Optimizing the Stage-Gate Process: What Best-Practice Companies Do—II

With effective and systematic new product processes in place, the best-practice companies are turning toward improving their project selection process—the gates. With too many projects for the limited resources available, these companies are building tough gates into the new product process, using a scorecard method at gates to rate and prioritize projects, engaging senior management in the decision process, and improving the efficiency of gates through such means as virtual gates and self-managed gates. They also recognize that portfolio management must be integrated into the gating process in order to yield the right mix, balance and number of projects, and to deal with the challenge of maximizing the value of the portfolio and ensuring that it reflects their business's product innovation strategy.