Project Management in the Fuzzy Front End
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=== Definition === | === Definition === | ||
| − | [[File:Fuzzy Front End.png|500px|thumb|right|Figure 1: Process Model of | + | [[File:Fuzzy Front End.png|500px|thumb|right|Figure 1: Process Model of Innovation and the Fuzzry Front End <ref name=WIKIINNOFFE>Wikipedia. <span class="plainlinks">[http://apppm.man.dtu.dk/index.php/File:Fuzzy_Front_End.png <i>Fuzzy Front End.</i>]</span> Retrieved 11.09.2016</ref>]] |
The Management of Innovation can be divided roughly into 4 stages: | The Management of Innovation can be divided roughly into 4 stages: | ||
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Hence in Innovation Management the Fuzzy Front End is considered the period between when an opportunity for a new product is first considered until the concept if the innovation enters the formal product development process. The Fuzzy Front End is an assortment of factors to control with difficulty, which create high uncertainty and risks for decision makers such as the project manager in charge: complex information processing, conflicting organizational pressures, market uncertainties, technology uncertainties, equivocality or reciprocal interdependencies to name a few. But it seems to get even more complicated: the Fuzzy Front End process seems not only to differ between firms but also between individual projects within the firms regarding e.g. individual activities, their sequencing, the overall duration and their degree of overlap. <ref name=Floren2012> Florén, H. & Frishammar, J. (2012). <i>From Preliminary Ideas to Corroborated Product Definitions: Managing the front-end of new product development, </i> California Management Review, 54 (4), p.20-43 </ref> | Hence in Innovation Management the Fuzzy Front End is considered the period between when an opportunity for a new product is first considered until the concept if the innovation enters the formal product development process. The Fuzzy Front End is an assortment of factors to control with difficulty, which create high uncertainty and risks for decision makers such as the project manager in charge: complex information processing, conflicting organizational pressures, market uncertainties, technology uncertainties, equivocality or reciprocal interdependencies to name a few. But it seems to get even more complicated: the Fuzzy Front End process seems not only to differ between firms but also between individual projects within the firms regarding e.g. individual activities, their sequencing, the overall duration and their degree of overlap. <ref name=Floren2012> Florén, H. & Frishammar, J. (2012). <i>From Preliminary Ideas to Corroborated Product Definitions: Managing the front-end of new product development, </i> California Management Review, 54 (4), p.20-43 </ref> | ||
| − | === Derived | + | === Derived challenges of project management in the Fuzzy Front End=== |
Based on the description of the Fuzzy Front End it is easy to comprehend the difficulties of organizational project management. Generally flexible project management skills are needed with a profound insight of the individual success factors of the firm and ability to adapt to changing conditions. For each project three types of constraints need to be discusses: should the idea screening be "gentle" or "harsh"? How formal should the Search and Select process be? How much uncertainty can be dealt with? | Based on the description of the Fuzzy Front End it is easy to comprehend the difficulties of organizational project management. Generally flexible project management skills are needed with a profound insight of the individual success factors of the firm and ability to adapt to changing conditions. For each project three types of constraints need to be discusses: should the idea screening be "gentle" or "harsh"? How formal should the Search and Select process be? How much uncertainty can be dealt with? | ||
| − | In the Searching phase the screening for opportunities in as many different ways as possible is key to success. However the organization should get rid of the bad ideas as quickly as possible in order to save costs of failed development. | + | In the Searching phase the screening for opportunities in as many different ways as possible is key to success. However the organization should get rid of the bad ideas as quickly as possible in order to save costs of failed development. On the other hand a quick and "harsh" rejection can also sort out good ideas. Sometimes a "gentle" treatment of ideas is of advantage because they flourish through informal discussions in the company and then gain momentum. The next individual balance to be found regards freedom and formality. On one hand a high degree of formality can reduce risks create transparency and predictability. On the other hand a too high degree of formality can decrease innovation and flexibility. |
| − | + | The project management needs to find an individual balance suitable for the project in all three constraints. Since the Fuzzy Front End differs to a very high degree between industries, companies and projects <ref name=Floren2012> Florén, H. & Frishammar, J. (2012). <i>From Preliminary Ideas to Corroborated Product Definitions: Managing the front-end of new product development, </i> California Management Review, 54 (4), p.20-43 </ref> | |
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== Project Management of incremental Innovations == | == Project Management of incremental Innovations == | ||
Revision as of 17:28, 11 September 2016
In many organizations the pressure on the Product Development Process (PDP) has increased through the demand of greater product varieties and shorter lifecycles. Organizations aim for a structured way of speeding up the Product Development Process while not loosing effective scoping in the identification of market needs. Often they have succeeded using the Stage Gate Process - or a customized version of it. [1] But even though the execution of an idea has increased in efficiency the search and selection of the ideas in the "Fuzzy Front End" of the PDP resembles great complications to the project management. This comes with no surprise since the "Fuzzy Front End" is typically characterized through a high degree of uncertainty and equivocality. [2] However transferring knowledge from the Risk Management tools for decision making under uncertainty can be applied to ease the Project Management in the Fuzzy Front End.
