Rapid Product Development Handbook
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About this ebook
University of Oulu Finland
Research on product management in University of Oulu focuses on developing and managing products, and services, throughout their life-cycles. Product management research group has specific interests including positioning of early product development, and division of activities into new product development, rapid product development and productisation. Research on product management analyses product development processes and relevant stakeholders at business case, business model, and business ecosystem levels. Other focus areas include active product management and product portfolio management practices over product life-cycle, competitive renewal of product portfolios by introducing new products, maintaining the products and by product removal and phase-out. In addition, the research covers accelerating product development processes, lean thinking, and agile methods. Also, product and master data management concepts, processes, tools and governance models are in focus. The research by the product management research group also involves product development related knowledge and knowledge management as a more abstract viewpoint, and product data management as a technical viewpoint. One of the latest interest areas is product development related sourcing. For the efficiency of business processes the product design principles, and Design for Excellence are integral part of the research interests. The research aims to serve companies' true needs and pursuit academic excellence by producing relevant knowledge for companies and creating high level publications and research reports. The research is realised in projects partially financed by companies.
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Rapid Product Development Handbook - University of Oulu Finland
PREFACE
Fundamentally new products are created using New Product Development (NPD) processes, which have been designed to be repeatable in order to reduce risks, cost and non-quality. However, milestone-driven NPD projects have been criticised to be too linear, too rigid and too planned for small and dynamic projects that require reacting quickly to sudden product development needs. Phases and milestones may stop the project for unnecessary long times hindering the possibilities of conducting the development rapidly. Generally, companies are facing pressures to supply new products constantly and rapidly to the market. This emphasises that the ability to react to specific customer needs through the product range is seen as a vital success factor in global competition. Nevertheless, despite the extensive research on the methods to improve the process of developing new products, limited attention has been paid to small and fast product development projects, especially in the business-to-business environment.
Rapid product development (RaDe) is a new type of agile product development model answering these challenges. The RaDe concept as such has lately been researched and developed at the University of Oulu. This handbook composes tools and concepts that have been conducted during Rapid Development I & II –research projects and have already been presented in various journal articles, doctoral dissertations and master’s theses. The target of this handbook is to provide tangible means for companies to react to urgent product development needs. First, RaDe as a product development model is presented among other product development models. Furthermore, preconditions, enablers and steps for RaDe implementation are presented with related management and teamwork practices.
1 INTRODUCTION
1.1 Rapid product development as a new product development model
Rapid product development (RaDe) is meant to supplement traditional, milestone-driven product development models. When assessing the magnitude of product development projects, RaDe is compliant with projects that are minor to medium New Product Development in broadness. In scope, rapid productisation is smaller than RaDe. In rapid productisation, customer requests are fulfilled by forming new configurations from existing sales items. In Engineering Change Management, modifications invisible to customers are made by generating new version items (Figure 1).
Figure 1. Product development models of different scales.
1) Scope of major NPD
The major NPD process can be used to create new product platforms, product families or individual products that require new technologies or otherwise differ vastly from existing products. The scope of changes in NPD can include all levels of the product portfolio on both the commercial and technical side. However, existing components or sales items can be used as parts of the developed new products. The products developed by major NPD include new sales items, and typically, changes are required for supply chain (SC), sales, marketing and care services. Major NPD has the longest lead times among product development models. Lead-times up to several years are typical in complex projects (Figure 2).
As an example, a chainsaw manufacturer can use major NPD when developing a completely new chainsaw, which