The Albright Strategy Group Roadmaps and Roadmapping Technology Futures Strategy www.albrightstrategy.com
Roadmaps for Global Platform Products Developing and Launching Global New Products Product Development Management Association February 6, 2002 Richard E. Albright The Albright Strategy Group
[email protected]
© 2001 The Albright Strategy Group, LLC
Key Points • Roadmaps and Roadmapping Help people clarify, link, communicate and execute plans.
• Product-Technology Roadmaps Enable product teams to link business strategy, product plans, and technology development. Help coordinate across product lines and enable clear communication with customers and suppliers.
• Product Platform Roadmaps Coordinate component subsystems or local features/adaptation. Track progress, gaps, and help the team identify when changes are needed. 2
© 2001 The Albright Strategy Group, LLC
Roadmaps and Roadmapping A Roadmap – is the view of a group of how to get where they want to go or achieve their desired objective. (Discipline) – helps the group make sure the capabilities to achieve their objective are in place at the time needed. (Focus)
Roadmapping – is a Learning process for the group. – is a Communication tool for the group.
3
© 2001 The Albright Strategy Group, LLC
Types of Roadmaps * • Science and Technology Roadmaps
Identify or Set a Future Direction
– ONR, Bibliometric methods
• Industry & Government Roadmaps
Coordinate Execution
The National Technology Roadmap for Semiconductors (1999) -4 1.E-04 10
DRAM cost/bit
Key Objectives:
– Semiconductor (SIA), NEMI Component Roadmaps – Aluminum, Glass, Forging
– Product Roadmaps – Manufacturing Roadmaps – Component Roadmaps
-6 1.E-06 10
-7 10 1.E-07
1995
Set and Monitor Direction, Coordinate Execution, Portfolio Management
– Product-Technology and Platform Roadmaps
* Roadmaps can represent the need, current/planned capability or both 4
2000
2005
2010
2015
2000
20 0 5
20 1 0
2 0 15
10 0 0 0
transis/chip (M)
• Corporate Roadmaps
-5 1.E-05 10
1000
100
10 1 99 5
© 2001 The Albright Strategy Group, LLC
Product-Technology Roadmap A Business Planning Tool Feature Evolution Plan Last Year
Now
+ 1 Year
+2 Years +3 Years
VISION
Product Evolution Plan End User Value
Product Architecture
Risk Roadmap
Antenna
Risk Categories
Display
NOW
Market
Battery
RF
Risk m1 [.4]
(growth,strategy, product attributes, etc.)
+2Q
+4Q
+6Q
Risk t1 [.2]
Risk t2 [.1]
LONG-TERM
Risk m2 [.5]
Risk m3 [.2]
market events
Technical (component or system performance)
Risk t3 [.5]
test events
Baseband
Experience Curves
Forward Cost Model
Competitive Strategy
$200.00
Housing
Keyboard
PWB ICs Discretes Software
Manuf acturing Cost
Component #3 Component #4
Customer Solutions
Specialized Labor Installation
$150.00
System Lock-In
Misc. TA RGET
(what can be varied in the product)
Competitive Landscape
KEY DRIVERS: KEY DRIVERS:
Competitor Strengths(+)and Bonding (share;base) weaknesses(-) (how to gain
CoreCompetency
StrategicGoals
Current Current Position Position lag lag lag lag Parity Parity
1. Product Driver #1 1. Product Driver #1 2. Product Driver #2 2. Product Driver #2 3. Product Driver #3 3. Product Driver #3
Metric
ValueProposition
Req’d Req’d Invest. Invest. M M H H M M
Goal Goal Parity Parity Lead Lead Lead Lead
SECONDARY DRIVERS SECONDARY DRIVERS 4. Secondary Product Driver 4. Secondary Product Driver 5. Secondary Product Driver 5. Secondary Product Driver 6. Secondary Product Driver 6. Secondary Product Driver
advantage)
Company
COGS
Product Driver/Targets
Scope
$100.00
2000
2001
2002
2003
Target
Component #1
$89.21
$79.21
$60.00
$45.00
$39.00
$28
Component #2
$20.00
$19.53
$18.00
$17.00
$15.00
$10
Component #3
$10.50
$9.38
$8.45
$4.37
$2.05
$2
Component #4
$15.40
$14.11
$12.30
$8.50
$8.30
$8
Specialized Labor
$5.00
$4.50
$4.30
$4.10
$3.10
$5
Map to Elements Installation
Misc.
