5. Industrial Context of NPDI Over 30.000 products introduced annually costing the industry over $60 billion a year , do not bring the expected outcome Average 15 months to launch a new product, and up to 80% of new products fail
Let ‘ s look at the customer pain point and the motivation for using BPM to streamline the process for bringing new products to market faster. Over 30.000 products introduced annually Costing the industry over $60 billion a year, do not bring the expected outcome.
Let ’s take a look at the wave chart that shows the use of applications over the lifecycle of a new product. While PLM manages all data and information of the product lifecycle, NPDI is focused on the innovation, product development and commercialization process. NPDI are all processes and capabilities needed from the first idea of a product to the market launch of the new product. The art of NPDI is to achieve an efficient and successful process for each new product balanced with the mature business. Speed, efficiency, and flexibility of these processes are key.
The perfect process for bringing new products to market allows companies to respond quickly and effectively to market opportunities It starts when a new opportunity is identified and is not completed until the product is successfully reaching customers It embraces almost all functions in the company and many of the companies external partners And it must be closely managed to ensure that both the needs of the customer and the business are met The process is so critical that, if badly executed, nothing will be able to make up for it And yet, despite this, we find wide-spread problems with the NPDI process
Key points to talk about Process flows through 100’s of people in multiple countries…a strong case for people orchestration across countries and departments Multiple points where the process gets stuck up due to people
Let ‘ s have a look at the issues with the process today and how using SAP NetWeaver BPM and SAP Portfolio and Project Management can streamline the process. Without BPM coordinating activities and capturing the information for a decision point (phase gate meeting) is mostly manual. Whereas with the support of BPM the process is actively managed so that decisions, tasks and deadlines are controlled.
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BPM is the foundation of a successful strategy for Integrating an MDM hub to other data source and target systems and integrating different people & departments into collaborative end-to-end processes.