S72 3510 PRODUCT DEVELOPMENT OF TELECOMMUNICATION SYSTEMS Practicalities

S-72. 3510 PRODUCT DEVELOPMENT OF TELECOMMUNICATION SYSTEMS * Practicalities * Product Development Process * Systematic Ideation

S-72. 3510 Product Development of Telecommunication Systems n n n 2 Objectives: – To understand modern, high-tech product development process in theory and practice – Learn to search and verify information – Learn to outline and present knowledge – Learn to work in groups Course contents: – Student seminars (period III) – Industry-driven Workshop (period IV) Grading: – Student seminars - review based learning – Workshop - group presentations and reports – Exam (based on course book) – Submitting your leacture notes can give further bonus (!) – see Optima for further info Timo O. Korhonen, Aalto-University, Comnet, Finland

Outline n n Materials: Presentations /links in Optima. External course materials (using for instance Ebrary) listed in Optima. They can be accessed by using nelli – portal and/or web-links. Student seminars (period III) apply review based learning: Seminars are based on course materials as described in Optima. Group seminars are graded by students and course personnel. Workshop (period IV) discusses practical elements of product development process. Deals with an industry case. Takes full-day work of 5 days. Grading scheme: note: seminar grade is the average of students’ and instructors’ grades 3 Timo O. Korhonen, Aalto-University, Comnet, Finland

Student Seminars (period III) Outline n n n 4 Groups give presentations of given topics. Outputs: 1. presentation slides 2. 5 q_a: question and answers of the group’s seminar topic (in the last slides of the presentation) 3. summary, 1 -2 pages (doc(x) / pdf) (So, combine 1. and 2. to the same. ppt(x)) Opponents submit (see allocations is optima) – peer-review scorings (print grading form from optima and submit to your own mailbox in optima) All to be returned to Optima 5 question and answers summarized in the end of presentation slides and discussed after the presentation Presentations graded by students and course staff 50/50 Grading forms in Optima – fill immediately after each seminar! Timo O. Korhonen, Aalto-University, Comnet, Finland

Industry Driven Workshop (period IV) n n n 5 Workshop tasks & reports prepared in groups Follows Innovation in a Week – method: from ideation to weighted product/service concept in a week Tutoring arranged by joint effort of Comnet & industry partner Earlier Workshops arranged with Vivago, Elisa, Telia, Ericsson, Satama Interactive, Sonera, Teleste etc. Earlier workshop topics: RFID applications, Wi-Fi Networks, Company Customer Relation Management (CRM) system design, Video Surveillance Services, Prepaid Calling Cards. . . Timo O. Korhonen, Aalto-University, Comnet, Finland

Example: Vivago Ltd (Spring 2011) http: //www. vivago. com/en/solutions/home-care/basic-principle. html 6 Timo O. Korhonen, Aalto-University, Comnet, Finland

Introduction n n 7 Telecommunications product development • Role of vision, mission and strategy • Defining modern product development process – Project plan – Industrial product development • Telecommunications as a business environment Tools for idea cultivation and project management – How to produce ideas – How to select applicable ideas – How to sketch a project plan and recognize timecritical events Timo O. Korhonen, Aalto-University, Comnet, Finland

High-tech Product Development Financing Quality Usability Leadership Products Strategic management Production Process Project management Innovations Product design Commercialization Marketing IPR Business Plan IPR=Intellectual property rights 8 Timo O. Korhonen, Aalto-University, Comnet, Finland

Vision, Mission and Strategy Vision – A view of the future development n Vision Mission Strategy … market leader after five years Mission (our way) Values/Attitudes – General way to distribute know-how, resources and results in … to provide our customers with state-of-the art • Own organization telecommunication equipment, with integrated • Partner networks n operation and maintenance services Strategy (order of acts and focus points in our way) – Specific way to work to ensure success (for instance, might be tailored for a project) – Objectives: To acknowledge, achieve, maintain & update information flows and goals n http: //www 2. lut. fi/~jkamarai/ltytutklaatu/ 9 … success factors for the company are technology competence within telecommunications and ICT and flexible cooperation with worldwide partners Timo O. Korhonen, Aalto-University, Comnet, Finland

