This article addresses both questions in some detail from a top level 'operational' point-of-view rather than from the more common 'marketing' point-of-view.

What do I mean by 'Operational Point of View'?

Most of the excellent books¹ and tutorials on Product Development (PD) - or New Product Development (NPD) - are written from a marketer's point of view: i.e. product research, market research, market segmentation and distribution, etc. In actuality, the marketing effort can be considered the first 1/3^rd of the whole PD process. The middle 1/3^rd of the process includes the product design, development and validation and the final 1/3^rd of the process is the production set-up, full production, and post production/sales support. The operational viewpoint herein addresses all three facets by outlining the PD effort as an information-driven and manageable process and by listing some of the common roadblocks one may face when implementing a PD effort. In this article, what is said for PD holds for NPD too.

For some 'feet-on-the-ground' tips on operational issues see The ABC's of Operations management, by Harvey Ikeman

Even though the market is the ultimate arbiter of a product's success you can do a lot to increase the probability of its success at the operational level. It also goes without saying that a successful product must also fulfill or exceed the business case (provide profit, company growth, etc.)

Here's the approach:

• First we'll take a look at the basic Product Development Process.
• Next, We'll discuss some common roadblocks, which you might expect throughout the PD process that can derail any product's success.
• Then we'll show how you can minimize the roadblocks by what you can control and give suggestions about how to mollify that, which you can't control.

This will reveal a top-level 'Operational' strategy that will enable you to manage your Product Development effort in order to optimize your product's probability of success. Answers to the two initial questions will naturally fall out of the discussion.

One thing to keep in mind as you read this article is that you may need to acquire additional expertise in various areas to help you establish and navigate the required details when implementing some of the concepts. There are various societies, industry groups, consulting firms and independent consultants that can provide the expertise.

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¹ Some references are listed at end of article