If completed projects and quality products are what drive your business, then innovation is the fuel that keeps you going. It’s all but impossible to move your company forward without fresh ideas. So, what is a new product development process, and how can you make it work for you? Here, we’ll explain the key phases and functions of effective product development so you can create a framework that supports your team in creating innovative solutions.
What is New Product Development (NPD)?
In short, new product development (NPD) is the process of taking a brand-new product or service from the initial conception stage all the way to market release. Rather than being an extension of an existing product or service, new products serve an entirely new purpose.
New products either replace an existing product or introduce a whole new service to the consumer. They also provide the opportunity for your business to expand and break into new markets or adapt to changing market needs.
The process of developing new products may look different depending on your industry and operations. Still, there are some common frameworks and best practices that can help you hone in on effective execution methods.
Key Stages of the New Product Development Process
The new product development process typically consists of six key stages. Each phase produces a deliverable and a gate, per the stage-gate product development framework. Phases and gates help ensure your team is meeting project goals at each stage of the product development process.
One option is as follows:
- Screening
- Concept testing
- Business analysis
- Prototype testing
- Implementation
- Launch
However, the stage-gate process isn’t ideal for everyone. In other cases, the product development process might look like this:
- Fuzzy Front-End (FFE)
- Design
- Implementation
- Fuzzy Back-End (FBE)
1. Fuzzy Front-End (FFE)
FFE is the first step in new product innovation. It’s the ideation phase, called “fuzzy,” because there is little to no formal development happening. It is a pre-development stage, and many ideas may not progress to the actual development phases from here. This is the time to determine goals, assess customer needs, and test new ideas. It can be an opportunity for early planning and strategizing for how you’ll bring the product to market.
2. Design
Once an idea makes it out of the FFE stage, the actual product design process begins. This is where initial plans and high-level ideas that your team may have sketched out in the first phase become detail-oriented and actionable. It’s a good time to get a feel for the true feasibility and real-world functionality of the product.
3. Implementation
This phase provides a chance for analysis and distribution planning. During this step, you will determine if the prototype meets the project goals while looking at any production and transport requirements. Does the product do what it’s intended to do? And if so, what resources are needed to manufacture and distribute it?
4. Fuzzy Back-End (FBE)
This is the product launch phase. By now, there should be a launch plan with distribution and marketing strategies in place. It requires discipline and strategic operations to see that all of your hard work, prototyping, and planning come to fruition with a ready-for-market product you can deliver to customers.
How to Create a New Product Development Process
When implementing or updating a new product development process for your company, there are some best practices to keep in mind. These will help you stay goal-oriented and focused on projects that create value for you and your clients.
- Put your client’s needs first. The goal of any product is to meet consumer needs and wants. You should have a clear idea of what products would serve your customers and execute development plans to meet those needs.
- Leverage market research. Market research and results can tell you a lot about what consumers are looking for and which products will be most impactful.
- Be ready to manufacture the new product. There’s no sense in planning and designing a new product without the infrastructure or resources to produce it. Before moving past the FFE phase, see that your company has access to any systems required to produce and distribute the product.
- Use effective process management. New product development is like any other large-scale project—it requires detail-oriented planning and streamlined process management systems. Choose the method that best serves your team and its goals.
Streamline New Product Development with Sciforma Vantage
Finding success with a new product development process depends on a number of factors, but it all begins with the right tools. Sciforma Vantage is a powerful platform designed to take your project management processes to the next level.
From evaluating the health of project proposals to tracking timelines and resource allocation, get everything you need in one place. Leverage real-time data and reporting to make the decisions that move your company forward.
To learn more about Sciforma Vantage, request a free demo of our integrated PPM software and see how we can help realize your new product development goals.