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Companies across the globe are seeking consulting services to help them take a systematic approach to innovation and product development that encompasses strategy and product development operations, and the enabling infrastructure that underpins the capabilities to execute on those strategies.

Now, find out who the top consulting providers are, what clients want, and where new opportunities exist in Innovation Strategy & New Product Development.

MARKET TRENDS looks at the key trends and factors affecting growth for services, including client demand, in the Innovation Strategy & New Product Development consulting marketplace.

Greater internal and external pressures on the traditional functional drivers of product development (marketing and R&D) are multiplying in complexity and occasioning critical tradeoffs. These are causing consulting buyers to invest in an innovation strategy to ensure that “functional” translates into commercial excellence.

Furthermore, research shows that most Innovation Strategy consulting buyers are relatively forward-looking clients who recognize that improving innovation performance depends on systematic strategy execution rather than a brilliant, one-off “future study”.

A key challenge is the need to distinguish radical from incremental innovation in strategies and the infrastructure that enables them.

The research clearly illustrates each leading Innovation Strategy & New Product Development consulting firm’s core competencies, strengths and weaknesses, while providing detailed analysis across consulting segments, client industries, and geographic regions. The study also includes three real-world engagement case studies featuring A.T. Kearney, Bridge Strategy, and PwC.

Research SummaryInnovation Strategy & New Product Development Consulting

“Companies now want to solve a particular growth problem with a particular mechanism designed to return a particular amount of money and move the share price by a particular degree. The whole ethos of innovation has changed from sandals and boots to suits. Innovation is now a standardized and repeatable business process.”

– David Percival, Global Product Innovation & Development Lead, PwC

(released September 2013)

Innovation Strategy & New Product Development Consulting is an exclusive 120-page report supported by over 60 data-rich tables and charts.

Core Business

AdjacentCustomers

AdjacentGeographies

AdjacentProducts

New Products for New Customers

New Customers in New

Geographies

New Products in New

Geographies

Incremental InnovationRadical Innovation

Example: The Growth Landscape

Source: Innovation Strategy & New Product Development Consulting; Kennedy Consulting Research & Advisory

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CLIENT SPENDING TRENDS AND FORECASTS details the size of the Innovation Strategy & New Product Development consulting market and its projected growth. This section slices the market by consulting segment, key geographic region, and client industry, and includes valuable data on current challenges and timely growth opportunities.

The research features:

• The Kennedy Vanguard™ of Innovation Strategy & New Product Development Consulting Providers, featuring the strongest consultancies, assessed on relative breadth and depth of firms’ capabilities within the overall service area

• Engagement Case Studies:

– PwC Helps GE Design a Disruptive Innovation Engine in Healthcare

– A.T. Kearney Assists EU Commission in Developing a Pan-European Platform for Improving Innovation Management Capabilities in the SME Segment

– Bridge Strategy Co-Creates Business Model Innovation With Internet of Things Provider and External Business Partners

The report is organized by:

Consulting Segment:

• Financial Consulting

• HR Consulting

• IT Consulting

• Operations Management

• Strategy Consulting

Key Geographic Region

• Asia Pacific• Europe, Middle East and Africa (EMEA)• Latin America• North America

With select data broken out across:

• Adv. Asia• BRICs (Brazil, Russia, India, and China)• Europe• North America• Other Emerging Markets

Innovation Strategy & New Product Development Consulting

Client Spending and Competitive Landscape

Client Industry

• Aerospace & Defense• Communications & Media• Financial Services• Healthcare• Manufacturing• Natural Resources & Power• Public Sector• Transport & Logistics• Wholesale & Retail• Other Industries

THE COMPETITIVE LANDSCAPE features in-depth analysis of the market and its leading players by consulting segment/provider focus, service capabilities, and areas of expertise.

It includes rankings of the top consulting practices. Additionally, the full study provides clients with expert perspective on the relative strengths and weaknesses, and go-to-market strategies of these providers.

Example: The Kennedy Vanguard™ of Innovation Strategy & New Product Development Consulting Providers

Source: Innovation Strategy & New Product Development Consulting; Kennedy Consulting Research & Advisory

Low High

Hig

hLo

w

4 Practices Advancing

16 Practices Neutral

3 Practices Diminishing

23 Practices Rated - in Total

Breadth of Consulting Capabilities

Dep

th o

f C

onsu

lting

Cap

abili

ties

Advancing Service Breadth or Depth Neutral Diminishing Service Breadth or Depth

5 Innovation Strategy &New Product Development Practices in the Vanguard

For details, please contact your Kennedy Client Service Leader at +1.603.357.8102 or e-mail research@kennedyinfo.com.

