1
NEW PRODUCT DEVELOPMENT - STS 4810
Spring 2016
Revised 3-23-16
Mon. and Wed., 2:00pm – 3:15pm; MEC Class Room 341 (Section 1)
Mon. and Wed., 3:30pm – 4:45pm; MEC Class Room 341 (Section 2)
COURSE DESCRIPTION / OBJECTIVE
Successful innovation and commercialization of new products is vital for growth and
survival of companies and organizations. Few corporations/organizations in the US
have survived over 100 years without continuously revitalizing their business with the
introduction of new products and services. Of the Fortune 500 firms in 1955 vs. 2011;
87% are gone! The 13% who did survive accomplished it by adapting their business
strategy and product offerings to a rapidly changing global environment. This often
required robust and efficient introduction of new products and services that met or
exceeded the needs of their customers. Engineers often play a vital role in successful
innovation, development and commercialization of new products. However, if engineers
wish to have the maximum impact on overall business success, they need to
understand how and where their engineering skills are best utilized and leveraged. This
requires a broader understanding of the many factors that affect overall business
success. It is much more than just the technical aspects of the product. It requires a
collaborative approach with many other disciplines such as finance, marketing, legal,
etc. This handbook has been developed to cover many of these collaborations and
create greater familiarity with business processes used by companies to successfully
define, develop and launch new products.
Instructor:
Douglas Muir, MBA
Email:
[email protected]
Class Time:
Monday/Wednesday, 2:00pm – 3:15pm (Section 1)
Monday/Wednesday, 3:30pm - 4:45pm (Section 2)
Office Room / Hours:
Monday/Wednesday, 12pm – 1:30pm Thornton A220
STS4810SyllabusandCourseOutlineMuir–Spring2016
2
LATE ASSIGNMENT POLICY
Late assignments and homework will not be accepted. Assignments will be due by the
date that is listed on the course outline listed below.
GRADING – As per UVa Undergraduate Default Values
100 = A+
95 = A
90 = ATeam Project
35%
87 = B+
83 = B
80 = B-
77 = C+
73 = C
70 = C-
67 = D+
63 = D
60 = D
How well the team did with the project (Will differ depending on when your team
presented)
How well you did on the team (Group Peer Assessment Form)
Class
Participation
10%1. Being an Intrapreneur (The act of behaving like an entrepreneur while working
within a large organization) is all about networking and communications; it is
imperative to practice that in this protected environment. You will start off with
35% for each class you show up to (70% C-) for the week. Your weekly
participation grade will increase with engagement in the class and build from
there.
Mid Term
Exam
20%
Take home Exam (mid-term)
Financial
Problem
15%
Take home - Financial Problem
Final Exam
20%
(Section 1) Due 5pm; Thur., May 12th
(Section 2) Due 5pm; Thur. May 5th
Drop off at my office / Thornton A-220
STS4810SyllabusandCourseOutlineMuir–Spring2016
3
Texts
Go to link: https://www.createspace.com/5972186 This course uses The Business of
New Product Development By Reid V Eikner, Michael L King. The text is available for
purchase at ($19.85).
Go to link: https://cb.hbsp.harvard.edu/cbmp/access/27349773 and purchase
Harvard Business Review Course Pack, which consist of (6) Case Studies & (1) Book,
HBR Guide to Project Management ($35.68).
Go to link: http://www.humanmetrics.com/cgi-win/JTypes2.asp and take a short survey
(60 questions). Score yourself to see what your preferences are in Myers Briggs
Personality Type Indicator (MBTI) and bring to class (FREE)
Date
ClassTopic
Deliverable
Preparationfornextclass
WEEK1
Courseobjectives,Syllabus • Confirmclassroster
• TaketheMBTItestandfill-in
Class#1
andinformationexchange • Makedecisionsonwait-list StudentInformationForm.
Wednesday
students
• Readpowerpointmaterialon
Jan.20th
MBTIand“ProductDevelopment
• OverviewofCourse
Teams”inClassHandbook(p.13Objectives.
20)postedonCollab
• Read--“TheDisciplineofTeams”
p.107–110inHBRGuideto
ProjectManagement
WEEK2
Class#2
Monday
Jan.25th
PartA-NewProduct
DevelopmentFoundations
• MBTIOverviewand
Constructiveteamwork
• Successfactorsfor
effectiveteams
• Howtoacceptand
manageconflictonteams.
