Ushering In A New Era Of Product Development

NEW PRODUCT DEVELOPMENT (NPD)
COMPLEXITIES AND CHALLENGES

Increased Global Competition

Now more than ever, manufacturers are under extreme pressure to reduce their NPD cycle time and get products to market faster. Due to globalization, companies are facing greater competition and must deliver products at just the right time and price to gain first-mover advantages. Working under tighter schedules and greater cost constraints requires teams to resolve design and quality issues early on and make decisions quickly.

Technological Advancements

To meet consumer demand for tailored experiences, innovators are leveraging software along with advanced technologies like the Internet of Things (IoT), sensors, and artificial intelligence (AI) to design smarter, more connected products. Due to the complexity of these products, original equipment manufacturers (OEMs) must outsource more design and production work to contract manufacturers, sub-tier suppliers, and other specialists in the field. Involving them throughout the entire NPD process is critical to help circumvent interoperability and manufacturability issues that could delay product launches.

Number of IoT connected devices across all industry verticals worldwide is forecast to reach 29 billion by 2030.

Evolving Regulatory Landscape

Due to emerging technology and the global push for more environmentally friendly products, the regulatory world is changing at a rapid pace. Industry regulations and standards are constantly updated to address new product performance, safety, security, and sustainability criteria. Consequently, manufacturers must regularly reevaluate their design, validation, and production processes to keep up with evolving requirements and ensure compliance.

Implementing strong design controls and corrective and preventive action (CAPA) processes is a necessity for life sciences manufacturers looking to comply with the quality system directives set forth by the FDA and ISO. They must also gather and maintain more extensive clinical evidence to support the product’s safety and performance claims and comply with the latest European Union (EU) medical device regulations (e.g., MDR and IVDR). Ensuring proper security controls and protection for the export of ITAR– and EAR-related data is a priority of companies in the aerospace and defense industry. And companies across all sectors must source compliant components and materials if they want to adhere to environmental regulations such as REACH, RoHS, and WEEE.

In essence, having a system to effectively track, manage, and report compliance evidence for these various regulations is critical to helping companies meet their NPD timelines and fulfill commitments to customers.

Business Shifts

Economic headwinds are impacting consumer demand and manufacturers’ ability to source parts and get products to market. More companies are having to lay off some of their workforce to address shrinking demand in our weakened economy. These conditions ripple through the entire supply chain, putting an additional strain on companies’ abilities to deliver products to market.

To compound matters, many companies have adopted remote work practices as a result of the COVID-19 pandemic. With internal and external teams scattered across the globe in multiple time zones, it is harder to keep everyone on the same page throughout the NPD process.

What barriers does your organization face with new product innovation?

Supply Chain Disruptions

Unforeseen events like the COVID-19 pandemic and natural disasters have created more part shortages, logistics issues, and other supply chain disruptions. To gain greater visibility and respond quickly, teams must collaborate frequently with their supply chain partners and have access to accurate, up-to-date sourcing information.

Companies can expect to experience supply chain disruptions lasting at least a month approximately every 3.7 years.