Background
The attempt to launch the biggest disruptive technological change in the hard drive industry in 1992, was aimed to be reached according to Hewlard Packard (HP) by launching Kittyhawk- smallest hard disk ever. They realized that they had the strength of having the flexibility of entrepreneurs but financial support of a large high-tech company. The aim was to create a product that is not the same as competitors but instead revolutionary strategic insight was made by the commercial failure.
Analysis
1.3-inch Hard Drive- Disruptive or Sustaining Technology
One can argue that since the industries performance trajectory was mainly size-orientated improvements and not revolutionary in creating new demands that it was a
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The marketing representative should collect insight on different industry needs that are relevant to hard drives. This information would benefit management more in product development instead of collecting information on a product that has attributed benefits the market has no need for.
- First the marketing representative should validate market trends, then a cross functional team that consists of different members with different roles should be assigned to project plan and present production ideas to management. This division would be led under the Computer Product Organization´s supervision to create a group with different perspectives. This is the equivalent of eating like a bird and pooping like an elephant that Kawaski mentions. The team will consume ideas within and share the outcome with management to make correct decisions. The market research company was a weak link, as they did not provide them with insight that they didn’t already know. Hence why management might have gotten stuck in a visionary tunnel and not been able to adapt the product to more use than just focusing on its size.
Define the strategic significance of the disruptive technology
- Ask correct questions that are not solely focused on increasing market shares and becoming the next cash cow for HP.
- Ask questions that give answers solidifying the value proposition of KittyHawk and the needs of potential stakeholders. It should be clear to management how they would benefit
The last complication leading to the Kittyhawk projects demise came from the customers themselves. After the launch of the first Kittyhawk hard drive, many new unexpected customers stepped forward to show interest. This situation became the proverbial carrot-on-a-stick for the Kittyhawk team. However, none of these customers provided sure sources of revenue by entering into
By asking these questions to employees in different levels, you get an overall picture of the different issues.
As pointed out by Schmitz (2012), how well an industry and the executives abilities to manage strategies, changes and challenges, will weigh heavy on and influence successes as well as failures, which are mapped out in Porter’s Five Forces and the very well known as “The Five P’s.”
What is the purpose of the open ended question? Formulate three open ended questions that might be used to sell the product/service in your sales plan. (Chapter 10)
The modern business management world has changed dramatically since, the book published 2008, “The Five Most Important Questions…” by Drucker. To do the business or run an organization, first ask the question “why we are doing business?” Best assessment is always depends upon asking the right question, not providing the right answers. In these managerial decisions, the important and difficult job is never to find right answer, it 's to find the right question to the organization (Drucker, 2012).
For instance, the executives might have had little or no market research information on the markets that were targeted for entry. The lack of adequate market research made it difficult for the company to have enough information on its opportunities with regards to the market entry . Furthermore, there might have been a cognitive bias or a systematic error in manner through which the executives processed information that they had at their disposal. Also, the business might have incurred miscalculation costs. These are the aspects that the business will need to focus on during the new project. When conducting a market entry, appropriate calculations will be necessary for the successful implementation of all the steps to avoid under calculations and cost challenges along the way. With the right approach, the company will have the ability to re-establish itself into the market and become successful . The research and strategic approach is most likely to work in favor of the
To be a market-led branch everyone must work as a team in the marketing process. Currently key markets are being missed due to lack of team-work and a reliance on the corporation to market the services. Figure 4.6 Illustrates the market-led organisation.
Separate Market Research Team & Product Development Team: A separate team should be constituted to take care of the research & product development process. Tibal Fischer should give freedom to the team to make decisions on their own and not impose his ideas. The team would have freedom to develop products based on the customer needs of the different segments and following the latest
In 1992, Hewlett Packard made the decision to produce 1.3 inch disk drives, leapfrogging over the 1.8 inch format to position themselves as market leaders for the smaller drive. Prior to this time, HP prided itself on its leadership position within this industry and its ability to innovate more quickly than its competitors. However, the Disk Memory Division (DMD) was lagging behind the company standard, comprising only 3.2% of total HP revenues in 1992. HP was trying to use the Kittyhawk project to propel the company into a higher profile position within the disk drive market.
Two years after launching the Kittyhawk in mid-1992, Rick Seymour, the Kittyhawk project leader, was facing a dilemma to continue the project with the three possible options or to recommend to abandon this project. Due to the comparatively small market share in disk-drive market, Bruce Spenner, the general manager of the Disk Memory Division, decided to enlarge Hewlett-Packard’s market share by launch an innovational product - Kittyhawk. However, plans can never keep pace with changes. Kittyhawk didn’t acquire the expected customer segments, which caused the dilemma.
Develop strategies and objectives for the assigned brand product by sharing goals, volume and financial targets
3.Does this product reflect the needs of the customer and is it technically sound? What are the risks associated with marketing this product? Answering these questions is important for the long term strategy of the firm.
Q # 4 Discuss how above internal and external assessment methods help the company to achieve its strategy.
The various issues incurred during the management of Product development are discussed and how successful companies have dealt those situations. Today’s effective product development organization is characterized not only by creativity and freedom, but discipline and control in scheduling, resource use, and product quality.
Marketing oriented organisations have the major attribute of staying closer to consumers and ahead of their competitors. The fundamental objective of these organizations is to attract customers and outdo their rivals in the market. The characteristics of these organisations include shared values in terms of strategy, stakeholders and the organisation. All the decisions made by these companies consider the customers first before anything else as they share common value of superior quality of products (Guiltinan 1996, p.67). They also have an organisational structure that has a few layers and their policies are straightforward. The strategy of the market-oriented organisations is long term, participative and flexible to accommodate new ideas. The expectations of shareholders are considered first before making any significant decision. Dell exhibits these strategies in that their marketing strategies involve targeting where they know who is buying their computers and where these people are going and are thus considerate of their customers (Nancy, 2001, p.79). Dell also has to track results from advertising to see whether the process is effective, after which the company makes necessary adjustments. It also keeps track of its