JOURNAL 2
Chapter 19
Launch Management
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Launch Management Concept Showing Remedial Action
Launch
Now
6 months
Time
Plan
Actual
With action
Without action
Figure 19.1
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% aware who
have tried
As of now
Goal
The Launch Management System
- Spot potential problems (*potholes).
- Select those to control.
- Consider expected impact/damage.
- Develop contingency plans for the management of problems.
- Design the tracking system.
- Select variables.
- Devise measuring system.
- Select trigger points.
*Adage: when driving a car, it is the potholes you don’t know about or see that cause damage.
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Spotting Potential Potholes
- Identify with situation analysis.
- Role-play what competitors will do.
- Analyze data in the new product's "file."
- Examine hierarchy of effects needed to result in a satisfied customer (A-T-A-R).
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A-T-A-R Hierarchy: Where is the Pothole?
Aware
Unaware
Tried
Not
Tried
Reused
Not R.
Does the problem lie in awareness, trial, or repeat?
Figure 19.2
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Decision Model for Building Launch Control Plan
Figure 19.3
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Select the Control Events
Of all potential potholes,
- What are the most significant to investigate?
- How would you prioritize them?*
- Which of these should be given contingency planning?
- And which of these need to be tracked?
*Basis: Consider potential damage and likelihood
of occurrence.
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Develop Contingency Plans
- "Is there anything we can do?"
- e.g.: competitive price cut or product imitation.
- Base contingency plan on type of problem:
- 1. A company failure (e.g., inadequate distribution)
- 2. A consumer failure (e.g., low awareness or trial)
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Designing the Tracking System
- Select the tracking variables
- Relevant, measurable, predictable
- Select the trigger points
- Consider the nontrackable problems
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Questions from New Product Tracking Study
Category Usage Questions
In the past six months, how many times have you bought detergent (product category)?
What brands of detergent have you ever heard of?
Have you ever heard of Cheer (brand)? (Ask for 4 to 6 more brands)
Have you ever bought Cheer? (Ask for 4 to 6 more brands)
About how many times have you bought Cheer in the past six months?
Advertising Awareness Questions
Do you recall seeing any advertising for Cheer (ask all other brands respondent is aware of)
Describe the advertising for Cheer.
Where did you see the advertising for Cheer?
Figure 19.6
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Questions from New Product Tracking Study (continued)
Purchase Questions
Have you ever bought Cheer?
Figure 19.6 (cont’d.)
If "Yes":
How many times have you bought it?
How likely are you to buy Cheer again?
What did you like/dislike about Cheer?
What do you think of the price of Cheer?
If "No":
Did you look for Cheer in the
store?
Why didn't you try Cheer?
How likely are you to try Cheer in the future?
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A Sample Launch Pothole Management Plan
Potential Pothole
Salespeople fail to contact general-purpose market at prescribed 10 calls/week/rep.
Tracking
Track weekly sales call reports. Also track key account placement activity.
Contingency Plan
Obtain district manager reports on causes of fewer calls vs. plan. If activity falls below 10 calls/week/rep for three more weeks, institute increased account call coverage goals – e.g.,15 calls/week.
Figure 19.7 example
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Another Pothole Management Plan Example
Potential Pothole
Potential customers are not making trial purchases.
Tracking
Begin a series of 10 follow-up calls a week to prospects.
There must be 25% agreement on product's main feature and trial orders from 30% of those prospects that agree on the feature.
Contingency Plan
Special follow-up phone sales calls to all prospects by reps, offering a 50% discount on all first-time purchases.
Figure 19.7 (cont’d.)
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Post Launch After Action Review
- Understanding the events leading up to product launch.
- Identify what went right (so it can be duplicated) and what went wrong (so it can be fixed in the future).
- Contains planned versus actual results, what has been learned, and recommended changes for future launches.
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A Sample After Action Review
- Objectives:
- Send customer sample by end December
- Send revised samples by end February
- Reduce test time in half (from 60 to 30 seconds)
- Results:
- First Objective missed by one week, other objectives achieved
- Reasons for variances:
- New product did not achieve performance requirements spelled out in the product spec.
- Too much time (six weeks) lost in redesign and remanufacturing as a result.
- Not enough time allocated for hardware or software changes.
- But, team was able to reduce test time due to newly developed efficient testing.
- Lessons learned:
- Relied too much on off-the-shelf processes.
- Testing procedure turned out to be more complex than expected, which should have been accounted for in the plan.
Source: Ken Bruss, “Gaining Competitive Advantage by Leveraging Lessons Learned,” in A. Griffin and S. M. Somermeyer, The PDMA Toolbook 3 For New Product Development, Wiley, 2007.
Figure 19.8
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A Stepwise Product Deletion Process
Recognition of the product to be deleted
Analysis and revitalization stage
Evaluation and decision formulation stage
Implementation stage
Figure 19.9
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Source: George J. Avlonitis, Susan J. Hart, and Nikolaos X. Tzokas, “An Analysis of Product Deletion Scenarios,” Journal of Product Innovation Management, Vol. 17, No. 1, January 2000, pp. 41-56.
Source: George J. Avlonitis, Susan J. Hart, and Nikolaos X. Tzokas, “An Analysis of Product Deletion
Scenarios,”
Journal of Product Innovation Management
, Vol. 17, No. 1, January 2000, pp. 41-56.