Comparison of Saudi Arabia and Europe Human Trafficking

Comparison of Saudi Arabia and Europe Human Trafficking International Human Trafficking Introduction Human trafficking is an egregious example of how globalization can facilitate and grow international crime rings for purposes of economic gains. The United Nations Office on Drugs and Crime (UNODC) defines human trafficking as the acquisition of people by improper means, such as force, deception, or fraud with a primary goal of exploiting them (United Nations Office on Drugs and Crime, 2009). With the emergence of globalization, the world has opened up and people are more integrated. As a result, movement across the international borders in Europe and Saudi Arabia has been facilitated by the open trade policies adopted. Also, the rise of industrialization and emergence of multinational corporations in both Saudi Arabia and some of the developed European countries are some of the factors of globalization that have necessitated the need for cheap labor as industrial competition intensified globally. Therefore, it is important to create a comparison of the primary factors that facilitat e international human trafficking in Saudi Arabia and Europe to understand the influence that globalization has on the issue. Research Question The following research paper will focus on the key question: Does human trafficking have the same characteristics in Saudi Arabia, as it does in Europe? In responding to this research question, the study will focus on various aspects of culture, socioeconomic conditions, politics, and institutional differences between Saudi Arabia and European countries, and how they contribute to international human trafficking. Hypothesis The research will be directed towards the following hypothesis: Globalization has led to a set of differences in economic, cultural, technological and political factors in Saudi Arabia and Europe. Consequently, these factors define the individual characteristics of human trafficking in each region. Importance of the Research Question The research question is a core concept in unearthing various economic, social, cultural, and individual factors that motivates human trafficking, which is currently a global issue both in the developing and industrialized countries in Saudi Arabia and Europe. By understanding the existing differences in various aspects of human trafficking in Saudi Arabia and Europe, the study will provide a general blueprint on how globalization has contributed to increased cases of human trafficking worldwide. The research question will guide on global policies that should be enacted in order to deal with the problem of human trafficking, which is already a global threat. Human trafficking is a multifaceted issue, which makes it difficult to alleviate completely. First of all, international human trafficking is the most common form of human trade whereby victims are moved across the borders to other countries. Differences in policies, border regulation legislation, socio-economical issues, and cultures among countries make coordination of efforts to combat the crime futile. Therefore, the research question will enhance our understanding in terms of policies and legislation in Saudi Arabia and European countries, how these policies either prevent or facilitate human trafficking, and what needs to be done about such policies to curb the criminal activity. Also, the research question outlines the factors that motivate human trafficking in Saudi Arabia and whether the same factors contribute to human trafficking in Europe. Generally, it is known that different regions have specific needs for the victims of human trafficking. For instance, victims of human trafficking in Saudi Arabia are mainly required for sexual exploitation and forced labor. On the other hand, in Europe, human trafficking mainly revolves around the acquisition of people for purposes of forced labor, servitude and slavery and sexual exploitation in equal measures. These differences also complicate global efforts on ending human trade. Therefore, the research question will provide a roadmap to establish the underlying factors in the Saudi Arabia and Europe which dictate the specific reasons for the acquisition of victims of human trafficking. Consequently, it is possible to develop an integrated approach to address this multifaceted issue. Lastly, this research question is a key influence on policies that will guide consensus building among countries in order to address the growing problem of international human trafficking. Currently, the world is dynamic in various ways and, therefore, issues affecting one country are likely to impact on others. This has primarily been a factor of globalization. Through globalization, business relationships, as well as individual interaction, have increased. Consequently, international crimes such as human trade have, also been facilitated by this integration. With the neoliberalism and emergence of globalization, nations are in a rush to build their individual economies and at the same time disregard policies that influence international relations. Being an international problem with universal threats to human security, human trafficking has negative effects on international relations. It undermines individual and state security because it violates all the elements of human security as a result of coercion and exploitation. These elements include environmental, personal, economic, political, health, community, and food. Therefore, the research question is holistic and will facilitate understanding of international human trafficking from political, economic, cultural, and humanitarian dimensions on the lens of globalization. Review of Literature In his study, Rahman (2011) defines human trafficking as the movement of victims usually women and children across borders either legally or illegally. In addition, the victims can either be documented or without any documents, usually heading to unknown destination unaware of the consequences thereof (Rahman, 2011, p. 54). Current forms of human trafficking in both Saudi Arabia and Europe are more subtle compared to several decades ago. In most cases, victims are usually lured by better opportunities, such as jobs. This is the modern day slavery. According to Rahman (2011), human trafficking is a global phenomenon that can be inextricably linked to the current move of globalization in the sex industries that mainly involve women and children. There are differences in demand for victims of sex trade between Europe and Saudi Arabia. While sex trade is linked with human child trafficking in Saudi, Arabia, sex trafficking in Europe usually involve more adults than children. Globalization and the subsequent free international border movement has facilitated international human trafficking (Liu, 2010). The process has made border crossing especially in European countries very easy. In both Saudi Arabia and Europe, the existing supply-and-demand relationship as a result of globalization has led to establishment of criminal networks which facilitate illegal border crossing as countries enact restrictive immigration policies (Liu, 2010). Subsequently, this has also increased the risks and vulnerabilities of unauthorized immigrants already in the countries to all forms of exploitation (Liu, 2010). Also, Liu (2010) suggests that limitation of immigration through restrictive policies also perpetuate inequality at the global level. Free movement of capital has been enabled by economic globalization. However, states have been using the migration policies as nation-state level gatekeeping instruments by allowing multinational corporation to relocate to low-cost ar eas (Liu, 2010). Saudi Arabia is among the Middle Eastern countries alongside United Arab Emirates, Kuwait, Cambodia, Venezuela among others that are designated as Tier 2 by the United States Department of States in relation to human trafficking. According to this classification, Tier 2 countries have governments that do not comply with the minimum standards to eradicate human trafficking (Trafficking in Persons Report, 2016). Increased cases of human trafficking in Saudi Arabia are motivated by various factors of globalization such as easier movement of people into the country according to this report. Currently, Saudi Arabia is a major destination for people from East Africa and South East Asia who either move to the country voluntarily or trafficked for purposes of labor exploitation, or other criminal activities such as forced begging (Trafficking in Persons Report, 2016). In Saudi Arabia, although globalization is a primary factor for the current trends in human trafficking, the political situat ion in the country is also a factor that has contributed to increasing cases of human trafficking. According to the United States Department of States 2016 Trafficking in Persons Report, the government of Saudi Arabia is yet to fully meet the minimum standards for the elimination of trafficking (Trafficking in Persons Report, 2016). Despite the high number of immigrants in Saudi Arabia who come as domestic servants as well as other forms of exploitation, the government is yet to increase anti-trafficking efforts (Trafficking in Persons Report, 2016). Therefore, human trafficking in Saudi Arabia is both a factor of globalization and weak government policies, as per the U.S Department of States 2016 report (Trafficking in Persons Report, 2016). ÂÂ   Globalization has also resulted to economic competition whereby increasing product prices increases the demand for cheap labor as a means of cost reduction. Also, inequalities in economic growth among European countries and Saudi Arabia have resulted to industrialization of some countries while others are underdeveloped (Rahman, 2011). Saudi Arabia is among the Middle East countries that are endowed with resources such as oil and therefore their economy is doing well. On the other hand, the source countries in East Africa where the victims of human trafficking come are usually characterized by poor economic development and high population growth rate. Consequently, commodification of human life has resulted as human traffickers view humans as exploitable resources that are readily available (Liu, 2010). In his study, Liu (2010) asserts that although human trafficking generally has a long history, the criminal network in the human trade has extended to an unprecedented scale as a result of the widening inequality at the global level. With globalization and the rise of neoliberalism, inequalities among countries have encouraged millions of disadvantaged people to migrate (Liu, 2010, p. 2). Liu (2010) further suggests that although poverty and poor working conditions are the historically known causes of irregular migration, the phenomenon is not purely supply-driven both Saudi Arabia and Europe. As an industrialized economy, Saudi Arabia is on the edge of global economic competition. Therefore, most of the sectors of the economy are under intense pressure to minimize their costs and at the same time capitalize on cheap and flexible labor. This form of labor is readily found from migrants whether they moved in the country legally or illegally (Liu, 2010). This is also the driving force behind human trafficking in Saudi Arabia andÂÂ   Europe whereby industrialization, as well as the emergence of multinational corporations, demand cheap