1. Company’s Project pipeline
The Company has a well-established Project Management manual. The pipeline is represented by an Innovation Funnel, while the projects are managed in phases, following the Stage-Gate® model by [12]. The figure 1 represents the Innovation Funnel, with the project phases positioned in it.
Every phase has its set of tasks to be achieved before passing through the gate to the next phase. During phase zero, or Design phase, the value proposition of the project is assessed, as well as regulatory assets for the target markets. In this phase, the project scope is defined based on the
customer’s needs and a preliminary state-of-the-art search. In this phase the economic feasibility is evaluated in terms of expected gross margin and expected volume. When all the information is gathered, there is the “go/no go” decision and the project begins its development.
Phase 1, or Development phase, is the longest and most expensive phase. In this phase researchers will actually find the technical solution to the proposed problem. In this phase the new product is created along with its production process. It consists of regulatory, toxicological and environmental issues, pilot plan tests, first draft specifications, and other information required for defining the product needs, manufacturing process and applications. The gate review at this phase consists of a reevaluation of the value proposal defined at phase zero.
The main objective of Phase 2 is obtaining Customer Approval of the product developed at Phase 1. In this phase, samples are sent to the customer and commercial conditions are defined. This is the phase where all the negotiation involved in business development is made. The gate review
consists of a validation of the value proposition to ensure the feasibility to continue the project.
Phase 3, Implementation, consists of the final approval of raw materials and suppliers, manufacturing plant, creation of official technical documentation and technology transfer. The gate review is akin to Phase 2, with the validation of the value proposition.
Phase 4, or Launch phase, consists of the creation of the launching plan, where target customers, communication plan and strategy positioning are defined. The new product is positioned according to its value proposition. Gate review is the same as the previous phases.
On Phase 5, or Validation phase, occurs the confirmation of the achievement of customer’s needs and expectations. The feasibility of all aspects of product implementation, manufacturing capability, sources of raw materials, technical documentation and technology is evaluated. At this phase there is the final gate review, with the assessment of initial project assumptions.
Finally, on Phase 6, of Follow Up phase, the results of margin and volume are monitored and compared to the potential of the project for three years. There is no gate review on this phase, but it can flag some needed actions to assure the project success.