Phase

Gate

• Marketing and sales process cost modeling

• Product and services price modeling

• Sales models and forecasting

• Market Perceived Quality Profiles (MPQP)

• Customer value chain mapping

• Design of surveys and questionnaires

• Post-launch data structures, analysis, and management utilizing four types of tools:

1. Descriptive and inferential statistics such as graphical data mining, multi-vari studies, hypothesis testing, confidence intervals, t-Tests, data sample sizing, and last regression and model building

2. Capability studies

3. Statistical Process Control (SPC)

4. Design of Experiments on the critical marketing and sales parameters, and conjoint analysis

• Adaptive price and sales forecasting methods using Monte Carlo Simulation

• Data feedback structures for advanced product/services planning

• Offering discontinuance planning

With the tools, methods, and best practices categorically defined, let's look at the phases of the LMAD process and explore how to use it to conduct marketing and sales tasks. In a post-launch steady-state environment, your business fluidly cycles in and out of the Manage and Adapt phases as necessary. Hence, a single scorecard format featuring the LMAD common tool set, methods, and best practices for your business can be adapted on an as-needed basis. Table 6.1 is a sample tools scorecard.

Process mapping flowcharts

Generate statistical process control charts/capability indices SPC/critical parameter management/capability studies

Value chain mapping SIPOC/process requirements development methods/DOEs

Characterize critical processes and critical parameters in the launch environment FMEA SWOT

Generate risk assessment Noise diagrams

R-W-W scorecards

Sales modeling and forecasting methods/MPQ profiling/price modeling

Refine sales forecast

Capabilities studies regressions, ANOVA

Assess business case against current performance Project management methods, FMEA, Monte Carlo simulation

Update control plan and FMEA data

Table 6.1. Sample LMAD Tools Scorecard

1

2

3

4

5

6

7

SSFM Tool

Tool

Summary, Including Type and Units

Task

The sample scorecard, as shown in Table 6.1 , is used by marketing teams that apply tools to complete tasks.

Columns 1 and 7 align the tool to a specific task and its requirement for justifying its use. (Never use a tool if you can't justify its ability to fulfill a task.)

Quality of Tool Usage, Data Integrity, and Results Versus Requirements are scored on a scale of 1 to 10 using the simple scoring templates provided in Chapter 2 , "Measuring Marketing Performance and Risk Accrual Using Scorecards."

Average Tool Score (ATS) illustrates overall tool quantification across the three scoring dimensions. (A high ATS indicates that a task is being underwritten by proper tool usage.)

Data Summary illustrates the nature of the data and the specific units of measure (such as attribute or continuous data, scale, or specific units of measure).

As we mentioned in Chapter 4 , "Six Sigma in the Strategic Marketing Process," the following tools sections simply align the tools within each phase of the unique LMAD outbound marketing method to operationally manage a launched offering. The suggested tools draw from the complete set of Six Sigma/Lean tools readily available today; no "new" tools are introduced. Because this book is an executive overview, individual tool descriptions and guidelines on how to use them fall outside the scope of this book.

The Launch Phase

The marketing and sales teams have generated an integrated plan to see the launch through its cycle. The Launch phase is concluded when the product and/or services and support initiatives are fully distributed, available, and in a steady state mode for the Manage phase. The launch plan has a well-defined set of measurable control variables, functions, and results that are fundamental to the behavioral dynamics that characterize the unique issues associated with launching a new offering. The consistent application of a designed launch control plan has built-in robustness features to prevent excessive sensitivity to assignable, nonrandom sources of variation in the launch environment.

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