and readily ava ilable labor (United Nations Office on Drugs and Crime, 2009). Gilbertson (2015) views the phenomenon of expanding human trafficking as an outcome of the industrial changes through the era of globalization. As a result of globalization, the sex industry which initially occupied a marginal position has now taken the central position in the global economy. The industry has grown tremendously in Saudi Arabia and Europe as a result of the huge profit margins, the extensive market demand and the organizational mechanism that is keen on exploiting the demand (Gilbertson, 2015, p. 9). Developing nations in Europe which were initially under the Soviet Union, such as Ukraine and the Baltic states, were left adrift after the Cold War (Gilbertson, 2015, p. 16). Subsequently, organized crime took center stage. This era was also characterized by technological development which promoted cross-border trade, migration covering up and investment opportunities. According to Gilbertson (2015), globalization has affected all aspects of life such as culture, politic al systems, economic systems among others in Europe. Human trafficking is among the transnational organized crimes that have expanded as a result of globalization. According to Gilbertson, (2015) growth of transnational organized crimes especially in Europe has been fostered by various factors of globalization such as enhanced flow of goods, capital and services, global tourism, increase in human migration and increase in outsourcing manufacturing. Gilbertson (2015) also shows a correlation between the international human trafficking as a transnational organized crime that has been promoted by the law enforcements and individual governments in both Europe andÂÂ   Saudi Arabia. For a long time, governments have been focusing on criminal groups instead of criminal markets. The existing market demand for victims of human trafficking promotes the human trade despite efforts to eliminate the criminal networks. In her research, Gilbertson (2015) focuses on three key global drivers of trafficking for sex exploitation. They include war, economic instability, and technological advancements. In all recent wars surrounding the recent age of globalization, sex trafficking has been reported, hence, creating a dangerous environment for women and children living in war-torn areas in Europe. Also, the increased mobility of the people and instability in such zones further provide a perfect environment for human trafficking for sexual exploitation (Gilbertson, 2015, p. 22). This is the case in war-torn European countries. In addition, economic instability promotes the emergence of criminal activities and promotes migration. Globalization and technological revolution has promoted human trafficking in many ways. Gilbertson (2015) also links the expansive human trafficking criminal network in Europe and Saudi Arabia to globalization, which influences technological revolution in term of communication and marketing. Communication and information sharing through cell phones have promoted human trafficking especially for purposes of sexual exploitation (Gilbertson, 2015, p. 27). Also, the Internet has led to an enormous boom in the child pornography industry with latest forms of human trafficking for sexual exploitation taking place online through chat rooms. In Holland and other surrounding Nordic countries, pornography is legal, and this has promoted cases of child trafficking for purposes of sexual exploitation (Gilbertson, 2015, p. 28). In addition, globalization has also facilitated advancements in transportation technology both in Europe and Saudi Arabia. The subtle forms of slavery promoted by human trafficking occur when in the process of searching for economic opportunities, migrants are coerced into work unwillingly (Liu, 2010, p. 2). Liu asserts that international human trafficking is not only an international crime but a process of globalization itself especially in technological perspective. Although globalization has contributed to important gains especially in the areas of trade, communication and transport in Europe, it has also opened up new avenues for human traffickers who are able to easily conduct the criminal activities (Liu, 2010). In his study, Brewer (2010) acknowledges the research question by linking the process of globalization as an integral part of growing cases of international human trafficking. In this study, Brewer (2010) asserts that in the wake of globalization, interplay of economic, social and political factors in different parts of the world have resulted to what he terms as global apartheid which has given rise to a new fourth world which is a population comprising of the incarcerated, homeless, impoverished and other socially excluded people (Brewer, 2010, p. 47). This is the group of people who provide most of the victims of human trafficking. The comparative advantage in goods and cheap labor in the third world countries has contributed towards objectifying and exploiting humans for economic ends (Brewer, 2010, p. 48). Based on the suggestions provided by other scholars in answering the research question, I will consider evaluating the existing connection between the process of globalization and international human trafficking. I will focus on providing evidence why human trafficking is not an outcome of globalization but rather a part of it. This implies that even though different states have the option to enact policies and legislation that can minimize cases of human trafficking, there are aspects of globalization that cannot be adjusted. First, I would focus on showing the evidence on how globalization has promoted stiff economic, technological, social, and political competition in both developing and industrialized countries. A primary outcome of this competition is increased inequality between nations. As the industrialized countries continue to develop, the disadvantaged countries are forced to bear the repercussions of this economic competition in terms of slower economic growth, high rate of unemployment, low literacy levels and rapidly growing population. Consequently, I will provide a critical analysis on how these factors provide the right environment which facilitates human trafficking as excessive population makes humans exploitable resources. Also, in answering the research question, I will critically evaluate how political factors such as weak government, corruption and the rise of highly developed organized crimes have led to an increase in cases of human trafficking, especially in the Saudi Arabia. The international community has not yet come into aid of governments with a weak economic infrastructure that can aid in combating this global crime. I will also provide an input on reasons why the weak governments are unable to handle the problem of human trafficking suh as insufficiency of resources, manpower, and technology that is critical in decreasing human trafficking cases in their respective areas of jurisdiction. Also, I wil provide evidence on how human trade has proliferated in European countries where the governments are unable to maintain economic and political stability. Lack of an effective international oversite body to monitor the policies used by individual countries to combat human trafficking also contri butes towards the proliferation of the vice in countries with a weak political system. I will also be critical on Weak relations in the international community and this has also contributed towards the spread of the criminal network dealing in human trade in Europe and Saudi Arabia. Failure by countries and international organizations to effectively monitor and address the problem of human trafficking in individual countries has subsequently reinforced it. In my analysis on the factors in globalization that have contributed to the high rate of human trafficking in Saudi Arabia and Europe, I will also focus on the weak relations in the international community and how they have also contributed towards the spread of the trade as well as how failure by countries and international organizations to effectively monitor and address the problem of human trafficking in individual countries has subsequently reinforced it. With the world moving towards exceeding its capacity, human beings are becoming the most abundant and exploitable resources. Therefore, when answering the research question, I will provide evidence on how countries with a lower Gross National Product (GNP) are more prone to cases of human trafficking in comparison to countries with a high GNP. Also, the answer to the research question will focus on the economic factors in globalization such as increased demand for cheap labor and subsequent influence on international human trafficking . In addition, I will concentrate on issues such as how globalization has destroyed the barriers between countries hence paving the way for illegal inter-border immigration. Increased amount of consumerism in developed countries lead to a subsequent increase in demand for cheap and exploitable labor. Part II Research Methods In order to carry out the research that will help in answering the research question, I will employ various methods of data collection, data analytical tools and assumed data analysis. Primarily, this section of the research will describe the rationale for the application of the specific procedures and techniques in data collection and analysis for the study. This will be a crucial part of the study that will enable the reader to critically evaluate the overall validity and reliability of the study. Data collection and analysis tools that will be chosen for this study are critical because they will automatically affect the findings and by extension, how the findings will be interpreted. The methods that will be chosen for collection and analysis of the data should be appropriate for fulfilling the overall aim of this study in order to come up with informed rationale on the existing relationship between globalization and aspects of international human trafficking in Europe and Saudi A rabia. Therefore, a large enough sample size will be important for this study to generalize and make informed recommendations based on the findings of the study. In this study, aspects of both qualitative and quantitative research will be applied. Study Participants When choosing the participants for this study, it is important to consider the respondents who will provide the best information for this study. Therefore, it is important to think carefully around all the issues surrounding the research question and gain access to the most effective respondents. Secondly, it is important to consider the number of participants who will take part in the study and how they will be selected. The key participants for this study will include government sources who will provide information on policies in place to address human trafficking in Europe and Saudi Arabia. This is because government policies are major drivers of globalization and subsequently, human trafficking. Another group of participants for this study will be identified victims of human trafficking. As study participants, victims of human trafficking are credible sources of vital information regarding the trade such as the methods used by the traffickers to acquire the victims and how they a re facilitated in entering through borders. Information acquired from this group of participants will facilitate the research in terms of creating constructs between border policies in Europe and Saudi Arabia and international human trafficking. Identified victims of human trafficking can be accessed through various recovery centers and focused groups. Another group of study participants who can help in answering the research question include voluntary convicted participants in the human trade who will provide information on various factors of globalization that determine demands for victims of human trade as well as how the cartels are connected in Saudi Arabia and Europe. This group of participants will also provide vital information on how border culture, weak institutions among other factors facilitate the business of human trafficking.