Red7 NPD and Project Management Life Cycle Models Overview

Red7 :|: product management
ACCELERATING
INNOVATION
Overview and discussion of NPD and project
management life cycle models

Robert Grupe, CISSP CSSLP PE PMP
2012-03-10

© Copyright 2008-2012 Robert Grupe. All rights reserved.

Introduction
An overview and discussion of integrated new product
development and project life cycle models for best
practice approaches to successful innovation and
accelerated time to market.


Agenda
• Clarification of PM Terminology
• Strategically Focused PM
• NPD vs. Project Management
• Models
• Waterfall Models
• Iterative Models
• Agile Approaches
• Discussion
• Roundup


CLARIFICATION OF
TERMINOLOGY
Product Management
Project Management
Program Management


Terminology:
Product Management
• Planning and marketing of a product or products at all stages of the product
lifecycle.
• Product strategy & planning (in-bound / strategic marketing)
Product Manager (PM)
• Defining new products
• Gathering market requirements (VoC)
• Building product roadmaps
• Product Life Cycle considerations
• Stages: introduction, growth, mature, saturation/decline
• Competitive differentiation
• Product marketing (outbound / tactical marketing)
Product Marketing Manager (PMM)
• Product positioning and outbound messaging
• Promotion: press, customers, and partners
• Packaging and delivery
• Competition messaging monitoring


Terminology:
Project Management
• Project Planning
Project Manager (PjM)
• Achieve all of the goals of the project charter while
adhering to
• Project constraints: scope, time, cost and quality.
• Project management life cycle
• 5 Process Groups:
• Project Initiation, Project Planning, Project Execution, Project monitoring
and control, and Project closeout.
• 9 Knowledge Areas:
• integration management, scope management, time management, cost
management, quality management, human resource
management, communications management, risk management and
procurement management.


Terminology: Program Management
[& Product Portfolio Management]
• Layer above project management focusing on selecting the best group of programs [and products]
defining them in terms of their constituent projects and providing an infrastructure where projects
can be run successfully
• Governance: The structure, process, and procedure to control operations and changes to
performance objectives.
• Standards: Define the performance architecture.
• Alignment: The program must support higher level vision, goals and objectives.
• Assurance: Verify and validate the program, ensuring adherence to standards and alignment with
the vision.
• Management: Ensure there are regular reviews, there is accountability, and that management of
projects, stakeholders and suppliers is in place.
• Integration: Optimize performance across the program value chain, functionally and technically.
• Finances: Tracking of finances is an important part of Program management and basic costs
together with wider costs of administering the program are all tracked.
• Infrastructure: Allocation of resources influences the cost and success of the program.
Infrastructure might cover offices, version control, and IT. Planning: Develop the plan bringing
together the information on projects, resources, timescales, monitoring and control.
• Improvement: Continuously assess performance; research and develop new capabilities; and
systemically apply learning and knowledge to the program.


Why is this important?
• Without clearly defined and integrated
• product management,
• product marketing, and
• project management,
• innovation will be
• haphazard,
• chaotic, and
• un-scalable
• with complexity and growth.
• You can’t improve or accelerate what you can’t
understand or control.
• Putting random people on a galley ship won’t ensure you will get
where you want to go or make it go faster.


Forrester Research: Most PM’s not being
used effectively
• Distracting challenges

Customers
Product and and market Internal
company 8%
process and
strategy organization
10% 28%
Development
process
16%
Time and
resources
Prioritization 22%
and Focus
16%


Forrester Recommendation:
PM for Strategic Advantage
• Focused on inbound tasks
• PM decision-making power
• Roadmap, release contents, release acceptance
• Report to CEO/GM


NEW PRODUCT
DEVELOPMENT (NPD)
& PROJECT LIFE CYCLE
MODELS


Code & Fix [AKA Cowboy Coding]

System
Specification Release
(maybe) Code-and-Fix
(maybe)


Traditional NPD Process
Stage-Gate Process

Business Test /
Discovery Scoping Case Development Validation Launch Review

Stage Stage Stage Stage Stage
1 2 3 4 5

Gate Gate Gate Gate Gate
1 2 3 4 5
Idea Second Go To Go To Go To
Screen Screen Dev Test Launch


