I need answers to questions 9-17; 9-18; 9-20.

318 PART Depiling Cantoner Vita-Delon Strategy and Me Video Case Subaru When a company has a winning product that made does it? Subaru is a winning company one of the few automo tive companies to sustan growth and profits in urd economic times with various winning products, including the impreza. Leg acy, Forester and Outback. But what happens when anyone product starts to decline in popularity? This video montres how Subaru constantly engages in new product development as part of its efforts to manage the productie cycle for each of its model Siboru is focused on both developing the next version of each ting model and developing possible new models to boost its product portfolio Ar viewing the video fonturing Subaru, mower the following Geos 9-14 Discuss the product te cycle in relation to one Subaru product 9-15 How do iting consumer trends itect Subaru's product 9-16 Has Subwomand customer oriented in its new prod octors Explain Company Case 3M: Where Innovation Is a Way of Life In recent years. compare topping the world's most innovative model-organic growth comes from innovation and the creation its typically have been high-tech laders such as Google Apple of man charge products. Such markt-changing products Samsung, and Amazon. When thinking of companies that have times created entirely new industrie 3M has sustaned the work on tre with one volutionary product in another, the this type of motion decade after decade by fostering a deep image of a stody company that originated in the mining industry Culture of innovation, encouraging collaboration and maintaining more than 100 years ago is hardly the icon. But agn 3M may a dedication to reach and development not be as fashyan today's high-tech Medine's anything but stoday Culture of Innovation 3M-the Minnesota Mining and Manufacturing Company From scarest days. 3M created a culture of innovation by w a multination powerhouse with more than $30 bilion in annuallowing for members to take in a protected environment sales. Your after your with machine e precision. 20 percent of SM knows that it must try thousands of product ideas to hit the 3M's sales her down as operating profesiowing the company new product kot. One wel wom slogan at 3M is "You have to increase is dividend to shareholders-something has done to kiss a lot of frogs to find a price frogs" often means every year for the past 6 year making mistake, but 3M cpt blunders and dead onds as 3M solis more than 50.000 products in early 200 countries aroma part of creativity and innovation in fact, its philosophy across cons of industries, including office products.com to be you aren't making mistakes you probably on't tion, telecommunications, electronica, neohropoding anything and automotive. Among its products we some of the world's Asums out 'blunders have turned into some of M's most recognizable consumer brands such as Scotch tape most such products. Oldtimers at 3M love to tell the story Nexcare first aid products, Fitrate home Sitration products and about the chest who accidentally filed a new chemical on Post-it Noton. But 3M's portfolo in alto packed with hundrecho here. Some days after she noticed that the potaht by brands that most people have never heard of-such as Pruen The chemical had not gotten dity-an active benet. It was Waste bags for picking up dog poop. that discover that eventually led to the creation of Scotchgard The unusundbreadth of 3M's product portfolio is both a bles to protector. They tell about the carty 3M scientist who had ing and a cure for the company. Having a hand in so many al for of having with a straight So he invented Industries shields the company from overloo on any given a very the waterproot sand, which he und to send the market. Even when multiple industries are dow many more are from his face each moming. Although this inventionnover doing it the. That explains 3M's financial streng But to caught on as a sing solution it became one of 3M's best explains why 3M has a hard time thing Wall Street Even asing products-dry sandpaper, now used for a wide vari new product doesn't make much of a difference in May of commercial and industrial applications but unspectacular growth rate-one that is consistently in the low And then there's the one about 3M scientist Spencer Silver single digits She started out to develop a superstrong adhesive Inte, he Lke SMthe company's current CEO, Inge Thulin, a methodica came up with one that don't ick very wil af at Hesent the and understated. He knops a long term focus and places strong substance on to other 3M chers to 500 emphasis on maintaining 3M rolible profitability. But Thuis whether they could find something to do with it. Nothing hap- also interested in stoking the frejust a bit to put a more he pened