ÂÂ   There is no age limit for the study participants because the victims of human trade includes all genders, age groups, race, religion an d socio-economic classes. Data Collection The following research will employ various data collection strategies in order to critically analyze the issues surrounding globalization and how they have contributed toward human trafficking internationally. Both the primary and the secondary data sources will be employed in order to provide a form of analysis on the changing trends in international human trafficking so that the impact of globalization on the vice can be scrutinized. Therefore, the various tools for data collection will be considered in this study. The methods of data collection will depend on their suitability to the target groups and the various issues that require assessment. Also, the tools chosen to collect data will depend on their efficiency in identifying issues such as the outputs and the outcomes of the process. The ability of the instruments of measure to provide similar answers to the same question when administered differently is also a key determinant of the tools to be used in data collection. Variou s data collection tools have their advantages and disadvantages and, therefore, suitability for the study should be the main point of consideration. Data Collection Tools Various methods of data collection critical for the subject include primary data sources from victims of human trafficking. This can be obtained from series of interview, focus groups and case studies in order to obtain first-hand insights into human trade and the similarities in the victims of human trafficking such as countries of origin, economic status and the circumstances surrounding their trafficking. Both qualitative and quantitative data can be collected in relation to globalization and international human trafficking to provide a relationship in between that can guide future approach to the issue. Quantitative data Quantitative data is a useful tool in this research for the informed measure of quantities. This can include statistical data such as numbers of victims of human trafficking etc. Census reports. Census reports are key to globalization and human trafficking studies because it will provide data about every unit in a group of the population. For instance, census reports from various countries can show that age variations among the citizens and also monitor movements of different groups of people both locally and internationally. In addition, through census reports, it is possible to examine the current economic conditions in a given country and how these conditions influence migration of the people. Administrative data. Various international organizations such as UNICEF, ILO, UNODC collect information on a day-to-day basis on operations and economic trends in various countries. The statistics obtained from these organizations annual reports is usually in real time and can be used as an indicator of the conditions on the ground. Administrative data will be useful in this research because it will shows various economic policies operating in different countries influence trade, the emergence of new industries and border movements. This form of data will also provideÂÂ   insights on changing trends on international human trafficking such as the destinations, reasons for the trafficking as well as data on the most preferred victims for the trade. An example is the 2014 Global Report on Trafficking in Persons by the United Nations Office on Drugs and Crime which shows a changing trend in human trafficking whereby girls are more preferred than boys as aÂÂ   result of growing demands in the sex trade. This report also shows the main reasons behind human trafficking in various parts of the world. In Africa and the Saudi Arabi, sexual exploitation and forced labor are the main drivers behind human trafficking. However, in other parts such as East Asia and Americas, forced labor is the primary reason behind the high cases of human trafficking. Tracer studies. Tracer studies will be an important tool for data collection in this research because they will include a combination of regular surveys which are used as the core tool. The regular surveys will be combined with an in-depth discussion with samples of the surveys as well as interviewing key informants about the human trade. Key informants can be voluntary informants who can be either victim of the trafficking or traffickers themselves. Government sources can also be used to provide key information especially on the interplay between the economic policies put in place and how they promote globalization as well as other outcomes of globalization such as human trafficking. Qualitative data. Qualitative data is critical to this study because it will provide information on the qualities which are not measurable. This includes reasons why a particular group of people is preferred as victims of human trafficking in particular parts of the world as well aa the factors that facilitate human trafficking in various parts of the world. Interviews. Interviewing is an essential data collection tool for this study. Interviews can be done on the identified victims of human trafficking because they will assist in providing first-hand information about the nature of the trade. Essentially, human trafficking is a very discreet trade and much is not known about it. Therefore, by linking the information obtained through interviews, it wil be possible to link various aspects of the trade to the prevailing economic conditions and globalization in general. Case studies.Case studies will be extensively used qualitative data collection tools in this research because they will provide a critical analysis of the issue of human trafficking base on specific cases. In this research, case studies involving a particular individual in the trade or country where human trafficking is rampant can provide general insights on the nature of the trade in other parts of the world and how globalization has contributed to changes in the nature of the trade. Besides, case studies also enable movement tracking whereby the identified victims can provide critical information such as the transport methods used by human traffickers, destination, and communication. Case studies also facilitate the process of identifying various agencies that take part in human trafficking. Literature review for secondary data. Literature materials can also provide credible information on nature on the nature of human trafficking as a result of globalization and also providing a comparison with the earlier forms of human trafficking before globalization. This method of data collection heavily relies on the opinions of the researcher as per their area of study. Through a systematic review of literate, it is possible to identify gaps in research that have not been addressed in relation to globalization as a contributing factor to human trafficking. Various research articles employ different methods of data collection. Therefore, it is also possible to compare the various methods of data collection used and identify the most accurate in terms of the findings. Assumed Data Analysis Data analytics refer to various methods of examining raw data in order to draw informed conclusions in relation to the available information. In this study, various tool for data analysis will be used to summarize the information obtained during data collection in order to illustrate various measures that directly or indirectly link international human trafficking to globalization. Data Analysis Planning During data analysis, it is important to edit the research questions and the alternative hypothesis. The data analysis plan will specify the various statistics that need to be analyzed as per the research question and the assumptions of the statistics. Also, the data analysis plan will provide an appropriate justification as to why the statistics chosen are appropriate. Besides, it is important to justify the sample size and if possible references are made. This is

Exercise Addiction Essay -- Exercise Dependence

Exercise is often thought of in a positive light. It is common belief in today’s society that a healthy diet and a regular exercise routine will lead to a long, healthy life. And in the simplest sense of the word, it will. It has been a tried and true method to control and lose weight, lift a person’s mood, boost energy, combat a variety of health conditions and diseases, promote better sleep patterns, and even increase libido. (Mayo Clinic, July 23, 2011). So with all of these being possible and probable benefits of working out, why would it possibly be anything other than good? Certainly, something with so many benefits can’t be a bad thing? However, we may overlook the fact that it is like any good thing; in excess it can become dangerous very quickly. In society, there are increasingly more athletes that are pushing themselves so hard to the point they are making themselves sick. Whatever happened to exercising for simple joy, or competing becau se of a love for sport? The motivations behind an individual’s exercise habits are directly related to whether they develop an addiction. There is even a term for this over exercising phenomenon: Exercise Addiction, or Exercise Dependence. Exercise dependence is a craving that a person would experience, manifesting itself in the form of compulsiveness in relation to exercise behaviour. It can show in physiological symptoms, such as withdrawal, or psychological signs like anxiety and depression. (Hausenblaus, Downs. 2000). Some of these psychological symptoms can be observed in anyone who is competitive and/or elite in their chosen sport, but it may not necessarily mean that they are â€Å"addicted†. It is not nearly as likely to see such behaviours in moderate exe... ...iate control that they are more at risk for addiction. Research still needs to clarify many facets of this affliction, so that the general public can access and be educated on the topic. If this is achieved, the incidence of exercise addiction should decrease, and eventually become just a shadow of its current state. Works Cited http://www.ncbi.nlm.nih.gov/pmc/articles/PMC1751359/ http://drugabuse.gov/scienceofaddiction/brain.html http://www.msnbc.msn.com/id/32573781/ns/health-fitness/t/runners-high-can-turn-real-addiction/#.Ttg0LPLTpMY http://www.anorexiaathletica.com/ Carroll, D., S. Rodgers, I. Cockerill, and D. Bamber. "Diagnostic Criteria for Exercise Dependence in Women." National Centre for Biotechnology Information. British Journal of Sports Medicine, Oct. 2003. Web. 4 Dec. 2011. .

