Jim Joop Halman

Diagnosing risks in product-innovation projects

A new method of diagnosing risks in product-innovation projects is introduced in the paper. The method is an improvement on existing risk methods used on product-innovation projects, such as potential problem analysis and failure mode and effects analysis. Technological, organizational and commercial risks are identified and assessed on an individual basis. These risks are mapped in a risk topography which is used as an input for the drawing up of a risk-management plan. The method has been developed on the basis of case-study investigations, and applied in various product-innovation projects in the Netherlands and in Germany.

Diagnosing constraints in knowledge of SMEs

SMEs (small and medium-sized enterprises) have problems with both formulating and acquiring new knowledge and skills. A method is proposed to identify the knowledge and skills an SME requires to exploit its market opportunities. The method provides a quick but effective strategic analysis to diagnose gaps that are essential for a company in its attempt to maintain or improve its competitiveness. Within this method, gaps in knowledge and skills relate to a company’s market approach, product designs, production technology, and management methods. For the identified gaps, necessary actions are planned. This enables a company to acquire new knowledge and skills, and to bring its market approach, product designs, production technology, and management methods in line with both the company’s own ambitions and market demands. In applying the method, it turned out that the companies involved were made conscious of the emerging strategic pattern regarding their attempts to achieve competitive advantage.

Strategic decision-making about technology-based projects: development and use of a risk reference framework

This chapter describes the development and use of a risk reference framework for diagnosing risks in technology-based projects. The risk reference framework consists of 12 main risk categories and 142 connected critical innovation issues. This framework has been developed for a globally operating company in the fast moving consumer goods industry. The development has been based on data from 114 interviews with professionals in product innovation, in-depth risk analyses carried out for 8 breakthrough projects, input from a panel with experts in product innovation, and an extensive literature review. The use of the risk reference framework as an essential part of a formal risk assessment process is explained.