Guides new product development direcon and helps steer resource allocaon and

Guides new product development direcon and helps

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uncover opportuni'es to focus on. Guides new product development direc'on and helps steer resource alloca'on and project selec'on. E.g. within Nike’s SBU: Footwear, apparel, equipment and accessories. PIT PROCESS MODEL: 1. De^ne role and Goals for the NPD E_ort in the strategic business unit (SBU). What role will product innova'on play in helping the business unit achieve its growth objec'ves? Common marke'ng objec'ves include: Market share, launching new products, increasing sales, diversifying products, mee'ng customer needs, entering new market, posi'oning within a market, building advantage over compe'tors. 2. Select strategy arenas – areas of strategic focus for the SBU. First analyse the industry and SBU. Where will you afack and not afack? Analysis of markets, customers, industry sectors, applica'ons, product types or technologies on which to focus NPD eXorts. What opportuni'es are there? Strategic Arenas can be : product areas, geographic markets, consumer segments, industries, technologies, processes. 3. AUack strategy and entry strategy . Afack plans include innovator, fast follower, low cost, diXeren'ator, niche, and defender. Entry strategies include Joint ventures/Lone ventures. How to go amer the opportuni'es you select? Adop'ng a global, glocal or regional strategic approach to your product?
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4. Resources and strategic por`olio decisions: Product road maps, commitment of resources, strategic buckets. The PIT strategy needs to deal with how much to spend on product innova'on, what the priori'es are and crea'ng strategic buckets. Strategic buckets are where development dollars go, by market, project type, geography, product area. People, Time, Money are all issues to consider. Other issues to consider are whether managers will decide on crea'ng a new or old product in a new or old market. 5. Tac2cal por`olio decisions: PIC Statement, Project selec'on criteria, project priori'sa'on. Managing the poraolio will maximise the return of the product innova'ons investment, maintain compe''ve posi'on, provide basis for future growth, achieve eKcient alloca'on of resources, WEEK 4: VOICE OF THE CUSTOMER (INSIGHTS) Front End of Innova2on process is an insight driven, prototype powered and foresight inspired search for new ideas that can be applied to products, services, experiences and business strategies. It is a crea've process to befer iden'fy customer needs, collect insights and create possibili'es. - Scanning the environment: Ideas for new products omen drawn from this. Trends and changes in technology, customers, compe'tors, poli'cs, economic, etc. Customer insight is a fresh understanding of a customer’s beliefs, values, habits, desires, mo'ves, emo'ons or needs that can become the basis for a product to have compe''ve advantage. It represents a deep understanding of customer needs and drivers of customer behaviour, at a level beyond what customers are able to ar'culate themselves.
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  • Three '17
  • Marketing, new product development, Strategic business unit, Nico Li

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