New Product and Service Design Flashcards
What is the relationship between creativity, innovation and design?
Creativity: the use imagination, original ideas
Innovation: doing something new (with a practical purpose)
Design: defining the looks, arrangement and workings of something
Which altogether create the properties of a product or service.
What are the 5 stages of product and service design?
- Concept generation
- Concept screening
- Preliminary design
- Evaluation and improvement
- Prototyping and final design
What are some examples of preliminary research the feed into concept generation?
- from customers formally through marketing activities
- from listening to customers – on a day-to-day basis
- from competitor activity – for example reverse
engineering
• from staff – especially those who meet customers
every day
- from research and development
- from personal inspiration?
What are the broad categories of evaluation criteria for
assessing concepts?
Start with… Criteria for screening concepts
Acceptability – how worthwhile is it?
Vulnerability – what could go wrong?
Feasibility – how difficult is it?
What INVESTMENT, both managerial and financial, will be needed?
What RETURN, in terms of benefits to the operation, will it give?
What RISKS do we run if things go wrong?
End with… Overall evaluation of the concept
What is the Henderson-Clark Model?
The Henderson-Clark Model
Henderson and Clark looked at why some companies fail to exploit obvious incremental innovations. Knowledge of the component of knowledge v. Knowledge of how the components of knowledge link together. Radical innovation changes both component and architectural knowledge (see model below)
Factors that can significantly reduce time to market for innovations include the following:
- Integrating the design of the produce-service offering and the design of the process used to create and deliver them
- Overlapping the stages in the innovation process
- An early deployment of strategic decision-making and resolution of design conflict
- An organisational structure that reflects the nature of the offering
What is the ultimate goal in the stages in a typical innovation process and the design funnel effect?
Progressively reducing the number of possibilities until the final design is reached
Describe the 5 types of organisation structure for innovation processes.
Functional organisation: project divided into segments and assigned to relevant functional areas. Overseen by functional managers and senior leadership.
Functional matrix: person is formally designated to oversee the project across different functional areas.
Balanced matrix: person is assigned to oversee and interact with managers across functional areas.
Project matrix (or heavyweight project manager): a manager is assigned to oversee the project and is responsible for its completion.
Project team (or tiger team): a manager is given responsibility for a project team composed of a core group of personnel from several functional areas assigned on a full-time basis.
According to Johnson et al. (“Reinventing your business model”, HBR 2015) what are the four elements of a business model that lead to success?
Successful companies already operate according to a business model that can be broken down into four elements: a customer value proposition that fulfills an important job for the customer in a better way than competitors’ offerings do; a profit formula that lays out how the company makes money delivering the value proposition; and the key resources and key processes needed to deliver that proposition.