Innovation in Cosmetic Industry

ABSTRACT : Innovation is one of the most important issues in business research today. It has been studied in many independent research traditions. Our understanding and study of innovation can benefit from an integrative review of these research traditions. In so doing, various topics of consideration have been identified and studied. Consumer response to innovation, Organizations and innovation, which are increasingly important as product development becomes more complex and tools more effective but demanding; techniques for product development processes, which have been transformed through global pressures, increasingly accurate customer input. Innovation is the core business competency of the 21st century. In order to not only compete and grow but to survive in a global economy, businesses must innovate. To date innovation has been approached in a piecemeal fashion often linked solely to the New Product Development (NPD) process. There has been a remarkable increase in R&D investment by industries at global level over a number of years. The area of R&D in industry with the highest rate of growth over the past six years has been in directed basic research. Innovation and the effective management of technology have become a top priority for nations as well as companies, to stimulate economic development and strengthen their competitiveness. Allocation of R&D for the development of new businesses is seen as a key growth strategy by firms in most parts of the world. New products are engines to growth and prosperity for all companies in the manufacturing sector or the service sector. In this article, an attempt has been made to explore the drivers of new product performance, with a particular focus on cosmetic industry. P&G is considered to be one of the companies dealing with cosmetics with the best innovation strategies, and hence it has been taken as an example for the study. The Innovation Diamond is introduced by P&G as an integrative and guiding framework to help management focus on what’s important to success: innovation strategy, a solid idea-to-launch process, portfolio management and the right climate and leadership. (Keywords : Innovation, R&D, Cosmetic industry, P&G, success, Product Development. ) INTRODUCTION : Innovation, the process of bringing new products and services to market, is one of the most important issues in business research today. Innovation is responsible for raising the quality and lowering the prices of products and services that have dramatically improved consumers’ lives. By finding new solutions to problems, innovation destroys existing markets, transforms old ones, or creates new ones. It can bring down giant incumbents while propelling small outsiders into dominant positions. Without innovation, incumbents slowly lose both sales and profitability as competitors innovate past them. Innovation provides an important basis by which world economies compete in the global marketplace. Innovation is a broad topic, and a variety of disciplines address various aspects of innovation, including marketing, quality management, operations management, technology management, organizational behaviour, product development, strategic management, and economics. Research on innovation has proceeded in many academic fields with incomplete links across those fields. For example, research on market pioneering typically does not connect with that on diffusion of innovations or the creative design of new products. Overall, marketing is well positioned to participate in the understanding and management of innovation within firms and markets, because a primary goal of innovation is to develop new or modified products for enhanced profitability. A necessary component of profitability is revenue, and revenue depends on satisfying customer needs better (or more efficiently) than competitors can satisfy those needs. Research in marketing is intrinsically customer and competitor focused, and thus well situated to study how a firm might better guide innovation to meet its profitability goals successfully. To encourage and facilitate further research on innovation in marketing, we seek to collect, explore, and evaluate research on innovation. Key goals of this paper will be to provide a structure for thinking about innovation across the fields, highlight important streams of research on innovation, suggest interrelationships, and provide taxonomy of related topics. Successful innovation rests on first understanding customer needs and then developing products that meet those needs. Our review of the literature, therefore, starts with our understanding of customers and their response to and acceptance of innovation. Because we are interested in how firms profit from innovation, the article will then review organizational issues associated with successfully innovating and with how organizations adopt innovations. Customer understanding and the organizational context are underpinnings to innovating successfully. They must be in place before proceeding. Then the flow of innovation will be discussed. SUCCESS FACTORS IN AN ORGANISATION: Success factors for an organisation predominantly identified in the research papers are : †¢ Product innovation †¢ R&D investment †¢ Leadership commitment, Clear understanding of the company’s capabilities, †¢ Strong connection to the customer and a deep understanding of major customer problems, †¢ Willingness to take big but well-understood risks. PRODUCT DEVELOPMENT : Once consumer needs are understood and organizations for innovating and strategies are in place, then begins the execution part of innovation—moving from having a strategy to conceiving a concept to delivering against that strategy, to designing the final product and its manufacturing process, to finally having a (hopefully successful) commercial product. This section examines research that has sought to improve this process of product development (PD), which is predominantly prescriptive in nature. We begin with a brief review of product development processes, then will discuss about the research applicable to each of various stages of product development. PRODUCT DEVELOPMENT PROCESSES : The emerging view in industry is of product development as an end-to-end process that draws on marketing, engineering, manufacturing, and organizational development. The core of this process is the product development funnel of opportunity identification, design and engineering, testing, and launch. Previous researches recognizes that, for a single successful product launch, failures will be many, although some may be recycled, reworked, and improved to become successful products. Even when a product has been in the marketplace, innovation continues as the firm continually searches for new opportunities and ideas. Researches also recognize the current hypothesis that firms are most successful if they have multiple product concepts in the pipeline at any given time, forming a portfolio of projects. These projects might relate to independent products but increasingly are based on coordinated platforms to take advantage of common components and/or economies of scope. Risk is inherent in product development; few of the many concepts in a portfolio are likely to be successful. Information to evaluate alternative concepts is often imperfect, difficult to obtain, and hard to integrate into the organization. For each success, the process begins with 6 to 10 concepts that are evaluated and either rejected or improved as they move from opportunity identification to launch. RESEARCH CHALLENGES : PD processes are only as good as the people who use them. Structured processes force evaluation, but evaluation imposes both monetary and time costs. Teams can be tempted to skip evaluations or, worse, justify advancement with faulty or incomplete data. There are substantial research opportunities to understand the optimal trade-offs among evaluation costs, the motivations of teams for accuracy, and the motivations of teams for career advancement. For example, advancing a concept to the next stage in either a sequential or spiral process requires a hand-off. New team members must have sufficient data to accept the hand-off. In some instances, the old team members are now required to look for new projects—a disincentive to advancing a concept through the gate. Marketing, with its tradition of research on people, whether they are customers or product developers, have many research streams that can inform and advance the theory and practice of PD processes. Despite this, we have seen little formal investigation of the link between marketing capabilities and PD processes. The most critical research challenges in this area include, Improving the effectiveness of non sequential PD processes; Understanding which process is best in which situations; Understanding when it is appropriate to modify processes; Linking marketing capabilities and PD processes; Understanding the explicit and implicit rewards and incentives that encourage PD teams to either abide by or circumvent formal processes. Both market orientation and innovation have been identified as crucial success factors in companies. A positive impact of market orientation and innovation on company performance has been found in many industries and under a wide range of market characteristics. Research on market orientation is focused in particular on large companies. However, market orientation is expected to be important for small companies as well as large companies. Research in this field for small firms is relevant because small companies are widely represented in important industries like retailing, services and agriculture. Research has shown the importance of market orientation for the success of product innovations. A market orientation may stimulate innovations and increase the performance of innovations. In this paper we will focus on innovations in small independent companies that do not have the capacity for R&D as opposed to innovations in medium sized and large companies. Various models about the relationship between market orientation and innovation have been proposed examined the impact of market orientation on innovation characteristics using measure for market orientation. Many studies that focus on factors discriminating between successful and unsuccessful innovations conclude that market orientation is one of the main contributing factors to innovation success. INNOVATION Innovation is the creation of better or more effective products, processes, services, technologies, or ideas that are accepted by markets, governments, and society. Innovation differs from invention in that innovation refers to the use of a new idea or method, whereas invention refers more directly to the creation of the idea or method itself. The word innovation derives from the Latin word innovatus, which is the noun form of innovare â€Å"to renew or change,† stemming from in—†into† + novus—†new†. Diffusion of innovation research was first started in 1903 by seminal researcher Gabriel Tarde, who first plotted the S-shaped diffusion curve. Tarde (1903) defined the innovation-decision process as a series of steps that includes: First knowledge, Forming an attitude, A decision to adopt or reject, Implementation and use, Confirmation of the decision, Innovation. Innovation is the process by which an idea or invention is translated into a good or service for which people will pay, or something that results from this process. To be called an innovation, an idea must be replicable at an economical cost and must satisfy a specific need. Innovation involves deliberate application of information, imagination, and