Business Case Analysis for Rapid Productisation

Tuomo Kinnunen, Kai Hänninen, Harri Haapasalo and Hanna Kropsu-Vehkapera
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Tuomo Kinnunen: University of Oulu, Finland
Kai Hänninen: University of Oulu, Finland
Harri Haapasalo: University of Oulu, Finland
Hanna Kropsu-Vehkapera: University of Oulu, Finland

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Abstract: Purpose The objective of this study is to construct the procedure of business case analysis for rapid productisation. The paper studies the practice of business case analysis to aid collaborative decision making between product management and sales management. Design/Methodology The research is qualitative and constructive in nature. We studied relevant literature and conducted an exploratory case study. Primary data was collected by semi-structured interviews. Business case analysis procedure for rapid productisation is constructed based on the literature study and the interview data analysis. Findings A state of the art practice of analysing rapid productisation opportunities is described. Such an analysis includes estimating and calculating revenue and costs, and checking strategic fit. Especially it includes considering the importance of the customer and the sales case in the revenue side, and project cost and resource reallocation cost. In addition, cost structure and market potential are estimated for the items that decided to include into global portfolio. Originality/Value This study provides insight of the co-operation between sales, R&D and product management in building business case for rapid productisation. The results of the study are applicable for benchmarking similar industrial practices. The study contributes to the research of order delivery process and new product development in the area of rapid productisation.

Keywords: business case analysis; productisation; rapid productisation (search for similar items in EconPapers)
Date: 2013
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Persistent link: https://EconPapers.repec.org/RePEc:tkp:tiim13:s3_342-354

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