[0 Product Planning]

[1 Concept Development]
1. Identify customer needs
2. Establish target specs << translation of customer needs into technical
terms
3. Concept generation << explore the space of product concepts that may
address the customer needs
======================================================================
Ch7: Concept Generation
-begins with a set of customer needs, target specs & results in a set of product
concepts from which the team will make
a final selection.
-the process has a huge impact on product quality
-the team must thoroughly explore alternatives:
-to reduce the likelihood the team stumbles upon a superior concept late in
the development process, or that
-that a competitor introduces a product with dramatically better performance
than the product being developed

-A five step concept generation method is illustrated below:

1 Clarify Problem
/\
/ \
/ \
Search Externally 2 3 Search Internal
| |
old concepts new concepts
\ /
\ /
\ 4 /
\ explore sys/

-1. Clarify the problem: Understanding  Problem decomposition  Focus on

critical subproblems

Develop a general understanding of probelm and then break the problem

down into subproblems
�dividing a problem into simpler subproblems is called problem
decomposition
�decompose the problem by sequence of user actions, or by key customer
needs
�employ functional decomposition
Focus on critical subproblems 1st

-2. Search Externally -3. Search internally.

ways to gather information from external sources internal
concept generation
 Lead users  Individual team
memebers
 Experts  Team as a Group
 Patents (recognize that quantity
breeds quality)
 Literature
 Benchmarking

>>old concepts >>new Concepts

 EXTERNAL:
-To find existing solutions to both the overall problem and the subproblems
identified during the problem
clarification step
-Occurs continually throughout the development process
-Include detailed evaluation not only of directly competitive products but
also of technologies used in
products with related subfunctions
-There are at least five good ways to gather information from external
sources:
Lead user interviews,
Expert consultation,
Patent searches,
Literature searches, and
Competitor benchmarking
-Literature searches are very fertile sources of existing solutions.

INTERNAL
-the use of personal and team knowledge and creativity to generate solution
concepts.
-brainstorming:
-suspend judgement--no criticism of the ideas
-generate lots of ideas: large number of ideas has the potential to
stimulate even more
-welcome ideas that may seems not feasible: stretches boundaries of the
solution space,engourages the team
to think of the limits of posibility-- these ideas are quite valuable
and their expression encouraged.
-recognize that quantity breeds quality
-use graphical media
+hints for generating solution concepts
make analogies, Wish and wonder (i wish we could...), �
Use related stimuli:
-stimuli generated in the context of the problem at hand
-generate new ideas after reflecting on someone's ideas
Use unrelated stimuli, use quantitative goals

-4. Explore systematically.

-valuable when the problem has been successfully decomposed into sub-
problems
 concept classification tree
-used to divide the entire space of possible solutions into several
distinct classes that will
facilitate comparison and pruning.
-study the branches and then prune less promising ones
-Identification of independent approaches to the problem:
-assign these 2 approaches to two diff subteams and pursue them
independently for several weeks
-Exposure of inappropriate emphasis on certain branches:

 concept combination table

-5. Reflect on the solutions and the process.

 Constructive feedback

===Summary
A product concept is an approximate description of the technology, working
principles, and form of the product. The degree to which a product satisfies
customers and can be successfully commercialized depends to a large measure on the
quality of the underlying concept. �

The concept generation process begins with a set of customer needs and target
specifications and results in a set of product concepts from which the team will
make a final selection. �

In most cases, an effective development team will generate hundreds of concepts, of

which 5 to 20 will merit serious consideration during the subsequent concept
selection activity. �

The concept generation method presented in this chapter consists of five steps:
1. Clarify the problem. Understand the problem and decompose it into simpler
sub-problems.
2. Search externally. Gather information from lead users, experts, patents,
published literature, and related
products.
3. Search internally. Use individual and group methods to retrieve and adapt
the knowledge of the team.
4. Explore systematically. Use classification trees and combination tables to
organize the thinking of the
team and to synthesize solution fragments.
5. Reflect on the solutions and the process. Identify opportunities for
improvement in subsequent iterations or
future projects. �

Although concept generation is an inherently creative process, teams can benefit

from using a structured method. Such an approach allows full exploration of the
design space and reduces the chance of oversight in the types of solution concepts
considered. It also acts as a map for those team members who are less experienced
in design problem solving. �

Despite the linear presentation of the concept generation process in this chapter,
the team will likely return to each step of the process several times. Iteration is
particularly common when the team is developing a radically new product. �
Professionals who are good at concept generation seem to always be in great demand
as team members. Contrary to popular opinion, we believe concept generation is a
skill that can be learned and developed.