for several years. Then 3M scientist Arthur Fry had an den under soles growth. One of the first things Thulin didas CEO wa As a choir member in a local church, M. Prywile having trouble to Manual growth goal from 7 or 8 percentago mag places in the little some of paper he used the company consistently missed to between 4 and 6 percent kettling out. He tried dubbing some of Mr Slver's weak gua on Then as the world watched, 3M's organic sales growth grow to one of the cost stuck nicely and later posted off without dam 58 percent. And under Thun's leadership, 3M is now on track to aging the book. Thus were bom 3MP-2 Not a product that maintain that stronger growth rate is now one of the top seling office supply products in the world, How did Thuin do? The same way SM has been do One of the Mostes a culture of innovation by en ing it for decades. At the core of 3M Success sts business couraging everyone to look for new products. The company's CHAPTERY New Product Development and Product Life Cycle Strategies 319 renowned 15 percentualows al employees to spend up to For the most recent year Apple sport 4.5 bilion on R&D, a com- 15 percent of their timebootlegging-working on projects of pany record that still amounted to only 26 percent of sales personal interest whether those projects directly benefit the cor Buttan't just the amount of money that is important for a pany or not. And yet, there is a vibe throughout the company recogstu R&D program. It's how the money is used. In add- garding these precious six hours a week. Who knows where the flon to increasing the R&D aliment. Thuin is putting more next Post Note will come from one of the things that srity on the 3M technologies that have the most potential for 3M apart as an innovative company giving every one of our growth Among these technologies are finns designed to protect employees the ability to follow their instincts to take advantage everything from smartphones to kitchen appliances, and a con- of opportunities for the company, says Kurt Benich a technics Struction wrap that wil outperfom DuPonts Tyvek as a weather director who oversees a 70-person lab team may shaped resistant bare for homes and buildings what and who 3M But Thuin's plan for alocating R&D funds also includes em rating units with poor financial performance, or those that Encouraging Collaboration Senta good with the company's core strengths. For Thulin, While 3M's 15 percent program has inspired other companies to nothing personal, it's strictly business. Last year, 3M sod Soen- folow sut both Google and HP apply their own versions. It's a Anglers, which makes fishing in and other related products rare per in the corporate world. Not only is an expen, but to Thuin blived there was the symbion between developments be successful it takes a lot more than simply giving employees in that product line and other 3M technologies the time Experts suggest that this kind of program works best And though Thulin's plan also focuses on high-tech areas, it at companies where there is a high level of collaboration is recognizes the importance of a broad portfolio that includes employees and departments low-tech tms-such as doggie doo bags. In fact, 3M is commit- 3M as that collaboration in spades. One samples and ted to a broad range of pet-care supplies. You cannot have only event that is simple but has a huge impact. The event resembles high-tech in every category because then you will not get space a middle school science taitas employees from dozens of SM in the shops." says Thuin recognizing that mass retailers want to divisions make cardboard posters describing the 15 percent Purchase lines of products within and across categories from time project. Employees hang out next to the posters, wat manufacturers feedback and look for potential collaborators. Wayne Mauretan 3M wisely never have growth rates matching Appe, Face RSD manager in Marative division, refers to it as a chance book or the Microsoftin itseyday. But will also likely never for people to unhinge their inner geak "For technical people, its esperience the potential downtums that even the biggest compa- the most passionate and engaged event we have at 3M nies eventually tace SMS long-term dedication to innovative new The event sn't just an opportunity to show off it has a products and technologies has sustained the company for de moved projects through the development phase to commerce cades, and there's no reason to expect that this will change. And tation. Past projects that have made it to market include cor who knows-the next big thing may just have "Mtamped on bandages, optical ims that reflect light, and painter's to the instead of "Apple prevents bleeding. The event has even put ne e in projects that have sat on a back bume for years. Questions for