Did you know that only one out of 4 new product projects succeed commercially? Considering the fact that new products account for 50 percent of most US companies revenues, it’s no surprise that successful companies take New Product Development seriously.
New product development and innovation need to be part of every technology company’s business strategy if a technology company is to drive profits in the long run.
Here are the 7 keys to Technology Multipliers success with New Product Development:
- Monitor key trends affecting NPD.
- Whether it is stage-gate, DMAVD or flexible NPD, the model is the means to the end goal. Select a process model and adopt it to your company and situation.
- Build flexibility into the NPD process and organizational culture – too much structure and rigid processes stifle creativity. Identify where more flexibility will be most beneficial and where it might be harmful.
- Encourage ideation in each and every stage of the NPD process. Identify all potential sources of ideas and develop multiple means for soliciting and capturing inputs to the process.
- NPD process maturity is a strategic advantage. Measure the NPD process in terms of quantitative and qualitative impacts and keep optimizing it.
- Leverage the internet, online communities, and idea management software tools for the ideation process in each stage.Leverage software tools that provide all the tools for both front-end innovation management and the NPD processes.
- Review resource allocation strategy regularly and optimize your NPD project portfolio.
Robert Cooper’s book titled “Winning at New Products” and Clayton Christensen’s book titled “The Innovator’s Solution” are excellent references on the topic.