FOOD PRODUCT DEVELOPMENT
CONTENTS 1 WHAT IS NEW FOOD PRODUCT DEVELOPMENT? INTRODUCTION DEFINING AND CHARACTERIZING NEW FOOD PRODUCTS NEW PRODUCTS LINE EXTENSIONS REPOSITIONED PRODUCTS NEW FORM OF EXISTING PRODUCTS REFORMULATION OF EXISTING PRODUCTS NEW PACKAGING OF EXISTING PRODUCTS INNOVATIVE PRODUCTS CREATIVE PRODUCTS GENETICALLY MODIFIED PRODUCTS CUSTOMERS AND CONSUMERS ADDED VALUE MARKETS AND MARKETPLACES MARKETING CHARACTERISTICS OF NEW PRODUCTS PRODUCT LIFE CYCLES PROFIT PICTURE WHY UNDERTAKE NEW FOOD PRODUCT DEVELOPMENT? THE “WHY” OF “WHY UNDERTAKE NEW PRODUCT DEVELOPMENT?” CORPORATE AVENUES FOR GROWTH AND PROFITABILITY OPPORTUNITIES IN THE MARKETPLACE FOR NEW PRODUCT DEVELOPMENT TECHNOLOGICAL ADVANCES DRIVING NEW PRODUCT DEVELOPMENT GOVERNMENT’S HAND IN INFLUENCING NEW PRODUCT DEVELOPMENT 2 THE NEW PRODUCT DEVELOPMENT TEAM: COMPANY ORGANIZATION AND ITS INFLUENCE ON NEW PRODUCT DEVELOPMENT STRUCTURE OF ORGANIZATIONS TYPES OF ORGANIZATIONS COMMITTEE POLITICS HIERARCHICAL POLITICS COURT POLITICS ORGANIZING FOR PRODUCT DEVELOPMENT ORGANIZING FOR “THE WHAT”: THE PHYSICAL PLANT ORGANIZING FOR WHOM: THE HUMAN SIDE ORGANIZATION AND MANAGEMENT CREATIVITY: THINKING DIFFERENTLY RESEARCH FOR CREATIVITY: WHAT IS IT? CHARACTERIZING RESEARCH ORGANIZING FOR CREATIVE RESEARCH THE “UNHABITUAL” AS A TOOL IN CREATIVITY CROSS-FUNCTIONALITY IN PRODUCT DEVELOPMENT FLUIDITY AS AN ORGANIZATIONAL TOOL IN CREATIVITY CONSTRAINTS TO INNOVATION THE CORPORATE ENTITY RISK CAPITAL COMPANY EGO COMMUNICATION MULTIPLANT COMMUNICATION TECHNOLOGY: ITS MANAGEMENT AND TRANSFER PERSONNEL ISSUES THE NEW PRODUCT DEVELOPMENT TEAM PHASES IN NEW PRODUCT DEVELOPMENT 3 WHAT ARE THE SOURCES FOR NEW PRODUCT IDEAS? GETTING IDEAS GENERAL GUIDELINES FOR IDEAS SOURCES OF PRODUCT IDEAS THE MANY MARKETPLACES GETTING TO KNOW THEM: GENERAL TECHNIQUES CENSUS AND ECONOMIC DATA THE FALLACY OF PRIVACY DATA MINING THE INTERNET: SOCIAL NETWORKING, BLOGGING, TWEETING, AND ALL THAT BUZZ JUST LOOKING AND BEING THERE USING ACQUIRED KNOWLEDGE TO SOURCE IDEAS USING RETAILER/DISTRIBUTOR/MANUFACTURER INTERFACES FOR IDEAS OTHER ENVIRONMENTS AS SOURCES OF IDEAS INTERNAL SOURCES OF IDEAS FOR DEVELOPMENT CRITERIA FOR SCREENING IDEAS ENVIRONMENT IN WHICH CRITERIA ARE APPLIED CONFLICT BETWEEN MARKETING AND RESEARCH AND DEVELOPMENT CONFLICT BETWEEN PRODUCTION AND MARKETING APPLYING THE CRITERIA REALITY OF NEW