Market-driven software engineering Basic concepts
Dec 21, 2015
Different drives
Technology driven Contract driven (bespoke development) Market driven
Originator: Joachim Karlsson
Product management – where are they?
Marketing and sales Research and development Own department under CEO
Originator: Joachim Karlsson
IndustryWeeks 2002 Value-Chain Survey- focus
Meet customer
needs69%
Lowest product
cost13%
Most innovative
features11%
First on market
5%
Other
2%
Originator: Joachim Karlsson
IndustryWeeks 2002 Value-Chain Survey- problem root causes
Lack of
resources20%
Weak business
strategy14%
Bad execution
14%
Other
12%
Low support
from management
6%
Low
understanding of customer
needs34%
IndustryWeeks 2002 Value-Chain Survey- most impact on TTM
Formal product development
process22%
Focus on product platforms
8%Other 9%
Collaboration with customers and
partners32%
Reallocation of resources
between projects29%
Originator: Joachim Karlsson
Often 19 %
Never 45 %
Sometimes or always 45 %
Doing too much of some things…
How often features areused in practice. Source: Butler Group.
Originator: Joachim Karlsson
Market segmentation
Segment: a subgroup of consumers sharing the same needs Consumers are organisations or people Variables for segmentation:
Geographic Demographic Psychographic Behavioural
Statistical clustering techniques: distance measurement and linkage rules (http://www.statsoft.com/textbook/stathome.html)
Related topics: Targeting Positioning Niche market
Segmentation
Volvo Segments per country and family type
Cell phones From adoption models to price and age
ABB company Chose two customers to focus on The rest had to adapt
Originator: Joachim Karlsson
Segmentation: Harley-Davidson
Dream Riders 40 % Zen Riders 20 % Tour Gliders 14 % Hard Core 10 % Hog Heaven 9 % Live to Ride 7 %
Originator: Joachim Karlsson
Portfolio analysis
A collection of business and products that makes up the company
Optimise company strengths and opportunities Outcome: investment and growth plan Sample method The Boston Consulting Group Box:
Competitor analysis
Analyse strengths and weaknesses of competitors Use information to define opportunities and threats Sample method: Competitor array
Key Industry Success Factors
Weighting
Competitor #1 rating
Competitor #1 weighted
Competitor #2 rating
Competitor #2 weighted
1 - Extensive distribution .4 6 2.4 3 1.2
2 - Customer focus .3 4 1.2 5 1.5
3 - Economies of scale .2 3 .6 3 .6
4 - Product innovation .1 7 .7 4 .4
Totals 1.0 20 4.9 18 3.7