initiative in deriving greater or different value from resources, and encompasses all processes by which new ideas are generated and converted into useful products. In business, innovation often results from the application of a scientific or technical idea in decreasing the gap between the needs or expectations of the customers and the performance of a company's products. In a social context, innovation is equally important in devising new collaborative methods such as alliance creation, joint venturing, flexible working hours, and in creating buyers' purchasing power through methods such as layaway plans. INNOVATIONS ARE DIVIDED INTO TWO BROAD CATEGORIES: (1) Evolutionary innovations are brought about by numerous incremental advances in technology or processes and are of two types a) Continuous evolutionary innovations result in an alteration in product characteristics instead of in a new product, and do not require any user-learning or changes in his or her routine. Examples are the multiblade shaving razor, fluoride toothpaste, and laptop computers. (b) Dynamic continuous evolutionary innovations require some user-learning but do not disrupt s his or her routine. Examples are fax machines, instant photography, and handheld computers. (2) Revolutionary innovations (also called discontinuous innovations) require a good deal of user-learning, often disrupt his or her routine, and may even require new behaviour patterns. Examples are photocopier (xerography) machines, personal computers, and the Internet. Innovation is synonymous with risk-taking and organizations that introduce revolutionary products or technologies take on the greatest risk because they have to create new markets. A less risky innovation strategy is that of the imitator who starts with a new product (usually created by a revolutionary-innovator) having a large and growing demand. The imitator then proceeds to satisfy that demand better with a more effective approach. Examples are IBM with its PC against Apple Computer, Compaq with its cheaper PCs against IBM, and Dell with its still-cheaper clones (sold directly to the customer) against Compaq. Although many innovations are created from inventions, it is possible to innovate without inventing, and to invent without innovating. NECESSITY FOR INNOVATION â€Å"Innovation will be the necessity for social and economical growth of the nation in future. We live and die through relative innovation. The world has changed because of innovation only. Science is responsible for all the innovations we feel around,† remarked Srinivasan K. Swamy, President, All India Management Association (AIMA), New Delhi A light bulb overhead may signal a bright idea in cartoons and comic books, but in today's business world companies can't sit around waiting for creative bolts of inspiration. Long-lasting success requires a process of innovation that is predictable and consistent. Today innovation is necessary to survive. The global market has become so competitive that innovation is now as valuable an investment as sales and marketing. Markets are becoming more global, not less, so the value of innovation will continue to increase. Here's why: a) The best ideas and technologies spread rapidly around the world now. A company with a new product may make a one-time splash, but before long everyone else will have adopted it. A consistent, predictable innovation process enables companies to overcome this. b) Brands aren't as powerful as they used to be. Experience is now more important than brand name as the basis for a person's purchasing decision. The Internet allows people to share experiences about a company with millions of others. People now choose the products that give them the highest value, not just the best-known brands. Relying on a strong brand name is no longer enough. Consistent, predictable innovation is the answer. The Society of Management Accountants calls â€Å"innovation†¦fundamental to the quest for profitable, sustainable growth. †3 Peter Drucker, probably the most insightful management guru ever, deems it the one business competence needed for the future. Fortune magazine’s advice to companies who want to be named to its Most Admired List? Innovate, innovate, innovate. Innovation currently accounts for more than half of all growth. And it is enormously profitable. A study done on the rate of return for 17 successful innovations showed a mean return of 56% compared with an average ROI of 16%. Companies are catching on to this sea change. In an Ernst & Young study, European and North American companies called innovation the most important criterion for success in the future. Even technology firms who presumably are leading this charge consider â€Å"making innovation happen† the industry’s single biggest problem. COSMETIC INDUSTRY Indian cosmetics industry has witnessed strong growth during the past few years and has emerged as one of the industries holding immense future growth potential. The cosmetics industry registered impressive sales worth Rs 288. 7 Billion (US$ 5. 8 Billion) in 2010. The sector has mainly been driven by improving purchasing power and rising fashion consciousness of the Indian population. Moreover, the industry players are readily spending on the promotional activities to increase consumer awareness. According to our new research report â€Å"Indian Cosmetic Sector Analysis (2009-2012)†, Indian cosmetics sector is expected to witness noteworthy growth rate in near future, owing to the rising beauty concerns of both men and women. The industry holds promising growth prospects for both existing and new players. The baseline for the optimistic future outlook of the Indian cosmetics industry is that, there has been a rise in variety of products offered by the industry players. Moreover, the companies have started opting for online retailing and are offering specialized products to generate revenue from all the corners. Rising usage of Cosmeceuticals and Nutricosmetics by the Indian consumers will also pave way for the Indian cosmetics market during the forecast period. Our research report incorporates an innovation of the cosmetics industry in India. It provides segment level analysis of the industry along with the emerging trends and innovation that happened in the previous years. INNOVATION IN COSMETIC INDUSTRY The cosmetics industry is a lucrative, innovative, and fast-paced industry. It is also a key market segment in the retail industry. In it they highlight the following products as examples of what cosmetic companies are doing to create â€Å"innovative† products. 1. Soap from a lingerie company 2. Men’s cologne in a bottle shaped like a #1 3. Nanotechnology skin care cream 4. 3D anti-ageing skin mask. The only product that could have some technological innovation is the one based on nanotechnology. Unfortunately, there are no claims given and you could easily make the product by creating a standard skin lotion with added, non-functional nanotechnology. If cosmetic companies really wanted to set their products apart from the competition, they need to create formulas that solve consumer problems in some superior way. Consumers don’t care about how their products work (say nanotechnology), they care about the end results. The major sections of cosmetics in this industry are : sun care, skin care, hair care, body care and perfumes and decorative cosmetics. SUN CARE The World Health Organisation (WHO) recommends regular sun screen use to help protect skin against UV radiation†¢ Significant industry investment has helped develop increasingly effective and appealing sunscreens that – Offer broad UV (both UVA and UVB) protection – Contain a combination of nano-sized mineraln (e. g. titanium dioxide) and organic UV filters to offer high levels of protection – Have applications that suit all lifestyles and consumer needs SKIN CARE : Skin maintenance is important because skin is the largest organ in the body, serving as a vital defence barrier. This also makes it particularly vulnerable to damage . Regular cleansing and caring improves hygiene, prevents pores from becoming clogged, removes dead skin cells and protects against external elements Dermatological research continually leads to more effective and gentle applications that address different skin types such as dry or aged skin. †¢ Dec 30, 2011 – Euromonitor Reports Growth in Skin Care Market in Africa & the Middle East Between 2005 & 2010. As new opportunities for skin care in key developed markets slowly dry up, much stronger growth forecasts for the category in many markets in Africa †¢ Dec 28, 2011 – R Highlight – Angle-dependent Interference Pigments Multilayer pigments alternately coated with layers having high and low refractive index are known in the art. The optical effect of the pigments †¢ Dec 14, 2011 – Editorial – Future-Touch Translates Future Trends into Innovation †¢ Dec 14, 2011 – Article – UK spa company Elemis has established itself as a leading professional spa company as well as a strong contender in the retail cosmetics market. HAIR CARE : Products: Shampoos, conditioners, hair colourants, texturisers, serums, hair sprays, growth stimulators, anti-dandruff shampoos, lotions. Improved personal hygiene via treatment of dandruff, itchy scalp, greasiness Enables self-expression, helping consumers have confidence in their appearance and greater self-esteem Meeting specific consumer needs such as controlling fly-away hair, taming unruly hair with relaxants, adding texture to limp hair, repairing damaged hair and restoring colour to aged hair BODY CARE : Products: Soaps, antiperspirants, deodorants, body washes, shower gels, body lotions, scrubs, oils. Benefits: Soap represents a significant historical public health advance, helping break down grease and dirt Antiperspirants and deodorants enhance comfort and hygiene by helping avoid excessive perspiration and resulting body odour Non-soap detergent bars enable mild cleansing for consumers with skin conditions (eczema, rosacea, mild atopic dermatitis, etc. ) PERFUME : Products: Perfumes, colognes, salves, scented oils Benefits: Fragrances play a significant role in enhancing personal well-being Aromatherapy research reveals that smells influence our emotions, inspire creativity and are the fastest memory triggers The sense of smell is proven to be an important factor in the process through which we form relationships. DECORATIVE COSMETICS : Products: Foundations, blushes, powders, eye Benefits : Make-up enables self-expression, helping consumers have confidence in their appearance and greater selfesteem Clinical research confirms that the ability to take care of your appearance during illness increases confidence and can aid the healing process Science is at the heart of every cosmetic product. R programmes generate new patents every year and in 2009, over 2600 (an estimated 10% of all patents granted in the EU) were awarded to the cosmetics industry. Scientists from a wide range of disciplines such as physics, microbiology, biology, toxicology, rheology, analytical chemistry and genetics apply their skills in the European cosmetics industry. In total, the European cosmetics industry employs approximately 17,000 scientists. R programmes investigate consumer behaviour and beauty aspirations, the biology of skin and hair, new innovative technologies and sustainable development; this helps to select the best ingredients which are the most respectful of human health and the environment, and to create new formulations which respond to both expectations and challenges Innovation is vital for the European cosmetics and personal care products industry. It can take over 5 years of innovative research and