10.0
Product Drivers
$9.43
$8.33
$7.95
$6.58
$6.34
$4.67
$4.35
$4.23
$4.21
$4.15
$5
$78
$62
$4
$5
$154 $139 Roadmap $115 $90 Technology Product Elements $25 $15 $7 $5
Material Cost
$50.00
Manufacturing Cost
Architectural Fit
XXX
Ease of training and use
$0.00 1999
red = “World Class” red = “World Class”
1.0 1997
(x%; y%)
1998
1999
2000
2001
2002
2003
2000
2001
2002
TOTAL COST
$179
Schedule
Risk s1 [.3]
(deliverables)
completion events
Economic
Risk e1 [.2]
Increasing switching costs
COST TARGET
$170
Potential to change the (e.g., organizational, basis of competition execution) completion events
$4
$154
TE1
$122
$95
$82
$67
$150
$104
$75
$67
$67
TE2
Risk r3 [.4] Risk r1 [.1]
MaptoProductDrivers
Customer Drivers
Attack
Risk Consequence:
(x%; y%) Competitor C ustom er Driver #1 #3 (x%; y%)
Product Drivers (Attributes)
Architectural Fit
PD1
MHz
Customer or Complementor Drivers
$1.00 1997 1998 1999 2000 2001Ease 2002 of 2003training 2004
C ustom er Driver #3
-1 25 O urCo Lags
NOW
Segment/Product
5
-1
0
+1
Segment/Product +2 +3 +4
Segment/Product B
0 +5
-1
0
Segment/Product C +1 +2 +3
Time
+4
Lead Leadin: in: Lead Leadin: in:
From product plan with 70% learning curve
Tech. Area
Widespread and Shared
10%
5%
Segment/Product A 20
15
100
10
50
5
+1
+2
+3
+4
+5
Time
Segment/Product B Segment/Product C
150
0
0
0
-1
0
+1
+2
Time
+3
+4
+5
-1
0
+1
+2
+3
+4
+5
Time
Market and Competitive Strategy
System Products (segment #1)
1.4m m
Vision
Driver #1
Product #1
4 lay er 0.8m m F lex
N iC d - 4.8V
T ou ch S e ns itive
F CF CF
N iM H - 3.6V
A lte rn . tec h . ~ 10 0% effic.
M M IC -3 V D ou ble co nv ersion
CF
V c elp
R ec eiv ers
C F
CF
L E G E N D : T ec h no lo gy S o urc e : D ev el. S u pp lier S up plie r
Inte rnal
CF S tee ring array
R e sea rc h
F un ding sta tu s: S taffe d
CF CF
CF CF CF C F CF C F CF
L M H L ag Le ad C = c urre nt, F =future P lann ed
U n pla nn ed
Product #1
Driver #1 Driver #2 Driver #3
CF CF
CF
N oise c an ce lling e arpiec e, m iniatu riz e d
$?M/?HY
Intellectual Property & Standards Strategies
CF
CF
IS -99 D a ta B E R Im p rov em ent/e c ho c a nc el. F irs t o rd er g rad ien t (F O G )
P iez o ele ctric
Product #4
Area #6
F C F
C F
CF CF
T u na ble , H om o dy n e
IT U , Q ce lp 1 3
E xp an d e r
M ic ro ph on e
New SW Platform (Chicago)
Product #4
$?M/?HY
C F
CF C F
F C
H o m od y ne
D iv ersity
C CF
CF
M o lde d-in V oic e Interfac e
C F C F
CF C
C u st. a da ptiv e
S w itch ing (80 % eff.)
M o du le T rip le con ve rsio n D u al b and , H ig h g ain
$?M/?HY
CF
CF
“S o ft R ad io”
Prioritize top 1.2 to m mbottom
1 /4 V G A
$?M/?HY
Area #4
C o m p et. P o sition
CF S in gle TE7 B as e ba nd
C o nfigu ra ble
L inea r - 5 0% effic ie n t
R a dio
D S P n oise a lgo rithm s
Version 4.1 (defeatured)
Version 4.2 (evolvable)
Develop
+6Q
$?M/ ?HY Product #1
Area #5
C h ip
6 la ye r 1m m 4 -lin e L C D
P o w er a m p
V oic e c od ers
PD7
Medici
Leonardo
In teg rate d C a ll sig na l proc .