Discussion One employee had an idea for creating a sandpaper with shaped grit particles that wouldn't dulo de Butter 9-17 Based on concepts discussed in this chapter, describe ing around with the idea for a while, he shelved it and moved on the factors that have contributed to 3M new product to other things. Fifteen years later, the employee resurrected the SCO project during his 15 percent time and made a poster in hopes of 9-18 3M product development process customer cen- getting some deas that would move the project along. With the tod? Why or why not? help of new employees and new technology SM discovered that 9-19 Considering the product fe cycle, what challenges des a particle's sharp, pyramid shape become more durable with SM face in managing its product portfolio? a change in the moing order of the ingredients That discovery led to the launch of Cubieron sandpaper that acts more like a 9-20 Are there limits to now broad 3M product portfolio can cutting tool. On the market since 2009. it still surros other.com grow? Explain panies trying to create copycat products 9-21 is possble for 3M to maintain steady growth and profit lity and raise the growth to much higher level? Emphasis on R&D There are few companies that provide more support for research Sources: Mahoney 2 MN Cos Make Fortune's List of World's and development than 3M. For years, 3M invested 6 percent of Most Amed Twin Cities Meg February 27, 2014, http://csg sales every year in R&D. But in recent years, that spending had com News Recent News 2014 February 2-MIN-os-Make Fortunes been cut to just 5.5 percent--a mall difference on paper but Warto Mont Adres Why We Think 3M is worth one that Thun beleves is significant "Those long-term invest $140. Forbes March 6, 2014, www.forbes.com/groutspection ments are needed to get the growth engine up and going such 201203h wythm is worth 10 James R Hagerty investments are reduced. Thuin beleven. You will be a Nober 18, 2013, p. 81: Kaomi Goeta. How SM Gave Every *50.000 Products but 3M S Searching for Growth Wol Street Jour ness. That's why 3M's RSD expenditures are once again up tore Day of ord Ceed an innovation Dynamo, Fast Company 6 percent, Thuin beleves RBD's the heart of this comparabry 1, 2011, www.tcodesign.com 1660137/how me and it's a competitive advantage for us. By comparison the words and cated on renovation dynamo erage of R&D expenses across corporations is about 3 percent. 318 PART Depiling Cantoner Vita-Delon Strategy and Me Video Case Subaru When a company has a winning product that made does it? Subaru is a winning company one of the few automo tive companies to sustan growth and profits in urd economic times with various winning products, including the impreza. Leg acy, Forester and Outback. But what happens when anyone product starts to decline in popularity? This video montres how Subaru constantly engages in new product development as part of its efforts to manage the productie cycle for each of its model Siboru is focused on both developing the next version of each ting model and developing possible new models to boost its product portfolio Ar viewing the video fonturing Subaru, mower the following Geos 9-14 Discuss the product te cycle in relation to one Subaru product 9-15 How do iting consumer trends itect Subaru's product 9-16 Has Subwomand customer oriented in its new prod octors Explain Company Case 3M: Where Innovation Is a Way of Life In recent years. compare topping the world's most innovative model-organic growth comes from innovation and the creation its typically have been high-tech laders such as Google Apple of man charge products. Such markt-changing products Samsung, and Amazon. When thinking of companies that have times created entirely new industrie 3M has sustaned the work on tre with one volutionary product in another, the this type of motion decade after decade by fostering a deep image of a stody company that originated in the mining industry Culture of innovation, encouraging collaboration and maintaining more than 100 years ago is hardly the icon. But agn 3M may a dedication to reach and development not be as fashyan today's high-tech Medine's anything but stoday Culture of Innovation 3M-the Minnesota Mining and Manufacturing Company From scarest days. 3M created a culture of innovation by w a multination powerhouse with more than $30 bilion in annuallowing for members to take in a protected environment sales. Your after your with machine e precision. 