======================================================================
[0 Product Planning]
[1 Concept Development]
1. Identify customer needs
2. Establish target specs << translation of customer needs into technical
terms
3. Concept generation << explore the space of product concepts that may
address the customer needs
4. Concept selection << to identify the most promising concept(s).

CH8: Concept Selection [concept screening & scoring]

-the process of evaluating concepts with respect to customer needs and other
criteria, comparing the relative
strengths and weaknesses of the concepts, & selecting one or more concepts
for further investigation or dev
-to generate alternative solution concepts in response to identified
customer needs
-an iterative process closely related to concept generation and testing.
-Helps the team refine and improve the concepts, leading to one or more
promising concepts upon which further
testing and development activities will be focused.
 The two-stage concept selection methodology is applied as a way to manage the
complexity of evaluating dozens of
product concepts. The first stage is called Concept Screening and the second
stage is known as Concept Scoring.

Concept screening uses a reference concept to evaluate concept variants

against selection criteria whereas concept
scoring may use different reference points for each criterion

Some methods for choosing a concept:

-External Decision: customer, client, or some other external entity makes the
selection
-Product champion: influential member of the PDev team chooses a concept
based on personal preference
-Pros and Cons, Intuition, Prototype and Test, Decision Matrices

Both screening and scoring use a matrix as the basis of a six-step selection
process

Concept Screening:
-to narrow down the number of concepts quickly and to improve the concepts
-the following screening matrix may be used:
1-Prepare the Selection Matrix
-criteria on left side as rows AND concepts (or concept variants)
at the top as columns
-can use a reference concept as a benchmark
2-Rate the Concepts
-A relative score of � better than� (+), � same as� (0), or �
worse than� (�) is placed in each
cell of the matrix to represent how each concept rates in
comparison to the reference concept
relative to the particular criterion.
3-Rank the Concepts
-the team sums the number of �better than,� �same as,� and �worse
than� scores and enters the
sum for each category in the lower rows of the matrix.
4-Combine and Improve the Concepts
-consider if there are ways to combine and improve certain
concepts
+Is there a generally good concept that is degraded by one bad
feature?
+Can a minor modification improve the overall concept and yet
preserve a distinction from the
other concepts? � Are there two concepts that can be combined
to preserve the �better than�
qualities while annulling the � worse than� qualities?
5-Select One or More Concepts
-From prev steps, the team will develop a clear sense of which
are the most promising concepts.
-The team must also decide whether another round of concept
screening will be performed or
whether concept scoring will be applied next. If the screening
matrix is not seen to provide
sufficient resolution for the next step of evaluation and
selection, then the concept-scoring
stage with its weighted selection criteria and more detailed
rating scheme would be used.
 Concept-scoring matrix: uses a weighted sum of the ratings to determine
concept ranking.

6-Reflect on the Results and the Process

Concept Screening uses a reference concept to evaluate concept variants

against selection criteria whereas Concept
Scoring may use different reference points for each criterion

Concept Scoring
-selection criteria and weight of each criteria | concepts (or concept
variants) at the top as columns

1. Prepare the Selection Matrix

-is used when increased resolution will better differentiate among
competing concepts.
-the level of criteria detail will depend upon the needs of the team
-hierarchical decomposition of selection criteria.
2. Rate the Concepts
3. Rank the Concepts
4. Combine and Improve the Concepts
-some of the most creative refinements and improvements occur during the
concept selection process as the
team realizes the inherent strengths and weaknesses of certain
features of the product concepts.
5. Select One or More Concepts
6. Reflect on the Results and the Process
-reflect on the selected concept(s) and on the concept selection
process.

===
Summary:
Concept Selection is the process of evaluating concepts with respect to customer
needs and other criteria, comparing the relative strengths and weaknesses of the
concepts, and selecting one or more concepts for further investigation or dev. �
=All teams use some method, implicit or explicit, for selecting concepts.
Decision techniques employed for
selecting concepts range from intuitive approaches to structured methods. �
=Successful design is facilitated by structured concept selection.
We recommend a two-stage process: Concept Screening and Concept
Scoring. �
=Concept Screening uses a reference concept to evaluate concept variants
against selection criteria.
=Concept screening uses a coarse comparison system to narrow the range of
concepts under consideration. �
=Concept scoring may use different reference points for each criterion. �
=Concept scoring uses weighted selection criteria & a finer rating scale.
=Concept scoring may be skipped if concept screening produces a dominant
concept. �
=Both screening and scoring use a matrix as the basis of a six-step selection
process.
The six steps are:
1. Prepare the selection matrix.
2. Rate the concepts.
3. Rank the concepts.
4. Combine and improve the concepts.
5. Select one or more concepts.
6. Reflect on the results and the process. �
Concept selection is applied not only during concept development but throughout the
subsequent design and dev process. �
Concept selection is a group process that facilitates the selection of a winning
concept, helps build team consensus, and
creates a record of the decision-making process.
======================================================================
[0 Product Planning]
[1 Concept Development]
1. Identify customer needs
2. Establish target specs << translation of customer needs into technical
terms
3. Concept generation << explore the space of product concepts that may
address the customer needs
4. Concept selection << to identify the most promising concept(s).
5. Concept testing