Challenges and Rewards in Product/Service Development Timetables Economics Dynamics Details n n Trade-offs Recognizing, understanding and managing key challenges (customers, services, market, technology) is elementary in creating successful product/service development High-tech service/product development team is multi-disciplinary, motivated and cooperative 10 Timo O. Korhonen, Aalto-University, Comnet, Finland Satisfaction of individual & social needs Team spirit Manifestation of creativity Team diversity

Industrial Product Development Process Theoretic functionality? Opportunity Concept works? What about in practice? Sub-unit functionality? Sub-unit funcs? Massprod. Requirements? 11 First study & demo Practical proto Proto for massproduction Functionality of the whole process? Timo O. Korhonen, Aalto-University, Comnet, Finland Mass production

Realizing Units of Industrial Product Development Electronics designers Mechanical designers Design Marketing Industrial designers Manufacturing Team leader Central factors of a project Legal Patents Financial Marketing Team Purchasing engineer Manufacturing engineer Example: Teams to design an electro-mechanical product 12 Timo O. Korhonen, Aalto-University, Comnet, Finland

Defining a product (or a service) Core product: Core service or product that the customer would like to enjoy. Supplementary services Service/ product image Service/Product image: Brand name, package, color, form, service environment; reputation, ; image gives ‘shape’ to the product Supplementary services : service(s) that can be combined to the core product. Increased value. For example: guarantee, installation, home delivery… Core product

Conventional Product Development Process Identify: -market opportunity -market segments -Lead users -Competitive products -Product options -Pricing strategy -Marketing plan MARKETING -Promotion materials -Early production with key customers DESIGN -Identify new technologies -Consider product platform -Feasibility -Subsystems studies -Interfaces -Experimental prototypes -Tolerances -Components -Part geometry -Regulatory approvement -Performance testing -Evaluation of early product outputs MANUFACTURING -Production constraints -Supply chain strategy PLANNING -Estimate manufacturing costs CONCEPT DEVELOPMENT -Suppliers for key components SYSTEM -LEVEL -Quality assurance processes DETAILED DESIGN -Fabrication and assembly process TESTING -Follow-up product system (O&M) RAMP-UP & LAUNCH Ramp-up: Increases company's operational intensity to respond to the new launch O & M: Operation & Maintenance 14 Timo O. Korhonen, Aalto-University, Comnet, Finland

Product development process (Kotler’s view) Ideation Visio, mission, strategy, values Usercentric design Marketing goals & environment Pricing models Industrial requirements Marketing studies, ramp-up & launch

Product requirements Ref: John Kim (2005) – Where do product requirements come from? Innovation Through Information, Inc

Making measurement for quality becomes easier Measuring Quality Subsystem & interface design Technical Design Follow-up of specification Return of Investment return of Quality/price investme Customer nt satisfaction Early identification of triggers CONCEPT DEVELOP Target Pricing SYSTEM -LEVEL Aesthetical Design DETAILED DESIGN Tracking critical fault conditions TESTING RAMP-UP & LAUNCH Development phases Good quality indicators: • commonly agreed: fair & simple • followed & updated • generally acknowledged • keep workers informed of all the relevant aspects of process goodness • keep customers willing to use products again and support company branding 17 Timo O. Korhonen, Aalto-University, Comnet, Finland

Maturity of Project Control Vision Mission Actions Measurements MATURITY OF ORGANIZATION + action & integration repeatable & defined add-hoc MANAGEMENT AMBITION control & supervision 18 synchronization & overview management & optimization Reference: T. Korhonen, A. Ainamo: Handbook of Product and Service Development in Communication and Information Technology, Kluwer Academy Press, 2003 Timo O. Korhonen, Aalto-University, Comnet, Finland

