350 Food product development 8.1.2 Balanced product development portfolio The business goals and strategy should define the key criteria to be used preparing the product development portfolio. These include degree of novelty or newness level of technology target market level of risk. desired return on investment time frame Preparing a balanced portfolio of new product development, consistent with business aims, is a critical part of product development manageme 8.1.3 Clearly defined product development strategy The product development strategy should provide total clarity about the relationship between the portfolio of product levelopment projects and the overall business strategy clear definition of the portfolio of new product development projects relative to business selection criteria indication of the costs and timeframes involved to achieve the desired outcomes of the portfolio indication of the resources required to achieve the desired outcomes- what esources are required internally and what should be out-sourced The product development strategy is linked to, and indeed is the basis for, the tactical strategy that organises the product development programme and the individual product development projects. In a number of companies there is often a communication blockage between the product development strategy and the tactical strategy that determines the work of the designers, engineers marketers, production and other personnel involved in the project. This can reduce both the effectiveness and efficiency 8.1.4 Appropriate systems and processes for project management Having decided on what things to do(the portfolio), it is important to have the appropriate systems and processes to support individual projects-'doing things right. There are four clearly identified basic stages in the PD Process-product strategy development, product design and process development, product commercialisation, product launch and evaluation. But there are differences in the activities, decisions and outcomes in the different projects, although there are significant ones that occur in many projects Although the PD Process is important to the successful completion of projects on time, in budget and in line with the initial target, it would be wrong to force all projects into a standard process. The PD Process is unique to the company.8.1.2 Balanced product development portfolio The business goals and strategy should define the key criteria to be used in preparing the product development portfolio. These include: • degree of novelty or newness; • level of technology; • target market; • level of risk; • desired return on investment; • time frame. Preparing a balanced portfolio of new product development, consistent with business aims, is a critical part of product development management. 8.1.3 Clearly defined product development strategy The product development strategy should provide: • total clarity about the relationship between the portfolio of product development projects and the overall business strategy; • clear definition of the portfolio of new product development projects relative to business selection criteria; • indication of the costs and timeframes involved to achieve the desired outcomes of the portfolio; • indication of the resources required to achieve the desired outcomes – what resources are required internally and what should be out-sourced. The product development strategy is linked to, and indeed is the basis for, the tactical strategy that organises the product development programme and the individual product development projects. In a number of companies there is often a communication blockage between the product development strategy and the tactical strategy that determines the work of the designers, engineers, marketers, production and other personnel involved in the project. This can reduce both the effectiveness and efficiency. 8.1.4 Appropriate systems and processes for project management Having decided on what things to do (the portfolio), it is important to have the appropriate systems and processes to support individual projects – ‘doing things right’. There are four clearly identified basic stages in the PD Process – product strategy development, product design and process development, product commercialisation, product launch and evaluation. But there are differences in the activities, decisions and outcomes in the different projects, although there are significant ones that occur in many projects. Although the PD Process is important to the successful completion of projects on time, in budget and in line with the initial target, it would be wrong to force all projects into a standard process. The PD Process is unique to the company, 350 Food product development