N a vig a tio n k eys M en u d rive n
A nte nn a
Im po rt.
m icro co n troller
1 .7m m th ic k 6 la ye r 1.5 m m
P ow e r sup ply
Summary and Action Plan
Technology Roadmap
Machiavelli
Segment/Product A Segment/Product B Segment/Product C Overall Market Share
ACA
B ip ola r d iscretes 1 6 bit C IS C
2-lin e L C D
V IS IO N
TE6
1 83 2
8 bit C IS C
T alk tim e B attery
VISION
+3 Year
A u d io q u ality
Prioritize top to bottom
+4Q
Technology Source
.
TE5
+2 Year
CM O S
A u dio f ro nt en d M ic roc ontro ller
U ser in te rf ac e
PD6 Version 3.1 (upgrade)
Partner
+2Q
Product E1
Area #3
TE4
+1 Year
57 35 C hip
A u dio co de c
S oftw are
New Platform Architecture (Bernini)
15%
-1
200
Version 2.3 (evolvable)
+8 Q
Acquire
Now
Product #1 Product #1
Service/Support
H ou sin g
0%
Market Share (Units)
25
+6 Q
Show Stopper
Driver #1
Now
DSP
E ase o f u se D isp lay
PD5
+4 Q
Version 2.2 (full-featured)
20%
+5
Time
Market (Units)
250
+ 2Q
(segment #1)
1
25%
O urCo Leads
10
Segment/Product
2004 PD2
PD4
Version 1.0
O urCo rel. position
15
Segment/Prod
0
2003
PD3
Version 2. 1 (defeatured)
Software Products
Market Share (qty)
0 Fraction of market captured
Revenue ($M)
Market Size ($M)
Market Share ($)
20
50
2002
Interoperability
C ustom er Driver #5
100
2001
Service/Support
Market Description: Product, Customers, Segmentation, Geography, …
150
2000
Last Yr
W e ig h t/siz e In te rfa ce A S IC
Product Roadmap Last Year
Market Definition Market Size
1999
Functionality
C ustom er Driver #4
200
1998 and use
Value
Major
Defend
Product Strategies: Product&&Technology Technology Base Strategies:
Area #1
Interoperability
P ro du ct d riv ers C o re tec hn olog y A re a
PW B
Comp etitor #2 Comp etitor #1 O urCo
C ustom er Driver #2
250
1.0 1997
Minor
Product/Process Differentiation
TE3
Functionality
10.0
Dashed lines represent improvement rate expected from 80% slope on learning curve
$/unit
Competitor #2
Monitor
Differentiating
Action Summary
Technology Roadmap
*, * Best Other Vendor
$10.00
(x%; y%)
Risk r2 [.6]
Driver #1, Driver #2
Driver#2
Baseband circuit
Competitor #1
Risk e2 [.1]
completion events
Disruptive Resource
Area #2 Driver #1
Risk s2 [.1]
Map to Investments
Source
2003 Target
Value
2004
RF
Implications
Basis of Competition
1999
(cost, contract, budget)
Component #1 Component #2
Strategy Options
Best Product
Technology Category
Competitive Impact of Technology
Power Management
Galileo
Michaelangelo
Product Roadmap
5
© 2001 The Albright Strategy Group, LLC
Roadmap Planning Steps “Know-why”
Market and Competitive Strategy
Understand customer buying behavior (customer drivers) and feasible strategies. Target key segments. Identify competitors, complementors, and partners.
“Know-what” Push (capabilities)
Product Roadmap
Decide how the product will be differentiated to win in key segments. Translate overall customer drivers into product drivers for this specific product. Set multi-year targets.
“Know-how”
Pull (requirements, drivers)
Technology Roadmap
What technologies are most important? Link product drivers to hardware, software, and manufacturing technologies. Identify multi-generation technology investments to maintain competitiveness.
“To-Do”
Summary and Action Plan
What resources and investments are needed? Plan projects with the highest priorities. Are technology investments in the most important areas? Identify and track risk areas.
