FST 407: Food Product Development 3 units

Dr Mrs J. M. BabajideDepartment of Food Science and Technology, University of Agriculture, Abeokuta

Course requirements:CAT: 20%Course Project: 20%Exam: 60%70% Class attendance compulsory

LECTURE 1 Introduction

Course Philosophy The commercial end result of Food Science and Technology is the delivery of acceptable foods to consumers. This course will immerse students in the product development process using the product development team approach that is prevalent in the food industry. Students will be required to acquire the knowledge necessary to successfully complete their project assignment. As in the industry, achievement of team goals will be rewarded.

Expected outcomes for the course.Students must Be able to identify the processes and stages required to bring a new food product from conception to commercialization. Have produced in the laboratory a prototype of a new product that has a high probability that it could be produced commercially. Be aware of the dynamics of working on a product development team. 4. Understand how to write a product formula and finished product specifications. 5. Know what technical and scientific data must be available before a product can be manufactured. 6. Be aware of the dynamics of working on a product development team.

Product - A product is a good, service, or idea consisting of a bundle of tangible and intangible attributes that satisfies consumers and is received in exchange for money or some other unit of value.

Product Attributes- The characteristics by which products are identified and differentiated. Product attributes usually comprise features, functions, benefits, and uses. WHAT IS A PRODUCT ?

LECTURE 2 The Product development process can be divided into three segmentsConceptPrototypeFinal Product

Development of 3 products for concept evaluationStudents to: Come to the next class with lots of product ideas Share your ideas with your team mates and reduce number of ideas Condense the list to 3 by the end of the first laboratory period Begin concept testing during second lab. period

Why Group Projects? Students often learn better from each other Work from a well-functioning group is better and more complete than any individuals work Develop group interaction skills Real situation in todays food industry

One of the most important aspects of product development in the soundness of the development of the concept.

Common methods for evaluating concepts include: Perceptual Map Gap analysis Product attractiveness score.

LECTURE 3IDEATION TESTING

Stage Gate ProcessDeveloped by Robert Cooper/ McGill UniversityStage-Gate Product Development processes builds on Robert Cooper's studies of over 2,000 projects to identify the best practices in new product development.Stage-Gate is a template, or roadmap, for driving new product projects from idea to launch and beyond. It is one of the world's most widely used processes across multiple industries.

LECTURE 4What is a Product Development Process?

How it works: New product development begins with an idea and ends with the launch of a new product.

The steps between these points can be viewed as a systematic product development process. The Product Development Process divides these into a series of stages.

What is a Product Development Process?StagesGates

Reduction of RiskBetter Management of ResourcesRepeatability of DevelopmentFocus on Decision Making

Why a Product Development Process?

Stages: Each stage contains a set of prescribed and concurrent activities, incorporating industry best practices. The activities during a stage are executed in parallel, not in sequence.

Each stage is preceded by a gate. What are the components of a Product Development Process?

Gates: Gates are the points in the process where a decision must be made. The gate-keepers can choose to Go, Kill, Hold, or Recycle the project. It is whereproject prioritization and resource allocation decisions are made. At the end of a gate meeting, a decision must be reached. If the decision is Go, this ensures resource commitments and support from the management.

What are the components of a Product Development Process?

Gatekeepers: Gatekeepers are the team of senior management who make Go/Kill decisions at gates.

What are the components of a Product Development Process?

Detail: As you move from beginning to end the data gets more detailed.

Mindset: The first few stages focus on creativity and new ideas.The last few stages focus on execution and analyses.

What does a Typical Stage-Gate Process look like?Its a Funnel

Overview of a Typical Product Development ProcessStage 0 Discovery/ IdeationStage 1 ConceptStage 2 Build Business CaseStage 3 DevelopmentStage 4 Testing & ValidationStage 5 Launch Stage 6 Post Launch Audit

Key Decisions throughout the Process

Stage 0: Idea/ Planning and Situation AnalysisGate 1: Decision to do a preliminary investigation Stage 1: Preliminary investigation/ Consumer Needs &Idea Generation Gate 2: Decision to build a business case Stage 2: Detailed investigation and business case/ Concept Development Gate 3: Decision to go into development Stage 3: Development/ Feasibility Confirmation Gate 4: Decision to go into testing and validation Stage 4: Testing and validation/ Scale up Confirmation Gate 5: Decision to go into full production and market launch Stage 5: Full launch and final report/Product Launch Gate 6: Project Termination

Stage 6: Post Launch Audit/ Key Learnings

Key Questions to answer all the way throughDoes Someone want the product?Can We sell the product?Can We make the product?Can We make money at this?

#1Unique and Superior ProductDifferentiated ProductDelivers unique BenefitsDelivers Superior value to the Consumer

LECTURE 5What Drives Success?

