Small Company Product Development Cost Reduction

Small companies in niche markets know they can design better products, but can they sell enough of their products to pay back their investment? When unit volumes are low, the cost of developing the product can sometimes exceed the manufacturing cost. Here are a few tips for reducing product development cost in a small company:… Read More

The Three Rules

I just finished reading the book “The Three Rules“. This academic team attempted to find “rules” of biz that are ALWAYS true. They found three: Rule #1: Better before Cheaper Rule #2: Revenue before Cost Rule #3: There are no other rules. “Better before Cheaper” means that if you are faced with a choice between… Read More

Different Ways to Pay for Product Development

There are many more ways to pay for product development than you may realize, including not paying for it at all. What is right for your situation will depend on your exact circumstances. You may wish to review the following before starting your next product development project. 1. Employees: Most of us are familiar with… Read More

You Don’t Need A Prototype

We often get calls asking if we can design a prototype, or, have we ever worked with the X Y Z technology? After a few probing questions, what we learn that this company really need is a product developed, not a prototype designed—at least not yet. Developing a product is different than designing a product… Read More

Product Development – The Great Unknown

Decision making is fundamental to any professional activity. The study of “decision bias” is a fascinating subject. These studies show that the root cause of most faulty decision making is a wrong assumption. One of the most common faulty assumptions in the product development world is that the development budget and time is an obvious… Read More

Top 3 Ways to Reduce Product Development Cost

Small companies do not have a significant sales volumes to offset development cost. They must keep product development budgets reasonable, without sacrificing quality. However, they often have smaller and inefficient teams. They also have less than complete processes and long product life cycles. What should a small company do? Here are the top 3 methods… Read More

First Step to Creating a Great Product

A Requirements Document (RD) is the first step to creating a great product. Because it is the first step, a RD has the greatest leverage of all product development activities. A small error in direction at this stage can make a big difference in were the product ultimately ends up. Good is the enemy of… Read More