Time (Sources: Tom Kappel; Phaal, R., Farrukh, C., and Probert, D., Fast-start Technology Roadmapping.)
“Know-when” 6
© 2001 The Albright Strategy Group, LLC
Wireless Handset Example
1. Market and Competitive Strategy: Wireless Handset Example Competitive Landscape Competitor (Market share annual %; cumulative share %)
Strengths (+) and Weaknesses (-), Competitive Advantages
Core Competencies Partnerships, Alliances
Strategic Direction: business goals/targets, value proposition
OurCo (20%; 10%)
+ + Intellectual property + RF design - Brand name- Manufacturing cost
DSPs and algorithms Speech recognition RF
First to market with CDMA Low-cost GSM phone Mass market (retail outlets) Low size and weight Personalized terminal
Market Share and Growth Our share of market Competitor A
40
10
Internet Lucent units sold (millions)
Msging
Customer Drivers
Units sold (millions)
Digital 30
Analog
20
10
Internet (40%; 30%)
9
Msging
8
Competitor B Digital (25%; 25%)
7 6
Analog
Competitor C
5 4
(?%; ?%)
Strategy
Countermeasures
Global wireless leadership Defend market share Continue quality program
Move market to be style/feature based
Low cost mfg structure TOTAL Expertice in all standards
Increase US capacity Fast follow new technol. #2 in everything
Move to outsourced manufacturing. Partner with chipset suppliers
Product realization potential CDMA technology
Make CDMA dominant Control standard
Bring new internet features to market early
Our market share RF
+ Wireless focus + Brand name recognition 50% + Quality focus + Low cost advantage + Supplier management 40% + Low cost manufacturing
Fraction of units sold
Addressable Market
30%
+ Consumer brand name + CDMA capability/IP - Manufacturing experience
3 2
Analog Custom IC's Digital Quality/reliability Msging Vision/commitment Internet
20%
10%
1
120
0
0 -1 yr now +1 yr +2 yr +3 yr +4 yr +5 yr
0%
-1 yr now +1 yr +2 yr +3 yr +4 yr +5 yr
Antenna
-1 yr now +1 yr +2 yr +3 yr +4 yr +5 yr
Display TARGET TARGETGROWTH GROWTHSEGMENTS: SEGMENTS:Digital Digitaland andInternet Internet
100
Market Segment Trendsetters Mobile Professional Mobile Home Emergency Convenience
Market %
80
60
40
Battery
RF KEY/TARGET CUSTOMERS: Carrier 1, SvcProv 2, Pink KEY/TARGET CUSTOMERS: Carrier 1, SvcProv 2, Pink
Baseband
20
Power Management
0
Talk Time
Price
Style
In Touch
Real Time Info
Customer Driver
Keyboard
7
Housing
PWB ICs Discretes Software
© 2001 The Albright Strategy Group, LLC
Wireless Handset Example
2. Product Roadmap:
Product Drivers link Customer Needs to Technologies and Targets Target Cost and Price
Wireless Handset Example
$1,000 $800 $600
Customer Drivers
$400
Product Drivers
$300 $200 200 gram
Cost: Materials Assembly time
Style Talk Time
Messaging
Antenna Display
Web Connection Battery
RF
3725
$30
Price Range Cost
$20 $10 -1 Yr
Now
+1 Yr
+2 Yr
+3 Yr
+4 Yr
SIZE AND WEIGHT 1000 Lead in Size & Weight
.
Info Access
70 gram
3721
$40
Volume (cc), weight (g)