What Drives Success?# 2 Strong Market Orientation. Market driven and consumer focused. --- Good Market research# 3 International OrientationGlobal vs Glocal# 4 Pre Development Homework# 5 Sharp and Early Product/ Project Definition# 6 Well Conceived Market Launch# 7 The Right Organizational Structure# 8 Top Management Support# 9 Leveraging Core Competencies# 10 Projects Aimed at Attractive Markets

The Cost of being SecondCan be High

Order EntrySales as % of Entrant # 11100%270-75%355-65%450-55%545-55%640-50%

General Reasons for New Product Failure% Citing Reasons for Failure

45% Marketing Analysis30% Product Problems or Defects25% Marketing Efforts not Enough18% Higher Costs than Expected17% Competitive Strength or Reaction15% Poor Timing of Introduction11% Technical or Production Problems22% All Other

Source: Robert Cooper 2003

LECTURE 6Turning a Concept into a ProductOBJECTIVESTO DETERMINE HOW THE CONCEPT CAN BE TURNED INTO A PRODUCTTO OBTAIN AN INITIAL PRODUCT FOR EVALUATIONTO UNDERSTAND ALL FACTORS AFFECTING PRODUCT ATTRIBUTESTO SCREEN INGREDIENTS AND FORMULATIONSTO ASSESS PROCESSING REQUIREMENTS TO ASSESS PACKAGING AND STORAGE NEEDS

Steps in the ProcessProtocept

Prototype

Final Product

A protocept is the product developed in the laboratory to meet the promises of the product conceptProtocept can be developed through interation until ready for prototype developmentProtocepts may not be technically feasible

PROTOCEPT DEFINITION

PROTOTYPE DEFINITIONA Prototype is The Outcome of a Protocept, Generally Optimized Through Pilot Plant TrialsGenerally Utilizes Appropriate Statistical Designs for Optimization at the Pilot Plant ScalePrototypes are technically feasible

PROTOCEPT DEVELOPMENTInterpretation of the ConceptProduct AttributesFormulation Ingredient Selection Processing Steps and Conditions EstablishedSpecificationsProduct AssessmentPackagingHACCPShelf Life EvaluationPricingConsideration Of Regulation Compliance

DefinitionAct of using results obtained from laboratory studies for designing a prototype and a pilot plant process; construction a pilot plant and using pilot plant data for designing and constructing a full scale plant or modifying an existing plant

LECTURE 7SCALE-UP

Define product economics based on projected market size and competitive selling and provide guidance for allowable manufacturing costsConduct laboratory studies and scale-up planning at the same timeDefine key rate-controlling steps in the proposed process

Steps in Scale-Up

Conduct preliminary larger-than-laboratory studies with equipment to be used in rate-controlling step to aid in plant design

Design and construct a pilot plant including provisions for process and environmental controls, cleaning and sanitizing systems, packaging and waste handling systems, and meeting regulatory agency requirements

Evaluate pilot plant results (product and process)

Steps in Scale-Up

DEFINITION (WEBSTERS NEW COLLEGIATE DICTIONARY)SPECIFY 1: to name or state explicitly or in detail2: to include as an item in a specification

LECTURE 8 SPECIFICATIONS

CompositionSafetyperformanceComponents in specifications

To learn about the need for plant trials

To learn the basic steps in running a plant trial

To hear some advice on mistakes to avoid

LECTURE 9HOW TO RUN A PLANT TRIAL MODULE

A Plant Trial is a test production run on commercial scale equipment intended to validate the process defined to make a product and the scale-up calculations used.

PLANT TRIAL DEFINITION

After a process has been defined in the pilot plant

Before a product launch

When you need product for a consumer test

WHEN DO YOU RUN A PLANT TRIAL?

1. Define objectives2. Plan trials3. Schedule plant time4. Brief plant management5. Brief and train operators6. Conduct trial7. Evaluate product8. Debrief plant management

BASIC STEPS IN CONDUCTING A PLANT TRIAL

Know what a process flow chart is

Understand the need to optimize process conditionsA Flow Chart is a schematic depiction of the process required to make a given product. It contains all the information needed for process scale-up, design and cost determination.

Process Flow Sheet and Process Optimization Module

To learn Product Developments role in developing new packages

To learn what factors to consider for new packaging

LECTURE 10Packaging Considerations Module

Product ProtectionThrough DistributionThrough Shelf LifeThrough ConsumptionThick Package WallsFunctionalityClear Use InstructionsEasy to OpenEasy to HandleResealableStorablePackage SafetyNon-breakableSanitary

Product Development Priorities

Big Front PanelLarge Print SizeBillboard PossibilitiesConsumer Friendly LanguageBrandingPackage Clarity DifferentiatingAttractive

Marketing Priorities

Purchasing PrioritiesLow CostMultiple SuppliersLong RelationshipsThin Wall Packages (Light weighted)

LegalNameCompany Address Net WeightIngredient LabelNutritional LabelClaimsContingent Language (may contain peanuts)Big Principal Display PanelLarge PrintCommon NameNo Small Parts

Legal Priorities

LightOxygenWaterInsects and RodentsMicroorganismsBacteriaYeasts and MoldTimeTemperaturePeople and TransportationEnemies of Packaged Food Quality

KEY TO NOTE

Start Package development early because it can be a very complex process requiring compromises and trade offs.

To understand the factors that control the performance of a food product

To know when, where, how and what to evaluate to determine performance

LECTURE 11PRODUCT PERFORMANCE OBJECTIVES

When are you ready?Advertising and promotional strategies in place, taking into account competition and consumer response in test markets- roll of advertising agencies or in-house groups.Pricing strategy for product vs. competition?Manufacturing process yield products meeting consumer acceptance, quality, safety, shelf life, cost, and regulatory requirements.

Rollout

Return on investment analysisConsumer reaction did they like it?, repeat purchases?Sales volume , market penetration, market share? Did they meet goals?Pay-back, did profits meet objectives?

Measures of Rollout Success

Each group shall submit a developed product with a well written report at the end of the course work as COURSE PROJECT.

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