managing the development of new products: by milton d. rosenau, jr. and john j. moran. new york: van...

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BOOK REVIEWS J PROD 1NNOV MANAG 371 1994; 11:367-378 others in the firm without necessarily having to go up the chain of command for a decision. Fifth, all of these firms have explicit innovation goals. And in every one of the firms in their sample, the innovators measure their success not in terms of "how good it is," but rather in how well it sells. This fact, plus von Hippel's [5] emphasis on using one's customers for innovative ideas, keeps these firms focused on their customers and their needs. This fifth point leads to my major concern with what is otherwise a valuable book. Most of these firms have at least one major blot on their innovation escutcheon. The authors do not investigate any of these major failures, choosing instead to focus on what these firms have done right. Yet, I think that where and how they failed illuminates what they did right. These firms' failures have tended to come in consumer markets, where conditions are quite different from their usual markets which tend to be engineer-driven. Why? Perhaps in consumer markets these firms do not know how to listen to customers [2]. Or, as a recent article has it, innovation now is "not so much in product design as in managing relationships with suppliers, customers, subcontractors and even competitors" [3]. This criticism apart, this is a valuable book on how to organize for and pursue innovation. Many of the lessons from their sample firms will help others in other industries pursue their own innovation mara- thons. And, despite the fact that the authors are both academics, this is not an academic book; all of the methodological details of interest mostly to other academics are safely segregated in an appendix. References are present where necessary, but come in bursts. In short, this is an excellent book on a troublesome subject. Those in charge of innovation programs or new product development should read it and ponder its lessons. Dennis J. Cahill North Union Associates, Inc. References 1. Burns, Tom and Stalker, G. M. The Management oflnnavation. London: Tavistock Institute, 1961. 2. Cahill, Dennis J. and Warshawsky, Robert M. The marketing concept: a forgotten aid for marketing high-technology products. Journal of Consumer Marketing 10(1):17-22 (1993). 3. Hadar, Iddo. Extending the enterprise. Upside 54-59 (March 1994). 4. Kawasaki, Guy. The Macintosh Way.Glenview, IL: Scott, Foresman and Co., 1990. 5. yon Hippel, Eric. Lead users: a source of novel product concepts. Management Science 791-805 (1986); and Herstatt, Cornelius and yon Hippel, Eric. FROM EXPERIENCE: Developing new product concepts via the lead user method: a case study in a "low tech" field. Journal of Product Innovation Management 213-221, IX (1992). Managing the Development of New Products, by Milton D. Rosenau, Jr. and John J. Moran. New York: Van Nostrand Reinhold, 1993. 255 + xv pages. $49.95. Managing the Development of New Products by Milton D. Rosenau, Jr. and John J. Moran is primarily aimed at the recently appointed manager of a new product development project. It focuses on four key elements that are critical to new product success: speed to market, quality, profitability, and the multi-func- tional team. These subjects are covered briefly in the first chapter and integrated into the rest of the book. Having practiced new product development in both large and small companies and in private consulting practice, I recognize that development is unique and that new product development personnel--whether they are selected to be the team leader or a core team member--need a good playbook, a common ground, as the foundation for success. Even the experienced product development manager can use a handy reference of latest up-to-date thinking that can supple- ment his experiential leanings. Rosenau and Moran's book does this quite well. I regard the book as one of basics and fundamentals that new teams can use--a basic book on "blocking and tackling." And for a book of 194 pages and 50 plus pages of Appendices, it is direct and to the point. There is little wasted writing or ramblings, just the facts. Yet the book is written in a conversational tone and with short staccato chapters, the book is easy to read and digest. No single book can provide all information on all situations that might exist on product development teams. This book does not make that claim either. Two of the best points of the book are extensive references for books and articles for further reading and a well thought out Appendix. I would have also liked to have seen more and varied bibliographic information, for example, references to articles from the Journal of Product Innovation Management or some other well-known authors of project management texts such as Kerzner. The book is divided into a logical chapter set from defining the goals of the project, to planning, to leading the project, to monitoring and completing the project. To show how this fits together, Rosenau and Moran use a new product development process roadmap which pictorially depicts the relationship among critical product development activities. As they introduce new ideas and concepts, they highlight those

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Page 1: Managing the development of new products: by Milton D. Rosenau, Jr. and John J. Moran. New York: Van Nostrand Reinhold, 1993. 255 + xv pages. $49.95

BOOK REVIEWS J PROD 1NNOV MANAG 371 1994; 11:367-378

others in the firm without necessarily having to go up the chain of command for a decision.