Binary Organization n n n Fixed organization Clearly defined roles Known customers Known competitors Known products Known, traditional pricing Fixed, slowly increasing market size Hierarchical or matrix organization Slow information flow, especially in feedback Quality measured in cash flow Globalization is a threat Salary is a function of luck 19 Developed Organization n n n n Timo O. Korhonen, Aalto-University, Comnet, Finland (High-tech product development) Focus on – interactions – excessive feedback – rapid development speed Overflow of potential ideas Competitors are customers Customers are extensively educated Fashion (product/organization) changes fast and unpredictable way Developed way to measure working of organizational body to keep it in good update shape Globalization is a potential Salary is a function of performance

High-tech Product Development - Process FUZZY FRONTEND • Vision driven Tension • Values • Targeting CONCEPT DEVELOPMENT REALIZATION PROCESSES • Talents & Skills • Strategies & Mission Measurements DETAILED DESIGN Measurements Customer interfaces 20 Timo O. Korhonen, Aalto-University, Comnet, Finland Customers Competitors Profitability Hard Constraints Outputs RAMP-UP & LAUNCH Quality Control

High-tech Product Development - Another View n n constant product improvements high development velocity knowledge sharing from suppliers, competitors, and customers feedback on demand from customers Reference: T. Korhonen, A. Ainamo: Handbook of Product and Service Development in Communication and Information Technology, Kluwer Academy Press, 2003 21 Timo O. Korhonen, Aalto-University, Comnet, Finland

Information Society Force Fields - Immediate, personalized, mobile access to services Technology Rapidly evolving services & applications Politics, legislation regulation New lifestyles & fashion GLOBAL NETWORKING ECONOMY 22 Timo O. Korhonen, Aalto-University, Comnet, Finland

Factors in Telecommunications Business Framework Systems & services Multimedia contents & tools New methods of working: @-business+mobile tech Essential technologies & infrastructure Future & emerging technologies Research networking 23 Timo O. Korhonen, Aalto-University, Comnet, Finland

Telecom Market Players: Interoperable Hierarchy End-Users Content and Service Providers Service Operators/ Networking Solutions Physical Telecommunication Networks & Terminals 24 Timo O. Korhonen, Aalto-University, Comnet, Finland Individuals, companies Paramount pictures, MTV. . Elisa, Telia. Sonera…. Nokia, Motorola. . .

Example: Telecommunications in Home/Office Access Mobile access: 2 G: GSM 2. 5 G: GPRS, HSCSD, EDGE 3 G : UMTS 4 G: LTE, Wi. MAX Galileo/GPS Satellite TV -TV/MOVIES -GAMES -broadcasting INTERNET services - unicasting - multicasting - peer-to-peer. . . Network operators Service providers Content providers 25 Device manufacturers 4 G Mobile 10 G Ethernet, Cable TV Fiber/Copper (2 way) ADSL/ ISDN cablemodems Timo O. Korhonen, Aalto-University, Comnet, Finland ENERGY Power line comms (PLC) Wi-Fi/ Bluetooth/ Ethernet

Telecommunication Service are Getting Faster, Complex and more Intrusive! 26 Timo O. Korhonen, Aalto-University, Comnet, Finland

4 G Mobile services LTE, Wimax, 802. 11 n, femto-cells… Cloud services Digital Living Network Alliance 3 D TV IP telephony Social Media 27 Streaming apps Mobile video calls (Iphone 4) Timo O. Korhonen, Aalto-University, Comnet, Finland

28 Timo O. Korhonen, Aalto-University, Comnet, Finland

Example: Add 2 Phone Ltd Value Network (a mobile marketing company) Company negotiating with advertisers and/or content providers deals how to share the media space 2 Tele-operator having permission of user to allow for instance push-adds 1 3 4 Ring tones background images Audio Video … Concert Sports event Space in a Social Media … 1. Companies/products to be advertised/ sponsored 2. Renting advertisement space 3. Buying contents (protected by IPRs) 4. Fees from joining/using the services 29 Timo O. Korhonen, Aalto-University, Comnet, Finland