Ch9: Concept Testing - SURVEY

-the dev team solicits a response to a description of the product concept from
potential customers in the target market
-based on data gathered directly from potential customers
-relies to a lesser degree on judgments made by the development team.
-verifies that customer needs have been adequately met by the product concept,
-assess the sales potential of a product concept, and/or gather customer
information for refining the product concept

-Concept testing is appropriate at several different points in the development

process especially when:
�Identifying the original product opportunity
�Selecting which of two or more concepts should be pursued
�Assessing the sales potential of a product concept
�Deciding whether to continue further development and commercialization of
the product

A seven-step method for testing product concepts:

1. Define the purpose of the concept test:
-explicitly articulate in writing the questions that the team wishes to
answer with the test.
-the primary questions addressed in concept testing are typically: �
-Which of several alternative concepts should be pursued? �
-How can the concept be improved to better meet customer needs? �

-Approximately how many units are likely to be sold? �

-Should development be continued?

2. Choose a survey population:

-choose a survey population that mirrors the target market in as many
ways as possible
-the first few questions are called the screener questions and
generally are used to verify that the
respondent fits the definition of the target market for the product.

Factors leading to relatively smaller or larger survey sample sizes. �

SMALL
-�Test occurs early in concept development process. �
-Test is primarily intended to gather qualitative data. �
-Surveying potential customers is relatively costly in time or money. �

-Required investment to develop and launch the product is relatively

small. �
 -A relatively large fraction of the target market is expected to value
the product
( i. e., many positively inclined respondents can be found
without a large sample).

LARGE
-Test occurs later in concept development process. �
-Test is primarily intended to assess demand quantitatively. �
-Surveying customers is relatively fast and inexpensive. �
-Required investment to develop and launch the product is relatively
high. �
-A relatively small fraction of the target market is expected to value
the product
(i.e., many people have to be sampled to reliably estimate the
fraction that values the product).

3. Choose a survey format:

a-Face-to-face interaction;
can take the form of
-intercepts(stopping people at a mall, in a park, or on a
city street),
-interviews prearranged by telephone,
-interviews with potential customers at a trade-show booth,
or
-focus groups (i. e., prearranged group discussions with
6�12 people).
b-Telephone: cold calls to target population, prearranged nd targeted
population
c-Postal Mail: slow & suffers poor resonse rate, some kind of incentive
is offered to increase response
d-Electronic mail
-respondents seem slightly more likely to reply than via postal
mail.
-With the proliferation of unwanted e- mail, this tendency may
not persist.
-use only when respondents are likely to perceive a benefit to
their participation, or when the
-team has already established some kind of positive relationship
with the targetpopulation
e-Internet
-create a virtual concept-testing site in which survey
participants can observe concepts and
provide responses.
-An electronic mail message is usually used to recruit
respondents to visit the test site.

-Exploratory testing, typical in the early phases of concept

development, benefits from open-ended
interactive formats.
-Use face-to-face formats when presenting multiple concept alternatives
or when soliciting ideas for
improving a concept.
-As the purpose of the concept test becomes more focused, more
structured formats such as mail and
telephone become more appropriate.
-If the Qs are very focused, the team can hire a market research firm
to implement the concept test

-When gathering data intended primarily for use in forecasting demand,

third parties are generally used
to collect the data in face-to-face formats. This helps to avoid a
sympathy bias�respondents indicating
that they like the concept in order to please an anxious product
developer.

-The choice of survey format is closely linked to the way in which the
concept will be communicated.