• GooverallMBTItest.
• StudentInformationforms
aredue
• ReviewClassHandbook
andHBRGuidetoProject
Managementreading
assignments
Class#3
EasternAirlinesDC-10
• ReviewEasternCrash
Wednesday EvergladesCrash-Lessons • Assignstudentsintoteams
Jan27th
learnedfromtheTragedy”
andgiveBridgeBuilding
https://www.youtube.com/
Assignment.
watch?v=ICqPGkto3Yo
Watch-EasternAirlinesDC-10
EvergladesCrash-Lessonslearned
fromtheTragedy”
https://www.youtube.com/watch?
v=ICqPGkto3Yo
• ReadStudentHandbook“ProductDevelopmentLifecycle”
p.5-12.
• Setfirstteammeetingtodiscuss
theirBridgeBuildingAssignment.
(rulesonCollab)
STS4810SyllabusandCourseOutlineMuir–Spring2016
4
WEEK3
Class#4
Monday
Feb.1st
Class#5
Wednesday
Feb.3rd
ProductDevelopment
Lifecycle
WEEK4
Class#6
Monday
Feb.8th
• ProjectManagement
Fundamentals
• ProductDevelopment
Teams
• Introductiontonew
productdevelopment
lifecycle
• BridgeDesigndue
TeamworkExerciseDue– • Whatlessonswere
BridgeBuilding
learnedfromthe
experience?
• Howcantheteams
improvetheir
performance?
Class#7
BusinessandProduct
Wednesday Strategy
Feb.10th
• ReadStudentHandbook-
“ProjectManagement
Fundamentals”p.21-32.
• ReadHBRProjectMgmt.
Handbook“ARushtoFailure”
p.87-100
• ReviewpossibleNewProduct
Developmenttoworkon!
Casestudy
• ReadtheHBRarticle-“Five
CompetitiveForcesthatShape
• Applicationofproject
managementtools
Strategy”
• Importanceofnew
• ReadHandbook-“Businessand
productdevelopment
ProductStrategy”p.41-45
teams.
• ReadHandbookBusinessCase
Formatp.57-64
DUE–SlideDeckoutlineof ReadStudenthandbook–
company-product/serviceto • “Keystosuccess-TheValue
bedeveloped-Student
Proposition”p.65-71
HandbookBusinessCase
Formatp.57-64
PartB–TheNewProduct
DevelopmentProcess
WEEK5
BuildinganEffective
Elementsofproduct
Class#8
BusinessCaseand
businesscaseandhowto
Monday
CustomerValueProposition developacustomervalue
Feb15th
propositionforyourproduct
Class#9
BusinessandProduct
Demonstrateunderstanding
Wednesday Strategy–Addnew
ofelementsofboth
Feb17th
informationtoyour
businessandproduct
productpitch
strategy
WEEK6
Research,Development
AspectsofR&D,culturefor
Class#10
andInnovation
Innovation,andkey
Monday
elementsandconceptsof
nd
Feb.22 successfulnewproduct
development
Class#11
MarketingI–Marketing
Whoarethecustomer
Wednesday SegmentsandProduct
targetsforyourproductand
Feb.24th Strategies
howdoyoumaximizethe
valueofyourproduct?
Bepreparedtobuildyourdesigned
bridgenextclass.
• ReviewHandbook-Business
andProductStrategiesp.41-45
• Researchyourpotential
customersandcompetition
ReadStudenthandbook-Article
on“Research,Developmentand
Innovation”p.46-56
ReadStudenthandbook-Article
on“MarketingNewTechnology
Products”p.72-84
TakeHomeExam1Posted
ReadHBRarticle-on“Principlesof
Pricing”
STS4810SyllabusandCourseOutlineMuir–Spring2016
5
WEEK7
Class#12
Monday
Feb.29th
MarketingII–Pricingfor
success
Class#13
TeamPresentations–
Wednesday businesscase,research,
Mar.2nd marketing
th
Sat,Mar5 Sun,Mar13th
SPRING
RECESSJ
WEEK8
Class#14
Monday
Mar.14th
Class#15
Wednesday
Mar.16th
TeamPresentations–
businesscase,research,
marketing
EXAM1Due(Mid-Term)
Whataretheconsiderations
inpricingyourproductto
optimizecommercial
success?
