Week 3-Dani Flashcards
Topic -- Innovation Creation: Processes for New Product Development
What are the three categories of innovation from Doblin’s Innovation Wheel?
Configuration, Experience, and Offering
HINT: read this article from class to better understand these categories: https://www.visualcapitalist.com/10-types-of-innovation-the-art-of-discovering-a-breakthrough-product/
What are the 4 types of Configuration innovations?
- Profit model (how you make money)
- Network (connection with others to create value)
- Structure (alignment of your talent and assets)
- Process (signature or superior methods for doing your work)
What are the 4 types of Experience innovations?
- Customer engagement (distinctive interaction you foster)
- Brand (representation of your offerings and business)
- Channel (how your offerings are delivered to customers and users)
- Service (support and enhancements that surround your offerings)
What are the 2 types of Offering innovations?
- Product system (complementary products and services)
- Product performance (distinguishing features and functionality)
What are the product life cycle stages (in order)?
- Development
- Introduction
- Growth
- Maturity
- Saturation
- Decline
NOTE: Product life cycles don’t have to end, you can revitalize or reposition products to extend their life
What is the Stage-Gate model?
Process used in product development to move from one stage to the next
- also known as the phase-gate model
What are the stages and the “gates” in the original Stage-Gate model by Robert R. Cooper?
Stage 0: Discovery
GATE 1: Idea Screen
Stage 1: Scoping
GATE 2: Second Screen
Stage 2: Build Business Case
GATE 3: Go to Development
Stage 3: Development
GATE 4: Go to Testing
Stage 4: Testing & Valuation
GATE 5: Go to Launch
Stage 5: Launch
Stage 6: Post-Launch Reviews
What are the three updated versions of the Stage-Gate model and when would you use them?
- Stage-Gate Full - 5 stage process, like the original, for major new projects
- Stage-Gate XPress - for moderate-risk projects, including extensions, modification & improvements
- Stage-Gate Lite - for very major changes like sales-force and marketing requests
What is the structure of the Stage-Gate XPress process?
Stage 0: Discovery
GATE 1: Idea Screen
Stage 1: Scoping
Stage 2: Build Business Case
GATE 3: Go to Development
Stage 3: Development
Stage 4: Testing & Valuation
GATE 5: Go to Launch
Stage 5: Launch
Stage 6: Post-Launch Reviews
What is the structure of the Stage-Gate Lite Process?
Stage 0: Discovery
GATE 1: Idea Screen
Stage 1: Scoping
Stage 2: Build Business Case
GATE 3: Go to Development
Stage 3: Development
Stage 4: Testing & Valuation
Stage 5: Launch
Stage 6: Post-Launch Reviews
What are the 6 steps in the Product Development Process and their exit criteria?
STEP – EXIT CRITERIA
1. Ideation – Approval to go to the discovery phase
2. Product Definition – Created business case
3. Prototyping – Confirmation of business case and GTM plan
4. Detailed Design – Design complete
5. Validation/Testing – Product quality demonstrated, initial customer acceptance
6. Commercialization – Generating revenue
NOTE: Step 1 is in the discovery phase, 2-5 are in the product development phase, and 6 is the launch phase
What is the benefit of the Product Development Process versus the Stage-Gate model?
They are similar, but the Product Development Process model allows movement back and forth between steps
When do the following things happen in the Product Development Process?
Strategic alignment, funding release, MVP (minimum viable product) release, and 1st version of the product release
Strategic alignment: upon completion of stage 2 (product definition)
Funding release: upon completion of stage 3 (prototyping)
MVP release: upon completion of stage 5 (validation/testing)
V 1.0 release: stage 6 (launch/commercialization)
What is “agile”?
A set of values and principles that help firms stay nimble, flexible, and adaptable (i.e. help they stay agile)
NOTE: we see agile a lot more in digitals or born digitals
Based on Coveillo and Joseph’s research, what is the NPD process for major innovation?
4 stages in a non-linear process with Ongoing Feedback that all loop forwards and backward into each other:
1. Opportunity recognition
2. Customer-based funding
3. Development & testing
4. Wider communication
What are the REACTIVE and PROACTIVE customer roles associated with each step of the NPD process, and which two did Coviello and Joseph identify as necessary for a successful launch of a major tech innovation?
- = these two customer roles were omitted from evidence in the launches that failed
Opportunity recognition
Reactive: Source of latent needs
Proactive: Requester
Customer-Based Funding*
Reactive: Development buyer
Proactive: Early buyer
Development and Testing*
Reactive: Technical advisor
Proactive: Co-developer
(Wider) Commercialization
Reactive: Approver
Proactive: Promoter
Feedback
Reactive: Sounding board
Proactive: Critic
What is the general advice given by Marin Lucina on how to make great tech products?
- Focus on the USER and all else will follow
- Need three modes of operation
a) discover
b) de-risk
c) deliver
What are the three key points in Lucina’s ‘discovery’ mode of operation?
- Use small data – 80% of insights can be found through 6 people in your audience
- Be scrappy – have an “ongoing” mindset (recurring research, meetings, etc) instead of a “project” mindset (“once it’s ready we’ll do x”)
- Know how to ask and the right way to ask questions (open-ended Q’s vs closed end)
What is the key point in Lucina’s ‘de-risk’ mode of operation?
Build to LEARN
sub points:
- try out multiple cheap ideas, get them in font of customers quickly (build “cupcakes”)
- watch reactions (better than feedback)
What are the four key points regarding “squads” in Lucina’s ‘deliver’ mode of operation?
This is the development piece - make use of cross-functional squads
- the squad’s mission should be a business OUTCOME, not outPUT (ex. NOT making a new product/deisng/etc, BUT YOU ARE trying to boost conversion by 20%)
- the employees should be 95% autonomous with the squad as their primary home
- the squad experiments with how to achieve outcomes through discovery & de-risking
- Focus is always on ‘try again’ to learn
What were the 8 key takeaways from the Brian Chesky (AirBNB) Master of Scale interview?
- Looked for opportunities
- Got to know users one by one
- Handcrafted offer based on user feedback
- Needed passionate feedback
5 Didn’t listen to all users (figured out who to ignore) - Stayed focused
- Pruned, compacted, distilled
- Looked orthogonally (statistically independent)
What are some ongoing sources of data?
- USERS
- Online surveys
- Text mining
- Complaints & returns
- Service calls
- Customization requests
- A/B testing
- Machine learning
- Community boards
- Onboarding & exits of customers
What are some examples of different contexts that affect NPD (new product development)?
- What is the type of tech? ex. is it SaaS or hardware?
- Firm size (effects resources, flexibility, agility, etc)
- B2B vs B2C (impacts customizability and what users you listen to)
Thomke (2020) “Building a culture of experimentation” article summary:
