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New Product Development

New Product Development & Customer Involvement - 15000 words

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Page 1: New Product Development & Customer Involvement - 15000 words

New Product Development

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Table Of Content

Aim......................................................................................................................................4

Objectives.........................................................................................................................4

Executive Summary.......................................................................................................4

Introduction......................................................................................................................7

Background of the study............................................................................................12

Review of the Literature..............................................................................................14

Customer Involvement............................................................................................14

New Product Development.....................................................................................16

Integration of Customers with New Product Development...........................20

Rationale.........................................................................................................................24

ANALYSIS.......................................................................................................................26

Research Methodology...........................................................................................26

Why Research Method Is Important?..................................................................35

DATA ANALYSIS AND INTERPRETATION.............................................................37

ANNEXURE 1..................................................................................................................43

ANNEXURE 2..................................................................................................................49

Effective Customer Involvement with New Product Development..................52

Recommendations........................................................................................................55

Conclusion......................................................................................................................56

References......................................................................................................................57

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Aim

Aim of the paper is to bring forward the effectiveness on the product design and

development when customers are involved in the process. Customers are

regarded as the king of the market. It is very important to understand their need

and demands so that the right kind of product can be designed. Without need, no

product can survive in market.

Objectives

The objective of the paper is to evaluate the importance of the customers in the

designing phase of the new product. The effect of the customer requirement and

demands on the new product development process has to be analyzed deeply

and this is what this paper will try and contribute to. Different literature works on

the field will be put forward for the help of the research and also to bring out

some required and relevant data from each source in brief. Through this paper a

deep study will be performed on the topic with research methodology to gain

maximum information on the effect of customers on the design and development

of new product. Recommendations and conclusion is will be drafted in the end of

the paper for people who are involved in the process.

The quality of the paper involves:

Knowing the New Product Development Process

Knowing the PM Methods used during NPD and

Deriving the time of involvement of PM role i.e., starting and ending

Comparing the results with that of the earlier one from the literature

reviews

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Executive Summary

As a summary of what this paper will entail, there is an introduction section that

gives an outline of what new product development means and how customer

involvement can help in achieving success with their new products from the best

strategies. The background will give the reasons why the researcher thinks this

is an important area for research and why there is need to add to the body of

knowledge when it comes to effective customer involvement with New product

Design and development.

The researcher will also try to examine as many of the available literature of the

topic of interests and all of these information will be found under the literature

review section. These literature sources will be beneficial in further knowledge

on the subject of the paper. These sources can be used for future reference on

the topic. Research presented on this paper would be based on case study

findings which will be analyzed and presented on the findings section. This is a

multi-paradigm research and will therefore make use of the multi-paradigm

principles.

This paper will add to the social environment as an educational source and will

also it will contribute to the organizational environmental and behavioral

practices. The paper aims to bring in some changes that are helpful for the

organization. The organization’s managers, especially product manager will

benefit a lot from this paper. Through this paper they will not only understand

the importance of customers with various stages of product development but

they will also learn how to implement it and how to make their involvement

strategies effective. There are various literature resources that will be discussed

in the paper that will put more light on the customer involvement and new

product development separately and also some of the resources of work on

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integration of the both will be discussed. All this is for making the managers and

the organization understand the benefits of the integration process.

Apart from the professionals, this will also act as a useful source of study for the

students who are studying management. Better understanding of the

management and management skills in the field of new product design,

development, management etc. is being put forward through this paper. This

paper will contain all that they will need to have a successful system where the

new product development involves market analysis and will help in attaining the

goals and the objectives through the product.

Management can gain a lot from such a study as it presents the benefits of

using multi-paradigms for effective product management. There is also a

methodology section which will describe how the researcher intends to carry out

this research. The research will be in a systematic manner so that each step is

carefully understood for in depth understanding of significance of the integration

of new product development with customer involvement. The benefits of

exploring both paradigms by the management come as the last section in

concluding this research.

It has been tried best to complete the paper with all perspective so that the aim

and the purpose is solved in best possible way.

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Introduction

Relationship marketing with the customers has many phases. It helps in building

long term relationships with the customers and extends interaction and

communication beyond sales, promotion and advertising. It helps in nurturing the

customers with respect to the organization for purpose of sales, clients and

loyalty. (Holmes, 1999) With advancement in technology and websites and other

internet channels, customer relationship marketing has gone to different level.

The interaction and communication because of this channel has not only become

easy but also organizations can now have effective management with some

useful information and suggestions. During the whole process of new product

development, there is involvement of customers and requirement of customer’s

ideas and review at different stages. Adaptation of relationship marketing is very

important here with new product development because at it allows direct

response marketing campaigns that emphasize the retention & satisfaction of

customers rather than dominating the focus on the sales figures and strategies.

There have been arguments by different researchers where some say that

customer involvement will play a fundamental role in generation of ideas for the

development of the new product while others say that it will only lead to ideas

and will bring across suggestions that are unimaginative, impractical and will

result in only imitative products. However, it is clear now that the utility of the

customers for the purpose of generating ideas depends on the maturity and the

characteristics of the targeted customers and also the technology and also the

alignment of the product line along the customer base has some great effect.

(Christensen, 1997; Leonard-Barton, 1995) When all these dimensions are really

high, what we have in the end is a product that has excellent innovation, high

dimensions and good quality. However, if these dimensions are low due to some

reasons, the value of the resources is limited with respect to the customers.

However, it has been seen that when there have been not high, rather only

promising resources, customer involvement has played a passive role and what

is achieved in the end is an acceptable product. Customers rarely give in the

ideas and suggestions for the new product till the organizations approach them

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with structured mechanism of inquiry. This helps in rich and frequent contribution

from consume side. Technology is the sector where the customers have

maximum involvement in the new product development. The issues and

problems faced by the users require solutions and these solutions lead to

generation of new product ideas. (Von Hippel, 1988).

Customers can also play a valuable role of co-creators with the new product.

This will involve participation of customers from activities like product design to

product development. Schneider and Bowen (1995) state that promising

incentives for the customers can motivate them to come forward and participate

in the development of new product that has been targeted for the customers with

same mind-set or group. This would further increase control, more opportunities

and discretion in order to make choices and will result in even more product

customization. There are a lot many things a customer can contribute towards

the design of the product. However, it is more practical with industrial products

rather than consumer products.

Customers are important even during product support and testing. Testing of new

products with the customers is nothing that is recent. This has been ever since

the new products innovations have been made. This has been used in all kinds

of industries or sectors that bring out products for customers. This facilitates in

reducing the cost of redesign as customers who are supposed to use it can

easily detect faults. The more the number and type of people involved, more

would the organization be aware of the kind and level of usage by the customers.

This will further deepen the understanding of the product from the side of the

firm. (Nonaka, Takeuchi, 1995)

The tough competition and more open market have resurrected the interest of

practitioners and academic scholars towards new product development that

involves interaction and review from customers at each phase. There has been a

lot of development in both the fields; however, not much is available on the

interaction of the customers during development of new product which would be

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helpful in successful development of the project. There are some of the topics

that have to be focused on and they are given below: (Nandler, 1997)

1. intensity of interaction of customer in each phase or stage of development

of new product

2. the characteristics of the customers that are involved

New Product Development is an essential and important thing for all kinds of

businesses as the consumers demand for the Newest and the best things, thus

creating many new projects.

Businesses develop new products all the time but what determines how the

products perform is the involved and demand from the customer side for them.

New product development (NPD) does not just entail creating a new product and

launching it into the market but involves a lot of research as well to identify

whether the consumers will find it useful. (Smith and Blanck, 2002)

The steps should be systematic for effective results. (Ulrich and Eppinger, 2004)

The generation of the idea is the first phase. The idea has to be

evaluated and analyzed using SWOT analysis and opportunity analysis.

Idea is screened to eliminate all those ideas that are not practice or

realistic and would waste a lot of resources if one tries to achieve them.

The market analysis is done with the rough idea of the project. The

market scope, the customer requirement, etc. will define the success of

the product and therefore market study for the acceptance of the

product is very important. Customers and market are the ones that

define the growth of any product.(Mills, 1986)

The team of people assigned for the design of new product has to then

develop the concept and train the required people for the purpose.

Next is to evaluate the business and its perspectives. The competition,

price, resources available, etc. have to be analyzed.

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Mock testing of the product with beta and market testing is done prior

the processing of the product to analyze the success rate of the product

after launch.

The technical implementation of the product is tested and required

planning is done

After technical implementation comes the turn of commercialization that

is launch, advertisement, etc.

Competition, alternative products, etc. are evaluated to fix the price of

the product.

These are few phases of development of new product. However, most important

phase is which involves interaction with the potential customers. Various

interviews, market research, documentation has to be done in order to see the

demand and scope of the new product in market. The development is not

brought into practice till the design is approved by the customers. (Jay, Adam,

2000)

Tables below will a better picture of roles of customers in the development of

new product.

Table: Roles of Customers in NPD

Role of the

customer

NPD Phase Managerial Challenges/ Key Issues

Resource Ideation Customers as the source of

useful information for product

development

Innovation from customers

Requirement of various

incentives for the customers

Infrastructure for purpose of

capturing the customer

knowledge and idea

Different roles of current and

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future customers

Co-creator Design &

Development

Involvement with various design

and development tasks

Nature of the product

development context i.e.

consumer or industrial

Internal NPD team needs tighter

coupling

Managing the uncertainties

enhancing knowledge of the

customer in terms of technology

and product with the attendant of

the project

User Product testing

and support

activities are time bound

diversity in customers is must

activities should be continuous

infrastructure for supporting

interaction between customers

The table shows the role of the customer in different departments of the new

product development. There are various benefits that integration of the two

departments will help with and this paper will try to educate on them. The

competitive advantage that the customer involvement gives is crucial for the new

product. The commitment and loyalty comes when the product is designed with

customers as innovators. The cost of redesign, innovation team, etc. can be

saved using the customers for the purpose. (Alavi, 2000)The product is being

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designed for their use and ease so it is must to know what are their expectations

and demands and where they need services of the product. The literature survey

has been done so that the advantages and significance of the both are further

clear.

Background of the study

What has been the main drive for the researcher to want to study this topic is

the fact that there are little or no literature resources on effective involvement of

customers with new product development phases and especially with regard to

new product design. There is need to link new product management to

customers which many managers have failed to do. The output of such an

approach is however limited although most managers seem to be content with

what they get (Cooper and Edgget, 2008). The disconnection between these

two paradigms even in academic work has contributed to such an approach

being taken by the decision makers. Fixing the lost link between the two is

important but there seems to be less literature on the issue. Some authors have

tried to come up with research but not so close as to the main topic of interest.

(Sproull, Kiesler, 1991)

One important purpose of integrating these two paradigms is improved and

more mature product designs to better meet customer needs, competitive price,

proper timing and minimal disruptive design changes (Kenneth Crow, 1996).

Managing a project well is always a core component of the business strategy

and the NPD should seek to go hand in hand with the business strategy

approach and customer voice and demand. Managers should know that the

products they intend to present into the market will have to pass through the

developing a project plan phase which will include the goals, objectives and

resource requirement such as time and money with targeted audience.

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Basically, this is what NPD also entails hence the two cannot be set apart when

coming up with new products. (Morris)

Taking the matter further in depth, NPD and consumers will be working hand in

hand in globalize organizations these days. The development of any new

product is not an easy task. The product has to pass through various

departments and phases. But before its introduction to the market, it has to be

designed and that is a phase that is completely dependent on customers in

market.(Barnard, Wallace, 1998)

When managers take into consideration all the important aspect of product

formation, there is bound to be success of not just the product but the company

as. (Koen, 2004)The study therefore hopes that at the end, the findings will

have made an effort towards trying to fill the gap that has been created over a

long period of time between the two phases.

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Review of the Literature

For the purpose of understanding all the areas that the study seeks to examine,

the literature review section will be divided into three parts. For the first part, you

can find all that the researcher considers important for this particular study in

terms of effective customer involvement with the product design and

development. Most of the literature on new product development will be

handled second as a way of introducing the important aspects of the study and

here, the research will try to examine what is the main area of concern for most

authors of this topic. The purpose of this section is to establish whether there is

any research that has been done on integrating the two and what issues have

been covered. Therefore, the last section will be related to the integration of the

customer with the new product development.

Customer Involvement

A strategy that doesn’t explicitly speak about the customers and competitive

environment should be prepared for the failure as the sustained competitive and

customer conscious is missing in the organization. These are the words said by

Regis McKenna in his book called Relationship Marketing: For Age of the

Customers. The book is old, written in 1970s-1980s. However, the book has all

the essence that will make it survive and useful for today’s market. It was written

during the phase when companies started experimenting with the launch of new

products. Each organization then thrived for recognition and leadership. The

same thing lies in today’s market as well, though leadership is more important

now. The book aptly discusses about the role of customers in rise and fall of the

organization. It has been everywhere said that the market starts with the

customers and each topic has been discussed around the same.

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The value of customer relationship management in the marketplace cannot be

underestimated. Most organizations just see CRM as a technological and

business channel. However, according to Fransis Buttle’s Customer

Relationship Management, CRM is the first business strategy for any

organization that is executed using apt business methodologies and

technologies in order to achieve goals of the organization. Gone are those days

when customers were important only for the purpose of testing of the product.

Here is time when customers can direct, sustain, resuscitate and implore the

enterprise. Today, the organizations market the product that the customers

intent to have. Moreover, customers are no longer dependent on one

organization, neither are they dependent on the firm for their product

information. In order to sustain the competition and to gain loyalty, it is important

to involve customers in various paradigms of the organization.

There are few points discussed in the New Economy: Will You Know Were Your

Customers Are? By Eillot Etthenberg that can be helpful for our study for

understanding the significance of the customers for any organization. Firstly it

discusses about the brand equity. It is the customers who make a brand and

then they are also the ones who are responsible for the failure of the same

brand. Customers are not happy till they are not getting what they want and

what they expect. They have power to make or destroy. The life of the

organization can be said to be in hands of the customers. Second, the writers

say that it makes it important to weigh the market and provide customers with

the products and services they demand in best possible way. Third thing is that

customization of the product has to be done in order to help the customers with

the solutions to the various problems. The author is aware of the importance of

the customers and their relation with the organization and the book is compiled

in order to put forward the same.

Some customers seem to be loyal to the brand just because they are habitual in

buying the same one. However this in no way means that they are committed to

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the product or services. The day a new competitor comes in market offering

better products and services at lesser price, the customers will shift the loyalty

towards the same. Thus the brand will lose their share in the market. Jannie

Hofmeyr and Butch Rice bring about developed and analyzed research through

their book Commitment-Med Market the keys for the organization that can bring

commitment from the customer’s mind. The first and the foremost thing

discussed here is involvement of the customers. The book supports certain

analysis with graphs and charts that give a better understanding on the level of

involvement of the customer within the organization. It states that customer

satisfaction is not only thing for sailing of the products in the market. The

involvement with them is equally important.

New Product Development

New product development is undoubtedly one of the most important areas that

management has to handle. It is also a risky process which must be handled

with care. Most of the NPD failures arise from the fact that project managers

might have failed to consider the important processes. New products to some

extend determine the future of the company as a successful product will ensure

company growth. There is useful literature on the NPD processes and although

there have been changes over the years when it comes to the terms being

used; the processes remain practically the same. Developing new product

design strategies is something that cannot be ignored when it comes to

describing the process of NPD. Mario Vellandi’s New Product Design Strategy

identifies five primary design strategies which are the cost advantage, design

prominence, feature leadership, concentrated application and desirable

alternative.

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Kenneth Crow’s A Strategic Approach to Product and Process Development

considers that successful product development requires fundamentally

approved approaches which are generally aimed at meeting customer needs

and responding to global competition. Preston G. Smith’s Change: Embrace It,

Don’t Deny It shows how change is inevitable in NPD and insists on the

importance of managers being capable of accommodating changes during the

process as this will help to reduce disruptions as much as possible. This is

because change can result in additional costs, time and sometimes poor

products being developed.

Lean, Rapid and Profitable New Product Development by Robert Cooper and

Scott Edgett teaches seven principles of successful new product development.

These principles are divided for various stages of development of the new

product. First three principles define the methods of gaining advantages in

competitive in initial production stages. Next two principles are for the

development and scope in market. Sixth principle is for maximizing the

productivity of the new product. The seventh and the last principle are dedicated

to the flexibility and adaptation of the new product development.

For turning the new ideas into profitable services and products, New Product

Development for Dummies can be referred to. The book has been written with

help of scholars in the field. It starts with the basics and deals with every issue

with new product development and has various secret tips for handling the risks

in the field. There are ten helpful ideas in the book that can help in testing the

success of the new product. The book can be useful for not only students but

also big and small organizations.

Ever wondered why some of the products are immensely successful while

others can’t even make it to the mark? This is the question that has been tried

to answer by Marty Cagan in his book Inspired: How to Create product

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Consumers love. Some of the other questions that have been answered in the

book that circle around the above question are:

How is the discussion about the product made and which product

opportunity to pursue?

How to evaluate that the product that has been innovated and that has

been asked to build will be successful in the market?

How is the identification about minimum possible new product made?

How to evaluate and manage demand, rather conflicting demands of

market, customers, sales, engineers, stakeholders, etc.?

How is the agile method adapted for commercial product environment?

There are hundreds of such common and uncommon questions answered by

Cagan in his book. He uses lessons he learned, practices, experiments, case

studies, techniques etc. that can take the product towards the path of the

success. The ways that the best of the companies adopt so that their products

are successful

Apart from the books, there are other helpful sources of study as well.

New Product Development- Body of Knowledge is a journal written for DRM

Associates and PD Trak solutions. It is one very helpful literature work written

on the topic New Product Development. It contains systematic steps and

process to adopt in order to have a successful and acceptable product in the

market. The development of the product is not an easy process and involves not

only various departments and employees but also there is a need to follow

various processes at different stages of development. This journal deals with

these procedures and provides helpful tips on the various adopted methods. It

starts from the process of discussing the idea of the new product and follows

right till the time when the product has been introduced in the market. If this

journal is used, it can facilitate our paper and provides tips on integration of New

Product Development with customer involvement.

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An article by Vadiim Kotelnikov, published as new Product Development-

Driving Growth via Product Innovation contains a lot of useful information on the

topic. It contains the best of the information from various books and other

literature resources written on the topic New Product Development. There is

description about various new product innovation metrics and tools in the article.

Steve Job’s Twelve Rules of Success have been given. All 12 rules are

explained in brief. There are four entrepreneurial strategies for the organizations

that have been appropriately discussed in the article. There are 9 truths about

Art of Innovation that are of special mention. Some of the dos and don’ts have

been given that are useful for any organization and will lead them to the path of

success. Every product has to be launched in market; there are market leaders

for the purpose of introducing the product in the market. The article contains 4

strategies that can be adopted by market leaders for achieving applause after

introduction of the product in market. All the information has been explained

with descriptive graphs and figures.

The firm Tata Consultancy Services has its own journal that has various

methods adopted by them for development of new product and its successful

introduction in the market. There are some steps that Tata Consultancy

Services takes special care of. Ways of meeting challenges, customer

satisfaction, product innovation, design, launch, etc. all have been mentioned in

the journal. Tata Consultancy Services is an international firm that is doing a

very successful business across the world. The guidance from such and

organization is of real help as it contains more practical approach towards the

process.

Another Journal on New Product Development and Introduction by SAP is

devoted to introduction of development of the new product in market. It informs

about the significance of undertaking right methods and procedures while

developing a new product. There are various methods of analysis in the journal

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that can help to evaluate the success of the new product to be launched even

before the production is complete.

Learning Marketing is an internet website that is completely committed to

various departments and procedures of marketing. The website is not only

helpful for the students, but many small and big organizations have been using

some of the given information and lessons on the website. One such topic

discussed is New Product Development. According to the website there are 8

stages in new product development vis-à-vis Idea Generation, Idea screening,

concept development and training, market strategy and development, business

analysis, product development, test marketing and finally commercialization. All

these stages have been discussed in detail.

Integration of Customers with New Product Development

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According to T.N. Chhabbra’s Management and Organizational Behavior,

customer services have four major characteristics that can affect the design of

the market and the product in lot many ways: Intangibility, Inseparability,

Variability and Perish ability. Customers form their expectations about the

product on the basis of the messages and claims sent out by the sellers and

other communicating sources. The amount of dissatisfaction will depend on the

difference between the expectation and performance. Therefore, in order to

understand the expectations of the consumers in bets possible way, it is

important for the organization to involve customers in the designing phase of the

new product. Cognitive dissonance theory says that the amount of dissatisfaction

will be less because customer will try to reduce the dissonance by imputing

higher performance. Some organizations even understand involvement levels so

that the customers will experience higher than expected satisfaction from the

product. Customer behavior is an interdisciplinary field of study that focuses on

how and why customers behave as they do. Its objective is to understand,

explain, and predict customer actions. The study of customer behavior is the

study of now individuals makes decisions to spend their available resources. This

will be further well understood with research involving customers. It includes the

study of what the customers buy, why they buy it and how often they buy it,

where they buy it and how often they buy it although this text focus on how and

why customers make decisions to buy goods and services, customers make

decisions to buy goods and service, customer's behavior. Research also

considers the uses customer make of the goods they buy and their evaluations of

these goods after use. The study of customer behavior holds great interest for

the customers also. The customers need insight into their own consumption

related decisions what is buy, why to buy and how to buy. Involvement in the

designing process will increase the trust and faith with biasness of the customer

towards the organization. The study of customer behavior makes them aware of

that product or services. It is important for the markets to recognize why and how

individuals make their consumption decisions so that we make better strategic

decisions. Without doubt, marketers who understand customer behavior have a

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great competitive advantage in the market place. The task of understanding

customer buying behavior is enormously complex. It involves 4 questions:-

1. What are the major factors that can affect the buying decision of the

customer?

2. What are the features customers are looking in the new product?

3. What is the role played by the new product in their life and lifestyle?

4. What is the buying process the buyer will go through when the product is

launched in the market?

Involving customers in new series development by Bo and Anders et al.,

discusses involvement of the customers with new product and series. According

to the writers, customers are co-innovators. It is their ideas that are reframed

and used for the purpose of designing the product. Involving the customers with

the new product designing phase is beneficial as they give innovative ideas to

the organization according to their needs and demands. Customers can think

and give ideas that are not imaginable for the developers. Like in technological

products, the problems faced by the customers ask for rectification and solution,

the developers bring in the solution which gives them the idea of new product

that is free of such problems or errors. Customers are involved in the designing

phase of each organization, be it directly or indirectly. The experiences of the

customers with previous products or demand for certain features are what give

birth to a new one. Thus the writers say that for better understanding it is

important that the customers are involved directly for the same.

Mark Gabbott and Gillian Hogg’s Consumer and Services is a book that has

been completely dedicated to the customers and their involvement with the

organization. There is dedicated chapter in the book about the customer

involvement in the development of the new product. The book says that the

customers are the must thing during the design phase of the new product.

Without involving customers new designs are not possible. It is the customers

who are the inspiration of the new product and without them it cannot be put into

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development. Development of new product is possible only when the customers

have requirement or demand for the same and it is difficult analyze the same

without interaction with the consumers.

Involving customers in new series development by Bo and Anders et al.,

discusses involvement of the customers with new product and series. According

to the writers, customers are co-innovators. It is their ideas that are reframed

and used for the purpose of designing the product. Involving the customers with

the new product designing phase is beneficial as they give innovative ideas to

the organization according to their needs and demands.

Know Your Customers by Robert B. Woodruff and Sarah F. Gardial brings in

notice the new approach for customer value and satisfaction. Involving the

customers in the designing phase of developing products and services for them

will give the competitive advantage to the organization. The organization needs

to adopt various strategies for delivery of valuable services from the customers.

Customers open up the opportunities for the new product in market with their

ideas and suggestions. The outcomes of the competitive products or the previous

products from the customer is utmost important to analyze the features that

customers what the organization to service them with. The valuable information

while communicating with the customers helps in achieving their satisfaction and

commitment towards the new product. Customers are also involved in inspiring

business decisions related to the work.

Hawkins Consumer Behavior says that it is not possible to anticipate and react to

customers’ needs and desires without a complete understanding of consumer

behavior. Discovering customers’ needs is a complex process, but it can often be

accomplished by marketing research. Consumer Behavior is the study of

individuals, groups or organizations and the process they use to select, secure,

use and dispose of products, services, experiences, or ideas to satisfy needs and

the impacts that these processes have on the consumer and society. Market

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Analysis requires thorough understanding of the organization’s own capabilities,

the capabilities of current and future competitors, the consumption process of

potential customers, and the economic, physical, and technological environment

in which these elements will interact. A firm must fully understand its own ability

to meet customer needs. This involves evaluating all aspects of the firm,

including its financial condition, general managerial skills, production capabilities,

research and development capabilities, technological sophistication, reputation,

and marketing skills. Failure to adequately understand one’s own strengths can

cause serious problems. The deterioration of the physical environment has

produced not only consumer demand for environmentally sound product but also

government regulations affecting product design and manufacturing. Individuals

develop self-concepts and subsequent lifestyles based on a variety of internal

(mainly psychological and physical) and external (mainly sociological and

demographic) influences. These self-concepts and lifestyles produce needs and

desires, many of which require consumption decisions to satisfy. As individuals

encounter relevant situations, the consumer decision process is activated. This

process and the experiences and acquisitions it produces in turn influence the

consumers’ self- concept and lifestyle by affecting their internal and external

characteristics.

Breakthrough Zone by Roy Langmaid and Mac Andrews educates on the

strategies for harnessing innovations of the customers for business strategies

and development of new products. It takes to a step by step journey to the

readers and employers to the use of innovation by the customers to help and

evolve new products within big organizations. the end results of the product are

met due to these strategies securing the brand name, quality and services. There

are presented various tools in the book that will teach how to draw strategies,

execute them and benefit from them. How to train tem of people for the purpose

of interaction with the customers for specifications and details about the product

can be found in the book. Communication strategies, plan and its implementation

and all similar things can be studied through Breakthrough Zone. It is a complete

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book for the purpose of study and research on the concerned topic of the paper,

i.e. the effective involvement of customers in development of new product.

In short, customer market is the ultimate market for which new products are

innovated, it consist of the whole population and it is important for the marketer to

research age distribution, family size, income, education levels, mobility patterns

and tastes. The customer market buys objects that can be classified according to

their tangibility and according to how the customers go about buying them. The

timing of customer purchases it’s influenced by family size, seasonal factors and

economic conditions. Various parties playing various roles influence the

purchase decision (Initiator, Influencer, decider, buyer, and user). Behaviors of

the customer in the market is of great importance to the manufactures,

distributors and small business etc. because it is this customer behavior and his

expenditure pattern helps them to exist and expand their business in the market.

The customers are the backbone of the market. Hence it is necessary to know

how the customers will respond to the different offers made by the producers. For

this the customer’s needs, desires and preference and income and expenditure.

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Rationale

The influence of the customers or consumers on the market has increased by

manifolds. All this is because of the cut throat competition. Today, people have n

number of choices for every product available. Moreover, people have become

brand conscious now. The brand promises them quality and service. If something

of same or higher level is not delivered to them, they don’t consider the

organization or product. (Herriot, 2007) Therefore, before designing the product,

it is important that the view of the potential customers is taken. It gives an idea to

people that something of the kind is coming in market. To the researchers and

managers, it tells how much expectations people have from a particular kind of

product. This further helps in development of the product. New additions and

alterations can be made as per the requirement in the market. (Kambil, et. al.

1999)

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ANALYSIS

Research Methodology

I. Introduction to marketing research

Marketing research is basically a systematic method of recording or gathering

and then analyzing the data on any issue of concern or study.

Marketing research is important phase of any paper in order to have in-depth

knowledge of the issue of concern. The research methodologies aids in

supporting the research with some kind of substantial data and findings that puts

more weight and effect on study done. (Mc Donald, Dubar, 2004)

Research methodology actually defines the various aspects related to any

research aimed to be performed. It talks about the activity that is required to be

researched, how it is planned to be researched to be the most effective, how it is

required to measure the progress of the research and what is required to achieve

the success.

The major steps involved in a research process are:

• Problem Definition: Identifying the problem that needs to be researched upon

• Development of an Approach to the Problem: which includes the formulation

of objective

• Research Design Formulation: research design is a framework or blueprint

that is designed for conducting the marketing research project.

• Fieldwork or data collection: which involves a field force or staff that operates

either in the field or for personal interviewing, or from office in case of telephonic

interview etc

• Data preparation and analysis: it includes editing, coding, transcription and

verification of data

• Report Preparation and presentation: this is the final step where the report is

prepared and presented to the concerned authority.

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II. Defining the market research problem and developing an approach to

solve it:

Problem definition involves stating the general problem and identifying the

specific components of the marketing research problem (Malhotra, 2007).

Research Questions are refined statements related to the specific components of

the problem under study.

Hypothesis (H) is unproven statements or propositions which are about a factor

or phenomenon that is of interest to the researcher.

The purpose of the research is to find how helpful is integration of two

management departments i.e. Customer Relationship Management and New

Product Development. The research is to be made for finding what can be to

spread some more knowledge on the field and contribute to the issues.

Since the market search problem is defined above, now we need to develop a

market research question on the same.

Here the research question can be on the integration of the customers with new

product development.

RQ: How effective is integration of customer relationship management with new

product development?

The organization has to collect a certain set of data that can be used for finding

the demand of the customers pertaining to the new product and how much

amount can a customer spend on the same.

The research was conducted on Harley Davidson pertaining to the issue of our

research and following data was found.

The motorcycle manufacturer Harley Davidson made a notifying comeback in

early 2000s which actually led to a long waiting for the bikes. Looking back and

understanding the existing problem of the customers, Harley’s management was

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able to find out that most of the consumers were actually shifting to the small

cars and SUVs instead of going for a bike. Also, the company got to know that

the forecasts were such that the customers were expected to spend lavishly on

the entertainment and lifestyles till the year 2010. As a result, these all findings

helped them to come up with the definition of the management problem and the

market research problem. The problem which was defined as the management

decision problem was: Should the company produce more motorcycles? While

the market research problem was to find out the loyalty of the customers towards

the brand.

Thus the one of the most important research question was designed as:

RQ: Can the motorcycle buyers be segmented based on the psychographic

characteristics?

And the related hypotheses (Hs) were:

H1: There are distinct segments of motorcycle purchasers

H2: each segment is well motivated for having a Harley as per different reasons

H3: Brand loyalty is high among Harley’s customers in all the segments.

This example will facilitate in better understanding of the point that is being put

forward through various steps of the research.

III. Formulation of a research design – this can be done by the various

available ways

This can be done by the various available ways.

Research Design is actually a blueprint which is defined for conducting the

marketing research. The research design specifies all the details which are

related to the research and are useful in implementing that approach. A good

research design is expected to take care that the marketing research project is

conducted efficiently and effectively. The major points expected to be a part of

the research design are: (Mc Quaire, 2006)

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1. Designing the exploratory, descriptive and casual phases of the research

2. Defining the information requirements

3. Deciding upon the measurement and scaling procedures

4. Construction and usage of the questionnaire

5. Finalizing the sample size and the process

6. Developing a plan for data analysis

IV. Exploratory Research - The main objective of this research is to explore on

a problem or situation with the aim to provide insights and understandings.

Exploratory research is basically done to seek the insight of the general problem.

Here our problem, as defined above, is that not much of the scholarly work or

substantial data is present on effective involvement of customers with various

stages of new product development. The decision alternative and relevant

variables are chosen to find out substantial information through research on the

subject matter. (Babbie, Earl, 1989)

The exploratory research was excluded with a trends meeting together with the

marketing professionals of the company in order to list down and prioritize the

key consumer requirements. This was then followed up by a technological

session with the engineers of the company in order to get known to the

applicable technologies and the company’s internal competencies. These were

made as the base and then the customer’s were enquired for their requirements

related to the product to finalize and develop the final product. The customers

were involved with the help of the questionnaires, interviews etc.

V. Descriptive research – the major objective of this research is to explain and

describe something, which are generally the market characteristics. It is more

common research method followed to cover large number of dissertations. The

hypothesis exist in descriptive research however, they are speculative and

tentative.

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For example: Waterpik Technologies (www.waterpik.com) started operating in

1962 and since then it has been a leading developer, manufacturer and a good

marketer for the health care products. The company aims at retaining its market

position by the introduction of innovative products which satisfy the needs of the

customers.

The company did its first research in 2003 and based on the same it developed

new showerhead product platform concepts which provided the best showering

experience and value.

The research was performed as a unique mix of creative and analytical

marketing research, the consultancy firm hired, helped Waterpik to get the

answers to the research questions and thus finally arise with a new product.

VI. Primary vs. secondary data sources: Primary data are the data originated

by the researcher for the specific purpose of addressing the research problem.

Secondary data are those where the data is collected for some purpose other

than the problem in hand. (Ullman, 2009)

VII. Qualitative and quantitative research

Quantitative research is that method on inquiry which is used in various

academic disciplines and marketing research. Qualitative research is helpful

when one needs to have an in-depth knowledge about the topic or issue of

concern. Apart from what, where and when, qualitative research method also

helps in finding answers to the questions why and how. It uses small focused

samples rater than the usual long samples. (Miles, Huberman, 1994)

Qualitative method is used when information is needed for the case study or

general study and hypothesis. It uses various approaches for the purpose of

finding data like, grounded theory practice, storytelling, narratology, shadowing or

classical ethnography. Qualitative approach is also part of other methodologies

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like actor-network theory and action research. The ways of including information

can be many like group discussions, interviews, reflection field notes,

observations, pictures, texts and other similar materials.

It involves categorizing data into various patterns for the purpose of organizing,

reporting results. Various methods of finding information on which qualitative

research relies are Analysis of documents, unstructured interviews, structured

interviews, reflexive journals; field Notes, Non participant Observation and

Participant Observation.

Quantitative Research

Quantitative research involves experimental systematic analysis of the

quantitative data and phenomenon and also the relationship among them. The

main object here is to construct mathematical models, hypothesis or theories that

pertain to the phenomenon. The measurement process in fundamental for the

quantitative research method as it is the central connection between the

mathematical expression and the empirical observation of quantitative datasets.

Quantitative research is more appropriately used in the social sciences like

political science, anthropology, sociology, and mathematical sciences like in

physics. Qualitative methods provide thesis or hypothesis and it is quantitative

method that is used to check the validation of those thesis or hypothesis.

(Hunter, Laura, Erin, 2008)

Quantitative research methods generally undergo following scientific methods:

Generation of theories, models and hypotheses

Instruments are developed and measurement methods chosen

Manipulation and experimental control of data and variables

Collection of experimental or empirical data

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Analysis and modeling of the data

Results are evaluated in the final stage

• Descriptive research design – its survey and the observations

• Questionnaire and form design

• Sampling

• Data collection and analysis

1. Primary Survey

Primary research can be described as the research that's adapted to any

company's exacting requirements. By modifying known-and-true approach —

focus groups, field tests, surveys, interviews or inspections. By this way you can

increase information regarding your objective market. As For example, one can

explore an issue precise to your trade, get feedback regarding your Web site,

evaluate demand for a projected service, measure response to a variety of

packaging options available and discover how greatly consumers can shell out in

favor of a new creation.

Primary research gives more specific outcome as compared to secondary

investigation, which is predominantly important reflection once you're introducing

a new creation or service. In accumulation, primary researches are generally

based on statistical methods that engage sampling as petite as a single percent

of an objective market. This little sample can offer a precise representation of an

exacting market.

a) Personal Interview – Local vendors were interviewed to get first-hand

information about the demand and sales for new products

b) Consumer survey through questionnaires to determine the consumption trend.

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2. Secondary Survey

Secondary research puts together the information that has previously been

collected. It is an expensive way to begin a research scheme if probable, as it

identify the relevant data by time and funds are spent on new primary research

that may result in doubling.

There is a vast variety of resources accessible for the secondary researches,

they are

Published data like census, or housing and public security

Published texts like theoretical work, minor analyses by field experts and

information

Media as in documentaries for instance, as a foundation for information

Personal credentials like diaries

Examining Milestones

Examining the milestones is another important part of the research methodology.

This can be further divided into following subparts:

1. Identification of the customer needs and requirements

This can be done with the help of answering a few below mentioned

questions:

What are the actual issues and problems the customer has?

Understanding the requirements of the customers?

What kind of technology is expected to be used?

What are the expectations of the customer from the product?

2. Getting the detailed in-depth knowledge of market opportunities

The market needs to be studied and it is required to understand the

available opportunities in the market which can be used.

Short listing the target customers

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Studying the market and industry ongoing trends

Market growth and size

Vertically present markets

Available potential partners

3. Entering into the market - we need to understand the various ways and

means that exist by which we can enter and survive into the market and

then choose the best out of it.

Infrastructure available for doing sales

Pricing mechanism

Identifying various required tools in sales process

Devising strategies for sale process

Trying to get the support of the consumers

Developing a well-suited marketing plan

4. Understanding the ways and means for revenue generation

This is a part where we need to have the main aim as generating the

revenue and doing good business in the industry once we have entered

into it. The revenue generation and thereby the profit generation is the

important parts for staying in the market for a long term. The various

important things to be taken care in this regards are:

Deciding and joining hands with the partners

Institute channels

Identifying and recognizing the available sales leads and following

up

Absolute product rollout

Why Research Method Is Important?

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The job of the marketing research is to provide people with reliable, accurate,

valid, current and relevant information. These are important for making decisions

about various aspects the study. The data collected will help in making decisions

about cost and effectiveness of various integration techniques and strategies.

One cannot make decisions on basis of intuitions or gut feelings. Appropriate

data and management techniques have to be adopted which we get from such

research methods. (Marder, Eric, 1997)

Various strategic and tactical decisions have to be taken so that the requirements

can be rightly recognized. The people involved in integration are mangers and

they need to take decisions about potential opportunities, market segmentation,

target market, implementing plans and control of the steps. These decisions

become complicated when mangers need to involve factors like technologies

available, social issues, environmental and economic issues. Public policies,

laws by government, cultural changes etc. further complicate the process of

making decision. Another factor that affects the decision making process is the

complexity of the consumers. Research methods help in linking all these factors

together and take decisions. Sound decisions are only possible if there is

harmony among all the factors like economy, social and environmental.

Research methods help in overcoming or completely removing some of the

uncertainties in the planning or decision making process. Without the relevant

data, the planning done would not be accurate or reliable and not even practical

here. The marketing research gives information about factors that are

controllable and others that are not and thus we can have effective decisions

about management integration of customers with design phase of new product

development.

Mangers can use the DECIDE model of research for having sound management

techniques on integration. The DECIDE model is as follows:

D: Define the problem of the market

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E: enumerate the factors of decision that are controllable and those are

not.

C: Collect accurate and relevant information

I: Identify the alternatives that seem to be best of all.

D: Develop the marketing plan and then implement it.

E: Evaluate the decisions as well as the decision process.

This DECIDE model provides six steps of decision making for the managers. The

process of decision making starts with defining the opportunities or the problems

while setting constraints and objectives. Next, the factors of decision making that

can alter the course of efforts or actions, which are controllable factors, and the

uncertainties, which are uncontrollable factors, have to be enumerated. Then,

accurate and reliable information about the possible outcomes and alternatives

are collected. Next is to select the most suitable alternative on the given criteria

of success. Then, a plan of action is developed in detail and then they are put in

effect. Lastly, the outcome from the process of decision making is evaluated.

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DATA ANALYSIS AND INTERPRETATION

(Questionnaire filled by the consumers)

Implications

In order to involve the customers to the maximum and thereby understanding

their requirements which need to be included into the new product can be studied

by doing an in-depth analysis.

For the matter of doing the research, we have interviewed 100 customers of

different categories and thus have come to the following conclusions.

For doing this analysis, the market is divided into segments where the customers

are divided on basis of various parameters of the research. Let us discuss these

one by one:

1) Demographics

a) Age groups of the customers: the customers are divided according

to their age groups may be, as kids, teenagers, adults and old age

people and thus are asked about the particular requirements from

the product.

Let us take us an example as a manufacturer of biscuits plan to

launch a new biscuit variant, approaches the customers of various

age groups. In such case, the customers will be questioned for the

expectations as in different ages. This includes:

a) 13-18 years- Teenagers

b) 19-26 years- Young Adults

c) 27-35 years- Adults

d) 36 -45 years - Elderly People (Parents)

e) >45 years – Senior Citizens

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Thus, we here see that the majority of the customers interviewed to

fill the questionnaires were young adults lying between the age of

19-26 years.

b) Gender: A female customer might prefer different product as

compared to a male customer. Out of the total respondents

surveyed, there is an equal no of males and females.

Thus, the majority was of the males over females.

c) Location: the preferences of the customer will also depend on the

location where the customer resides. The customer of a village

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might have different preferences from a new product while a city

resident might have different preference & expectation. We can see

here that the people residing in the west were interviewed more

than the others.

d) Occupation: A working professional customer will have different

expectations as compared to the housewives. Also, in the working

professionals, a job going consumer will prefer different product

while a businessman’s expectation will differ. Maximum people

included in the sample size of 100 were students, totaling to 34 in

number.

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2) Benefits expected from the product, here, it can be the taste, quality,

health benefit and also the pricing benefit.

3) Other Attributes: what will be the different attributes that will affect the

customers buying behaviors for any product? Now from the below

mentioned graph, we can analyze that the brand image and quality are the

two aspects playing major role.

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4) Promotional Strategies: these are the various available promotional

strategies which a customer might prefer over the other for a new product.

Findings:

It is observed that combo offers excite people from all age groups to buy a new

product. In addition to combo offer teens like to buy new product when free gifts

are offered to them.

5) Purchase: these are the various available options that a customer might opt

for purchasing it. The options are hypermarkets, grocery store or any other

available option.

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Findings:

It is clear from the chart that people from all age group prefer to buy the products

from either the hypermarkets or the grocery stores. Due to an increase in the

‘mall culture’, the next largest place of purchase is the mall or hypermarket

especially for the young adults.

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Effective Customer Involvement with New Product

Development

Globalization has made the Markets to have a wide variety of Products in order

to sustain the Competition. Hence there is an increasing demand for NPD.

There is always a controversy in knowing the role of customer involvement in the

success of any NPD Project.

Details – the project is about understanding the needs of involving the

customers in the designing and understanding the requirements that a

new product needs to be equipped of. A new product is considered to be

developed when there arises a need of the customers for getting some

special or distinctive features in any product. Therefore, this project has

been focussed on researching and finding out that how important and to

what extent it is important to involve the customers into the new product

development process.

Aim - this was a research project that was aimed to understand the actual

importance of the customers and their say in the development of any new

product. Any new product development is always planned as such that it

should meet the requirements of the customers. Thus, a research was

conducted for studying the impact of customers and their needs from the

new product under development. Along with it the aim was to provide

some kind of literature resource to the field as there are not many of the

same today.

Research Method used - Research methods used in this project are a

combination of quantitative as well as qualitative research. We though

have restricted only to the basic quantitative method and have avoided

using any of the available quantitative tools of the research. We therefore

have studied the various product case studies, where the products were

developed understanding the customer’s needs and requirements. By

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following these case studies, we have formulated the questionnaires and

done the literature study.

Collection of Information – Information for the research is been collected

with the help of personal interviews, questionnaire filling, online surveys,

document reviews and with the help of observing the consumer behaviour

towards the products.

Procedure – A clear analysis is been done on the research topic together

with the extensive literature review survey. The research was done by

personally interviewing, getting the questionnaires filed up, and online

surveys and also by the extensive in-depth study of the literatures

available related to the management’s problem and the research question.

Initially, the researcher has worked and has tried to find out the whole

process that exists for developing a new product and also understanding

that when and where there arises a need for the customer’s involvement

in the designing process. Then the researcher moved further by analyzing

and observing the various answers given by the customers as well as the

vendors who plan to produce a new product.

Findings – after doing the extensive research of the primary as well as

the secondary data with the help of the questionnaire and online surveys

and also by the literatures available, we have found that the customers are

the main reason for the development of the new products and the main

aim of these new products under development are to satisfy the

customers only. In case any product fails to meet the customer’s needs, it

is discarded or rebranded by understanding the requirements which is

best possible to be done by involving the customer himself in the

designing process of the product. As from the research we did by

selecting a non-biased sample of 100 individuals, we can derive that the

customers are majorly driven by the young male adults and as the

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technology and advancement happening, there have been developed

many new customer touch-points where the customer is met and the

requirements are taken proper care of. Also these advancements have

lead to an easy way of customer feedbacks and involvement in the new

products under development by the means of online facilities etc.

Moreover, the youth today prefers to go to a shopping mall and touch and

feel the new product before giving any feedback, which can now be done

easily with the help of growing mall culture. Thus, customers are god for

the vendors and because of this, it stands to be very important for the

vendors to involve the customers in the designing of the new product.

Conclusion – the customers are involved for the betterment of the new

product under development. The customer’s feedback will ensure a good

quality and efficiency of the product once it is developed and will be easily

accepted by the customers as the product will be as per their own

requirements. The best example for this is the tailor-made jeans service

which was started long time back by Levi-s Jeanswear. The tailor-made

service is actually involvement of the customer in the development of a

new product but at a very small scale. If we look at the large scenario, we

can see that the products will be readily accepted once they are meeting

the requirements of the customers which in turn can only be done by

involving the customers. The research method used in this research was

quite effective and the sample size 100 was random sample with no

biasness. If we do the stereotyping, we can easily come to a conclusion

that customers are actually willing to help in the development of a new

product. Thus, the project guidelines and requirements were met.

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Recommendations

The above analysis and study shows the importance of the integration of the new

product development with customer relationship management i.e. involving

customers with new product design. The research done presented various data

and answered few questions and that are what are recommended to the people

responsible for effective integration of the two. It is recommended to pay special

attention to the male adult class. The women are more responsible for household

products. However, it is the men above age of 18 who have more hold over

various other fields and sectors. The vendors and their local customers should be

targeted for recommendation as mall culture has not much effect on the sales of

their products. While designing the product, the price has to be controlled till the

quality of the product is superior most in the market. Until and unless there is

something extra in the product, they are not ready to divert from their present

choice. After the launch of the product, promotional schemes and combo offers

attract most number of people. Brand image is most important to the customers

and it comes with quality. Today, brand means the best quality. For the purpose

of collection of the data from customers, it is important that the organizations use

most accessible communication channel and that is television.

The importance of customers in various departments has been analyzed and it

brings out significance of customers in the development of new product. It is

recommended that the mangers responsible for thee same consider the

integration of the two terms sincerely and take necessary steps.

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Conclusion

The process of new product development is a critical process. The customers are

the new innovators. It the customer for whom, the new product is developed.

Therefore, it is must to analyze what are their demands and what sectors or

areas they wish to have products and services that can support them or help

them. The idea of the new product comes from customers, thus it is must that the

idea that took birth in their mind is further nurtured and developed with

specifications. Thus, it becomes necessary to ask questions and understand the

mindset and demands of the customers with details pertaining to the product that

has been innovated. Designing the product around those specifications saves a

lot of work, money and time and gives a better hope of success in the market.

The paper dealt with various literature resources that can be helpful in the study

with some or the other information. The literature review has been done for

further reading on the topic and gives substantial support to the report. The

research methodology gave out various answers to various questions that are

important to understand and choose the customers to target for a specific

product.

The purpose of the paper i.e. to add to the literature resource on the topic and

help the students and managers with the same has been tried to fulfill. This

paper can be used at different levels of the organization and also by the people

and students interested in the study on the topic. The paper has been complied

with the best of the knowledge taking help and guidance from various trustable

sources.

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http://www.indeco.co.uk/filestore/ResearchingtheUnansweredQuestionsofProjec

tManagement.pdf, Accessed on: August 21, 2010

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ANNEXURE 1

Questionnaire filled in by the consumers

Customer profile:-

Q1. AGE GROUP:

13-19 20-26 27-35 36-50 more than 50

Q2. GENDER:

Male Female

Q3. LOCATION

North East West South

Q4. OCCUPATION:

Student Servicemen Housewives

Businessmen Retired

Q5. Portray the innovative product you can attach product prose or through

drawing, or else photos if needed

----------------------------------------------------------------------------------------------

Q6. What problem you suggest this product solves?

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----------------------------------------------------------------------------------------------

Q7. What is the process to solve the problem?

----------------------------------------------------------------------------------------------

Q8. How would you rank following attributes while buying a new product?

(On a scale of 1-6, 1 being the highest and 6 being the lowest)

Price

Quality

Taste

Packaging

Brand image

Availability

Q9. What Promotional Strategies offered by the brand excite you the most?

Contest/Lucky Draws

Price Reductions

Combo Offers

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Free Gifts

Q10. From where do you prefer to purchase a new

product?

Grocery shop

Malls/Hypermarket

Any other

Q11. What media of advertisement for a new product

you think is more effective?

Newspaper TV Magazines

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TABLES of answer given by consumers.

SAMPLING FRAME:

Q1. AGE GROUP

13-19 YRS 9

20-26 YRS 37

27-35 YRS 24

36-45 YRS 19

45 & Above 11

Q2. GENDER

MALES 63

FEMALES 37

Q3. LOCATION

NORTH 30

EAST 15

WEST 39

SOUTH 16

Q4. OCCUPATION

STUDENTS 34

HOUSEWIVES 9

SERVICEMEN 27

BUSINESSMEN 23

RETIRED 7

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Q8.

The following table is arrived by first ranking the attributes according to the

preference and then giving weightage to each one. (Rank 1- 4, 2-3, 3-2 and 4-1)

ATTRIBUES SUM OF RANKS

Brand Image 366

Quality 352

Packaging 312

Price 276

Adv. 257

Taste 221

Q. 10

PROMOTIONAL

STRATEGIES

13-19 20-26 27-35 36-45 >45

LUCKY DRAWS 1 4 0 1 1

PRICE

REDUCTIONS

5 2 7 4 8

COMBO

OFFERS

6 8 9 12 10

FREE GIFTS 8 6 4 3 1

Q. 11

CAPTION 13-19 20-26 27-35 36-45 >45

Yes 18 20 18 17 16

No 2 0 2 3 4

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Q. 12

PURCHASE

FROM

13-19 20-26 27-35 36-45 >45

Grocery 4 14 9 7 8

Hypermarket 3 17 11 8 2

Any other 2 6 4 4 1

Q. 13

MODE OF

ADV.

13-19 20-26 27-35 36-45 >45

Newspaper 1 1 0 0 0

T.V. 8 26 21 32 13

Magazines 0 1 0 0 0

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ANNEXURE 2

Questionnaire filled in by the vendors

Q1. Who are the primary customers and what is your desired market?

-------------------------------------------------------------------------------------------------

Q2. What did you say are the competitive products or the methods currently

available? (Make a note of your consumer’s options, counting “doing nothing” as

substitute to purchasing your product)

------------------------------------------------------------------------------------------------

Q3. Which promotional strategies affects customer the most?

Combo Offers Price reductions

Free gifts Lucky draws

Q4. As compared to the competition what you think are your product’s weakness

and strengths?

--------------------------------------------------------------------------------------------------

Q5. Has the mall culture affected your sales?

Yes

No

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Q6. What is your expected manufacturing expenditure?

Q7. How have you accumulated your target selling price?

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TABLES

Q3.

PROMOTIONAL STRATEGIES NO. OF RESPONSES

Combo offers 3

Free gifts 7

Price reductions 0

Lucky draws 0

Q5. Mall Culture

MALL CULTURE NO. OF RESPONSES

Yes 1

No 9

90% of the Vendors feel that mall culture has not affected the sales of their

grocery stores.

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Reflective analysis Report

Table Of Content

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Introduction.........................................................................................................2

Recollection of experiences...............................................................................3

Group Dynamics..................................................................................................5

Personal Feelings And Learning Experience...................................................6

Lessons For Future Projects..............................................................................7

Conclusion...........................................................................................................8

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Introduction

The reflective analysis report has been constructed in order to share the experience and learning gained through the assignment and also for better understanding of the same with its benefits put forward. This reflective analysis is so done that it can provide a detailed view of what has been done during the process of assignment and what has been helpful wit various learning experiences. The knowledge gained during the course of the assignment has been discussed through the report. Basically, it is an effort to bridge the gap between the skills possessed and what all more is required and yet to learn. This reflective analysis will guide us about areas of improvement that will help us in the future. Another aspect discussed will be difference and learning experience in the group assignments. There is a lot of compromising and learning promised by assignments handled in groups, which are missing in individual assignments.

It I a crucial assignment as it puts forward the things taught and knowledge gained during two semesters of study. Enough time was allotted for thorough analysis of each part of report and collection of data before compiling it. In-depth understanding and knowledge of the same is possible within the given time period the topic given is on global managerial scenario and it reflects the demand of the competitive market. It is an interesting topic and must have caught attention of other students as well like us. The interest and practicality of the topic is what helped in compiling a better report. The groups were formed immediately on announcement of the assignment. Initially, there were certain drifts and conflicts within the group however, with better understanding and systematic approach towards the project the things were settles and after that all the group member were equally cooperative and lend a helping hand. The regular and systematic group meeting resulted in quick work and updated information and data collection. The quick adaptation of each group member towards the assignment and co-workers helped in smooth function and speed of the work. The misunderstanding about the members and also the topic of projects were further cleared with the progress of the assignment.

Cooperation and dedication from each group member resulted in speedy work on the project. The time given for the completion of the task seemed more than enough. Thus, there was scope of cross-check and recheck of the work done. It is not only on better understanding of an aspect of organization that this assignment has assisted in, but also taught us about group dynamics and healthy working environment.

The faculty was very supportive and offered guidance at each phase of the assignment compilation. They offered timely advised and suggestions that has been really helpful for the successful completion of the project. There have been

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times where we have panicked and fallen short of data or understanding, but the constant boost and support from faculty gave us zeal and knowledge.

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Recollection of experiences

There are a number of things that I can recall that have been connected with the assignment. There was excitement and nervousness for the assignment right from the beginning as it is one of the important project for the course completion. The assignment weighs a lot in terms of marks and grade and there are a lot of expectations from us by our faculty members. Thus, it was important to have a good and deep understanding of the project before starting it and detailed planning of the course of the assignment. The project required us to do a carry out a lot of research work and thus we had a lot of new and learning experiences which were welcomed and enjoyed. We tried to make out most from these learning opportunities and tried to do full justice to the report with our combined efforts and capabilities.

The project was to be carried out in group and I had a lot to learn during the combined effort given for the completion of the project. The members of the group were known people however; I had a little or no working experience with them. We had different expectations from the project and each had a different way of understanding and following the project. There were conflicts and misunderstanding in beginning as each of us wanted to work in style that is comfortable for us. But as we progressed and found that this way our work is going to increase and there would be no learning and the project could also be a failure in the end. We settled out our differences and drafted a plan that was in agreement of each member of the group. Thus, I understood the importance of patience, cooperation and listening in the working environment. The adaptation and absorption of the topic came only after harmonious work within the group.