Contents |
Project Management
Definition
What it project management?
Relevance in the Fuzzy Front End
The "Fuzzy Front End"
Definition
The Management of Innovation can be divided roughly into 4 stages:
- Search - Finding opportunities for innovations
- Select - Selecting the ideas to pursuit
- Implement - Development of the product and launching it on the market
- Capture - Capturing value from the innovation
On one hand most of the parameters for the later success or failure are set in the first two stages. On the other hand project managers are reluctant to make fast decisions because these stages are characterized with the highest risk and uncertainty levels of the whole process of innovation. The Search phase involves detecting signals in the environment like e.g. technological opportunities or changing requirements in the market. Here opportunities can be easily overseen. The Select phase the inputs from the Search phase are distilled and very few converted into an innovation concepts. Based on these concepts the whole organizational mechanism can now implement the innovation and capture value. [4]
Hence in Innovation Management the Fuzzy Front End is considered the period between when an opportunity for a new product is first considered until the concept if the innovation enters the formal product development process. The Fuzzy Front End is an assortment of factors to control with difficulty, which create high uncertainty and risks for decision makers such as the project manager in charge: complex information processing, conflicting organizational pressures, market uncertainties, technology uncertainties, equivocality or reciprocal interdependencies to name a few. But it seems to get even more complicated: the Fuzzy Front End process seems not only to differ between firms but also between individual projects within the firms regarding e.g. individual activities, their sequencing, the overall duration and their degree of overlap. [2]
Derived challenges of project management in the Fuzzy Front End
Based on the description of the Fuzzy Front End it is easy to comprehend the difficulties of organizational project management. Generally flexible project management skills are needed with a profound insight of the individual success factors of the firm and ability to adapt to changing conditions. For each project three types of constraints need to be discusses: should the idea screening be "gentle" or "harsh"? How formal should the Search and Select process be? How much uncertainty can be dealt with?
In the Searching phase the screening for opportunities in as many different ways as possible is key to success. However the organization should get rid of the bad ideas as quickly as possible in order to save costs of failed development. On the other hand a quick and "harsh" rejection can also sort out good ideas. Sometimes a "gentle" treatment of ideas is of advantage because they flourish through informal discussions in the company and then gain momentum. The next individual balance to be found regards freedom and formality. On one hand a high degree of formality can reduce risks create transparency and predictability. On the other hand a too high degree of formality can decrease innovation and flexibility. The project management needs to find an individual balance suitable for the project in all three constraints. Since the Fuzzy Front End differs to a very high degree between industries, companies and projects [2]
Project Management of incremental Innovations
Regarding the project management of the Fuzzy Front End it is necessary
The Fuzzy Front End of incremental Innovations
The Stage Gate Process
In development of incremental innovations organizations aim for a very structured way.
Project Management of radical Innovations
carefully consider the degree of
The Fuzzy Front End of radical Innovations
Decision Making under Uncertainty
Forecasting Innovations
Risk Assessment
Decision Making
References
- ↑ Tidd, J. & Bessant, J. (2013). Managing Innovation - Integrating Technological, Market and Organizational Change, John Wiley & Sons Ltd, 5th Edition, p.405-412, UK, ISBN 978118360637
- ↑ 2.0 2.1 2.2 Florén, H. & Frishammar, J. (2012). From Preliminary Ideas to Corroborated Product Definitions: Managing the front-end of new product development, California Management Review, 54 (4), p.20-43
- ↑ Wikipedia. Fuzzy Front End. Retrieved 11.09.2016
- ↑ Tidd, J. & Bessant, J. (2013). Managing Innovation - Integrating Technological, Market and Organizational Change, John Wiley & Sons Ltd, 5th Edition, p.88-96, UK, ISBN 978118360637