Fifth, all of these firms have explicit innovation goals. And in every one of the firms in their sample, the innovators measure their success not in terms of "how good it is," but rather in how well it sells. This fact, plus von Hippel's [5] emphasis on using one's customers for innovative ideas, keeps these firms focused on their customers and their needs.

This fifth point leads to my major concern with what is otherwise a valuable book. Most of these firms have at least one major blot on their innovation escutcheon. The authors do not investigate any of these major failures, choosing instead to focus on what these firms have done right. Yet, I think that where and how they failed illuminates what they did right. These firms' failures have tended to come in consumer markets, where conditions are quite different from their usual markets which tend to be engineer-driven. Why? Perhaps in consumer markets these firms do not know how to listen to customers [2]. Or, as a recent article has it, innovation now is "not so much in product design as in managing relationships with suppliers, customers, subcontractors and even competitors" [3].

This criticism apart, this is a valuable book on how to organize for and pursue innovation. Many of the lessons from their sample firms will help others in other industries pursue their own innovation mara- thons. And, despite the fact that the authors are both academics, this is not an academic book; all of the methodological details of interest mostly to other academics are safely segregated in an appendix. References are present where necessary, but come in bursts. In short, this is an excellent book on a troublesome subject. Those in charge of innovation programs or new product development should read it and ponder its lessons.

Dennis J. Cahill North Union Associates, Inc.

References 1. Burns, Tom and Stalker, G. M. The Management oflnnavation. London:

Tavistock Institute, 1961.

2. Cahill, Dennis J. and Warshawsky, Robert M. The marketing concept: a forgotten aid for marketing high-technology products. Journal of Consumer Marketing 10(1):17-22 (1993).

3. Hadar, Iddo. Extending the enterprise. Upside 54-59 (March 1994).

4. Kawasaki, Guy. The Macintosh Way.Glenview, IL: Scott, Foresman and Co., 1990.

5. yon Hippel, Eric. Lead users: a source of novel product concepts. Management Science 791-805 (1986); and Herstatt, Cornelius and yon

Hippel, Eric. FROM EXPERIENCE: Developing new product concepts via the lead user method: a case study in a "low tech" field. Journal of Product Innovation Management 213-221, IX (1992).

Managing the Development of New Products, by Milton D. Rosenau, Jr. and John J. Moran. New York: Van Nostrand Reinhold, 1993. 255 + xv pages. $49.95.

Managing the Development of New Products by Milton D. Rosenau, Jr. and John J. Moran is primarily aimed at the recently appointed manager of a new product development project. It focuses on four key elements that are critical to new product success: speed to market, quality, profitability, and the multi-func- tional team. These subjects are covered briefly in the first chapter and integrated into the rest of the book.

Having practiced new product development in both large and small companies and in private consulting practice, I recognize that development is unique and that new product development personnel--whether they are selected to be the team leader or a core team member--need a good playbook, a common ground, as the foundation for success. Even the experienced product development manager can use a handy reference of latest up-to-date thinking that can supple- ment his experiential leanings. Rosenau and Moran's book does this quite well. I regard the book as one of basics and fundamentals that new teams can use--a basic book on "blocking and tackling." And for a book of 194 pages and 50 plus pages of Appendices, it is direct and to the point. There is little wasted writing or ramblings, just the facts. Yet the book is written in a conversational tone and with short staccato chapters, the book is easy to read and digest.

No single book can provide all information on all situations that might exist on product development teams. This book does not make that claim either. Two of the best points of the book are extensive references for books and articles for further reading and a well thought out Appendix. I would have also liked to have seen more and varied bibliographic information, for example, references to articles from the Journal of Product Innovation Management or some other well-known authors of project management texts such as Kerzner.

