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5-Product Development Process

Here are some key points in response to the learning activities: 1. Outsourcing involves contracting work to an outside supplier rather than doing it internally. Advantages include access to specialized expertise and equipment. Drawbacks include loss of control and proprietary information. 2. Common misconceptions include that development is quick/easy, customers know what they want, and one "big idea" is enough. In reality development takes time/iteration, customers don't always know preferences, and execution is key. 3. New products often fail due to poor market research, not meeting a real need, inadequate differentiation, production/quality issues, ineffective marketing/promotion, or being too costly. Understanding customers and executing well across development phases improves

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20 views

5-Product Development Process

Here are some key points in response to the learning activities: 1. Outsourcing involves contracting work to an outside supplier rather than doing it internally. Advantages include access to specialized expertise and equipment. Drawbacks include loss of control and proprietary information. 2. Common misconceptions include that development is quick/easy, customers know what they want, and one "big idea" is enough. In reality development takes time/iteration, customers don't always know preferences, and execution is key. 3. New products often fail due to poor market research, not meeting a real need, inadequate differentiation, production/quality issues, ineffective marketing/promotion, or being too costly. Understanding customers and executing well across development phases improves

Uploaded by

gohv588
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PPT, PDF, TXT or read online on Scribd
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Product development process

Learning outcome
• Explain product development process.
How does a new product get created?
The experts
Technology & Quality
Packaging Marketing
Engineering/Process Engineering Marketing Research
Food Defense Sales
Food Safety
Research & Development
Sensory Evaluation
Microbiology
Regulatory Compliance
Manufacturing
Operations
Nutrition
Logistics
Procurement
Supply Chain
Quality Control
Legal Affairs

© 2007 Institute of Food Technologists 4


Introduction
• Published literature suggests that the product
development process can be divided into different
stages or phases ranging from a 3-stage process to an
11-stage process.
• The goal of the new product development process is to
bring a new product to marketplace with the least
amount of uncertainty.
• When each stage or phase successfully passes the
management decision from the company and moves
forward, the probability of a successful product in the
marketplace will be much increased.
Start:
Strategic Plan PRODUCT
Phase I: Market Opportunity
DEVELOPMENT
Product Assessment MILESTONES
Definition
Product Definition
(New Idea)
Prototype
Development

Consumer
Phase II: Testing
Product
Prototype
Implementation
Modifications
Scale-up and
Trial Production
Phase III:
Product Finish:
Introduction © 2007 Institute of Food PRODUCT LAUNCH
6
Technologists
Project phases
Screening

1. Idea generation

2. Prototype development

3. Technology screening

4. Consumer feedback
Screening

Consumer feedback

At the screening stage, what type of

consumer research is the most suitable?


Idea generation

• New product ideas may also come from both


internal and external sources.
• The internal sources include the R&D
department, consumer service, and sales
department of the company.
• However, the external sources may include
professional conferences, libraries, government
publications, patents, and trade literature.
Back
Prototype Development
– After the concept has been narrowed
down, a product development scientist
will work in the lab to develop one or
more prototypes
– The scientist will usually set up an
experimental design to vary ingredients
at defined intervals to see their effect on
overall liking, flavor, texture, and color
Back
Feasibility

Technology assessment

Manufacturing scenarios

Financial evaluation

Risk analysis
Feasibility
• Manufacture scenario:

How do you decide where to manufacture


your products?
Feasibility
• Financial evaluation:

What are the possible expenses during


manufacture of your products?
Development

Technical plan O !
O D
Formulation
T T
Food engineeringA L
O
I S
R E
Product/process/packaging interactions
H E
T
Shelf-life studies
Tolerance testing
Documentation
Food engineering
• Scale-up and Trial
– Once a final formula has been chosen, the product
development scientist will need to go to the plant and
“scale-up” the formula
– This means they will take the formula from the bench-
top (small batch process that makes a few servings)
to the plant (large batch process that makes
thousands of servings)
– The product development scientist will be sure it runs
properly on the equipment and that the processing
parameters are correct (e.g. was the mixing time
sufficient to properly mix all of the ingredients?)

Back
Shelf-life studies
• Shelf life is defined as the time when a
food product no longer maintains the
expected quality to the consumer.
• Shelf life and product quality are highly
related.
• The criteria for shelf life testing can be
based on the decline of microbial,
nutritional, or sensory quality.

Back
Commercialization

Start-up
Confirmatory shelf-life study
Quality approval
Keylines
Store audits
Maintenance

Product quality improvement


Profit improvement
Careers in Product Development
• Job Titles: • Responsibilities:
– Product Development Scientist – Bench-top development
– Scientist – Testing
• Employers: – Plant scale-up
– Food processors – Commercialization
– Ingredient – Troubleshooting
manufacturers/suppliers
– Academia (Higher Education)
– Contract research
laboratories/development firms
– Self-employed/Consultant

20
Learning activity
• What is OUTSOURCING and what are
some of the advantages and drawbacks of
using it?

• What are the common Misconceptions of


new product development?

• Why would a new product fail?

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