10minpresentation/team
Workonteampresentations
None
Sat. Mar. 5th – Sun. Mar.13th
NO CLASS
10minpresentation/team
TheTataAceCaseStudy:
• HowdidTatadointhe
developmentoftheir
• Teampresentationabout
TataMotorsHBR
lightweightAcetruck?
Reading.Nomorethan
• Whatdidtheydowell
(7)slides
• Whataretheareasfor
improvement?
WEEK9
FinancialAnalysisI
Basicsoffinancialanalysis
Class#16
includingfinancial
Monday
statements,cashflows,Net
March21st
PresentValues,ROI,etc.
Video–DiscountedCash
Flow-
https://www.youtube.com/
watch?v=Ja8vu_leDio
Class#17
FinancialAnalysisII
• NetPresentValue
Wednesday
• ExamplesandProblems
March23rd
• Differentinvestment
criteria,conceptsofsales
cannibalizationand
depreciationissues
ReadHBRCaseStudy“TheTata
Ace”
ReadStudenthandbook-
“BeginningFinancialAnalysisof
NewProducts”p.100-113
ReadStudenthandbook-
“AdvancedFinancialAnalysis”
p.114-117
Dardenarticle-“Victoria
Chemicals”
ReadStudenthandbook–“Product
PricingConsiderations”p.118-124
TeamTakehomeassignmentFinancialAnalysis–“OrangeCounty
Choppers(OOC)”Locatedon
Collab(10minutesPresenttoClass)
ReadHBRArticle-“Starbucks
Corporation:FinancialAnalysisofa
BusinessStrategy.Individually
Calculatekeyfinancialratiosfor
yourCompany.
STS4810SyllabusandCourseOutlineMuir–Spring2016
6
WEEK10
Class#18
Monday
March28th
FinancialAnalysisIII
Class#19
Wednesday
March30th
ManufacturingandSupply
WEEK11
Class#20
Monday
April4th
IntellectualProperty
GuestLecturer:
MichaelP.Straightiff
ExecutiveDirector
UniversityofVirginia
Licensing&Ventures
Group
Class#21 GlobalProduct
Wednesday Development
April6th
WEEK12
Class#22
Monday
April11th
WorkingSessiononteam
presentations
Class#23 ProductLiability
Wednesday GuestLecturer???
April13th
WEEK13
PracticePresentations
Class#24
Monday
April18th
Class#25
PracticePresentations
Wednesday
April20th
WEEK14
FinalPresentations
Class#26 Monday
April25th
PRESENTTOCLASS-(OOC)
TeamTakeHome
Assignment
(10Minutes)
ReadStudenthandbook–
“ManufacturingandSupply”p.8599
TakeHomeExam2Posted
FinancialAnalysis
Basicconcepts,tradeoffs
ReadStudenthandbook–
andchallengesinthe
“IntellectualPropertyLawfor
manufacturingandsupplyof Engineers”p.132-141
newproducts.
ReadCaseStudiesonIPpostedon
Collab
Basicconceptsand
ReadStudenthandbook-“Global
challengesrelatingtoIP–
ProductDevelopment”p.142-147
Patents,Copyrights,
Trademarks,etc.
EXAM2Due
FinancialAnalysis
Someofthechallengesin
globalproduct
development,including
ethicaldilemmas
Helpteamswithkeyissues
intheirpresentations
Basicconceptsofproduct
liabilityissues
None
ReadStudenthandbook-
“ProductLiabilityforEngineers”
p.125-131
CasestudiespostedonCollab–
“ProductLiability”
Workonteampresentations
20min/team
None
20min/team
None
20min/team
None
STS4810SyllabusandCourseOutlineMuir–Spring2016
7
Class#27
FinalPresentations
Wednesday
April27th
Class-1400-1515
Class-1530-1645
20min/team
Due5pm;Thur.,May12th
Due5pm;Thur. May 5th None
EXAMPOSTED6AMApril28th
EXAMPOSTED6AMMay5th
STS4810SyllabusandCourseOutlineMuir–Spring2016