innovation team plan

R&D Team Plan

2009/Oct/11

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1 Contents

1. Why New R&D Team2. Vision, Strategy, Objective 3. Road Map/Process/Methodology - Stage-Gate NPD Framework

1. What is Stage-gateTM

2. Why Stage-Gate3. Performance Measurement 4. Stage-Gate Examples

4. Ideas lineup – Starting Point

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1 Why this new R&D Team

• Growth – Shareholder Demands• Changing Needs • Competitive Reaction• New R&D/Technology• Macro environmental Constraints – Recession, Saturation in

tradition application development

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Vision: Open Source, economy class, enterprise solution team

Strategy: 30% resource in R&D, Innovation and New product development (NPD)

Objective:

• Create Strategic Infrastructure• Re-Usability – Code Asset management.• Component, Plug-in Dev

2 Vision, Strategy & Objective

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What is Stage-Gate?

Deliverables

Schedules

Issues

Resources

Toolbox

Stage-Gate Process

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What is Stage-Gate?

Decision Point Reviews

StructuredBusinessProcess

• Define strategic direction of product development efforts• Effective resource allocation across products• Management of the product development “pipeline”

Management Approval Team

• Roadmap for all projects• Consistent terminology• Inter-functional linkages• Deliverable templates

• Small, cross-functional teams representing the entire project• Effective communication and coordination• Project focus with clear responsibility and authority

Core Teams

• Milestone driven• Business perspective• Phase by Phase

guidance• Core Team

empowerment

Lead

1 2 3 4

Chair

IdeasIdeas

Projects proposed

Projects proposed

Projects executedProjects executed

Mediocre Products,Discontinued Products,Flops

Mediocre Products,Discontinued Products,Flops

Successful Products

Successful Products

Projects canceled

Projects canceled

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What is Stage-Gate?

/Or Phases

/Or Decision Point

Task Owner View

Management View

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A Generic Stage-Gate New Product Development Process

IdeaIdea

PIRPIR

Stage1

Stage1

Stage3

Stage3

Stage2

Stage2

Stage4

Stage4

Stage5

Stage5

Gate1

Gate2

Gate3

Gate4

Gate5

Ideation

InitialScreen

PreliminaryInvestigation

Detailed Investigation(Build Business Case)

SecondScreen

Decision onBusiness Case

Development

Post developmentReview

Pre commercializationBusiness Analysis

Post implementationReview

Testing andValidation

Full Productionand Market Launch

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Stage Gate Product and Technology Development and Review Process 9

Product, Development and Review Process

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Stage Gate Technology Review Process:

1. What problem are we trying to solve?

2. How to design a stage gate review process.OK, I believe it’s good for me,

But how do I actually DO it?

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G1A1 A2 A3G2I1

I2

O2

O1

Stage Gate Development Process

Stage Gate Review Process

Stage Gate Concept is Quite Simple…

1. Break product development into stages,

2. Put “Stage Gate Review” decision blocks in the process flow…

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ContinueA A

Redirect

KillHold

G

All Gates work the same way…

At the end of each development stage, you hold a stage gate

review to determine if you should:

- Go to the next stage,

- Remain in the current stage,

- Put the project on hold,

- Kill the project.

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The Devil is in the Details:

1. Design/Structure• Example of structure.

2. Execution• How do you perform a gate review?

3. Culture• How do you actually make it work?!

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2. Stage Gate Review Execution:

Review is usually a meeting. So -

• What is the actual purpose of the meeting?

• How are decisions arrived at?

• Who should attend the meeting?

• How is the meeting conducted?

ContinueA A

Redirect

KillHold

GThis is what your “final” project presentation could look like next year.

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Purpose of Stage Gate Review Meeting:

Stage gate reviews…

• Are business decision meetings

• Are not project reviews

• Are not design reviews

• Are not performance reviews

A key advantage of a well-deigned and well-executed stagegate process is that it makes the engineer/technologists anintegral contributor to business decisions.

This is absolutely essential in technology-driven businesses.

About picking the projects that

will have the biggest impact

on your business

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Purpose of Gate Review Meeting:

• Picking “winner” projects and killing “losers”.

• For “winners”, this is about:

• Making an investment decision (where to put money),

• Allocating and committing resources (where to put people),

• Assessing potential of project (all info needed to make good decision), not quality of project or product,

• Assessing risk of project (but “winner” may be high or low).

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ContinueA A

Redirect

KillHold

G

OK, but how do we decide what the decision will be?- Continue?- Redirect?- Hold?- Kill?

Well, let’s look inside of a gate…

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Is thisa “good”project?

All information

needed?

Yes

No

Kill Hold

Continue

Re-Direct

Whatis its

priority?

Yes High

No Low

Gate Decision Elements:

Does this project makebusiness sense:

~ Strategically?~ Financially?~ Technically?

Has the teamcompleted allthe activities anddeliverables in aquality fashion?

What is the impact relative to other projects?

Are people and money available?

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The general idea here is to make the decision as

- Systematic- Automatic- Robot-like

As possible.

You want an objective process that drives opinion and conjecture out of the process.

Anybody/everybody in the organization comes to the same decision.

