Product PlanningChapter 4
Product Planning Chapter 4
Xerox Lakes Project ExampleXXerox Document Centre 265
Xerox Lakes Project Example Xerox Document Centre 265
Product Development ProcessDetailConceptSystem-LevelTestingandProductionPlanningDevelopmentDesignDesignRefinementRamp-UpFourPhasesofProductDevelopmentThe productplanning phaseprecedes the product development process
Planning Product Development Process Concept Development System-Level Design Detail Design Testing and Refinement Production Ramp-Up Four Phases of Product Development The product planning phase precedes the product development process
Strategic Product Planning. Why start development?-Newcustomerneeds- New technology-New laws and regulations- Quality deficiencies in the market
Strategic Product Planning • Why start development? – New customer needs – New technology – New laws and regulations – Quality deficiencies in the market
A Good Product Plan..: Requires information on:-how customers'expectations will changewithin the time covered by the plan- what competitors are doing and how firmstands in relation to its competitors- the current state of technology in areas vital tothe product
A Good Product Plan. • Requires information on: – how customers' expectations will change within the time covered by the plan – what competitors are doing and how firm stands in relation to its competitors – the current state of technology in areas vital to the product
Types of PD ProjectsNew product platformsDerivatives of existing platformsIncremental improvementsBreakthroughs
Types of PD Projects • New product platforms • Derivatives of existing platforms • Incremental improvements • Breakthroughs
The Product Planning ProcessMultipleProjectsEvaluateandAllocateCompleteProductIdentifyPrioritizeResourcesandPre-ProjectDevelopmentOpportunitiesProjectsPlan TimingPlanningProcessPortfolioProductMissionofPlanStatementsProjects
The Product Planning Process
Evaluate and Prioritize Projects· Competitive Strategy- Technological leadership-Costleadership-Customerfocus- Imitative Market SegmentationTechnological TrajectoriesProduct Platform PlanningNew Product OpportunitiesBalance Portfolio
Evaluate and Prioritize Projects • Competitive Strategy – Technological leadership – Cost leadership – Customer focus – Imitative • Market Segmentation • Technological Trajectories • Product Platform Planning • New Product Opportunities • Balance Portfolio
Product Segment Map65ppm65ppmnetwork$23ks31k55ppm60ppmLakesDepartmen$20k$35kLakesProject40ppmExtensionsl$16kea35ppm25ppm40ppmLegend$10k$15k$20kXeroxWorroupproduct30ppm40ppmnetwork$10kcompetitor$20kproductHodakaProjectpotentialcompetitor20ppm25ppm30ppm$8k$9k$10kPersonal20ppm$7k1997199819992000Year ofRelease
Product Segment Map Hodaka Project Lakes Project Lakes Extensions 1997 1998 1999 2000 Department Workgroup Personal 40 ppm network $20k 30 ppm $10k 20 ppm $8k 40 ppm $16k 65 ppm $23k 55 ppm $20k 25 ppm $9k 30 ppm $10k 25 ppm $10k 35 ppm $15k 20 ppm $7k 40 ppm $20k 60 ppm $35k Legend Xerox product competitor product potential competitor 65 ppm network $31k Year of Release
Technology S-CurvesTechnologicalLimitsReachedTechnologicalEarlyBreakthroughsExplorationTime
Technology S-Curves