PRODUCT DEVELOPMENT IDEAS CAUTION ABOUT COPY-CAT PRODUCTS 4 STRATEGY AND THE STRATEGISTS STRATEGY DEFINING THE COMPANY THE STRATEGISTS AN INVOLVED SENIOR MANAGEMENT SHAPING THE COMPANY’S OBJECTIVES COMPANY OBJECTIVES THAT SHAPE PRODUCT DEVELOPMENT SANCTIONED ESPIONAGE OR COMPETITIVE INTELLIGENCE? BENCHMARKING FINANCE DEPARTMENT: THE CAUTIONARY HAND IN DEVELOPMENT FINANCE’S NOT SO PASSIVE ROLE IN DEVELOPMENT FINANCIAL REALITIES OF PRODUCT DEVELOPMENT SLOTTING FEES FINANCIAL CRITERIA FINANCIAL TOOLS 4 3 3 1 COMPARING COSTS WITH ANTICIPATED REVENUES PROBABILITY INDEX OTHER TOOLS STRATEGY: MARKETING’S PERSPECTIVE MARKETING’S FUNCTIONS MARKET RESEARCH TIME: A CRITICAL ELEMENT IN MARKETING PLANNING AND DEVELOPMENT NATURE OF MARKET INFORMATION QUALITATIVE AND QUANTITATIVE MARKET RESEARCH INFORMATION FOCUS GROUPS BEYOND FOCUS GROUPS: NEUROMARKETING— INVADING THE CONSUMER’S INNER SPACE MARKETING’S WAR ROOM MARKETING AND SALES DEPARTMENTS MARKETABILITY AND MARKETING SKILLS SUMMARY 5 THE TACTICIANS: THEIR INFLUENCE IN PRODUCT DEVELOPMENT SCIENCE AND TECHNOLOGY IN ACTION RESEARCH AND DEVELOPMENT: MEETING THE CHALLENGES RECIPE DEVELOPMENT AND RECIPE SCALE-UP: MEETING THE CHALLENGE SPOILAGE AND PUBLIC HEALTH CONCERNS FOOD SPOILAGE CONCERNS MICROBIAL SPOILAGE NATURALNESS: MINIMAL PROCESSING MAINTAINING SAFETY AND PRODUCT INTEGRITY GENERAL METHODS AND CONSTRAINTS TO THEIR USE SUMMARY AND A CAUTION ROLE OF ENGINEERING IN THE DEVELOPMENT PROCESS ENGINEERS PROCESS DESIGN SCALE-UP IN-PROCESS SPECIFICATIONS MANUFACTURING PLANT: A STUMBLING BLOCK OR AN ASSET IN DEVELOPMENT? THE PLANT CONCERNS: SPACE, FACILITIES, LABOR, AND DISRUPTIONS CO-PACKERS AND PARTNERSHIPS ROLES OF THE PURCHASING AND WAREHOUSING DEPARTMENTS PURCHASING DEPARTMENT’S ACTIVITIES 5 3 2 2 ACTIVITIES IN WAREHOUSING AND DISTRIBUTION IT DEPARTMENT’S CONTRIBUTION INFORMATION MANAGEMENT AND RETRIEVAL NUMBER CRUNCHING GRAPHICS COMMERCIAL FEASIBILITY THE LOOP: THE INTERCONNECTIVITY OF QUESTIONS WITH INDEFINITE ANSWERS THE ART OF GUESSTIMATING 6 THE LEGAL DEPARTMENT: PROTECTING THE COMPANY—ITS NAME, GOODWILL, AND IMAGE THE LAW AND PRODUCT DEVELOPMENT NONGOVERNMENTAL ORGANIZATIONS ADVOCACY GROUPS GEOPOLITICAL GROUPS EXPERT PANELS INDUSTRIAL SECTOR FOOD REGULATION AND THE DEVELOPMENT PROCESS LEGISLATION, REGULATIONS, AND SAFETY: A DILEMMA ROLE OF LAWYERS LEGISLATING QUALITY AND SAFETY ENVIRONMENTAL STANDARDS 7 