Traditional Project Management
Waterfall Model
Product
Concept

Requirements
Analysis

Architectural
Design

Detailed
Design

Coding and
Debuging

System
Testing


Waterfall with Risk Reduction
Product
Concept

Requirements
Analysis

Architectural
Design

Detailed
Design

Coding and
Debuging

System
Testing


Waterfall with Subprojects
Product
Concept

Requirements
Analysis

Detailed
Architectural Design
Design

Coding and
Debuging
Detailed
Design
Subsystem
Testing
Coding and
Debuging
Detailed
Design
Subsystem
Testing
Coding and
Detailed Debuging
Design
Subsystem
Coding and Testing
Debuging System
Testing
Subsystem
Testing


Waterfall with Overlapping Phases
[Sashimi]
Product
Concept

Requirements
Analysis

Architectural
Design

Detailed
Design

Coding and
Debuging

System
Testing


Design-to-Schedule
Product
Concept

Requirements
Analysis

Architectural
Design

High Priority: Detailed design, code, debug, test

Medium High Priority: Detailed design, code, debug, test

Run out of time or
Medium Priority: Detailed design, code, debug, test Release
money here

Medium Low Priority: Detailed design, code, debug, test

Low Priority: Detailed design, code, debug, test


Design-to-Tools Functionality supported by
the tools

Functionality that will
not be in the product

Functionality that will be
built

Ideal functionality


ITERATIVE PROJECT
MANAGEMENT MODELS


Spiral [Boehm]

Repeat as required

1. Determine 4. Develop 6.
objectives, 2. Identify and 3. Evaluate iteration 5. Plan the next Commit to an
alternatives, resolve risks alternatives deliverables and iteration approach for next
constraints verify correct iteration


Evolutionary Prototyping
No

Design and
Complete
Initial implement Refine Customer
and
concept initial prototype acceptable?
release
prototype


Staged Delivery
[AKA Incremental Implementation]
Product
Concept

Requirements
Analysis

Architectural
Design

Stage 1: Detailed design, code, debug, test, delivery

Stage 2: Detailed design, code, debug, test, delivery

Stage n: Detailed design, code, debug, test, delivery


Evolutionary Delivery
Product
Concept

Preliminary
Requirements
Analysis

Architectural Deliver Final
Design and Version
System Core

Develop a Version

Incorporate
Delivery the
Customer
Version
Feedback

Elicit Customer
Feedback


AGILE PROJECT
MANAGEMENT
“There is nothing new under the sun but there are lots
of old things we don't know.”
Ambrose Bierce


Agile Principles [2001]
• Customer satisfaction by rapid, continuous delivery of useful software
• Working software is delivered frequently (weeks rather than months)
• Working software is the principal measure of progress
• Even late changes in requirements are welcomed
• Close, daily cooperation between business people and developers
• Face-to-face conversation is the best form of communication (Co-location)
• Projects are built around motivated individuals, who should be trusted
• Continuous attention to technical excellence and good design
• Simplicity
• Self-organizing teams
• Regular adaptation to changing circumstances


Agile Characteristics
• Time periods in weeks rather than months
• time period as a strict timebox.
• Work is performed in a highly collaborative manner.
• If the sponsors of the project are concerned about
completing certain goals with a defined timeline or budget,
agile may not be appropriate.


Agile Methodologies [Partial List]
• Agile Unified Process (AUP)
• Simplified IBM Rational Unified Process (RUP)
• Extreme programming (XP)
• Feature Driven Development (FDD)
• Kanban
• Scrum
• “Pig” Roles
• Product owner (VOC - Product Manager)
• ScrumMaster (Project Manager)
• Team (Developers)
• “Chicken” Roles
• Users
• Stakeholders (customers, vendors)
• Managers

Scrum Agile Project Management

PLC Phase 1:
Concept
Initial Preliminary Charter Stakeholders &
Backlog Roadmap Team/Project Team Members

Approval

Project Release Planning Re-Prioritize
Kickoff - User Stories & success metrics

Scoping - Launch
- Complexity estimates Backlog

PLC Phase 2+:
- Number Sprints for this release

Sprint Planning Sprint Sprint
- Goal tasks selection Sprint
-Task details Review Retrospectiv
- SME’s and resources
e


