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Comprehensive Product Development Process

A Structured Approach from Concept to Launch

product development workflow

Key Takeaways

  • Structured Phases: The process is divided into five distinct phases: Concept, Design, Preparation, Production, and Launch, ensuring systematic progression.
  • Detailed Task Management: Each phase encompasses specific tasks and sub-tasks, enabling clear accountability and efficient workflow management.
  • Comprehensive Integration: Combining engineering, supply chain, marketing, and management activities provides a holistic approach to product development.

1. Concept Phase

Design & Concept

  • Product Concept Sheet: Document outlining the initial idea, objectives, and scope of the product.
  • Brand Direction Meeting: Collaborative session to define the brand’s vision, values, and market positioning.
  • Product Selection Approved: Finalization and approval of the product to be developed based on feasibility and alignment with brand strategy.

2. Design Phase

Engineering

  • SolidWorks PDM: Utilization of Product Data Management software to organize and manage engineering files.
    • Part Files
    • Assembly Files
    • Drawing Files
    • Etching Files
    • Packaging Files
    • Wireframe Files
  • Dimensions > Brand: Ensuring that all product dimensions align with brand standards and customer expectations.
  • Dynamics – Component SKU's: Detailed setup of component Stock Keeping Units.
    • SKU Created
    • Manufacturer Part Number
    • Product Description
    • Blocked > False
    • Correct Revision
    • Type > Inventory
    • Base Units of Measure > PCS
    • Costing Method > FIFO
    • Gen. Prod. Posting Group > HYBCOMP
    • Inventory Posting Group > HYBCOMP
    • Vendor
    • Vendor Item Number
    • Upload files and select "Flow to Purch. Trx" if needed
  • Dynamics – Product SKU's: Comprehensive setup of product SKUs.
    • SKU Created
    • Manufacturer Part Number
    • Product Description
    • Blocked > True
    • Type > Inventory
    • Base Units of Measure > PCS
    • GTIN > (Set to New UPC)
    • Item Category Code
    • Life Cycle Status > Proposed
    • Product Launch Date
    • Net Weight/Gross Weight
    • Costing Method > FIFO
    • Gen. Prod. Posting Group > HYBPROD
    • Inventory Posting Group > HYBPROD
    • Tariff No.
    • Unit Price (MSRP Assigned)
    • Replenishment System > Assembly
    • Assembly Policy > Assemble-to-Stock
    • Reordering Policy > Lot-for-Lot
    • Lot Accumulation Period > 4M
    • BOM Finalized
    • Item > Units of Measure
  • Business Central: Integration of SKUs within the Business Central system.
    • Primary SKU
    • Secondary SKU
  • Product: Final stages of product design and validation.
    • Life Cycle Status > Released (Wednesday)
    • Remove Blocks from Primary SKU (Wednesday)
    • Assembly Process Approved
    • Production Sample Approved
    • Product Testing/Validation Complete

Design Review Meetings

  • Product Design Kickoff: Initial meeting to review approved concept, discuss product questions, and plan tasks.
  • First Draft Design Review: Evaluation of the initial design drafts to identify necessary revisions and improvements.
  • Second Draft Design Review: Further assessment of design iterations to ensure all standards and requirements are met.
  • Final Product Design: Completion and approval of the final design ready for production.

3. Preparation Phase

Standard Operating Procedures (SOPs)

Pre-Production

  • Prerequisites:
    • Finalized Design
    • Quotes/Estimates Received
    • Vendors Narrowed
  • Send Files to Vendor:
    • Notify Vendors in Writing of Any Revision Changes (e.g., Part number, minor revision, feature changes)
    • Gather Quotes & Lead Times
  • Get Finalized Quote & Lead Time:
    • Obtain lead times for tooling, First Article, and production
    • Update Margin Review Excel Sheet (Notify PM if significant reductions occur)
  • Send First Article Purchase Order (PO):
    • As 'Item' lines, set WH to TB03, Tooling as G/L line, correct project posting code
    • Comment line with tooling payment terms
    • Get confirmation of lead time and notify PM/TEAM of date
    • PM/TEAM schedules any outside resources required

Packaging Development

  • Product Packaging:
    • Identify inner pack and product packaging options and constraints
    • Gather pictures/examples of options and share with TEAM
    • Confirm materials and labeling requirements for product and master pack
  • Master Packaging:
    • Define individual part wrapping/labelling options
    • Determine how sets of parts are wrapped/labeled/trayed
    • Specify master pack box size, quantity, labeling, and custom printing requirements

Sourcing

  • Product & Packaging Requirements: Finalize all specifications and requirements.
  • Vendor Research and Selection:
    • Identify existing suppliers and research new ones based on hardware type
    • Evaluate vendor terms and capabilities
  • Request for Quotation (RFQ): Issue RFQs for items with uncertain costs to obtain accurate pricing.