Battery Life
100 gram
$60
Size Weight
In Touch
150 gram
$80
10
BATTERY LIFE/TALK TIME
Target: Size Competitor
100 Hours.
Price
$100
Target:Weight
Baseband
Qcompetitor A Competitor B Good
10 -1 yr
now
Power Management Keyboard
Housing
+1 yr
+2 yr
+3 yr
Vision
1
PWB ICs Discretes Software
-1 yr
8
now
+1 yr
+2 yr
+3 yr
Vision
© 2001 The Albright Strategy Group, LLC
Wireless Handset Example
Using the Past to Forecast the Future Experience Curves Capture Many Drivers WIRELESS HANDSET PRICE
Culture: Culture:group, group,corporate, corporate,
10,000 Market Price/unit (1996 $)
7,000
professional, professional,and andindustry industry behaviors behaviors
70% slope (Rate of Learning)
4,000
Supply: Supply:technology technologythat that
84
differentiates differentiatesorordisrupts, disrupts, product platforms, product platforms,product product realization realizationmethods, methods, production production
2,000 88
86
1,000
90
700
Demand: Demand:marketplace, marketplace,
92 400
elasticity, elasticity,competition competitionlevel, level, regulatory climate, market regulatory climate, market learning learningpotential potential
94 96
200
98 2000
100 0.1
0.2
0.4
0.7
2
4
7
20
1 10 Cumulative Units Sold (Millions)
9
40
70
100
Operating Operating Environment: Environment:system system architecture, architecture,complex complex requirements, requirements,standards standards
© 2001 The Albright Strategy Group, LLC
Using Experience: Example – Semiconductor Memory (DRAM) Experience Curve 2
64
Av e rage se lling price (ce nts/bit)
.
100
Learning Curve
1
10
74
1
70 %
0.1
0
Slo p
1
e
10-2 10-3 10-4 106
94 107
108
109
1010
1011
1012
1013
C um v olume (D RAM bits)
1014
1999 National Technology Roadmap for Semiconductors
2
84
1015
1016
3 4 1
10-55 10-66 10-77 1964
1974
1984
1994
2004
2014
• The technology driver for all electronic industries • Repeated, significant changes in product and technology: 4 bit --> 4 Megabit/chip --> • “Moore’s Law” coordinates the many players in industry
10
© 2001 The Albright Strategy Group, LLC
Wireless Handset Example
3. Technology Roadmap: Organized by Drivers Price Style Talk Time
Baseband circuit
Weight/size Interface ASIC
Technology Roadmap Last Yr
Now
5735 Chip
DSP
PWB Ease of use Display
RF
Power supply
16 bit CISC
Antenna
Single Baseband Chip
1.4mm
2-line LCD
4-line LCD
4 layer 0.8mmFlex 1/4 VGA
Touch Sensitive
Navigation keys Menu driven
Configurable
NiCd- 4.8V
Switching (80%eff.)
Module
Voice Interface
Altern. tech. ~100%effic.
MMIC-3V Double conversion
Dual band, High gain
Compet. Position
ICs
$200
Homodyne
Diversity
CF
DISCRETES
CF CF CF CF C F C F CF CF CF
Molded-in
Cust. adaptive NiMH- 3.6V
Linear - 50%efficient
Import.
CF
1.2mm
6 layer 1mm
Triple conversion
“Soft Radio”
microcontroller
1.7mmthick 6 layer 1.5mm
VISION
CF
Bipolar discretes 8 bit CISC
Power amp Radio
Integrated Call signal proc.
CMOS
User interface Software Talk time Battery
+3 Year
RF
ACA
Audio front end
Housing
+2 Year
1832
Audio codec Microcontroller
+1 Year
Target Cost Breakdown
BATTERY PWB
CF CF
CF
CF
CF
CF
CF CF
CF
MANUF. TARGET
$100
CF
FC
CF
CF
CF
CF
DISPLAY
$150
CF
CF
Tunable, Homodyne
HOUSING
C ost
Product drivers Core technology Area
Cost
Size/Weight Battery Life
$50
CF
Audio quality Voice coders DSP noise algorithms
Vcelp Expander
Microphone Receivers
ITU, Qcelp13 First order gradient (FOG)
Piezoelectric
LEGEND: Technology Source: Devel. Supplier Supplier
CF
IS-99 Data BER Improvement/echo cancel.