The group we had by the end was a jolly hilarious group that understood each member perfectly and was ready to work in a n environment with mix of people from different backgrounds, cultures, places, etc.

Since it was first such important and long project for all of us, during our initial meetings we were only jumping from one topic to another without drafted proposal or substantial data and planning to carry out that topic. We had mixed reactions towards each topic of discussion and it was difficult to come to a point and focus. We all had many ideas, but some seemed impractical while others were illogical. This way we went through various ideas without deep thinking about them and wasted a lot of time. However, we were given enough time by the university and we managed it well within the time because after all the wrong topics and discussion on the same we had a good understanding of what we were looking for and what we wanted out of the report. Choosing the wrong topics initially made it possible to understand the right approach and strategy for the assignment.

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We drafted agendas for the meetings to follow and a time chart that would show the time constraints for completion of the topic or part of research. This way we were guided through the project and we made sure that nothing was missed out by the end. However, there were various changes made in the agenda and the plans were changed after every topic. We still managed collecting and compiling as we had planned.

The overall experience from the assignment was good enough and taught a lot many new things. The ways to approach in a group are completely different followed by an individual solely responsible for the work. The group dynamics was the most important thing I learned through this project.

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Group Dynamics

There are different demands and working conditions when a person has o work in a group. It was a good experience working in a group as most of the work done by me was individually. Though, the comfort level and attitude towards the project changed. It was both good and bad in many ways. We all love the freedom of working alone with nobody to taunt and push us. Such freedom was missing in group activity. There were various tasks that were divided according to the capability of the group member and each person had to make sure that his or her task is complete in best possible way within the time. The casual attitude towards the work allotted did no9t work in any way. We could not follow a style we are used to. Each of us had to follow what was planned and what each one of the group member agreed to and was comfortable with. It forced us to leave our comfortable working zone and work out of it. This was a very good learning experience that would help in real practical world.

The best part of working in group was sharing of experience. Each of us had worked in different environments before working on this assignment. We came to learn new things with experiences of each other. Then we were sure that the pressure of whole project is not on one single person. We were a little less pressurized as we knew we had people to help and support us while sharing responsibilities. The topic of study given was very wide and thus it was must that we think from different mind set and different view points. Thus group work helped a lot with the same. There was not just one mind, but 8 minds working on the same topic and that is why we have a well structured and researched project in hand by the end.

Most of us did not have much or good experience of working in a group and therefore we all were very excited to see how it would be like to work in this group and discuss the project with different view points and analyze it with various angles. The enthusiasm of each group member worked as an asset for the assignment. A lot of discussion happened through the course of the project that opened many closed doors of the mind and forced us to think beyond the restricted level of our thinking. There were many arguments that taught us various new things and also the importance of calmness and patience while working with a team.

Each group member shared equal amount of responsibility and gave same amount of efforts towards the project. The dedicated members of my team inspired me in many ways and bought out the best in me. As we all understood each other better and worked out to finish the project we became aware if the capabilities and abilities of others and thus it became easier to divide tasks and cooperate with the same. The same understanding was shared by each member of the group and thus equal contribution came from each side.

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Most of us knew each other and had some knowledge about each other but we never shared working experience with each other and thus this was new for all of us. We all were unaware of the comfortable working zone and working style of each other and that is why there were few conflicts and arguments in the beginning. We all wanted to work with our style and expected others to follow the same. However, this cant work in a group work and we all understood the same very soon. It took a little time for all of us to settle with each other as we all came from different backgrounds, had different styles of communication, and different temperaments. After we understood each other we worked in a cooperative manner keeping in mind different constraints with every person. Another positive point about the group I had a chance to work with was that all the members understood the requirements of the project in a very god manner. They had understanding about the global scenario and were flexible in their thoughts. Further discussions brought out new ideas and we communicated and discussed each idea in brief and then selected out some of them that were to be discussed in detail. More minds brought more thoughts and innovative ideas that were problematic to handle in beginning. Due to time constraint we were not able to go in deep with each of them. However, these ideas brought us closer to the main idea and requirement of the assignment. We then further planned our activities and steps we were supposed to take for the project. We suffered a loss of few days during our arguments and discussions but planning of the tasks helped us in covering the loss in effective manner. It also made sure that each task was effectively covered and each requirement met.

We understood the shortcomings of our group during the course of the project and worked out to improve on those areas and give substantial results. The healthy interaction between the members of the groups and patience with calmness helped in improvement and growth.

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Personal Feelings And Learning Experience

The assignment has been of real help with various dimension of life. Not only with education and learning but in teaching various lessons of life that are important to learn to step out in a practical world. The group activity was the main asset that made the project interesting as there was continuous involvement and contribution from each member towards the project. The health discussions and sessions of arguments brought new ideas and different perspectives. It broadened the thinking of my mind and helped me think from different perspectives. Group activity taught me a lot of things. The first was how to cope up and understand people who are a part of the same work and how to still work in harmony.

I also learned the importance of planning and decision making. Planning was important for the assignment to complete it within given constraint of time. We changed plans many times, though that should not have been the case. The plans should be made and strictly followed. This project also taught me how to focus on the given plan and remember all the constraints and work within them.

Through this project I learned that being a self sufficient and efficient individual s not enough to have effective results in the team. It is also important to be a good team member that is possible only with cooperation, contribution and dedication. It is crucial to have good communication skills so that your view point is clearly put forward. With clear perspectives, member will understand better and follow for implementation.

I also learned that each group should have a leader that can guide whole group through the phases of the assignment. Leader makes the work and plan more channalized. Leader should be responsible in bringing out the most in whole group. The group functions in more systematic manner when there is some guidance and assistance from a leader. However, it is important to choose a leader with agreement of all the members and leader should listen to suggestions and make decisions only with accordance to whole group. Here, leader is basically for direction and control of the plan.

It is important that when it is a group project, all the team members are involved equally and give their hundred percent to the project with full dedication. It brings out the uniqueness in each individual which is reflected in the group effort and the project. While working in group I learned many new things from my team mates. They shared their experiences that have taught me various lessons of life as well.

The members of my group have been very helpful and understanding. They motivated me all during the project phase and understood me well enough and assisted in bringing out best in me.

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Lessons For Future Projects

There are many things that I have learned during the assignment. There were many things that I understood and learned that would definitely help me with my future projects and also they have nurtured me as a human being. Some of the lessons for improvement are discussed below:

First thing I understood is that planning is very important. The plan that is once made should be followed so that time constraints can be met. I have learned that one should stick to the plan.

Flexibility and open mind is important when you are working in a group. As an individual also they will help in projects as this helps in thinking with different perspectives and given assignments broader dimension.

Cooperation and understanding is a must thing. Dedication and support comes from other members as well if you are fully involved in the project and are ready to understand all view points.

Time is a very important constraint with any project or assignment. This has to be remembered during all the projects and time has to be respected.

Importance of communication skill was clear to me. It is important to keep your view point clearly so that the members of the team can understand it and follow the same.

Leadership qualities are equally important in a group as much as cooperation. Each group requires direction and guidance which are provided by a leader.

I will make sure that I take care of all these things in my future projects and improve with it.

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Conclusion

There have been a lot many things that I have learned from this project and while working in group. Group dynamics has been something new for me this time as all the members of the group were very cooperative and understanding. Some of us were from different background with different ideologies, however, each of us was ready to adopt the working style of each other and give our best to the assignment. This project has been a real learning experience for me and there is something that I have learned will help me in improving in future. This will bridge the gap between what I have and what I should have. I surely had a nice experience while working with my group mates and collecting data for the project as they helped me broaden my perspectives and they taught me a lot. I hope that even I have contributed something to their learning and experience. This assignment has not only helped me in academics but also with my life and taught me practicality.