Introduction to New Product Introduction (NPI) for Electronics

Introduction of new and revised products that meet customers’ expectations is a great deal, requiring the collection of reliable information and the dedication of time and resources of the entire company. Product designers, OEMs, and electronics contract manufacturers know that New Product Introduction (NPI) is a must since it helps them to ease the complexities and introduce repeatable, serial, high-quality products to the market on time. It brings all the right resources together at the right time.

What is New Product Introduction (NPI)

A New Product Introduction (NPI) is a process that encompasses all the activities within an organisation to define, develop and launch a new or revised product. The product could be something tangible, as a new model smart watch, or intangible as in a particular service offered. The acronyms NPI (New Product Introduction) and NPD (New Product Development) are used interchangeably by many organisations. In some cases, NPI activities begin after design and development and merely deal with the product production launch and marketing. For an NPI process to succeed it must have full active support of management in all divisions and departments. An effective NPI program involves a large amount of cross-functional communication and teamwork.

However, NPI is not the easiest thing to be implemented. For COCUO, its customers and electronics manufacturing partners this means to work on several complex designs and carefully market everything.

Reasons to implement New Product Introduction (NPI) process

Most organisations realize the importance of implementing an NPI process. In today’s highly competitive market, companies must develop the right product, at the right time and the right cost. Developing and following a robust NPI process can make the difference between success and failure. Some of the many advantages of NPI include (but are not limited to):

• Reduced Development Cost: NPI approaches can help avoid late changes to the new and revised products’ design, multiple revisions, and continuous expensive validation tests if implemented in your introduction project’s early stages.
• Efficient Manufacturing: Through the effective use of Design for Manufacturing and Assembly (DFM/DFA), products are designed with the process in mind.
• Improved Product Quality: The NPI process incorporates tools to ensure the product meets customer needs and the process is capable of producing quality products or services on a consistent basis.
• Faster Time to Market: Product manufacturing efficiency and reduced new product development period mean that your product will take a shorter time to reach the right consumers and start generating revenue.

How to Implement New Product Introduction (NPI)

A New Product Introduction process consists of various phases. The phases keep all stakeholders informed of the project progress and assure that all activities are completed on time. The example shown below consists of six phases:

1. Define
2. Feasibility
3. Development
4. Validate
5. Implementation
6. Evaluate

Each phase of the NPI process feed into the next. Many organisations look at the process as having a beginning (Define) and an end (Evaluate). Some variations combine Define and Feasibility into one phase and Develop and Validate into another. The fact is, the NPI process is not a straight line. Instead, it is an endless circle or loop. The hardest phase to complete for many organisations is the Evaluate phase. Once the product is on the market, we rush to the next one and then the next, failing to feed lessons learned into subsequent projects.

At each phase of an NPI project, there are inputs and outputs. In addition, there are various requirements, tools, documentation and processes within each phase. The following sections will cover each of the project phase requirements.

1. Define

The Define phase is a crucial step, the product’s functional and performance requirements are defined. The marketing and product management divisions of an organisation are usually the primary sources of this information. The product requirements are converted to design specifications, often using the Quality Function Deployment (QFD) process. The design specifications are integrated into one or more concepts to be reviewed by the project team. The management team should develop a project charter. The information contained in the charter should include, but is not limited to, the following:

• Background information
• Primary objectives
• Project scope
• Key deliverables and dates
• Project budget
• Identify stakeholders
• Identify project manager and define the team
• Review possible constraints / assumptions / concerns / risks

In addition to the design concepts and the project charter, an initial business case is developed during the Define phase. The business case should identify the market or customer and the competition. Thorough cost Benefit, sensitivity, risk and contingency analyses should be contained within the business case along with clear definitions of success and failure. The business case is reviewed at each phase of the project.

The electronic contract manufacturers make sure that the essential aspects of the product are described in this phase. From budget and features to functions and requirements, everything is defined.

2. Feasibility

The Feasibility phase is where the product’s success rates are analyzed. During this phase, the project team reviews the product design concepts and selects the design that best fulfills the previously defined requirements. The business case is reviewed and refined.

The project team presents all applicable information regarding the selected design concept, manufacturing, including strengths and risks of the project, an updated business case and the current strengths and risks of the project. The result is a determination of whether the project and proposed product design should move forward to the next phase, be redesigned, or discontinued.

3. Development

The Development phase activities are focused on advancing the product design features and characteristics into a more defined form while assessing risks in the design. A validation plan is also developed during this phase. A comprehensive review of the design is performed to evaluate the robustness of the design and its ability to meet customer and performance requirements. DFM/A activities are initiated prior to design completion or design freeze. In addition, the process required for production is being evaluated, including location, space requirements, equipment and preliminary process mapping. Furthermore, other business units are being pulled into the project to address any operational concerns such as material forecasting, supplier selection and development, etc. Some of the common outputs are listed below:

• 3D Models of the Design
• Concept Level Drawings
• Bill of Materials (BOM)
• Design Failure Mode and Effects Analysis (DFMEA)
• Design Verification Plan and Report (DVP&R)
• DFM/A Reviews
• Manufacturing Preliminary Footprint
• Safety / Regulatory Audit Reports
• Preliminary Engineering Design Freeze

The electronic contract manufacturing services also include a product’s development. Its overall designs are verified in this phase that consists of DFM or Design for Manufacturability and DFA or Design for Assembly. It has methods, DFM/A reviews, guidelines, BOM or bill of materials, etc.

4. Validate

During the Validate phase, product analysis and testing are performed. Design changes are possible but can be costly. In addition, the manufacturing process is developing and process risk is being analysed and addressed. The major steps of the manufacturing process are being developed and reviewed. Product analysis and the testing schedule are being developed and prototype parts completed. Some of the common outputs are:

• Packaging Standards
• Production Level Drawings
• Design Validation Plan and Report (DVP&R)
• Process Flow / Process Mapping
• Process Failure Modes and Effects Analysis (PFMEA)
• Review Supplier Production Part Approval Process (PPAP) Submissions
• Prototype — Process Work Instructions
• Fixture / Tooling Creation and Build
• Prototype Builds

5. Implementation

During the Implementation phase the manufacturing processes are refined and validated through pilot builds and capability studies. In addition, process documentation and quality controls are being developed and implemented. Furthermore, various other activities are on-going including, but not limited to, the following examples:

• Development of Manuals
• Pricelist / Catalogue / Quote Tool
• Process Work Instructions and Standard Work
• Approval of Supplier PPAP Submissions Internal Training of Associates
• External Training of Sales, Dealers, etc.
• Production Control Plans
• Significant Production Run / Pilot Build
• Process Capability Studies / Statistical Process Control (SPC)
• Packaging Evaluations
• Final Safety / Regulatory Review

6. Evaluate

The Evaluate phase timing can vary depending upon the organisation, the product being produced or the service provided. This phase provides the team an opportunity to tie up any remaining documentation tasks, review process performance and collect customer feedback on the new product.

The team should also take this opportunity to review any lessons learned and document them for use in future projects.

We can say that NPI includes various steps that prove highly beneficial for all stakeholders as Product designers, OEMs, electronics contract manufacturers and the consumer. NPI practices include all the design, manufacturing, testing, performance, and functional aspects of a product, resulting in high-quality output.

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