20 percent of SM knows that it must try thousands of product ideas to hit the 3M's sales her down as operating profesiowing the company new product kot. One wel wom slogan at 3M is "You have to increase is dividend to shareholders-something has done to kiss a lot of frogs to find a price frogs" often means every year for the past 6 year making mistake, but 3M cpt blunders and dead onds as 3M solis more than 50.000 products in early 200 countries aroma part of creativity and innovation in fact, its philosophy across cons of industries, including office products.com to be you aren't making mistakes you probably on't tion, telecommunications, electronica, neohropoding anything and automotive. Among its products we some of the world's Asums out 'blunders have turned into some of M's most recognizable consumer brands such as Scotch tape most such products. Oldtimers at 3M love to tell the story Nexcare first aid products, Fitrate home Sitration products and about the chest who accidentally filed a new chemical on Post-it Noton. But 3M's portfolo in alto packed with hundrecho here. Some days after she noticed that the potaht by brands that most people have never heard of-such as Pruen The chemical had not gotten dity-an active benet. It was Waste bags for picking up dog poop. that discover that eventually led to the creation of Scotchgard The unusundbreadth of 3M's product portfolio is both a bles to protector. They tell about the carty 3M scientist who had ing and a cure for the company. Having a hand in so many al for of having with a straight So he invented Industries shields the company from overloo on any given a very the waterproot sand, which he und to send the market. Even when multiple industries are dow many more are from his face each moming. Although this inventionnover doing it the. That explains 3M's financial streng But to caught on as a sing solution it became one of 3M's best explains why 3M has a hard time thing Wall Street Even asing products-dry sandpaper, now used for a wide vari new product doesn't make much of a difference in May of commercial and industrial applications but unspectacular growth rate-one that is consistently in the low And then there's the one about 3M scientist Spencer Silver single digits She started out to develop a superstrong adhesive Inte, he Lke SMthe company's current CEO, Inge Thulin, a methodica came up with one that don't ick very wil af at Hesent the and understated. He knops a long term focus and places strong substance on to other 3M chers to 500 emphasis on maintaining 3M rolible profitability. But Thuis whether they could find something to do with it. Nothing hap- also interested in stoking the frejust a bit to put a more he pened for several years. Then 3M scientist Arthur Fry had an den under soles growth. One of the first things Thulin didas CEO wa As a choir member in a local church, M. Prywile having trouble to Manual growth goal from 7 or 8 percentago mag places in the little some of paper he used the company consistently missed to between 4 and 6 percent kettling out. He tried dubbing some of Mr Slver's weak gua on Then as the world watched, 3M's organic sales growth grow to one of the cost stuck nicely and later posted off without dam 58 percent. And under Thun's leadership, 3M is now on track to aging the book. Thus were bom 3MP-2 Not a product that maintain that stronger growth rate is now one of the top seling office supply products in the world, How did Thuin do? The same way SM has been do One of the Mostes a culture of innovation by en ing it for decades. At the core of 3M Success sts business couraging everyone to look for new products. The company's CHAPTERY New Product Development and Product Life Cycle Strategies 319 renowned 15 percentualows al employees to spend up to For the most recent year Apple sport 4.5 bilion on R&D, a com- 15 percent of their timebootlegging-working on projects of pany record that still amounted to only 26 percent of sales personal interest whether those projects directly benefit the cor Buttan't just the amount of money that is important for a pany or not. And yet, there is a vibe throughout the company recogstu R&D program. It's how the money is used. In add- garding these precious six hours a week. Who knows where the flon to increasing the R&D aliment. Thuin is putting more next Post Note will come from one of the things that srity on the 3M technologies that have the most potential for 3M apart as an innovative company giving every one of our growth Among these technologies are finns designed to protect employees the ability to follow their instincts to take advantage everything from smartphones to kitchen appliances, and a con- of opportunities for the company, says Kurt Benich a technics Struction wrap that wil outperfom DuPonts Tyvek as a weather director who oversees a 70-person lab team may shaped resistant bare for homes and buildings what and who 3M But Thuin's plan for alocating R&D funds also includes em rating units with poor financial performance, or those that Encouraging Collaboration Senta good with the company's core strengths. For Thulin, While 3M's 15 