formulation to bring a new product to the market Every year, a quarter of all cosmetic products on the market are improved or are completely new. Europe is the flagship producer and mass consumer market of cosmetics and personal care products in the world. Ongoing changes in the environment and in consumer lifestyles require new innovations that meet increasing needs, such as caring for and protecting skin from sun and weather damage SUSTAINABILITY The cosmetics industry is committed to sustainability and aims to: Reduce the environmental impact of the sector and its supply chain, from ingredient sourcing through to packaging. Ensure a balance between the economic, environmental and social pillars of sustainability WHY INNOVATION IS REQUIRED IN COSMETIC INDUSTRY : Cosmetic products are important consumer products with an essential role in everyone's life: apart from â€Å"traditional† cosmetic products, such as make-up and perfumes, it also includes products for personal hygiene, for example tooth-care products, shampoos and soaps. Today's cosmetic market is driven by innovation including new colour pallets, treatments targeted to specific skin types and unique formulas concentrating on different needs. Most cosmetics products have a lifespan of less than five years and manufacturers reformulate 25% of their products every year. They need to improve products constantly in order to stay ahead in a highly competitive market where more choice and ever greater efficacy are expected by the consumer. The European cosmetics industry is a world leader and dominant cosmetics exporter, a highly innovative sector and a significant employer in Europe. The EU's involvement concerns mainly the regulatory framework for market access, international trade relations and regulatory convergence, all aiming to ensure the highest level of consumer safety while promoting the innovation and the competitiveness of this sector. Innovation is important for any business but for cosmetic industry it is a necessity. Recently Several hundreds of key representatives from the European cosmetics industry have gathered in Brussels to discuss the importance of industry on the European economy and how it can build for a sustainable future. Discussion at the General Assembly focused on â€Å"Science, Beauty and Care : Innovating for a Sustainable Future†. Fabio Franchina, President of Colipa mentioned â€Å"Today’s cosmetic industry, is more dynamic and innovative than ever, and we are committed to ensuring that we contribute fully to a truly sustainable uture. † He also mentioned that â€Å"innovation is the life-blood of the cosmetic industry† This product innovation strategy guides the business’s New Product Development direction and helps to steer resource allocation and project selection. In the mid-1990s, P&G’s Cosmetics business lacked a business and product innovation s trategy, the result being that Product Development efforts were scattered; many different initiatives were launched in many different product categories and segments in a futile attempt to win. There was no focus. The first element was a product innovation strategy. Indeed, the real breakthrough occurred in the Cosmetics business turnaround when the business leadership team began a rigorous business planning process leading to clearly defined objectives, goals, strategies, and measures. A much more concentrated innovation strategy was elected, focusing on lips, face and eyes, rather than the entire body. Next important facet of strategy meant getting the supply chain under control: end-to-end supply network management. Management streamlined the supply network so that production and shipments were tied to market demand. As a result, they were able to reduce the time in the supply network, thereby eliminating much of the product obsolescence generated with each new product launch. By focusing first on an innovation strategy for the business, the stage was set for effective Product Development. The message is that if your business lacks a product innovation and technology strategy, you are missing a key element of successful product innovation. This strategy should include the goals for the business’s product innovation effort and how these goals tie into the broader business goals. This strategy is more than just a list of this year’s development projects. It has a much longer-term commitment. The innovation strategy also includes defining strategic arenas or areas of focus, much like the Cosmetics business did. That is, you need to define the product, market, and technology areas in which the business will focus its Product Development efforts. The key here is focus. Innovation is important on different levels and is also important for different reasons. Innovation is an important driver of Economic growth and improvement. For Cosmetic Industry it is for – †¢ Survival Growth †¢ Shareholder return Individual perspective every industry constantly needs to innovate. Industry changes their route to work to become more efficient. They change how they do something (process innovation). They train to broaden their skills (to gain competitive advantage). Virtually all of the economic growth that has occurred since the eighteenth century is ulti mately attributable to innovation. The Economist Intelligence Unit undertook a survey in 2007 which noted that â€Å"long–? run economic growth depends on the creation and fostering of an environment that encourages innovation. Innovation is considered an important driver of long-term productivity and economic growth. Innovation is required to raise productivity, meet the challenges of globalization and to live within our environmental and Demographic limits. Some major reasons for innovation are : ? To survive adverse changes in operating circumstances; ? To make life easier for the customers; ? To gain competitive advantages; ? To protect market share; ? To reposition an organization and raise its profile ? To lead the market and reinforce a reputation as market leader ? To open new horizons so as to get out of a rut or avenues with limited potential ? To attract extra funding ? To raise margins and profitability ? To drive total shareholder returns. FACTORS FOR DEVELOPING AN R&D COSMETIC STRATEGY In this week’s cosmetics and skin care industry post, the New logic portfolio team write about six factors to consider when developing your R&D cosmetics strategy. To research the post we reviewed our cosmetics posts over the last few months, and conducted ancillary research. 1. The Combination of Groundbreaking Formula and User-friendly Packaging In the cosmetics and personal care industry, breakthrough innovations on formulas and packaging are still keys to success as they directly relate to product performance. Cosmetic and skin care chemists search for the ingredients and technology to advance product efficacy, while they also contribute to design innovative package that improve product applications. This is obvious, but it’s the formula, delivery systems and packaging that make all the difference when it comes to developing innovative cosmetics projects. Your R&D cosmetics strategy has to consider what these fundamentals. . Concentrated Product Development A successful cosmetics R&D strategy is efficient in solving two problems: shorten product development times and improve innovation initiatives. In the cosmetics and personal care industry, the diversity of product lines (face, body, lips, and eyes) creates a barrier that prevents the easy innovation across all categories. Experienced leaders use R&D project portf olio optimization to pinpoint innovation projects that align with current resources and leverage the development of existing expertise in a technology. The Maybeline â€Å"Great Lash† Mascara collection has a history of 40 years, during which period its product profile has continued to expand. Maybelline has focused on enhancing the â€Å"Great Lash† product line through conducting consumer insight research, selecting pilot productions and adjusting the R&D process. 3. Consumer-oriented Strategy Any R&D innovations begin with the goal to improve consumer experience. R&D leaders conduct market research to discover problems and collect consumer insights, which if executed correctly can turn into   new treatment solutions and product upgrades. As increasing numbers of cosmetics companies expand worldwide, consumer-oriented strategy also includes outsourcing or moving R&D centers overseas to enhance local R&D capability. For example, L’Oreal China has improved its shampoo formula in order to cater to Asian hair care needs. Overseas R&D centers help facilitate regional research and local talent recruitment. It may also benefit the R&D process in the host country as such outsourcing enables the exploitation of local technology and resources for company-wide projects. 4. The Challenge of Product Diversification While expanding a brand’s product profile is more of a business strategy, cosmetics and skin care R&D departments need a comprehensive technology development strategy to help anticipate risks and structure conceptualization. For example, when a successful skin care company is trying to launch cosmetics lines, the company needs to decide which products to start developing pilot engineering programs. A product development plan that’s been optimized for project selection can allow a company to lay a solid foundation and avoid failures at different stages by understanding what’s possible from the projects to select and implement. . Mergers and Acquisitions Mergers and acquisitions allow merged companies to realize the optimal allocation of R&D resources, such as facilities and capital investments. In this way, R&D departments have the chance to share information and develop better products. In the cosmetics and personal care industry, company mergers and acquisitions may not necessarily lead to the merger of R&D departments. However, a well-established parent company can provide its brands with R&D guidelines that improve innovation capabilities and optimize the product development process. 