New Product Development

1. Can You Complete It?

Apart from having the right product idea in the first place, there are three essential ingredients for successful new product development.

1.1 You need the relevant skills.

• For example, if you are developing a new food product, having a technician who can create the right look and taste is only the starting point. Other issues include sourcing ingredients, the mass production process, quality control, packaging, customer trials, costing and pricing, and so on (see ISO 9000 and Pricing).

1.2 You need to commit sufficient resources.

• If you can only afford a half-hearted attempt, do not even begin. Without the critical mass of people, time and money invested, your project will be doomed to failure.
• If you commit too many resources, the rest of your business may suffer.
• You may need finance. (See Overdrafts and bank loans, Venture capital, and Business angels.)

1.3 You need personal commitment to the success of the project.

• Though teamwork is important (see 4), in a smaller business it is often the owner-manager who must drive the project.