Every product or service in your portfolio must be a contributor
to the company.
Product diversity and quality are normally at the forefront of a company’s
strategic initiatives. Do you offer your customers the appropriate product
mix? What should be your next product or solution? In our experience,
successful businesses are adequate in product excellence, customer intimacy,
and operational excellence — but excel in at least one of those areas.
Kreischer Miller’s Product Benefit Analysis Diagnostic is a useful tool to
help fine tune your product strategy in order to achieve product excellence.
Our process involves the following steps:
- Establish a list of products you would like to assess.
- Brainstorm and select factors and benefits that are relevant to your business (e.g. profit, sales volume, perceived customer value). It is best if your selections apply to all of your products. You can select as many factors and criteria as you like, but we recommend no more than ten.
- List your factors and benefits in the left column of the diagnostic worksheet.
- Examine your factors and weight them according to their importance. The result must total 100.
- You can now score the individual selection factors for each of your products. Your score for each option cannot exceed the weighting you have allocated to the selection factor.
Conducting this exercise allows you to assess the target score for each
product, how each of your products scored, and whether there is there a
minimum score each product must achieve in order to stay in your portfolio.
How can you improve your scores?
The real benefit of the Product Benefit Analysis Diagnostic is what comes
next: defining the change management process and assigning accountability,
with a goal of increasing your product scores to an acceptable level.