The book is divided into a logical chapter set from defining the goals of the project, to planning, to leading the project, to monitoring and completing the project. To show how this fits together, Rosenau and Moran use a new product development process roadmap which pictorially depicts the relationship among critical product development activities. As they introduce new ideas and concepts, they highlight those

Page 2: Managing the development of new products: by Milton D. Rosenau, Jr. and John J. Moran. New York: Van Nostrand Reinhold, 1993. 255 + xv pages. $49.95

372 J PROD INNOV MANAG BOOK REVIEWS 1994; 11:367-378

areas on the roadmap. This provides an excellent model for learning and understanding.

The starting point in any project is the "triple constraint"--performance specifications, budget, and schedule. Using Quality Function Deployment (QFD), a topic reasonably treated in Appendix E, the cross- functional teams can rally around the voice of the customer in designing and commercializing the prod- uct. While the triple constraint is covered adequately, I believe that to unify the team, the triple constraint needs to be laid out in a fair amount of detail, and not only include these three aspects of the project, but also the metrics for the team to judge success of the project. Rosenau and Moran use the triple constraint as a springboard for the technical details of planning a project. There are a few chapters dedicated to typical project management tasks and tools such as estimat- ing, scheduling, risks, contingencies, and work break- down structures. The authors do a credible job highlighting the different kinds of project tools and explaining their preferred choice of Time-Based Activity-on-Arrow (TBAOA). Since we live in a world of personal computers, they discuss microcomputer software both in the chapter and in a separate Appendix. These brief treatments of project manage- ment are a good start for the new project manager or refresher for the seasoned manager.

With the triple constraint and basics for project management specified, the authors turn to the human aspects of managing a project team. This is an area where theory is turned into reality, where people can synergize and develop a project, or where it all falls apart. This reviewer believes that the human aspects are as critical to speed and success as the technical aspects of running a project. The text describes how to organize a new product project and discusses various organization forms. While this aspect is intriguing, Chapters 11-14 provide much needed insight into behavior and leadership skills on the core and support teams that will make the project successful.

The book concludes with aspects of monitoring projects and reviews which are necessary to keep a project on target. The information is useful but not overwhelming.

This book hits the mark. It delivers what it promises and can help the novice improve the performance of new product teams and the success rate of new product projects. This reviewer was particularly impressed with the clarity and depth of the information in the Appendix, particularly the checklists to run a project, the discussion on financial analysis, and QFD. Manag-

ing the Development of New Products is a very good book for the novice and the experienced new project manger too and should serve as a handy resource on their bookshelf.

David Friedman Covia Technologies

Breakthrough Thinking in Total Quality Management, by Glen D. Hoffherr, John W. Moran, and Gerald Nadler. Englewood Cliffs, PTR Prentice Hall, 1994. 434 pages. $29.95.

Few ideas have taken hold of today's managers as that of Total Quality Management (TQM). The need to improve quality of products and services, the need to raise levels of customer satisfaction, and the ability to compete successfully have all been discussed thor- oughly in books, periodicals, and the electronic media. The concept of TQM has become pervasive within management circles, academia, and professional asso- ciations. After all, who could argue against quality?

Yet few would argue either that with all the efforts and emphasis on quality circles or improving time-to- market or applying the "guru" principles of Deming, Juran, or Crosby, or whatever other model you can name, the results have been all we've wanted or expected. Everyone recognizes the importance of im- proving quality of product and achieving higher levels of customer satisfaction. But many have also come to feel--and fear--that successful implementation of TQM as an ongoing process is extremely difficult and that positive results will always be elusive.

Why has TQM been so difficult to implement? It has been suggested that problems mainly occur because middle-level managers, for instance, don't always buy into the process. To some of them TQM is just another "add-on" program. Or perhaps the effort dies because the program "champion" moves on to another job and no one is left to pick up the enthusiasm. For whatever reasons, we can agree with the authors that perhaps there is a better way to get a TQM program started and improve the odds for getting real results.

The authors have taken the view that successful implementation of TQM requires more than good intentions. It requires what they refer to as a paradigm shift in thinking. The mode of thinking, they say, needs to change. Not only about TQM but in all problem- solving situations.

Enter Breakthrough Thinking. As a technique Breakthrough Thinking offers a new and fresh ap-