Adaptive [Agile] vs
Predictive [Plan-driven]
Strengths of each:
• Adaptive • Predictive
• Low criticality • High criticality
• Senior developers • Junior developers
• Requirements change • Requirements don't
very often change too often
• Small number of • Large number of
developers developers
• Culture that thrives on • Culture that demands
chaos order


Model Selection Criteria
• How well do my customer and we understand the requirements at the beginning of the
project? Is our understanding likely to change significantly as we move through the
project?
• How well do we understand the system architecture? Are we likely to need to make
major architectural changes midway through the project?
• How much reliable do we need?
• How much do we need to plan ahead and design ahead during this project for future
versions?
• How much risk does the project entail?
• Are we constrained by a predefined schedule?
• Do we need to be able to make midcourse corrections?
• Do we need to provide customers with visible progress throughout the project?
• Do we need to provide management with visible progress throughout the project?
• How much sophistication do we need to use this lifecycle model successfully?


Project Management Models:
Strengths and Weaknesses
Commercial
Pure Code-and- Modified Evolutionary Staged Evolutionary Design-to- Design- Off-the-shelf
Model Capacity Waterfall Fix Spiral Waterfall Prototyping Delivery Delivery schedule to-tools soft ware
Works with poorly
Fair to Fair to
understood Poor Poor Excellent Excellent Poor Poor to fair Fair Excellent
excellent excellent
requirements
Works with poorly
Fair to Poor to
understood Poor Poor Excellent Poor to fair Poor Poor Poor Poor to excellent
excellent excellent
architecture
Produces highly Fair to Poor to
Excellent Poor Excellent Excellent Fair Excellent Fair Poor to excellent
reliable system excellent excellent
Produces system with Poor to Fair to
Excellent Excellent Excellent Excellent Excellent Excellent Poor N/A
large growth envelop fair excellent
Manages risks Fair to Poor to
Poor Poor Excellent Fair Fair Fair Fair N/A
excellent fair
Can be constrained to
predetermined Fair Poor Fair Fair Poor Fair Fair Excellent Excellent Excellent
schedule
Has low overhead Fair to
Poor Excellent Fair Excellent Fair Fair Fair Fair Excellent
excellent
Allows for midcourse Poor to Fair to
Poor Fair Fair Excellent Poor Poor to fair Excellent Poor
corrections excellent excellent
Provides customers
Poor Fair Excellent Fair Excellent Fair Excellent Fair Excellent N/A
with progress visibility
Provides management Fair to
Fair Poor Excellent Fair Excellent Excellent Excellent Excellent N/A
with progress visibility excellent
Requires little manager
Poor to
or developer Fair Excellent Poor Poor Fair Fair Poor Fair Fair
fair
sophistication


Accelerating the NPD Life Cycle Model

Ideaisation Go:No-Go

Scoping Go:No-Go

Planning Go:No-Go

Development Go:No-Go

Testing Go:No-Go

Launch Go:No-Go

Maintenance

Retirement
Project Lifecycle Framework EOL


DISCUSSION


TAKE AWAY
RECOMMENDATIONS
“For which of you, desiring to build a tower, doesn't first
sit down and count the cost, to see if he has enough to
complete it?”
Jesus


Take Aways for
Accelerating Innovation
• Ready-Aim-Fire
• Haste makes waste (penny wise, pound foolish)
• Choosing the wrong models will result in unfulfilled expectations
and delays


Take Aways for
Accelerating Innovation: Ready
• Recognizing the difference between
• product management,
• marketing, and
• project management
• Having a well defined NPD process
• Not standardizing on only one project model
• Having a positive teamwork environment,
inspirational leadership, focused vision, and
necessary skills


Take Aways for
Accelerating Innovation: Aim
• Ensuring up-front homework done first
• Ensuring the resources(staff) & time to do it right
• Verifying available resource costs (people and time)
• Selecting the most appropriate project model
• Taking the time to do the planning right


Take Aways for
Accelerating Innovation: Fire
• Being flexible within parameters
• Regular review of processes and methods
• Regular, frequent review of new ideas and market
information


Fini
• Robert Grupe
• robert.grupe@red7managementsolutions.com
• +1.314.236.8434
• Further reading
• Forrester “Making Product Management A Strategic
Resource”
• Winning at New Products, Robert G Cooper
• Rapid Development, Steve McConnell
• PDMA Visions magazine, Jun & Sept 2008


Red7 NPD and Project Management Life Cycle Models Overview

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