killdecision points were included in the

process and the kill option was actually used.

The new product process is flexible.


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Resource Commitments

Three ingredients were important here:

1. Top management committed the resources necessary to meet

the firms objectives for the total product effort in the firm.

2. R&D budgets were adequate and aligned with the stated new

product objectives.

3. The necessary personnel were assigned and were relieved

from other duties.


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New Product Strategy

Set aggressive new product performance goal asa basic corporate goal and communicate it to all

employees.


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New Product Competitive Reactions

1. The new product represents a major threat totheir market.

2. The market is experiencing a high rate of growth.


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Lead user projects are conducted by a cross-functional team that includes four to six

managers from marketing and technical departments; one member serves as project

leader.Team members typically spend 12 to 15 hours per week on the projects.

The LeadUser

Method


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Three Obstacles of New Product

Development Efforts

Turf Barriers

New product development projects often ignite turf battles among

functional units as each competes for resources, information, and

support.Interpretive Barriers

Each department has common judgments and procedures that

produce a qualitatively different understanding of product innovation.

Communication Barriers

Departments or functional areas develop a shared language that

reflects similarities in the way in which members interpret,understand, and respond to information.


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Quality Function Deployment

The first task of QFD is to identify customer needs.

The strength of QFD comes from translating customer needs

into product design attributes.

QFD provides an important framework for bringing criticalinformation on customer needs together with appropriate

engineering data.

Quality function deployment, or QFD is a method used to identify

critical customer attributes and to establish a specific link between

customer attributes and product design attributes.


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Four Strategic FactorsFor New Product Success

Product advantage refers to

customer perceptions of

product superiority with respect

to quality, cost-performanceratio, or function relative to

competitors.

Marketing synergy represents

the degree of fit between the

needs of the project and the

firms resources and skills inmarketing.

Technical synergy concerns

the fit between the needs of theproject and the firms R&D

resources and competencies.

International orientation--new

products that are designed anddeveloped to meet foreign

requirements, and that are

targeted at world or nearest-

neighbor export markets.


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Thank You

Documents

B2B Chapter 12- Grp Presentation PPT