4.10 Case Studies

Dimensional analysis examines all physical characteristics of a product, providing a comprehensive list of these attributes. This analysis helps organizations understand the fundamental aspects of their product’s design and functionality. By asking questions such as “Why is the product designed this way?”, “How could the product be improved?” and “What would happen if one or more characteristics were altered?” Organizations can identify potential areas for enhancement or innovation. This method encourages a deep dive into the product’s physical properties, fostering creative thinking about possible modifications and improvements.

For a successful launch, Health Watcher should follow a structured new product development (NPD) process. Here’s a recommended outline:

Phase 1: Idea Generation

Internal Idea Sources:

• Brainstorming sessions with Health Watcher’s design, development, and potentially early marketing teams. Leverage their expertise in medical and rehabilitation to identify unmet needs or opportunities in the fitness tracking market.

External Idea Sources:

• Market Research: Analyze existing fitness trackers, their features, pricing, and user reviews to identify gaps and potential differentiators.
• Customer Feedback (Preliminary): Conduct initial surveys or interviews with potential users (fitness enthusiasts, individuals undergoing rehabilitation, health-conscious consumers) to understand their pain points and desired features.
• Competitive Analysis: Scrutinize competitors’ strengths and weaknesses to identify areas where Health Watcher can offer a unique value proposition.
• Technological Scouting: Explore new sensor technologies, materials, and software capabilities that could be incorporated into the tracker.

Phase 2: Idea Screening

• Initial Screening Criteria: Develop a set of criteria to evaluate the generated ideas. These might include:
• Strategic Fit: Does the product align with Health Watcher’s mission and capabilities in medical and rehabilitation?
• Market Potential: Is there a sufficiently large and addressable market for the product?
• Feasibility: Can Health Watcher realistically design, develop, and manufacture the product with its resources and expertise?
• Profitability: Does the idea have the potential to be financially viable?
• Idea Filtering: Apply the screening criteria to filter out unpromising ideas and focus on the most viable concepts.

Phase 3: Concept Development and Testing

• Product Concept Development: Develop detailed descriptions and visual representations (mockups, sketches) of the potential fitness tracker. This includes outlining its core features, functionalities, and target user profile.
• Concept Testing: Present the product concepts to a sample of potential customers to gauge their reactions, identify areas for improvement, and assess purchase intent. Gather feedback on features, design, and perceived value.

Phase 4: Marketing Strategy Development

• Target Market Definition: Clearly identify the specific segments of consumers Health Watcher will target (e.g., active seniors, individuals in post-rehabilitation, general fitness enthusiasts).
•  Value Proposition Definition: Articulate the unique benefits and value the Health Watcher tracker will offer to the target market compared to competitors.
• Marketing Mix Strategy (Preliminary): Outline initial ideas for the product (features, design), pricing, distribution channels, and promotion strategies.

Phase 5: Business Analysis

• Demand Forecasting: Estimate potential sales volume based on market research and concept testing.
• Cost Analysis: Project development costs, manufacturing costs, marketing expenses, and operational costs.
• Profitability Analysis: Evaluate the financial viability of the product by forecasting revenues, costs, and potential return on investment.
• Risk Assessment: Identify potential risks (e.g., technological challenges, competitive response, regulatory hurdles) and develop mitigation strategies.

Phase 6: Product Development

• Prototype Development: Create functional prototypes of the fitness tracker, incorporating feedback from concept testing and technical considerations.
• Alpha and Beta Testing: Conduct internal (alpha) and external (beta) testing of the prototypes to identify bugs, usability issues, and areas for refinement. Gather user feedback on real-world usage.
• Design and Engineering: Finalize the product design, hardware components, and software algorithms based on testing results.
• Manufacturing Process Development: Establish efficient and cost-effective manufacturing processes.

Phase 7: Test Marketing

• Limited Launch: Introduce the product in a small geographic area or to a specific group of users to gather real-world market feedback on the complete marketing mix (product, price, place, promotion).
• Performance Monitoring: Track key metrics such as sales, customer satisfaction, and distribution effectiveness.
• Refinement and Adjustment: Based on test market results, make necessary adjustments to the product, marketing strategy, or launch plan.

Phase 8: Commercialization

• Full-Scale Launch: Introduce the product to the broader target market through chosen distribution channels.
• Marketing and Sales Execution: Implement the developed marketing and sales strategies.
• Post-Launch Monitoring and Evaluation: Continuously track sales, market share, customer feedback, and profitability. Identify areas for ongoing improvement and potential product line extensions.