6. Cross-Industry Development Another future R&D trend are cross-industry solutions, where tighter partnerships with other industries as well as the knowledge of other sciences, such as food and biochemistry enhance R&D knowledge. For example, nutricosmetics was first developed by the Swedish biochemist and scientist Ake Dahlgren, who later founded the first nutricosmetic company Imedeen in the late 1980s. In recent years, L’Oreal and Shiseido have started R&D projects in nutricosmetics, applying what was originally developed from pure science to personal care products. P&G AND INNOVATION Let us now take an example of a leading company P&G and how they improved in cosmetic industry with its Innovation. P&G’s cosmetics business is a case in point where a dramatic turnaround was achieved via a disciplined, holistic approach to new product management. The story begins when P&G acquired the Cover Girl and Clarion cosmetics brands in 1989. Two years later Max Factor was acquired. P&G then applied its tried-and-true approach of leveraging scale and an innovation strategy with a few, big new products. But there was no real business strategy, and efforts were scattered and unfocused. And so, by 1994, management was forced to retreat and retrench. They dropped the Clarion line; and through much of the 90s, senior management at P&G wondered if they should be in the cosmetics business at all! A new line, under the Oil of Olay banner, was attempted but failed, and the entire cosmetics business continued to decline. The turnaround of P&G’s Cosmetics business started in the late 90s when business unit management turned to P&G’s Initiatives, Diamond philosophy. Today, P&G’s Cosmetics business is a healthy, growing, and profitable enterprise. Performance results have significantly improved since the late 90s, and the business is seen as a key growth contributor for P&G. The major factors that drive a business’s new project performance, illustrated in the Innovation Diamond are: Having a product innovation and technology strategy in place for the business; Having an effective and efficient ideato- launch process; Resource commitment, which focuses on the right projects— portfolio management; and People; that is, having the right climate and culture, effective cross-functional teams, and senior management commitment to New Product Development. aha† was that there is no one key to success in product innovation, and thus management stepped back from a focus on individual initiatives and looked at the broader picture. For example, having a great idea-to-launch process is not sufficient; it’s not a stand alone driver of positive performance. P&G’s Initiatives Diamond serves as a guide for each business’s product innovation effort, and helps to focus management’s attention on what is important to success. According to Bob McDonald, P&G’s Vice Chairman of Global Operations, â€Å"The Initiative Diamond played a significant role in improving the business results in P&G’s Household Care global business unit. This work brought us a new discipline to manage our innovation programs and yielded a major increase in the in-market success of our initiatives. They aligned their organization on how to use Stage-Gate ® success criteria, and portfolio and resource management to deliver better innovations for the consumers they serve. [pic] [pic] The top half of P&G’s diamond in Exhibit 2 is strategic in nature, and captures the business’s product innovation strategy: goals, the mix of new products required to meet those goals, and the required resources. Portfolio management (or project selection) is thus closely connected to strategy. The bottom half of the diamond is more operational and focuses on delivering specific new product projects or initiatives: what resources must be put in place for each project; and how individual new product projects are managed so they succeed, using P&G’s idea-to-launch SIMPLâ„ ¢ methodology. Coincidentally, the two diamonds—P&G’s Initiatives Diamond in Exhibit 2 on this page and the research-based Innovation Diamond in Exhibit 1—are almost the same. Each one or both can be used to guide your business’s new product efforts. Here is a quick look at the four drivers of performance and how they work at P&G. Driver #1—A product innovation and technology strategy for the business Best performing businesses put a product innovation and technology strategy in place, driven by the business leadership team and a strategic vision of the business. This product innovation strategy guides the business’s New Product Development direction and helps to steer resource allocation and project selection. In the mid-1990s, P&G’s Cosmetics business lacked a business and product innovation strategy, the result being that Product Development efforts were scattered; many different initiatives were launched in many different product categories and segments in a futile attempt to win. There was no focus. The first element of the diamond is a product innovation strategy. Indeed, the real breakthrough occurred in the Cosmetics business turnaround when the business leadership team began a rigorous business planning process leading to clearly defined objectives, goals, strategies, and measures. A much more concentrated innovation strategy was elected, focusing on lips, face and eyes, rather than the entire body. A second facet of strategy meant getting the supply chain under control: end-to-end supply network management. Management streamlined the supply network so that production and shipments were tied to market demand. As a result, they were able to reduce the time in the supply network, thereby eliminating much of the product obsolescence generated with each new product launch. By focusing first on an innovation strategy for the business, the stage was set for effective Product Development. The message is that if your business lacks a product innovation and technology strategy, you are missing a key element of successful product innovation. This strategy should include the goals for the business’s product innovation effort and how these goals tie into the broader business goals. This strategy is more than just a list of this year’s development projects. It has a much longer-term commitment. The innovation strategy also includes defining strategic arenas or areas of focus, much like the Cosmetics business did. That is, you need to define the product, market, and technology areas in which the business will focus its Product Development efforts. The key here is focus. Driver #2—An effective and efficient idea to- launch system Studies show that an effective new product process, such as Stage-Gate ®, exists in top performing businesses, a system that drives new product projects from the idea phase through to launch and beyond. In P&G’s Cosmetics business, developing an innovation strategy was a solid first step, but the means of implementing strategy must be in place too. So management turned to a second element of the diamond, namely P&G’s SIMPLâ„ ¢Ã¢â‚¬â€the Successful Initiative Management and Product Launch model. SIMPLâ„ ¢ is a stage-and-gate new product process, a methodology for driving new product p rojects from the idea phase through to launch and into post-launch The SIMPLâ„ ¢ model forced project teams to do their homework early in the project. For example, much consumer research work was undertaken, and consumer insights gained led to winning new product concepts. One big success is Outlastâ„ ¢ by Cover- Girl. This ten-hour lipstick—a kiss-proof, long-lasting lipstick—uses a unique two-part application system (first a color and then a gloss) to produce an enduring lip color and gloss. A second winner—Lipfinityâ„ ¢ by Max Factor—was also introduced, again using the SIMPLâ„ ¢ model. Both new products have been huge successes not only in the U. S. , but around the world. The turnaround of the cosmetics business was underway! Most companies claim to have a new product process or stage-and-gate system in place, according to a recent PDMA study. 7 Further investigation reveals, however, that most firms’ processes are deficient. They are poorly designed, they miss the mark when it comes to best practices, and they are badly implemented. 2,3 P&G is an exception. Their idea-to-launch process, SIMPLâ„ ¢, is a rigorous process that uses stage-and-gate decision-making complete with clear go/kill criteria and timing requirements. The SIMPLâ„ ¢ model, shown in Exhibit 3, consists of four main stages, with each stage building in a set of current best practices in the form of key activities, and also clearly defined expectations for project team in the form of end-points. There are also four gates or go/kill decision-points in the model; each gate is comprised of a team recommendation and a management decision. The SIMPLâ„ ¢ Model P&G’s approach is different from that of most firms’, however. Instead of focusing on the process per se (like so many companies do), management stepped back and identified the basic principles that the model is founded on. These principles are constants across many and varied businesses and geographies. But the constancy of these principles has helped the company adapt the model to many different types of businesses and different types of projects leading to a standardized and globally applied Stage-Gate ® process. The principles which underlie the SIMPLâ„ ¢ model are shown in the box on this page and explained here in more detail: Winning in the marketplace is the goal. In many firms, too much emphasis is on getting through the process; that is, getting one’s project approved or preparing deliverables for the next gate. In the past, P&G was no different. By contrast, this principle emphasizes winning in the marketplace as the goal, not merely going through the process. Specific success criteria for each project are defined and agreed to by the project team and management at the gates; these success criteria are then used to evaluate the project at the post-launch review. And the project team is held accountable for achieving results when measured against these success criteria. (By contrast, the great majority of businesses still do not conduct post-launch reviews on projects; and even fewer hold their project teams accountable for achieving agreed-to project results). Use criteria for making Go/Kill decisions. Specific success criteria for each gate relevant to that stage are defined for each project. Examples include: expected profitability, launch date, expected sales, and even interim metrics, such as test results expected in a subsequent stage. These criteria, and targets to be achieved in them, are agreed to by the project team and management at each gate. These success criteria are then used to evaluate the project at successive gates. Risk and rigor must be balanced. Project teams employ appropriate e rigor in learning, planning, and decision- making in order to mitigate risk. They build in a strong consumer focus and rely heavily on voice of customer research; they front end-load their projects, undertaking appropriate, often extensive up-front homework prior to development; and they focus on developing differentiated, superior products that meet customer needs better than competitors. Note that SIMPLâ„ ¢ is also scalable and is tailored for specific projects based on level of risk and size of investment. Not every project requires the same degree of rigor, front-end work, and market research. Use a common language. Throughout the 1990s, each P&G business unit had developed its own version of a stage-and-gate new product process. Integration, cooperation, and measurement across businesses thus proved difficult with each business using a different system and different terminology. A GLOBAL PROCESS The current SIMPLâ„ ¢ process is a corporate global process—the same stages, gates, principles and measures—and is universal across geographies and business units. Each business, however, is free to adjust and adapt the process to suit its own business requirements. SIMPLâ„ ¢ is not stand alone. The idea to- launch process is only one ingredient of successful innovation, a single element of a much larger whole, the Diamond. Individual projects cannot be managed independently of other projects, their priorities, resource constraints, and changing business conditions. Thus the Diamond represents the relationship between these elements: innovation strategy,resource planning, project selection, and the SIMPLâ„ ¢ new product process SIMPLâ„ ¢ Driver #3—Resource commitment, focusing on the right projects and portfolio management In P&G’s Cosmetics business, portfolio management, a third element of the Initiatives Diamond, was next employed to enable management to look at its entire portfolio of new product initiatives, and secure the right balance and mix. Through portfolio management, the business built a pipeline of new and improved products that established the needed initiative rhythm for each product line (face, lips, eyes). New products and upgrades in each product line created news and excitement in the market. This â€Å"launch and sustain† portfolio approach was a key part of winning in the marketplace. Best performers like P&G have an efficient portfolio management system that helps the business leadership team