Newlogic P.O.P.S. or Portfolio Optimization via Project Selection is structured specifically for the needs of R&D and new product development leaders. P.O.P.S. addresses the unique requirements of effective R&D decision making, including managing resource constraints, new product pipeline management, technology investments, and risks, with the unknowns and ambiguity of early-stage projects.

Newlogic P.O.P.S. provides much more than a financially based optimization. The P.O.P.S. process is structured to achieve key performance objectives through collaborative decision making. P.O.P.S. can be designed to achieve multiple R&D performance objectives concurrently such as:

• Aligning R&D investment and new product development efforts with business strategy.
• Reducing time to market.
• Increasing project throughput.
• Increased pipeline value.
• Improving category leadership against competitors.
• Achieving consensus between business functions.
• Informative data to support fact-based go/no-go decisions.
• Generate reports that provide visibility and clarity for consensus.

P.O.P.S. Track Record:

Newlogic’s R&D project portfolio optimization process via project selection has a proven track record of providing clients with benefits that flow to the bottom line, these have included:

• Adding $200MM in annual new product output the first year.
• Increasing revenues derived from new products, from a $10MM loss to a $15MM profit in one year.
• Enabling 15% of resources redirected towards “Front End” innovation.
• Demonstrating the need for increasing investment in R&D, including increasing resource allocation and head-count.
• Building consensus across business functions, focusing R&D efforts on fewer, bigger, projects with significantly greater value to the organization.

P.O.P.S. Applications:

Newlogic P.O.P.S. can help address a number of R&D management challenges.  P.O.P.S. supports R&D leadership, and the investment in a sustainable funnel of new product development projects.  R&D and new product development managers use Newlogic P.O.P.S. to improve their organization’s performance in some of the following ways:

• Enable stakeholders to provide credible financial forecasts for early stage new product concepts, accounting for unknowns and ambiguity.
• Provide factual basis for managing the project pipeline in order to focus resources on the most attractive opportunities.
• Increase project throughput by selecting a project pipeline within resource limitations.
• Supports R&D leadership in building consensus and communicating strategy across business functions.  P.O.P.S. helps translate early stage ideas into actionable decisions.
• Provide tracking tools for the R&D organization based on key financial metrics such as NPV, ROI, and contribution margin.

Want to learn more how P.O.P.S. will empower your R&D organization, contact us.