Based on Health Watcher’s focus on medical and rehabilitation, potential customer requirements for their fitness tracker could include:

1. Accurate Health Monitoring: Users, especially those with health concerns or in rehabilitation, will prioritize accurate tracking of vital signs and activity levels.
2. User-Friendly Interface: The device and its accompanying app should be easy to understand and navigate, particularly for individuals who may not be tech-savvy or are dealing with health-related fatigue.
3. Comfort and Durability: The tracker needs to be comfortable to wear for extended periods and durable enough to withstand daily activities and potential accidental bumps.
   Now, let’s see how the House of Quality (HOQ) can translate these customer requirements into technical features:

House of Quality Matrix (Simplified)

Explanation of the HOQ Components:

• WHATs (Customer Requirements): The left side lists the identified customer requirements with their assigned importance ratings (e.g., on a scale of 1 to 5, where 5 is most important).
• HOWs (Technical Features): The top row lists the technical features that Health Watcher can incorporate into the tracker to address the customer’s requirements. These are measurable or designable characteristics.
• Relationship Matrix: The central matrix shows the relationship between each customer requirement and each technical feature. Symbols or numerical values indicate the strength of the relationship (e.g., strong, medium, weak, or no relationship).
• Importance Rating (Absolute): This is calculated by multiplying the importance of each customer requirement by the strength of its relationship to each technical feature and summing the results for each technical feature column. This helps prioritize which technical features are most critical to meeting customer needs.
• Target Values: These specify the desired performance level or characteristic for each technical feature (e.g., heart rate accuracy within ±2 BPM).
• Units: The units of measurement for the target values.
• Competitive Assessment: This section allows Health Watcher to compare its planned technical features against those of key competitors based on customer perceptions.
• Roof (Correlation Matrix): The triangular matrix at the top helps identify potential positive or negative correlations between the technical features. This can highlight trade-offs that need to be considered during the design process (e.g., making the casing very durable might increase its weight, impacting comfort).

How the HOQ Translates Customer Needs:

The HOQ visually demonstrates how customer requirements are directly linked to specific technical features. For example:

• “Accurate Health Monitoring” (WHAT) is strongly related to “High-Precision Heart Rate Sensor” and “Advanced Activity Recognition Algorithms” (HOWs). The HOQ quantifies this relationship and highlights the target accuracy levels needed.
• “User-Friendly Interface” (WHAT) is addressed by technical features like “Large, High-Contrast Display” and “Intuitive Mobile App Navigation” (HOWs), with target specifications focusing on screen size and ease of use.
• “Comfort and Durability” (WHAT) is linked to “Lightweight and Flexible Material” and “Sweat and Water Resistance (IP67)” (HOWs), with target values specifying weight limits and water resistance ratings.

By completing the House of Quality, Health Watcher can gain a clear understanding of which technical features are most important to their customers and how to prioritize their design and development efforts to create a successful and customer-centric fitness tracker. This framework helps ensure that the product development remains aligned with the voice of the customer.

• Idea Generation: Focus on eco-friendly vehicles using alternative energy sources (e.g., hydrogen fuel cells).
• Idea Screening: Assess the feasibility of hydrogen technology, infrastructure needs, and regulatory requirements.
• Concept Development and Testing: Develop vehicle prototypes, test for efficiency, safety, and consumer acceptance.
• Market Strategy Development: Target environmentally conscious consumers and regions with supporting infrastructure.
• Business Analysis: Calculate development costs, expected sales, government incentives, and long-term profitability.
• Product Development: Engineer the vehicle, integrate hydrogen storage, fuel cell stacks, and electric drive systems.
• Test Marketing: Deploy a fleet for pilot programs in select cities to monitor performance and gather feedback.
• Commercialization: Launch the vehicle with marketing focused on sustainability and cost savings.

• High fuel efficiency leads to optimizing the fuel cell and drivetrain.
• Fast refuelling requires advanced tank design and compatible infrastructure.
• Safety results in robust storage solutions and real-time monitoring systems.

• Idea Generation: Combine exercise equipment with live-streamed classes and interactive features.
• Idea Screening: Evaluate the demand for at-home fitness solutions and the technical feasibility of streaming integration.
• Concept Development and Testing: Build prototypes of the exercise bike/treadmill with screens; test with fitness enthusiasts.
• Market Strategy Development: Target busy professionals and fitness enthusiasts seeking convenience and community.
• Business Analysis: Analyze subscription revenue potential, hardware costs, and scalability.
• Product Development: Finalize hardware and software integration, develop a content library, and build a user-friendly interface.
• Test Marketing: Launch a beta program to gather user feedback on both hardware and digital experience.
• Commercialization: Full-scale launch with marketing focused on the unique combination of equipment, content, and community.

• Immersive class experience leads to investing in display and audio technology.
• Real-time performance tracking requires robust sensor integration and data processing.
• Community interaction drives the development of software features for social engagement and competition.

Summary Table: House of Quality Mapping

These examples illustrate how the new product development process and the House of Quality framework are applied across diverse industries to translate customer needs into actionable technical features, ensuring the final product delivers real value and competitive differentiation.