CF Steering array
Noise cancellingearpiece, miniaturized Internal
Research
Funding status: Staffed Planned
Unplanned
CF CF
CF CF CF CF
L M H Lag Lead C=current, F=future
11
$0 Comp "A"
Now
+1 yr
+2 yr
+3 yr
+4 yr
Target
© 2001 The Albright Strategy Group, LLC
Platform Roadmaps ProductRoadmap Roadmap Product
•
Last yr
System
NOW
+ 1yr
CDMA
Copeland Data Services
VISION
Personal Terminal
Joplin Voice Recognition CDMA/DECT Chatsworth - 911 Service $80
Gilman $200
Analog
High Priority Local Needs Region North America
Now CDMA
+ 1 Yr
+2 Yr
iMode
+3 Yr
Style
3575 small size
3560 - 200 gram
+4 Yr
Low Cost
GSM
Europe
Fairbury $60
Piper $120
Localization Roadmap
– Geographic needs – Cultural adaptation – National regulations
+4 yr
Ives PCS Band
GSM
Localization
+3 yr
Blake dual-mode dual band
– Product Line – Multiple market segments – Alternative needs/technologies
•
+2 yr
Forest $70
3721 -70 gram
Exit Analog Radio Market
Vision Disposable
Web Access
Recycle
Messaging
Japan Funded
Planned
Unplanned
Wireless Services
•
Wireless Solution Roadmap Roadmap Wireless Handset
Solution/Offer – Roadmap of Roadmaps – Coordinate subsystems as parts of customized offers/solution.
Roadmap C o n tr ib u to r s /N o te s :
CO NTENTS M a rk e t s h a re a n d g ro w th C o m p e t it i v e s t r a t e g y P ro d u c t R o a d m a p P r o d u c t a t t r ib u t e s a n d d r iv e r s P r o d u c t e v o lu t io n p la n T e c h n o lo g y R o a d m a p F o r w a r d c o s t in g m o d e l M a n u f a c t u r in g R o a d m a p T e c h n o lo g y a t t a c k s t r a t e g y
Page 2 3 4 5 9 10 11 13 14
T h is is a n e x a m p le o f a r o a d m a p fo r a b u s in e s s p r o d u c in g w ir e le s s h a n d s e ts , d e s ig n e d to illu s tr a te f o r m a t a n d t h e r o a d m a p p in g p r o c e s s . T h is r o a d m a p h a s b e e n d e v e lo p e d fo r illu s tr a tiv e p u r p o s e s o n ly - - it d o e s n o t r e p r e s e n t a n a c t u a l L u c e n t b u s in e s s .
Wireless Infrastructure Roadmap C o n t a c ts / R o a d m a p O w n e r :
Jane Q . R oadm apper + 4 4 -x x x - x x x - x x x x h a n d le @ lu c e n t. c o m e le c t r o n ic v e r s io n : h t tp :/ /B U .lu c e n t .c o m /r o a d m a p 9 9
F o r a s s is t a n c e w it h r o a d m a p p in g , c o n t a c t th e L u c e n t T e c h n o lo g y O f fic e : R ic h A lb r ig h t + 1 9 0 8 -5 8 2 -3 5 8 6 r a lb r ig h t@ lu c e n t. c o m h tt p : // in fo v ie w .lu c e n t .c o m /lu c e n t/ c to
BBuus si ni ne es ss sSSt rt a in a l b u s in e s s fr o m 4 M u n its to 7 .5 M u n its in 4 y e a r s w h ile h o ld in g r at et eggy y: :GGr or owwL Lu uc ce en nt ’st ’swwirire eleles ss st et er m r m in a l b u s in e s s fr o m 4 M u n its to 7 .5 M u n its in 4 y e a r s w h ile h o ld in g
2 0 % m k t s h a r e b y o ff e r in g s m a lle s t , lig h te s t p h o n e o n m a r k e t a t a v e r y , c o m p e t it iv e p r ic e . T a r g e t C D M A & G S M s e g m e n t s 2 0 % m k t s h a r e b y o ff e r in g s m a lle s t , lig h te s t p h o n e o n m a r k e t a t a v e r y , c o m p e t it iv e p r ic e . T a r g e t C D M A & G S M s e g m e n t s bb y yb be e inin g gf irf ir s st tt ot omma a r kr ke et twwit it h hliglig h htwtwe eigigh h t tCCDDMMAAp ph h o on n e ea an nd du u ltrltr a alolo wwc o o on n e e. . EEn nteter rmma as ss smma a r kr e r er e t at a il ilo ou u t le c os ts tGGSSMM p ph h k et/ t/ t letsts. . E v e n t u a lly e x it t h e a n a lo g p h o n e m a r k e t . E v e n t u a lly e x it t h e a n a lo g p h o n e m a r k e t .