4. Communicate the concept.

-Concepts can be communicated in any of the following ways, listed in
order of increasing richness of the
description.
a)Verbal description:
-A verbal description is generally a short paragraph or a
collection of bullet points
summarizing the product concept.
b)Sketch:
-usually line drawings showing the product in perspective,
perhaps with annotations of
key features.
c)Photos and renderings:
-used to communicate the concept when appearance models
exist for the product concept
-renderings are nearly photo-realistic illustrations of the
concept
d)Storyboard:
-series of images that communicates a temporal sequence of
actions involving the product
e)Video:
-allows even more dynamism than the storyboard
-the form of the product itself can be clearly communicated
-as can the way in which the product is used
f)Simulation:
-generally implemented as software that mimics the function
or interactive features of
the product.
g)Interactive multimedia:
-combines the visual richness of video with the
interactivity of simulation
-can display video and still images of the product
-the respondent can view verbal and graphical information
and can listen to audio info
+Unfortunately, the development of multimedia systems remains
expensive and therefore may be
justified only for large product development efforts.
g)Physical appearance models:
-Also known as � looks-like� models, vividly display the
form and appearance of a
product.
-Often made of wood or polymer foams and are painted to
look like real products
-In some cases, limited functionality is included in the
model
h)Working prototypes:
-When available, working prototypes, or works-like models,
can be useful in concept
testing
-The primary risk is that the respondents will equate the
prototype with the finished
product.

Appropriateness of different survey formats for different ways of

communicating the product concept.
COMMUNICATION Telephone | Electronic Mail | Postal Mail
| Internet | Face-to-Face
Verbal description � � � � � + + +
+ +
Sketch � � � � + + +
+
Photo or rendering � � � � + +
+ +
Storyboard � � � � + +
+ +
Video � � +
+
Simulation � � +
+
Interactive multimedia � � +
+
Physical appearance model �
+
Working prototype �
+

Issues in Communicating the Concept

-the team must decide how aggressively to promote the product and
its benefits
-the description of the concept should closely mirror the
information that the user is likely
to consider when making a purchase decision.
-recommend that price be omitted from the concept description
unless the price of the product
is expected to be unusually high or low.
-Instead of including price, ask the respondent explicitly
his/her expectation of price.
-Instead of showing a single concept, the team may choose to ask
a respondent to select from
several alternatives.
-approach is attractive if team is trying to decide among several
concepts under consideration

Variant: present the concept for the new product along with
descriptions & pictures of the most
successful existing products. This approach has the advantage of
allowing respondents to directly
assess attributes of the product concept in comparison to those
of competitors.

5. Measure customer response

-Concept tests also generally attempt to measure purchase intent
-The most commonly used purchase-intent scale has five response
categories: �
Definitely would buy �
Probably would buy
Might or might not buy �
Probably would not buy�
Definitely would not buy
 6. Interpret the results
-We estimate Q, the quantity of the product expected to be sold during
a time period, as
Q = N � A � P
N is the number of potential customers expected to make
purchases during the time period
A is the fraction of these potential customers or purchases
for which the product is available
and the customer is aware of the product.
P is the probability that the product is purchased if
available & if customer is aware of it
P is estimated in turn by
P = [C�F]definitely + [C�F]probably
0.10 < Cdefinitely < 0.50, 0 < Cprobably < 0.25

-NOTE: values reflect the typical bias of respondents to

overestimate the probability that they
would actually purchase the product

7. Reflect on the results and the process

-The primary benefit of the concept test is in getting feedback from
real potential customers.
-The team benefits from thinking about the impact of the three key
variables in the forecasting model:
(1) the overall size of the market,
(2) the availability and awareness of the product, and
(3) the fraction of customers who are likely to purchase.
-In considering these factors, a sensitivity analysis can yield useful
insights & aids in decision making

+was the concept communicated in a way that is likely to elicit customer

response that reflects true intent?
+is the resulting forecast consistent with observed sales rates of similar
products?

=====Summary
-A concept test solicits a direct response to a description of the product concept
from po-tential customers in the target market.
Concept testing is distinct from concept selection in that it is based on data
gathered directly from potential customers and relies to a lesser degree on
judgments made by the development team. �
-Concept testing can verify that customer needs have been adequately met by
the prod-uct concept, assess the
sales potential of a product concept, and/ or gather customer information
for refining the product concept. �
-Concept testing is appropriate at several different points in the
development process:
when identifying the original product opportunity,
when selecting which of two or more concepts should be pursued,
when assessing the sales potential of a product con-cept, and/ or
when deciding whether to continue further development and
commercialization of the product. �
-We recommend a seven-step method for testing product concepts:
1. Define the purpose of the concept test.
2. Choose a survey population.
3. Choose a survey format.
4. Communicate the concept.
5. Measure customer response.
6. Interpret the results.
7. Reflect on the results and the process.