Monday, 25 July 2016

Product development: a focus on product design

Hello readers, so I will be looking at 4 processes of product development today. This includes the initial stage, product design stage, product implementation stage and the final stage.

Initial Stage
This looks at what the product must be like in order to meet the needs of their target markets (potential customers). I have written an article on meeting the needs of target customers

Product Design Stage 
During this stage is when the product is created and it also the stage that will contribute a lot to reducing the cost of the company. Minimal cost incurred can help you stay competitive in the market. You must focus on making sure your operating cost are low enough. When products are produced in larger quantities you fixed costs can easily be convered. Thus there must be no underutilization of your resources in order to minimize cost effectively.

The way you must not underutilize your resources you must also not overutilize them as this will lead to a fall in the quality of your products. Market leaders use both quality and price to compete in the market. They are usually not the cheapest in the market but the one that offers customers good quality products at good prices. Thus, when you overutilize your resources you will have more defects. Having to pay a premium price for overtime services provided by staff will only also increase your cost as well as tamper with the work-life balance.

Your cost of supply should be reasonable low. Your bargaining power also matters as you must be able to buy from a cheaper supplier. Another factor that might affect cost is technology 

Product Implementation:
This is a stage where the product designed will tested to know if it meets the requirements specified.

Final Stage
This stage helps with introducing the products to the market. It scans for opportunities in the market  and analyses them. Afterwards ideas are developed on the efficient and effective way to introduce the product to the market.

Products are goods or services or both. Keep checking my blog regularly. Cheers.

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