Wireless Solution Roadmap PPr o r odduuc ct t&& TTe ec chhnnoolologgy ySStrtra at et eggy y: :
L e a d i n c e ll p h o n e c o s t a n d w e ig h t ( $ 5 0 / 7 0 g m b y ‘0 3 ) - A g g r e s s iv e ly r e d u c e c o s t s a n d lo w e r s iz e v ia r e m o v a l o f L e a d i n c e ll p h o n e c o s t a n d w e ig h t ( $ 5 0 / 7 0 g m b y ‘0 3 ) - A g g r e s s iv e ly r e d u c e c o s t s a n d lo w e r s iz e v ia r e m o v a l o f d is c r e te s , c o n s o lid a tio n o f Ic s , u s e o f s m a lle r , s u r f a c e m o u n t c o m p o n e n ts a n d n e w m a te r ia l d e v e lo p m e n ts ( s u c h a s n e x t d is c r e te s , c o n s o lid a tio n o f Ic s , u s e o f s m a lle r , s u r f a c e m o u n t c o m p o n e n ts a n d n e w m a te r ia l d e v e lo p m e n ts ( s u c h a s n e x t g e n e r a tio n b a tt e r ie s a n d P W B s ) . g e n e r a tio n b a tt e r ie s a n d P W B s ) . L e a d i n d a t a c o n n e c t iv it y b y b e in g fir s t to m a r k e t w ith a n IP b a s e d te le p h o n e u s in g a d v a n c e d e r r o r c o r r e c tio n L e a d i n d a t a c o n n e c t iv it y b y b e in g fir s t to m a r k e t w ith a n IP b a s e d te le p h o n e u s in g a d v a n c e d e r r o r c o r r e c tio n a lg o r ith m s . A c t iv e ly p r o m o te w ir e le s s in te r n e t s t a n d a r d s . a lg o r ith m s . A c t iv e ly p r o m o te w ir e le s s in te r n e t s t a n d a r d s .
C o n tr ib u to r s /N o te s :
CO NTENTS M a rk e t s h a re a n d g ro w th C o m p e t it i v e s t r a t e g y P ro d u c t R o a d m a p P r o d u c t a t t r ib u t e s a n d d r iv e r s P r o d u c t e v o lu t io n p la n T e c h n o lo g y R o a d m a p F o r w a r d c o s t in g m o d e l M a n u f a c t u r in g R o a d m a p T e c h n o lo g y a t t a c k s t r a t e g y
Page 2 3 4 5 9 10 11 13 14
T h is is a n e x a m p le o f a r o a d m a p fo r a b u s in e s s p r o d u c in g w ir e le s s h a n d s e ts , d e s ig n e d to illu s tr a te f o r m a t a n d t h e r o a d m a p p in g p r o c e s s . T h is r o a d m a p h a s b e e n d e v e lo p e d fo r illu s tr a tiv e p u r p o s e s o n ly - - it d o e s n o t r e p r e s e n t a n a c t u a l L u c e n t b u s in e s s .
C o n t a c ts / R o a d m a p O w n e r : Jane Q . R oadm apper + 4 4 -x x x - x x x - x x x x h a n d le @ lu c e n t. c o m e le c t r o n ic v e r s io n : h t tp :/ /B U .lu c e n t .c o m /r o a d m a p 9 9 F o r a s s is t a n c e w it h r o a d m a p p in g , c o n t a c t th e L u c e n t T e c h n o lo g y O f fic e : R ic h A lb r ig h t + 1 9 0 8 -5 8 2 -3 5 8 6 r a lb r ig h t@ lu c e n t. c o m h tt p : // in fo v ie w .lu c e n t .c o m /lu c e n t/ c to
B u s in e s s S tr a te g y :
in a l b u s in e s s fr o m 4 M u n its to 7 .5 M u n its in 4 y e a r s w h ile h o ld in g B u s i n e s s S t r a t e g y :GGr or owwL Lu uc ce en nt ’st ’swwirire eleles ss st et er m r m in a l b u s in e s s fr o m 4 M u n its to 7 .5 M u n its in 4 y e a r s w h ile h o ld in g 2 0 % m k t s h a r e b y o ff e r in g s m a lle s t , lig h te s t p h o n e o n m a r k e t a t a v e r y , c o m p e t it iv e p r ic e . T a r g e t C D M A & G S M s e g m e n t s 2 0 % m k t s h a r e b y o ff e r in g s m a lle s t , lig h te s t p h o n e o n m a r k e t a t a v e r y , c o m p e t it iv e p r ic e . T a r g e t C D M A & G S M s e g m e n t s bb y yb be e inin g gf irf ir s st tt ot omma a r kr e h htwtwe eigigh h t tCCDDMMAAp ph h o on n e ea an nd du u ltrltr a alolo wwc o o on n e e. . EEn nteter rmma as ss smma a r kr e r er e t at a il ilo ou u t le . . k et twwit h it hliglig c os ts tGGSSMM p ph h k et/ t/ t letsts E v e n t u a lly e x it t h e a n a lo g p h o n e m a r k e t . E v e n t u a lly e x it t h e a n a lo g p h o n e m a r k e t .