percent program has inspired other companies to nothing personal, it's strictly business. Last year, 3M sod Soen- folow sut both Google and HP apply their own versions. It's a Anglers, which makes fishing in and other related products rare per in the corporate world. Not only is an expen, but to Thuin blived there was the symbion between developments be successful it takes a lot more than simply giving employees in that product line and other 3M technologies the time Experts suggest that this kind of program works best And though Thulin's plan also focuses on high-tech areas, it at companies where there is a high level of collaboration is recognizes the importance of a broad portfolio that includes employees and departments low-tech tms-such as doggie doo bags. In fact, 3M is commit- 3M as that collaboration in spades. One samples and ted to a broad range of pet-care supplies. You cannot have only event that is simple but has a huge impact. The event resembles high-tech in every category because then you will not get space a middle school science taitas employees from dozens of SM in the shops." says Thuin recognizing that mass retailers want to divisions make cardboard posters describing the 15 percent Purchase lines of products within and across categories from time project. Employees hang out next to the posters, wat manufacturers feedback and look for potential collaborators. Wayne Mauretan 3M wisely never have growth rates matching Appe, Face RSD manager in Marative division, refers to it as a chance book or the Microsoftin itseyday. But will also likely never for people to unhinge their inner geak "For technical people, its esperience the potential downtums that even the biggest compa- the most passionate and engaged event we have at 3M nies eventually tace SMS long-term dedication to innovative new The event sn't just an opportunity to show off it has a products and technologies has sustained the company for de moved projects through the development phase to commerce cades, and there's no reason to expect that this will change. And tation. Past projects that have made it to market include cor who knows-the next big thing may just have "Mtamped on bandages, optical ims that reflect light, and painter's to the instead of "Apple prevents bleeding. The event has even put ne e in projects that have sat on a back bume for years. Questions for Discussion One employee had an idea for creating a sandpaper with shaped grit particles that wouldn't dulo de Butter 9-17 Based on concepts discussed in this chapter, describe ing around with the idea for a while, he shelved it and moved on the factors that have contributed to 3M new product to other things. Fifteen years later, the employee resurrected the SCO project during his 15 percent time and made a poster in hopes of 9-18 3M product development process customer cen- getting some deas that would move the project along. With the tod? Why or why not? help of new employees and new technology SM discovered that 9-19 Considering the product fe cycle, what challenges des a particle's sharp, pyramid shape become more durable with SM face in managing its product portfolio? a change in the moing order of the ingredients That discovery led to the launch of Cubieron sandpaper that acts more like a 9-20 Are there limits to now broad 3M product portfolio can cutting tool. On the market since 2009. it still surros other.com grow? Explain panies trying to create copycat products 9-21 is possble for 3M to maintain steady growth and profit lity and raise the growth to much higher level? Emphasis on R&D There are few companies that provide more support for research Sources: Mahoney 2 MN Cos Make Fortune's List of World's and development than 3M. For years, 3M invested 6 percent of Most Amed Twin Cities Meg February 27, 2014, http://csg sales every year in R&D. But in recent years, that spending had com News Recent News 2014 February 2-MIN-os-Make Fortunes been cut to just 5.5 percent--a mall difference on paper but Warto Mont Adres Why We Think 3M is worth one that Thun beleves is significant "Those long-term invest $140. Forbes March 6, 2014, www.forbes.com/groutspection ments are needed to get the growth engine up and going such 201203h wythm is worth 10 James R Hagerty investments are reduced. Thuin beleven. You will be a Nober 18, 2013, p. 81: Kaomi Goeta. How SM Gave Every *50.000 Products but 3M S Searching for Growth Wol Street Jour ness. That's why 3M's RSD expenditures are once again up tore Day of ord Ceed an innovation Dynamo, Fast Company 6 percent, Thuin beleves RBD's the heart of this comparabry 1, 2011, www.tcodesign.com 1660137/how me and it's a competitive advantage for us. By comparison the words and cated on renovation dynamo erage of R&D expenses across corporations is about 3 percent