I came across this article that outlines today’s changing product development culture. What is interesting is from an SME perspective is where the ‘big boys’ are looking to learn a trick or two from start up behaviours. While some of the familiar giants maintain a foothold in industries with rapidly developing technology, the cumbersome nature of others has caused them to lose their grip and fall out of competition (anybody remember Kodak??).
It is the small guys, the start-ups built around contingency and being lean, that are cornering the market. Meanwhile the giants that have become comfortable within the industry can not compete as well. The lead time on product development is much too long at these large companies. Not that it couldn’t be quicker, but the larger companies are conditioned to work in this manner.
Thousands of hours and millions of dollars are exhausted in the time lapse between an idea leaving the brain trust of the R and D room and a finished product finally being pushed through the company’s rusty gate. Start ups have ushered in a new way of thinking. Development, marketing, and supply chains are managed in a lean collaborative manner, rather than an expensive department exclusive manner. This translates to faster product development, faster manufacturing, and on target marketing. All while being done on a smaller budget.
Any thoughts? would be good to hear your perspectives?
Image from erikaow published under creative commons