QUALITY CONTROL: PROTECTING THE CONSUMER, THE PRODUCT, AND THE COMPANY THE EVER-PRESENT WATCHDOG SENSORY ANALYSIS IN PRODUCT DEVELOPMENT SENSORY TECHNIQUES OBJECTIVE SENSORY TESTING SUBJECTIVE OR PREFERENCE TESTING PANELISTS OTHER CONSIDERATIONS IN SENSORY ANALYSIS TO TEST BLIND OR NOT? CAN ALL TASTERS DISCRIMINATE? USING CHILDREN USING ELECTRONICS: THE PERFECT NOSE? SHELF LIFE TESTING SELECTING CRITERIA TO ASSESS SHELF LIFE SELECTING CONDITIONS FOR THE TEST TYPES OF TESTS GUIDELINES TO DETERMINING SHELF LIFE ADVANCES IN SHELF LIFE DETERMINATION DESIGNING FOR PRODUCT INTEGRITY SAFETY CONCERNS CONCERNS IN DESIGNING FOR FOOD SAFETY NEW CONCEPTS OF SAFETY COSTS OF QUALITY AND SAFETY DESIGN HAZARD ANALYSIS CRITICAL CONTROL POINT PROGRAMS STANDARDS NECESSARY FOR SAFETY INTERNATIONAL STANDARDS 8 GOING TO MARKET: SUCCESS OR FAILURE? FINAL SCREENING TEST MARKET: WHAT IT IS EXAMPLES TEST MARKET: ITS GOALS SOME CAUTIONS COSTS: A DETERRENT CONSIDERATIONS FOR A SUCCESSFUL TRADITIONAL TEST MARKET WHERE TO INTRODUCE WHEN TO INTRODUCE LENGTH OF THE TEST MARKET PERIOD DISRUPTIVE AND UNEXPECTED ELEMENTS IN TEST MARKETS HOW TO INTRODUCE WHAT PRODUCT TO MARKET EVALUATING THE RESULTS THE MARKET: MISINTERPRETED AND MISUNDERSTOOD JUDGMENT DAY: THE EVALUATION FAILURES IN THE MARKETPLACE CAUSES OF FAILURE 9 WHY FARM OUT NEW PRODUCT DEVELOPMENT? A ROSE IS A ROSE IS A ROSE OUTSOURCING OUTSOURCING, CONSULTING, PARTNERING, AND JOINT VENTURING A CLASSIFICATION OF CONSULTANTS GOING OUTSIDE FOR PRODUCT DEVELOPMENT THE NEED FINDING AND SELECTING THE APPROPRIATE CONSULTANT SOME CAVEATS IN SELECTING AND WORKING WITH CONSULTANTS EXPOSURE LOSS OF A COLLECTIVE LEARNING OPPORTUNITY EMPLOYEE GROWTH DISSENSION OTHER OBLIGATIONS: PROBLEMS IN ACADEME ADVANTAGES AND DISADVANTAGES UTILIZATION OF RESOURCES THE NEED TO MONITOR DOES THE CLIENT UNDERSTAND CONSULTANTSPEAK? COMMUNICATION 10 NEW FOOD PRODUCT DEVELOPMENT IN THE FOOD SERVICE INDUSTRY 10 1 UNDERSTANDING THE FOOD SERVICE INDUSTRY 10 1 1 FOOD SERVICE MARKETPLACES 10 1 2 CUSTOMERS AND CONSUMERS IN THE FOOD SERVICE INDUSTRY 10 2 CHARACTERISTICS OF THE FOOD SERVICE MARKET 10 2 1 CLIENTELE 10 2 2 FOOD PREPARATION AND STORAGE FACILITIES 10 2 2 1 EQUIPMENT 10 2 2 2 STORAGE FACILITIES 10 2 2 3 LABOR 10 2 3 PRICE, QUALITY, CONSISTENCY, SAFETY, AND SOMETIMES NUTRITION 10 2 3 1 STANDARDS 10 2 3 2 HEALTH CARE SECTOR OF THE INSTITUTIONAL MARKET 