Rapid Innovation - Filling the Pipeline
PMG was asked to develop a fast paced product and service innovation process that would be utilized by their newly developed corporate innovation team. PMG developed an Outcome-Driven framework growing the number of opportunities in the new product pipeline approximately 150%, while increasing the potential revenue of the new product pipeline nearly 180%.
PMG was approached by a multi-billion dollar packaging company to develop a fast paced product and service innovation process that would be utilized by their newly developed corporate innovation team. The six member team would be full time, based off-campus to protect the entrepreneurial culture, and include engineering, materials, marketing, and food science expertise. The goal of the team was to:
- develop a minimum of 3 new products or services every 16 weeks
- be within new or adjacent markets
- leverage existing, developed, or acquired technologies.
- show at least a $30 million exit rate after 5 years
- generate a minimum 40% margin
PMG developed an Outcome-Driven framework that began with directly identifying and understanding underlying market drivers and needs. This approach allowed the team to focus potential innovation on problems and needs, creating clear opportunities for innovative solutions. It also allowed the team to develop a clear measure of value for a potential solution. Thorough research uncovered countless opportunities, allowing the team to develop hundreds of potential innovative solutions. PMG created a multi-stage vetting process, providing the team a systematic methodology in assessing the fit and attractiveness of each potential innovation. The vetting process incorporated targeted market research aimed at the specific opportunity, and detailed rating criteria designed to accurately rank each innovation relative to the overall attractiveness and fit of the potential solution with the company.
Through the first two years of existence the Innovation Team grew the number of opportunities in the new product pipeline approximately 150%, while increasing the potential revenue of the new product pipeline nearly 180%. Their work also yielded multiple patent applications, and 3 awarded patents. In addition, one product and one service were commercialized, producing revenue within the first year.