II Tools for Generating and Cultivating Ideas 30 Timo O. Korhonen, Aalto-University, Comnet, Finland http: //kenmillergroup. com/2010/06/16/another-original-cartoon-ideation-frustration/

Personal Process of Creativity* *T. Korhonen, A. Ainamo: Handbook of Product and Service Development in Communication and Information Technology, Kluwer Academic Press, 2003 31 Timo O. Korhonen, Aalto-University, Comnet, Finland

A Cycle in The Process of Creativity n n n 32 Creativity cultivation requires different talents in different phases In practice system contains extensive feedback Best workgroups are multidisciplinary (Developed communication skills required!) Timo O. Korhonen, Aalto-University, Comnet, Finland

Some Creativity Tools concept testing, decision making associative mapping filter modifications idea generation • Critical Path Analysis • Force Field Analysis • Decision Tree • Mind Maps: Fish Bones • SWOT-method • Lateral thinking: Synetics • The Six Thinking Hats • Random pictures/words/sentences • Reinforced pictures/words /sentences (doodles) *T. Korhonen, A. Ainamo: Handbook of Product and Service Development in Communication and Information Technology, Kluwer Academic Press, 2003 33 Timo O. Korhonen, Aalto-University, Comnet, Finland

How to Select Cultivation Methods? n n 34 Some methods are primarily targeted for mapping the current status (eg SWOT), other for decision making (eg Force Field Analysis) and some are general purpose tools to assist project management (Critical Path Analysis). Methods work well when they are used simultaneously; in-series or in-parallel, as for instance brainstorming+ SWOT Successful product development requires that one should have sufficient information about – customer's requirements Customers Competitors – competitors’ product launches – market – latest technology Market Technology Knowledge of state-of-the-art and vision of future development Future visions and trends is very important! Timo O. Korhonen, Aalto-University, Comnet, Finland

Ideation and Creativity Cultivation Tools n Ideation n Filter modifications – Brainstorming – Six Thinking Hats – Mind Mapping – Synetics – SWOT 35 Timo O. Korhonen, Aalto-University, Comnet, Finland n Concept formation & Decision making – Force Field Analysis – Critical Path Analysis

Brainstorming n n n Objectives: Bring about creative solutions (even for unidentified!) problems Take solution candidates one after another until unusual solutions are generated Generate ideas without critics! Thus – many potential solution candidates are generated – whole problem dilemma may change! n To continue – analyze results for instance by SWOT, Force Field Analysis (FFA) and/or Mind Mapping – Condensed and classified ideas can be used to support new sessions or other applications 36 Timo O. Korhonen, Aalto-University, Comnet, Finland

Brainstorming - Leader and Group Tasks n n 37 Session leader – definition of the start-up point – gives limits to the problem – gives limits to discussions (These limits must be very broad) – minute amount of critics – encouraging and enthusiastic – follows (the fixed) session time table! – Takes care that ‘idea jamming’ is only temporary! Session participants – have diverged orientations related to the problem at hand – their background is as different as possible – good communication skills – substance should be known preferably by everybody (at least by somebody!!!) Timo O. Korhonen, Aalto-University, Comnet, Finland

Individual vs. Group Brainstorming n n n 38 Individual BS – many ideas – tendency to jam into some fixed trails – easy to find unresolved questions Group BS – ideas develop themselves into more elaborated form – ideas develop more efficiently – there might be less ideas (group follows the group behavior laws!) One may mix individual and group barnstorming: For instance each member might first BS of his own and then one may have a meeting based on each individual’s BS sessions Timo O. Korhonen, Aalto-University, Comnet, Finland

