The New Product Development Pipeline

In sum, new products and new projects go through a screening process that can be characterized as a pipeline, with funded, high-priority projects coming out of the pipeline for prioritization, funding, detailed project planning, and kickoff.

Figure 2-3 shows a graphic representing the pipeline new products go through as they are generated, analyzed, and selected. Concepts and ideas are generated

Business Plan Strategies Mission Vision

Corporate Budgeting Process. Funding Levels with Relative Importance of Each Strategy Objective.

Project Plan Goals/Obj Deliver SOW WBS/Schedule

Budget Risk Assessment Team Charter Implement

Year 3

Close Out

Year 4

Corporate Budgeting Process. Funding Levels with Relative Importance of Each Strategy Objective.

Year 3

Close Out

Year 4

Make Required Decision for Maximum Commercial Value (Decision Tree)

Do Risk Audit (Royer) During Project

Gateway

Plans Candidate Projects

Concepts

Ideas Ideation

Make Required Decision for Maximum Commercial Value (Decision Tree)

Do Risk Audit (Royer) During Project

Gateway

Select

Alignment (Weighed Score Model)

Priorities Financial Performance Tools: Rate of Return, Ash Flow (Npv), Risk (Project Level)

Budget - Funding (Capital Rationing) - Take Funding Levels and Prioritize Projects. Fund From Top Down Until Money Runs Out.

Figure 2-3 New product pipeline.

and aligned with strategy and plans, then proceed through an initial gateway, a go or no-go point. Projects are ranked using a composite index reflecting financial performance projections, alignment with strategy, and risk. The company funds the projects based on the process explained above. Selected projects are then defined and implemented.

Better Business Planning

Better Business Planning

A business plan is an essential document for anyone commencing a new business, already in business and critical for anyone seeking funding from a venture capitalist. The business plan needs to be comprehensive, well thought and should contain sound business reasons. You can get all the info you need here.

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