effectively allocate resources to the right areas and projects. P&G splits this resource commitment facet of the diamond into two parts: project selection and resource planning. The company relies primarily on success criteria as part of the SIMPLâ„ ¢ process to help make better go/kill decisions on projects, as noted above. In addition, a number of P&G businesses have developed screening tools using scorecard methods for early decisions and for the selection of ideas to enter the SIMPLâ„ ¢ process. When it comes to resource planning for projects in the portfolio, P&G’s methods vary depending on the nature of the business. Many P&G businesses utilize a resource profiling approach to resource planning. The resource profiling method helps to assess future project resource needs based on learning from past projects, and it anticipates peak resource periods of time. This approach enables businesses, such as Fabric Care, to improve the overall portfolio decision process by allocating scarce resources to the highest priority projects globally. The most technically complex, resource-intensive businesses use purchased resource management software. These software tools look at people available versus requirements for specific tasks on individual projects to focus on near-term resource constraints. P&G’s deliberate approach to portfolio management and resource planning (the resource facet of the diamond) has had a strong positive impact, according to Martin Riant, President of P&G Global Baby and Adult Care and formerly President of P&G’s Global Feminine Care and Antiperspirants/ Deodorants business. Using the diamond has had a remarkable effect on our business results. It has forced a much higher level of discipline in how we allocate our resources, how and when we make investment decisions and in accountability of projects to deliver what they promise,† he says. Driver #4—A positive climate and environment for innovation People, culture, and leadership make up the fourth driver of performance of th e diamond (Exhibit 1). First, senior management must lead the innovation effort and be strongly committed to New Product Development. This senior commitment is most evident at P&G where Chairman, President, and Chief Executive A. G.. Lafley, makes it clear, â€Å"Innovation is a prerequisite for sustained growth. No other path to profitable growth can be sustained over time. Without continual innovation, markets stagnate, products become commodities, and margins shrink,† he explains. A positive climate and culture for innovation and entrepreneurship, combined with effective cross-functional teams backed by strong management support and empowerment are fundamental to success. P&G has focused much effort here in recent years, which has helped it generate a step level improvement in results. The entire innovation effort, together with the Initiatives Diamond and SIMPLâ„ ¢ process, is sponsored and owned by both the commercial (sales and marketing) and technical (R&D and engineering) communities. An important step was the creation of Initiative Success Managers who report to each of the company’s busin ess unit presidents. These Initiative Success Managers make the diamond and SIMPLâ„ ¢ work. QUESTIONNAIRE: A small survey was carried out to find out the behaviour of cosmetic users. The survey was primarily designed to check on behavioural aspects of the users towards new innovative cosmetic products. The questionnaire is given below, followed by findings : NAME: GENDER: AGE: OCCUPATION: 1. Do you use cosmetics? †¢ Yes †¢ No 2. How much is your income per month? †¢ Dependent †¢ 35,000 3. How much do you spend on cosmetics per month? _______________ ( Do you agree with the following statements? Q4 –Q8 1-strongly agree 2-agree 3-neutral 4-disagree 5-strongly disagree ) 4. I try new products 5. I switch brands if some other brand comes up with a better product 6. I often find gaps in my current product 7. I wait till I finish my current product till I buy another similar purpose product 8. I would rather reuse a good produce than try a new similar purpose product 9. Why do you switch products (tick all that are applicable) †¢ Price †¢ Packaging †¢ Availability †¢ Fragrance †¢ Utility †¢ Reviews 10. What kind of products do you use? †¢ Herbal †¢ Ayurvedic †¢ Scientific †¢ Any 11. On an average how long do you use a product before changing it? 8 weeks 12. How many times a year do you try a new product? †¢ 10 13. How many times do you reuse a product before trying a new product? †¢ 0-1 †¢ 2-3 †¢ 4-6 †¢ >6 14. Does the range of products available in the market match your requirements? †¢ Yes †¢ No 15. When a new product with a new feature is launched , how soon do you try it? †¢ Within 1st month †¢ 2-3 months †¢ 4-7 months †¢ 8-12 months †¢ >1 year 16. Compared to your current expenditure on cosmetics how much extra are you willing to spend on a new product with better feature/results? No extra money †¢ 1-10% †¢ 11-25% †¢ 26-50% †¢ >50% 17. On a scale of 1-5 , how important is the following feature in a cosmetic product, for you to buy it? Rank the options from 1-5 where : 1-Most important & 5- least important †¢ Packaging †¢ Fragrance †¢ Reviews †¢ New feature †¢ Brand ambassador FINDINGS OF THE QUESTIONNAIRE: †¢ The questionnaire was answered by 25 females and 10 males. †¢ There were 20 from the age group of 30-35 years, 5 from age group 20-25 years and 10 from age group 25-30 years. About 70% of the respondents spend around 3% of their income on cosmetics per month. †¢ 67% of the respondents try new products. [pic] †¢ 63% of the respondents switch brands if s ome other brand comes up with a better product. †¢ 80% of the respondents often find gaps in their current product inspite of the huge range of cosmetics available. [pic] †¢ 34% of the respondents wait till they finish their current product till they buy another similar purpose product. †¢ 27% of the respondents would rather reuse a good product than try a new similar purpose product. 87% of the respondents switch products due to better utility, 64% on the basis of reviews, 39% depending on availability, 30% depending on price, 12% depending on fragrance and 6% depending on fragrance. [pic] †¢ 58% of the respondents use a product for 6-8 weeks before changing it. †¢ 42% of the respondents try a new product 3-6 times a year. †¢ 60% of the respondents reuse the same product only 2-3 times a year before trying a similar new product. †¢ Despite the wide variety of products available in the market, 66% of the respondents feel that the products in the ma rket do not match their requirements. Maximum percentage of the respondents buys a new product with 2-6 months of its launch. †¢ 6% of the respondents are willing to pay no extra money for a new product with better features, 15% of the respondents are willing to pay 1-10% extra money for a new product with better features, 33% of the respondents are willing to pay 11-25% extra money for a new product with better features, 25% of the respondents are willing to pay 26-50% extra money for a new product with better features & 21% of the respondents are willing to pay more than 50% extra money for a new product with better features. pic] †¢ For 56% of the respondents a new feature in a cosmetic product motivates them into buying. All the above responses indicate towards the fact that customers are tempted to buy new, innovative, better products. REFERENCES : R. G. Cooper, S. J. Edgett & E. J. Kleinschmidt, New Product Development Best Practices Study: What Distinguishes the Top Performers, Houston: APQC (American Pr oductivity & Quality Center), 2002; Robert G. Cooper, Michael S. Mills, Succeeding at New Products the P&G Way: Work the Innovation Diamondâ„ ¢,working paper no. 1, 2005 R. G. Cooper, S. J. Edgett & E. J. Kleinschmidt, Best Practices in Product Innovation: What Distinguishes Top Performers, Product Development Institute, 2003. R. G. Cooper, Product Leadership: Pathways to Profitable Innovation, 2nd edition. Reading, MA: Perseus Books, 2005. R. G. Cooper & E. J. Kleinschmidt, â€Å"Benchmarking firms’ new product performance and practices†, Engineering Management, 1995. John Hauser, Gerard J. Tellis, Abbie Griffin, Research on Innovation: A Review and Agenda for Marketing Science, 2006 M. Mills, â€Å"Implementing a Stage-GateTM process at Procter & Gamble†, Association for Manufacturing Excellence International Conference, â€Å"Competing on the Global Stage†, Cincinnati, Ohio, October 2004. R. G. Cooper, Winning at New Products: Accelerating the Process from Idea to Launch, 3rd edition. Reading, Mass: Perseus Books, 2001. R. G. Cooper and S. J. Edgett, Product Innovation and Technology Strategy (Hamilton, ON: Product Development Institute, 2009). PDMA’s quarterly magazine for Product Development professionals, How P&G achieves such stellar NPD results, Insights into Innovationâ„ ¢, October 2005 Vol. XXIX No. 4,

Reviewing An Report Written That Should Address The Points

reviewing report written that should address the points - Recommendations, improvement of the work Should draw Markov state diagram, Should make some experiments and tests, Should study, apply, circular statistics ,Should draw some curves on 2D or 3D, Should deduce TPM (transition probability matrix), TRM (transition rate matrix) for Markov process, Should deduce the utilization factor of the roads, Should deduce the maximum capacity of the road ,Should deduce the local balance equation and study the probability of existence in every state. Now we should answer, did the accidents are seasoning? The risk analysis is very weak (no formula had been used), Should Measure the fitting of the model to the events of accidents, No reviewing the†¦show more content†¦This form may be used as a prior risk assessment, reviewing current ones as well as when an event occurs. 1 Persons at Risk: Consider who might be harmed and if any pregnant or young people are involved. Enter the maximum number of accident workers who may be involved and if they have had training. Hazard Identification Risk Quantification before control measure in place. List the hazards (ie something with the potential to do harm) in the boxes provided. If there are more than 5 hazards identified, please add more rows and number them accordingly. Any action, as well as improvements required to reduce the risks, should be included in the â€Å"Action required† section. The person responsible for carrying out the action and the date the action should be done needs to be inserted. When the action has been carried out, the â€Å"date completed† needs to be added as well as a signature from the person who carried it out. Area Designation: Risk assessments are a way of indication what an area should be designated as. Sometimes after carrying out the risk assessment, the area may change its designation. All this needs to be addressed in the space provided. An area can be designated as controlled or supervised for various different reasons. Areas need not be permanent. Some reasons for designating an area are as follows: Controlled Area: If increased security and restriction of access to that area isShow MoreRelatedWhat Does It Take A Good Review Of An Original Scientific Article ( 6 Points )? Essay882 Words   |  4 Pages1. According to Dr. Hoppin, what does it take to do a good review of an original scientific article (6 points)? Dr. Hoppin discussed four main responsibilities in guiding reviewer in the reviewing process of scientific paper. When reviewing a scientific article, the role of reviewers is to shear their experience, knowledge, time and provide constructive criticisms and suggestions. 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