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Function Dynamics
Keeping the pipeline full with differentiated, high-margin products is becoming a daunting challenge for many companies. Growing competition, changing market economics, product commoditization, and a tougher regulatory climate are all risk factors that can drive down the ROI of R&D initiatives. In response to greater risk and lower returns, it’s easy for R&D staff to play it safe. The result is a bias to incremental product enhancement at the expense of real innovation.
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Business Challenges
Portfolio management and resource allocation are critical challenges. R&D needs to work with other key functions to balance product line extensions and breakthrough innovation that open up new spaces in the market. A further challenge is to ensure that project selection is based on commercial potential and alignment with strategy, rather than what’s technically "hot". Ongoing monitoring is often necessary to keep R&D staff focused on company priorities, and ensure that resources are not leaked to pet projects.
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Our Depth of Knowledge
Success in today’s marketplace requires both great strategy and an integrated approach to its implementation. Over the last 20 years we’ve helped clients in a wide variety of industries address both the "what" of strategy and the "how" of implementation. Our services are intended to develop competencies and implement R&D systems that enable strategically important performance in the organization. We help R&D leaders build departments capable of delivering on their value proposition.
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