PetProjects

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StageGate

Review

Executors (R):Running thecurrent project

Experts (R):Validating project deliverables

Customers (V):Receiving next project outputs

Suppliers (V):Asking for next project

Investors (V):Paying* for next project

Who Should Attend the Review?

R = RecommendV = Vote* = “Paying” means providing money and/or people

Note: a particular individual may play more than one role.

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StageGate

Review

Executors (R):Running thecurrent project

Experts (R):Validating project deliverables

Customers (V):Receiving next project outputs

Suppliers (V):Asking for next project

Investors (V):Paying* for next project

Who Will Attend YOUR Review?

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Typical Stage Gate Review Agenda:

• 20 min. Executor presentation and recommendation –All participants – Silent listening to presentationNo discussion, but clarifying questions allowed.

• 15 min. General discussion –All participants – Led by non-voting facilitator.

• 15 min. Voter deliberation –Typically voters only – Led by facilitator.

• 10 min. Tem briefing on decision and action items –All participants – Led by facilitator.

• 1 hour Yes, this can, and must, be met – for $10K projects and $1M projects!

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Gatekeeper Rules of Order

• “Gatekeepers” are the voters at the stage gate review meeting.

• If gate review meetings degenerate to vicious attacks by gatekeepers on project teams –

Then before long you won’t have any new projects.

• To avoid having this happen, gatekeeper rules of order need to be established and enforced (by review meeting facilitator).

Here are some rules…

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Gatekeeper Rules of Order – Part 1

• Gatekeepers must attend in-person or virtually, or your vote defaults to “Continue”. A proxy may be designated.

• Gatekeepers must review team presentation before the meeting.

• Serious concerns must be communicated to teams before the meeting. No “surprise attacks” allowed.

• No “cross-examination” allowed during team presentations.

• Gatekeepers cannot require and/or base decisions on information outside of the scope of the stage being reviewed.

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Gatekeeper Rules of Order

• Decisions must be made in accordance with the criteria for the gate, not on gatekeepers opinion.

• Final vote must be unanimous. Gatekeepers must be wiling to negotiate with other gatekeepers.

• You can “Hold” a project, but you can’t “Hold” a decision.

• “Continue” decision means that money and resources are committed!

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• You spent half your budget on projects that you killed.

• Actually, this would happen anyway (or worse).

• But here you plan for this right up front.

That takes significant managerial courage.

Stage Projects Killed Cost Per Total Cost Cost of Killed

A 60 45 $50K $3M $2.25M

B 15 11 $200K $3M $2.20M

C 4 1 $1M $4M $1M

$10M ~$5M

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Bottom Line…

• The vast majority of projects will be killed.

• People will see this as:

• Personal failure,

• Disruptive and unsatisfying - Constantly starting new projects – never “finishing” anything.

• Threat at performance review time – What am I being judged on? What is “success”? What is “excellence”?

• Threat to job security – Constantly killing projects implies an insecure position.

This is the ultimate cultural challenge of Stage Gate

What grade would YOU expect for a killed project?

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Why Use Stage-Gate?

• Provides NPD Strategic Infrastructure • Organizes Decision-Making• Provides Consistent Metrics• Facilitates Cross-Functional Communication• Contains and Controls Risks (time & money)

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Performance Measurement

• Measuring the Stage-Gate– Time to market (Development Cycle Time)– Time to profit (Break Even Time)– New product commercialization rate– Time lag between successive product launches– Average number of new products released per FTE– Number of products or projects in each stage– Percent of product or project candidates accepted/rejected– Number of total products or projects currently sponsored– Percent of product or project resources in gate process– Number of cycles or repeat gate reviews

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Critical Success Factors

• Resource Availability– Allocate 2 full time resource

• Knowledge Management System– Team Blog & ITIL

• Risk Management System– CMMI QMS Process

• Project Management Methodology– Agile Product Development

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1 Enterprise Mobile Value Added Services (Mobile VAS)

2 way SMS integration with Web Lead Management

Localize SMS & Localize content on mobile web

Send SMS and download theme, wallpaper, ringtone etc.

mPoint - Mobile portal for Contests, Game, Downloads, community, helpdesk, loyalty program, Nearest Dealer's location, surveys , eLearning, what's new etc. and many more upcoming trends in mobile users (3G & 4G)

2 Mobile Marketing - SMS, Voice, WAP

3 LBS-based Mobile Marketing

4 Mobile Installable Application, tools, utilities, Mobile goodies

5 Mobile CRM

6 Viral tools:MMS greeting cards, send-a-friend mechanisms, etc.

7 Revenue sharing business model of MVAS

8 Service Delivery Platform (SDP) - Server Establishment

9 OpenSocial - Google open source social media apps

10 Project Management tool - open source

11 The Balanced Scorecard

12 Online surveys application

13 Knowledge Base Blog & IT Infrastructure Library ITIL

14 User Experience Design - Articture/framework , tools, Util. etc.

15 The Stage – Gate approach - R&D Process Implementation

16 Agile Software Development Process - Initiation

17Portal Development for Agro segment, Helth & fitness, New tech, Sports, Localize SMS Students & Job (Top 5 Category/Growth rate)

18 Google Map API integration

Ideas Lineup – The Starting Point

innovation team plan

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