10 2 3 3 MILITARY SECTOR OF THE INSTITUTIONAL MARKET 10 3 DEVELOPING PRODUCTS FOR THE FOOD SERVICE SECTOR 10 3 1 PHYSICAL FACILITIES OF THE CUSTOMER 10 3 2 ENERGY REQUIREMENTS 10 3 3 LABOR 10 3 4 WASTE HANDLING 10 3 5 CUSTOMERS AND CONSUMERS 10 3 5 1 CONSUMER AND NUTRITION: AN OXYMORON 10 4 QUALITY IN THE FOOD SERVICE MARKET 10 4 1 SAFETY 10 5 DEVELOPMENT OF PRODUCTS FOR THE FOOD SERVICE MARKET 10 6 CRITERIA FOR EVALUATING A TEST MARKET 11 PRODUCT DEVELOPMENT IN THE FOOD ADDITIVE AND FOOD INGREDIENT INDUSTRIES 11 1 ADDITIVE AND INGREDIENT MARKET ENVIRONMENT 11 1 1 CHARACTERISTICS OF THE FOOD INGREDIENT INDUSTRY 11 1 1 1 CHAIN OF CUSTOMERS AND CONSUMERS: A WELTER OF IDENTITIES AND NEEDS 11 1 1 2 SIMILARITIES AND DISSIMILARITIES TO THE FOOD SERVICE INDUSTRY 11 1 1 3 THE EVER-PRESENT GOVERNMENT 11 1 1 4 PROLIFERATION OF NEW INGREDIENTS 11 1 2 FOCUSING ON THE CUSTOMER WHO IS ALSO THE CONSUMER 11 1 2 1 CUSTOMER RESEARCH 11 1 2 2 “CONSUMER” RESEARCH: “YES” AND “NO” POSSIBILITIES 11 1 3 DEVELOPMENT PROCESS 11 1 3 1 DEVELOPMENT PROCESS AND FOOD LEGISLATION 11 1 3 2 WHAT ARE THE CRITERIA FOR SCREENING? 11 1 4 LOOKING TO THE FUTURE FOR DEVELOPMENTS IN FOOD INGREDIENTS 11 1 5 MEETING THE CHALLENGE: NEW INGREDIENTS 11 1 5 1 MARKETING’S IMPACT ON THE DIRECTION OF RESEARCH AND DEVELOPMENT 11 2 INGREDIENTS AND THE NEW NUTRITION 11 2 1 OPPORTUNITIES PROVIDED BY THE NEW NUTRITION 11 2 1 1 BIOLOGICALLY ACTIVE NONNUTRIENTS 11 2 1 2 OTHER INGREDIENTS: SOME WITH AND SOME WITHOUT NUTRITIVE PROPERTIES 11 2 2 CHALLENGES FOR THE NEW NUTRITION 11 2 2 1 PROBLEMS PRESENTED BY ENRICHED FOODS 11 2 3 A CAUTIONARY SUMMARY 12 DANCING BUT UNCERTAIN OF THE MUSIC 12 1 INTRODUCTION 12 2 LOOKING FORWARD AND BACKWARD 12 2 1 THE CHANGED AND CHANGING SCENE 12 2 1 1 THE PAST 12 2 1 2 RECENT TIMES AND THE PRESENT 12 2 1 3 THE FUTURE 12 2 2 BEING SURE OF THE CONCEPT 12 2 2 1 VALUE OF THE EARLIER LITERATURE 12 2 2 2 WHAT CUSTOMERS AND CONSUMERS WANT OR WHAT PURVEYORS WANT? 12 3 WHAT FOOD SCIENCE AND TECHNOLOGY HAVE WROUGHT 12 3 1 IMPACT OF FOOD SCIENCE AND TECHNOLOGY 12 3 1 1 HOW FOOD SAVVY ARE PEOPLE? 12 3 1 2 IMPACT OF TECHNOLOGY 12 3 1 3 TRENDS AS SOCIAL HISTORY 12 3 2 FACTORS SHAPING FUTURE PRODUCT AND PROCESS DEVELOPMENT 12 3 2 1 INFLUENCES: KNOWN AND UNKNOWN 12 4 WHAT I HAVE LEARNED SO FAR ABOUT PRODUCT DEVELOPMENT 12 4 1 MY MENTORS 12 4 1 1 NEW FOOD PRODUCTS OF THE FUTURE REFERENCES