Friday, 22 November 2013

Idea Screening

Idea Screening

The Business Dictionary (2012) state that idea screening is simply analysing and evaluating innovative product ideas and their surrounding market(s).

          Hooker & Monas (2008) described idea screening as the process that determines whether to further develop a suggested innovative product. The general concept of the process is to decide if a product is actually viable and to establish the profitability – if any – of the product. Once evaluated, if a product is deemed unfeasible, then it will be eliminated from enhancing and therefore, developing any further in the NPD process.

          When a suggested idea reaches the screening phase, businesses have to undertake market research; questions are asked to the organisation’s target market, for example; whether the customer would benefit from the product, whether the customer would buy the product and also how much they would be willing to pay for the product. Additionally, businesses will evaluate the idea by looking at the potential product life cycle and peak sale times, i.e. if the product is highly seasonal. Another consideration businesses use is the Ansoff Matrix. This is in order to determine where the product lies in terms of its market (Hüllsmann & Pfeffermann, 2011).

          The Decision Making Matrix is another tool used by organisations to ask questions and break down ideas in order to assess their feasibility; potential customers give answers about concepts surrounding the product idea (ASQ, 2004). This matrix is essential in the process of idea screening.

          Nike’s manufacturing vision is ‘to create and to deliver great products through a sustainable, Nike, Inc.-wide sourcing base’. As they will only use recycled or organic materials to manufacture their products - when undergoing idea screening - they only choose to develop those that use the lowest number of toxic chemicals. Nike is one of the biggest sport companies in the world; every product they produce will have endured screening. Their products have gone on to make Nike a net profit of over £500million per-annum (Nike, 2013). Hence, proving how important idea screening is when developing new products.

          In relation to the ideas placed forward in the idea generation blog, the decision-making matrix was completed in order to discover which idea would be worthwhile to take forward to the next phase of NPD (Appendix A). Results show that the Cricket Spike idea was the strongest product due to the consistent high scoring. However, it was also proven that the golf ball idea was not feasible for a number of reasons. From this, structure should be developing within the cricket spike idea; e.g. the product will benefit the cricket market via introducing new technology that resolves a cost-based problem, therefore the product has serious potential across the sport industry if it were diversified correctly.

          To summarise, the decision-making matrix is a key concept to consider when deciding which ideas to take to the next phase of the NPD process. Idea screening plays an essential role in the NPD process and without it; the most feasible, suitable products would not be brought to market.

Appendix A


Reference List

ASQ (2004) Decision Matrix. Available at: http://asq.org/learn-about-quality/decision-making-tools/overview/decision-matrix.html Last accessed 18/11/13.

Business Dictionary (2012) Idea Screening definition. Available at: http://www.businessdictionary.com/definition/idea-screening.html Last accessed 18/11/13.

Hooker, R. & Monas, S. (2008) Shoestring Venture: The Start-Up Bible. New York: Bloomington. p189.

Hüllsmann, M. & Pfeffermann. (2001) Strategies and communications for innovations. Heidelberg: Springer.
Nike, Inc. (2013) Designing Products. Available at: http://nikeinc.com/pages/products Last accessed 18/11/13.

2 comments:

  1. You have used a good structure within your work and presented your material in a logical and progressive manner. Explaining the academic basis of this stage of the NPD process at the start is beneficial, and you have used appropriate sources (apart from Business Dictionary which has limited academic credibility). Your mid-section offers an applied example, although a more precise detail of the screening process is advised. The final section is good and shows a clear appreciation of the main components being applied through your own ideas. Explain the assessment criteria you have used in the matrix as this will indicate an additional level of analysis in your work.

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