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NEW PRODUCTS MANAGEMENT Merle Crawford Anthony Di Benedetto

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Presentation on theme: "NEW PRODUCTS MANAGEMENT Merle Crawford Anthony Di Benedetto"— Presentation transcript:

1 NEW PRODUCTS MANAGEMENT Merle Crawford Anthony Di Benedetto
10th Edition McGraw-Hill/Irwin Copyright © 2011 by The McGraw-Hill Companies, Inc. All rights reserved.

2 Chapter 07 Analytical Attribute Approaches: Trade-Off Analysis and Qualitative Techniques
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3 Trade-Off (Conjoint) Analysis
Put the determinant attributes together in combinations or sets. Respondents rank these sets in order of preference. Conjoint analysis finds the optimal levels of each attribute. 7-3

4 Conjoint Analysis Input: Salsa Example
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5 Conjoint Analysis: Graphical Output
7-5

6 Conjoint Analysis: Relative Importance of Attributes
% Spiciness Thickness Color 59.8% 34.6% 5.6% 7-6

7 Conjoint Analysis for More Complex Problems
The above example was a full-profile conjoint analysis (all possible combinations were included). For larger problems, a fractional factorial design may be used (not every combination is included, but a subset of the combinations in which each level and each attribute is used at least a few times). Rankings and results are similar to the full-profile analysis. More advanced methods are needed for very complex problems, and also to handle interactions among attributes. 7-7

8 Commercially Available Conjoint Methods
Advanced conjoint analysis methods available commercially include: Adaptive conjoint analysis (respondent judges the importances of the attributes, then responds to options that focus on the most important attributes and levels). Choice-based conjoint analysis (the respondent is shown several choices in combination and asked which is preferred) Both of these procedures reduce the number of attributes to which the respondent is exposed. 7-8

9 Some Qualitative Attribute Analysis Techniques
Dimensional Analysis Checklists Relationships Analysis There are many others. 7-9

10 A Dimensional Attribute List
Weight Rust resistance Length Color Water resistance Materials Style Durability Shock resistance Heat tolerance Explosiveness Flammability Aroma Translucence Buoyancy Hangability Rechargeability Flexibility Malleability Compressibility 7-10

11 An Idea Stimulator Checklist for Industrial Products
Can we change the physical/chemical properties of the material? Are each of the functions really necessary? Can we construct a new model of this? Can we change the form of power to make it work better? Can standard components be substituted? What if the order of the process were changed? How might it be made more compact? What if it were heat-treated/hardened/cured/plated? Who else could use this operation or its output? Has every step been computerized as much as possible? 7-11

12 Templates for Creativity
Attribute Dependency: Find a functional dependency between two attributes. Ex.: color of ink on coffee cup is sensitive to heat and can reveal message if coffee is too hot. Replacement: Remove a component and replace with one from another environment. Ex.: antenna is replaced by headphone cord on Walkman. Displacement: Remove a component and its function to change the product. Ex.: Removing floppy drives resulted in ultra-thin PCs. Component Control: Find a new connection between a component internal to the product and one external to the product. Ex.: Toothpastes with whiteners, suntan lotions with skin moisturizers. Source: Jacob Goldenberg and David Mazursky, Creativity in Product Innovation, Cambridge University Press, 2002. 7-12

13 Relationships Analysis
Force combinations of dimensions (features, functions, and benefits) together. Techniques: Two-dimensional matrix Multidimensional (morphological) matrix Two-dimensional example: person/animal insured and event insured against. Household cleaning products example used six dimensions: Instrument used, ingredients used, objects cleaned, type of container, substances removed, texture or form of cleaner 7-13

14 Another Form of Dimensional Analysis
Two key dimensions for winning new product ideas: Utility lever: How the product will affect the customer’s life (such as simplicity, fun/image, environmental friendliness, reduced risk, convenience, and productivity). Buyer’s experience cycle: The stage when/where the product will affect the customer (purchase, delivery, use, supplements, maintenance, disposal). Source: W. C. Kim and R. Mauborgne, “Knowing a Winning Business Idea When You See One,” Harvard Business Review, Sept.-Oct. 2000, pp 7-14

15 Morphological Matrix: New Coffee Maker
Heating: Heating element in pot Open flame under pot Microwave unit Adding Coffee: By spoon Built-in measuring cap Automatic feed Filtering: Filtering paper Porous ceramic filter Centrifuge method Keeping Coffee Warm: Thermal insulating technology Warming unit in put External heat source Pouring Coffee: Valve under pot Pump in lid of pot Espresso-like jets 7-15

16 Other Methods: Lateral Search Techniques
Free association Stereotype activity Lateral thinking -- avoidance Creative stimuli words Studying “big winners” Use of the ridiculous Forced relationships 7-16

17 Lateral Thinking — Avoidance
Keep an idea from dominating thinking as it always has in the past by asking avoiding questions. Ask “Is there another way of looking at this?” Ask “Why?” Focus on an aspect of the problem other than the “logical” one. List all possible alternatives to every aspect of the analysis. Break apart aspects (concepts) of the problem, or combine them to create even more concepts. 7-17

18 Some Creative Stimuli Words
Guest stars Alphabet Truth Outer space Charity His and hers Style Nation Family Videotape Photography Testimonials Decorate Fantasy Hobbies Holidays Weather Calendar Push button Snob appeal 7-18

19 Use of the Ridiculous How can you join two wires together?
Hold them with your teeth. Use chewing gum. Can you think of others? Do any of these ridiculous ideas suggest a not-so-ridiculous solution? 7-19


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