First Article Inspection

  • Before Arrival:
    • Gather critical dimensions from Engineer to ensure proper fit and functionality
    • Send critical dimensions to Vendors
    • Obtain pictures of parts and packaging
    • Receive Vendors' inspection reports
    • If costly to land, utilize Third Party/CMD inspection resources before shipping to US
    • Ship to DMM and notify PM/TEAM of landing date
    • Confirm acquisition of any outside resources required
  • After Arrival:
    • Count units and receive into TB03
    • Conduct final inspections and validations

Approval

  • Product Sheet:
    • Quote, Order Quantity, and First Order Cost
    • MSRP and Margin Approval
    • First Order Cost Approval
    • Sign Product Sheet for Production Release

Warehouse & Assembly

  • Hand-Off:
    • Setup SKUs and storage bins for components and products
    • Establish component and product space requirements
    • Create product UPC labels and store in OneDrive Folder
    • Develop assembly guides with photos and new assembly processes
    • Provide necessary tooling (jigs, presses, hand tools)
  • Receiving:
    • Review released packing lists
    • Confirm and count delivered items
    • Label items and assign bin locations
  • Assembly Guide:
    • Take photos for assembly guides to ensure clarity and accuracy
  • First Batch Build:
    • Build initial production batch following the assembly guide

Supply Chain

  • Sourcing:
    • Receive product and packaging requirements
    • Conduct product and packaging vendor research and selection
    • Issue RFQs and negotiate vendor terms
  • Pre-Production:
    • Place and receive First Article orders
    • Approve First Articles
    • Order and receive product package samples
    • Approve product packaging
  • Approval:
    • Finalize product sheet with quotes, order quantities, and first order costs
    • Approve MSRP and margin calculations
    • Approve first order costs
    • Sign off product sheet for production release

Brand & Marketing

  • Branding:
    • Create and approve product labels
    • Distribute approved labels to assembly teams
    • Approve and distribute product packaging
    • Capture and edit product photos
    • Produce and edit installed photos
    • Create product tech and install videos
    • Develop Dozuki install guides
    • Create product info cards
    • Confirm barcode scans for inventory accuracy
    • Add final images to OneDrive database
    • Capture beauty images for ads, website, and banners
  • Digital Ads:
    • Create, approve, and schedule product launch digital ad campaigns on platforms like Google and Facebook
    • Plan website user tracking and product/user review surveys
    • Set up Google Shopping campaigns
  • Website:
    • Complete product descriptions and ensure they meet SEO standards
    • Create and format product pages correctly
    • Assign vehicle fitments, organizations, vendors, collections, and tags
    • Ensure accurate product weight and dimensions
    • Approve launch data

Management

  • Internal Communication:
    • Distribute internal product information sheets
    • Update wholesale product information sheets
    • Conduct product launch meetings with sales, customer service, and engineering teams
    • Set and approve sales goals and user targets
    • Approve updates to terms and services if applicable

4. Production Phase

Production

  • Inventory Management:
    • Place and receive production inventory orders
    • Order and receive production packaging materials
  • Packaging:
    • Ensure packaging meets all design and quality standards
    • Coordinate with suppliers for timely delivery of packaging materials

5. Launch Phase

Brand & Marketing

  • Product Launch:
    • Organize website media updates to feature the new product
    • Coordinate social media posts across platforms like Instagram and Facebook
    • Create and send product launch emails to the subscriber base
    • Design and update home page images
    • Create landing pages if applicable
    • Move the product to the top of collections on Shopify
    • Develop and design Instagram posts and story images
    • Create Facebook posts and story images as needed
    • Complete EoE (End of Episode) sheets
    • Create, design, and approve email copy and layouts
    • Train sales and customer service teams on the new product
    • Confirm and finalize the launch date

Recap

This comprehensive product development process meticulously covers each phase from initial concept to final launch. By adhering to structured phases and detailed task management, organizations can ensure a streamlined workflow, maintain high quality standards, and achieve successful product launches. Integration of engineering, supply chain, marketing, and management activities fosters a holistic approach, enhancing overall efficiency and effectiveness.


References

  1. Product Development SOP Template by ClickUp
  2. HogoNext Guide to SOP Creation
  3. Bizmanualz Product Design Development Template
  4. Productboard Guide to Product Development Stages
  5. Interaction Design Institute International - Design Thinking Process
  6. Asana's Product Development Process Resources
  7. UserTesting's Guide to Product Development Process
  8. ProductPlan's Glossary on Product Development Process
  9. Smartsheet's Phase-Gate Process Guide
  10. Maze's Product Development Collections
  11. Filestage's Graphic Design Process
  12. Roadmunk's Glossary on Product Development Process
  13. NetSuite's ERP Implementation Phases

Last updated January 23, 2025
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