Presentation from ProductCamp Atlanta 2012 by Frank Harris of NPLearning

1. PRODUCTCAMP 6
SATURDAY 8.18.12
WEB: www.pcampatl.com
TWITTER: @pcampatl #pcampatl
Web: www.pcampatl.com
FACEBOOK: facebook.com/productcampatlanta
Twitter: @pcampatl
Facebook: facebook.com/productcampatlanta
8/18/12 (c) All Rights Reserved NP Learning, LLC 1

2. The Poison Pill of Product Development
Bad Requirements
8/18/12 (c) All Rights Reserved NP Learning, LLC 2

3. Agenda
• Introduction
• Framework and Assumptions
• Key Definitions for Clarity
• Market Requirements Analysis
• Case Study
8/18/12 (c) All Rights Reserved NP Learning, LLC 3

4. Frank Harris
Chief Operating Officer
frank@nplearning.com
770-598-1205
8/18/12 (c) All Rights Reserved NP Learning, LLC 4

5. Product Development Phases
Market Requirements Analysis
8/18/12 (c) All Rights Reserved NP Learning, LLC 5

6. Framework and Assumptions
Identified Market Segments
Discovery  High Potential Value
Market Research Conducted
Opportunities 1 Ideas 2 Proof of 3  Analyzed Trends - STEP
Purchase
 SWOT Analysis
 Identified Market Segments
 Voice of the Customer
The Discovery phase is to determine if the
customer is real and willing to purchase based
on identified value. Market Opportunity Assessment
Project Idea Assessment
Value Return on Investment
Discover needs, problems, and issues that have high value
in the selected market segments.
8/18/12 (c) All Rights Reserved NP Learning, LLC 6

7. New Product Definition
A new product is either a
good or service (both)
new to the firm
marketing it that
generates revenue for
the company.
New products can range
from incremental to
disruptive in nature.
PDMA.org Glossary
8/18/12 (c) All Rights Reserved NP Learning, LLC 7

8. Definitions
Word Definition * Example
Something wanted or needed Small size, comfortable,
Requirements
easy to read
The solution to a need or Handle, on/off button,
Features
problem one click, 18 pt font
Attribute expressed in terms Convenience, quick
Benefits
of what the user gets from the download, ready to use
product
A detailed description of the Meets FDA xxx.x,
Specifications
features and performance weights <1 lb., UL fire
characteristics of a product retardant
* PDMA.org Glossary
8/18/12 (c) All Rights Reserved NP Learning, LLC 8

9. Market Requirement Analysis – (MRA)
Modified Kano
8/18/12 (c) All Rights Reserved NP Learning, LLC 9

10. MRA – Market Requirements List
Requirement Requirement Description
Number
1. List all Requirements that VOC identified – avoid prejudging
2. Create unique Requirement number – (PJ-1-01)
3. Describe the Requirement – address one and only one thing
4. List appropriate doc., spec. and section – for regulatory needs
8/18/12 (c) All Rights Reserved NP Learning, LLC 10

11. MRA – Requirements Importance and Ranking
Requirement Kano Kano Kano Priority Regulation
Number Relevance Differentiation Score Ranking Reference
1. Relevance to the customer – rank* 1 to 100
2. Differentiation from competition – rank* 1 to 100
3. Score is product of relevance and differentiation
4. Priority rank the requirement based on score
5. Discuss with team – ranks are based on VOC data
* 1 is low and 100 is high
8/18/12 (c) All Rights Reserved NP Learning, LLC 11

12. Market Requirement Analysis – (MRA)
Kano Requirement Matrix
High - 100
“Antes” “Drivers”
Value
To the customer
Relevance
“Neutrals” “Fool’s Gold”
Cost
Low - 0
High - 100
Differentiation
From competition
8/18/12 (c) All Rights Reserved NP Learning, LLC 12

13. Case Study: Actual Product
Requirement
Requirement Description
Number
Meets NIOSH revised standard 42 CFR 84 for Closed
PJ-1-01
Circuit Escape Respirators (CCER)
PJ-1-02 Meets Navy EEBD Spec A-A-59763 EEBD
Meets Federal Railroad Association (FRA) standard (yet to
PJ-1-03
be released)
Meets in-house requirements for O2 left in counterlung at
PJ -1-04
end of duration
PJ-1-05 Small size and light weight
PJ-1-06 Ergonomics – comfortable to wear
Eliminate potential for „caustic cocktail‟ caused by LiOH
PJ-1-07
getting into breathing loop
PJ-1-08 15-year shelf life
PJ-1-09 Consistent performance and capacity results
8/18/12 (c) All Rights Reserved NP Learning, LLC 13

14. Case Study: Actual Product
Requirement Importance and Ranking
Requirement Kano Kano Kano
Priority Regulation Requirement Description
Number Relevance Differentiation Score
PJ-1-05 90 85 7650 1 Small size and light weight
Ergonomics – comfortable to
PJ-1-06 90 75 6750 2
wear
Eliminate potential for
„caustic cocktail‟ caused by
PJ-1-07 75 75 5625 3
LiOH getting into breathing
loop
Meets in-house requirements
PJ-1-04 50 50 2500 4 for O2 left in counterlung at
end of duration
Meets Navy EEBD Spec A-A-
PJ-1-02 100 20 2000 5 AA 59763
59763 EEBD
Consistent performance and
PJ-1-09 25 60 1500 6
capacity results
Meets NIOSH revised
standard 42 CFR 84 for
PJ-1-01 100 10 1000 7 42 CFR 84
Closed Circuit Escape
Respirators (CCER)
PJ-1-08 100 10 1000 8 15-year shelf life
Meets Federal Railroad
PJ-1-03 90 5 450 9 FRA Association (FRA) standard
(yet to be released)
8/18/12 (c) All Rights Reserved NP Learning, LLC 14

15. Market Requirement Analysis – (MRA)
Kano Requirement Matrix
High - 100 01 02 “Antes” “Drivers”
05,08 06 05
Value
To the customer
07
Relevance
04
“Neutrals” “Fool’s Gold”
Cost
09
Low - 0
High - 100
Put each requirement Differentiation
From the previous page From competition
In their proper box
8/18/12 (c) All Rights Reserved NP Learning, LLC 15

16. Conclusion
Without MRA Tool With MRA Tool and VoC
 Prioritizes requirements for
efficient designs
 Relevance – identifies value to
customer
 Differentiation – identifies the
company‟s advantage
 Uncovers “Drivers”
- High value they are relevant and
differentiated
- Guides strong marketing
communications
If no “Drivers” are identified, stop the project now!
8/18/12 (c) All Rights Reserved NP Learning, LLC 16

17. Thank you
Frank Harris
Chief Operating Officer
frank@nplearning.com
770-598-1205
8/18/12 (c) All Rights Reserved NP Learning, LLC 17

18. Thank you!
Diamond Sponsor:
Platinum Sponsors:
Gold Sponsors:
Silver Sponsors:
8/18/12 (c) All Rights Reserved NP Learning, LLC 18