Measuring Product Creation Effectiveness

The purpose of measuring performance on any business process is so that you can do it better the next time around; this is as true of product creation as it is of manufacturing, purchasing, or distribution. In practice, however, companies usually treat each product creation project as a brand‐new, one‐time effort, plunging in and figuring out how to do it from scratch, without any reference to how it was done the last time. This ad hoc approach costs a lot of time and money and constitutes a lost opportunity. Unless companies change their approach toward product creation from an ad hoc process into a systematic and replicable one, there is no hope for improvement.