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   6.1 Principles of product development management

      6.1.1 Basic philosophy and understanding
      6.1.2 Abilities
      6.1.3 Organisation
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   6.2 People in product development management

      6.2.1 Directors
      6.2.2 Chief executives
      6.2.3 Product development managers
      6.2.4 Project leader
      6.2.5 Important factors in management levels
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   6.3 Designing the PD Process

      6.3.1 The effects of knowledge and skills on the PD Process
      6.3.2 Level of innovation and the PD Process
      6.3.3 Other factors in designing the PD Process
      6.3.4 Using and changing the PD Process
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   6.4 Establishing key decision points and the decision makers

      6.4.1 Top management’s decisions
      6.4.2 Product development manager’s decisions
      6.4.3 Project leader’s decisions
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   6.5 Establishing outcomes, budgets and constraints

      6.5.1 Defining outcomes
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      6.5.2 Setting the budget
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      6.5.3 Setting the constraints
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   6.6 Organising the PD Process

      6.6.1 Identifying activities, knowledge and skills
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      6.6.2 Responsibilities, resources and timing for activities
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      6.6.3 Personnel - internal and outsourcing
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   6.7 Managing the PD Process

      6.7.1 Internal project management
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      6.7.2 Integrating and managing the work of the outside agencies
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   6.8 Company organisation for product development

      6.8.1 Formal organisations
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      6.8.2 Dynamic, changing organisation

   6.9 References

Product development management in the food system is complex, long term and capital intensive. It is total company management involving every function in the company - so it is managing either a microcosm of the company or an integration of the company functions.

For a major innovation, the company may set up a new venture company or division; or a new group of people may form a new company. At this time when many new companies are being formed on the innovations of information technology and biotechnology, it is interesting to speculate on new venture companies in the food industry and the basis of their new innovations. But at the present time, it is the large multinational food companies that dominate product development at all levels in the food industry, and it is management of product development in these companies that is the main basis for innovation in the food industry.

There are many small food companies that are also involved in product development on a small scale. Management of product development in the food industry varies from a group in the small company sitting around a kitchen table to the multinational food company with large R&D laboratories, small-scale production development plants and product development teams in many countries. The basic principles of product development management are the same in large and small companies, but often more difficult to apply in the large company because of rigid hierarchies.

The framework for management in the food industry is the PD Process, and the recognition of management at the different stages.