Product Creation

About the Author

Philip H. Francis is a seasoned expert in the field of product creation and development. With a distinguished career that includes roles such as Director of Advanced Manufacturing Technology at Motorola and Chief Technology Officer at Schneider Electric, Francis brings a wealth of knowledge and practical experience to the table. Currently, he is a Managing Partner for Management Consulting at Mascon Information Technologies, where he continues to influence the industry with his insights and leadership. His extensive background in both engineering and executive management positions him as a thought leader in the realm of new product creation.

Main Idea

The book "Product Creation: The Heart of the Enterprise from Engineering to E-Commerce" by Philip H. Francis is a comprehensive guide to mastering the process of new product creation. It emphasizes that product creation is the cornerstone of enterprise success, as it directly influences profits, shareholder returns, customer satisfaction, employee opportunities, and community support. The book provides a detailed roadmap for navigating the complexities of bringing new products to market, from initial idea generation to post-launch service. Francis breaks down the process into manageable steps and offers strategies for effective execution, making this an essential read for anyone looking to excel in the competitive world of product development.

Table of Contents

1. How to Excel at Product Development
2. Manufacturing Strategy: The Other Half of Concurrent Engineering
3. Systems: Making Information Technology Work
4. Leadership: Form Follows Culture
5. Long Live the Customer!
6. Quality Really Counts!
7. Operations: You Can't Manage What You Can't Measure
8. Caveat Venditor: Beware Their Lawyers
9. Harnessing Your R&D and Emerging Technologies

How to Excel at Product Development

Excellence in product development hinges on two key factors: generating a steady flow of innovative ideas and effectively transforming those ideas into profitable products. The first step involves mobilizing new product proposals from all corners of the organization. This continuous influx of ideas should be evaluated rationally and objectively to select the best ones for development.

Business Case Justification: Each project should start with a comprehensive business plan, covering the entire product lifecycle. This involves forecasting development costs, determining the expected net present value, and assessing the internal rate of return. The team must evaluate the market potential, decide on the product's value proposition, and determine whether it will be a low-cost commodity or a high-value, high-prestige offering. Additionally, product scope and market channels, including e-business, must be considered.

"Your goal is to choose a portfolio of ideas that together give you the best possible shot at a successful business future." - Philip H. Francis

Concept Feasibility

Involving customers early in the development process is crucial. Their feedback provides valuable insights into market needs and potential product features. Concurrent engineering, which coordinates production design with the manufacturing process, is essential. This approach ensures that 80% of total production costs are locked in within the first 20% of the product's development schedule.

Product Development

This stage focuses on finalizing the product design, process, equipment, and layout needed for production. Design is increasingly important, as customers now prioritize style and uniqueness alongside function and price. Companies should also look for opportunities to protect intellectual property through patents.

Pilot and Production Startup

The final phase involves launching the product. For entirely new products, a pilot production is necessary to identify and resolve any issues before full-scale production begins.