PPr o r odduuc ct t&& TTe ec chhnnoolologgy ySStrtra at et eggy y: :
L e a d i n c e ll p h o n e c o s t a n d w e ig h t ( $ 5 0 / 7 0 g m b y ‘0 3 ) - A g g r e s s iv e ly r e d u c e c o s t s a n d lo w e r s iz e v ia r e m o v a l o f L e a d i n c e ll p h o n e c o s t a n d w e ig h t ( $ 5 0 / 7 0 g m b y ‘0 3 ) - A g g r e s s iv e ly r e d u c e c o s t s a n d lo w e r s iz e v ia r e m o v a l o f d is c r e te s , c o n s o lid a tio n o f Ic s , u s e o f s m a lle r , s u r f a c e m o u n t c o m p o n e n ts a n d n e w m a te r ia l d e v e lo p m e n ts ( s u c h a s n e x t d is c r e te s , c o n s o lid a tio n o f Ic s , u s e o f s m a lle r , s u r f a c e m o u n t c o m p o n e n ts a n d n e w m a te r ia l d e v e lo p m e n ts ( s u c h a s n e x t g e n e r a tio n b a tt e r ie s a n d P W B s ) . g e n e r a tio n b a tt e r ie s a n d P W B s ) . L e a d i n d a t a c o n n e c t iv it y b y b e in g fir s t to m a r k e t w ith a n IP b a s e d te le p h o n e u s in g a d v a n c e d e r r o r c o r r e c tio n L e a d i n d a t a c o n n e c t iv it y b y b e in g fir s t to m a r k e t w ith a n IP b a s e d te le p h o n e u s in g a d v a n c e d e r r o r c o r r e c tio n a lg o r ith m s . A c t iv e ly p r o m o te w ir e le s s in te r n e t s t a n d a r d s . a lg o r ith m s . A c t iv e ly p r o m o te w ir e le s s in te r n e t s t a n d a r d s .
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© 2001 The Albright Strategy Group, LLC
Some Learnings from Roadmapping Experience •
On Roadmaps – Product-Technology Roadmaps. – Linked (strategy to product to technology) roadmaps, not parallel marketing and technology roadmaps -- with increasing emphasis on the front end to understand segments and strategy. – Focus on the 2 - 3 most important drivers, technologies and investments/actions. – Roadmap of Roadmaps. Extend to joint roadmaps with customers and suppliers
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On Roadmapping – The product manager (with P&L) owns and drives. – A strong leader makes or breaks. MATI (Management of – Cross functional team. Accelerated Technology Innovation) Is developing – A facilitator is important. Roadmapping Best Practices. – Use the roadmap to guide the journey. http://mati.ncms.org – Renewing the roadmap: Buy ‘em lunch! 13
© 2001 The Albright Strategy Group, LLC
Why Roadmap? • • • • • • • •
Roadmapping is just good planning, with a heavy dose of technology (not just an afterthought). Roadmaps link business strategy and market data with product and technology decisions using a series of simple charts. Roadmaps reveal gaps in product and technology plans. Roadmaps prioritize investments based on drivers. Roadmapping helps set better targets: more competitive and more realistic. Sharing roadmaps allows strategic use of technology across product lines. Roadmapping communicates business, technology and product plans to team members, management, customers and suppliers. Roadmaps provide a guide to the team, allowing the team to recognize and act on events that require a change in direction. 14
© 2001 The Albright Strategy Group, LLC
Roadmaps and Roadmapping
Summary: Discipline & Focus Learning & Communications
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© 2001 The Albright Strategy Group, LLC