Getting more fruitful Brainstorming n n Methods of Six Thinking Hats (Edward de Bono) or Six Eyes (Rodney King) can be used to get Brainstorming to work better Assign a different hat for each group member & mix the hats! facts: figures, information needs and gaps logical positive: why something works 39 creativity: alternatives, proposals, what is interesting, provocations and changes logical negative: judgment and caution Timo O. Korhonen, Aalto-University, Comnet, Finland intuition: feelings and emotions meta-cognition: creativity process control

Mind Mapping n n 40 Mind Mapping is a technique to organizing information in its natural associative way, that is multidimensional. Procedure: – List the main topic, subtopics and facts. Search short expressions for them all. – Identify the main connections between themes – Set the main theme in the middle of the paper and arrange the sub-themes to surround the main theme – Recognize idea groups (for instance by colors) – Indicate interdependencies as the cause and consequence by arrows – Use symbols and figures and even sub-maps to give to total picture Timo O. Korhonen, Aalto-University, Comnet, Finland

Example of a Mind Map Mind Manager (www. mindman. com) 41 Timo O. Korhonen, Aalto-University, Comnet, Finland

Mind Mapping Summarized – A Mind Map is an associative structure. Therefore its topology contains a lot of information. – Mind Map allows to identify the essential features and links of the problem at glance. – Mind Maps can be an extremely compact way to present information. – A problem of mind mapping is that the chart may up to be so messy that it can even hide the main themes. Therefore Mind Map can, and should be cultivated after it is formed by pruning less important branches – Mind Maps can be created by computer program (as Free. Mind, Mind. Manager® or e. Mind. Maps®) or by using simple detachable notes on a blackboard. 42 Timo O. Korhonen, Aalto-University, Comnet, Finland

Alternate Mind Mapping n n Fishbone* diagram: Enables to focus onto the problem and perceive the causes and its relative importance After drawing the diagram the next step is to analyze the magnitude of each of the identified causes *http: //web. singnet. com. sg/~axon 2000/index. htm 43 Timo O. Korhonen, Aalto-University, Comnet, Finland

SWOT analysis n n 44 SWOT is applicable for sorting unorganized knowledge bases and analyzing current status Successful SWOT yields structured mapping of the problem at hand For instance in product analysis – identify strength and weaknesses of the product – search through possibilities and threats (for instance for product launch) Realization: List all the relevant properties and sort them into SWOT boxes! inside Strength Weakness outside Opportunity Threats Timo O. Korhonen, Aalto-University, Comnet, Finland

A case of SWOT: WAP-based Knowledge Base Service* Strengths Expandable, flexible, easy to use, dynamic, easy to personalize, bypassing of telephone exchange, more effective graphics, utilization of location information Opportunities If first at the market may be a killer-kind app. Due to usage of immediate location info by GPS or GSM location technology 45 Timo O. Korhonen, Aalto-University, Comnet, Finland Weaknesses Need for WAP terminal managing, search routines require Dedication Threats No popularity, one applies terminal specific catalogs, competitive techniques may hit markets *S-72. 124 spring ‘ 99

Force Field Analysis n n n 46 FFA is a method to analyze factors for and against an act Objective: To create an unified description of the factors forming the problem. This is used to alter the process state to the wanted direction! Benefits – Describes all the relevant forces – Allows to plan • contra strategies for negative forces • supporting strategies for positive forces The FFA method: Identify, Sort and Grade the different forces and illustrate the problem by a diagram including the forces! The first result of this method describes the current state Alteration of forces can change the current state to the objective state! Timo O. Korhonen, Aalto-University, Comnet, Finland

Force Field Analysis: Example 47 Timo O. Korhonen, Aalto-University, Comnet, Finland

In Conclusion. . . n We had an overview on Telecommunications Product/Service Development Process n We discussed the following ”mind- and process mapping” techniques: – Brainstorming – Mind Mapping – SWOT analysis – Six Thinking Hats – Force Field Analysis n 48 The best way to learn these methods is to use them! Timo O. Korhonen, Aalto-University, Comnet, Finland