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PROVIDER PROFILES OF SELECT BANKING CONSULTING PRACTICES profiles the consulting firms featured in this report — complete with key statistics, core competencies, geographic presence, areas of client focus, and specific capability strengths.

Provider Profiles

The following firms are featured in this research:

A.T. Kearney ECSI ConsultingBain & Company EYBearingPoint InnosightBooz & Company L.E.K.The Boston Consulting Group McKinsey & CompanyBridge Strategy PwCContinuum Roland Berger Strategy ConsultantsDeloitte Simon-Kucher & Partners

Innovation Strategy & New Product Development Consulting

Consulting Provider Profiles, details key service strengths and weaknesses, firm focus, AND Capability Maps illustrating each practice’s standing with respect to:

• Innovation Strategy

– Innovation Goals– Portfolio Management– Corporate Strategy Integration– Creative

• Customer Strategy

– Marketing, Pricing & Channels

• Product Development

– Idea Generation– Development & Scaling

• Governance Model

– Structures– Incentives, Metrics & Culture

• Operating Model

– Processes– Global Footprint

Example: Provider Competency Strengths: Innovation Example: Firm Focus

Source: Innovation Strategy & New Product Development Consulting; Kennedy Consulting Research & Advisory

Source: Innovation Strategy & New Product Development Consulting; Kennedy Consulting Research & Advisory

For details, please contact your Kennedy Client Service Leader at +1.603.357.8102 or e-mail research@kennedyinfo.com.

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Innovation Strategy & New Product Development Consulting

Figure 1. The Growth Landscape

Figure 2. The Innovation and New Product Development System

Figure 3. Annual Growth in Real Business Expenditure on R&D

Figure 4. Annual Growth in Global Intellectual Property Applications

Figure 5. Regional Contribution to Annual Global Growth in Patent Applications

Figure 6. Regional Contribution to Annual Global Growth in Trademark Applications

Figure 7. A Taxonomy of Failures

Figure 8. Product Development Enabling Infrastructure and Tools and Methods

Figure 9. The Innovation Strategy Dynamic

Figure 10. The Roots of Innovation Strategy

Figure 11. Strategy Hierarchy

Figure 12. Innovation and Product Development Enabling Infrastructure

Figure 13. Innovation Structures

Figure 14. Innovation Operating Models

Figure 15. Evolution of External Stakeholder Collaboration on Innovation and Product Development

Figure 16. Globalization of R&D Expenditure

Figure 17. R&D Employment of US Multinationals

Table of FiguresFigure 18. R&D Operating Models

Figure 19. Innovation Strategy & New Product Development Consulting Client Spending and Growth Forecast, 2012-2016

Figure 20. Innovation Strategy & New Product Development Consulting Client Spending by

Segment, 2012-2016

Figure 21. Innovation Strategy & New Product Development Consulting Client Spending Share by Industry, 2013

Figure 22. R&D Expenditure by Type (2011 or Latest Available)

Figure 23. Innovation Strategy & New Product Development Consulting Provider Revenue

Figure 24. The Impossible Trinity

Figure 25. The Landscape of Innovation Strategy & New Product Development Approaches and Methods

Figure 26. Alignment of Innovation Strategy and New Product Development Perspectives and Service Focus

Figure 27. Innovation Strategy & New Product Development Consulting Go-to-Market Competitive Groups and Provider Examples

Figure 28. Innovation Strategy & New Product Development Consulting Provider Strategic and Service Disposition

Figure 29. Innovation Strategy & New Product Development Consulting Peer Group Relative Capability Strengths

Figure 30. Kennedy Vanguard of Innovation Strategy & New Product Development Consulting Providers

MethodologyKennedy Consulting Research & Advisory has been researching the management and IT consulting industry for more than 40 years. Kennedy studies the global consulting marketplace at multiple levels. The resulting research assists buyers of consulting services in effectively targeting best-in-class providers. The market analyses also assist consulting providers in identifying and evaluating business opportunities.

The group’s proprietary research methodology comprises four components:

• Extensive interviews with consulting practice leaders, financial analysts, consulting clients, and client-side industry experts• Data and background material from Kennedy’s proprietary library of research on the consulting industry and individual firms

• Quantitative data collection from primary and secondary sources• Key economic data relevant to the sector(s) being analyzed

For any specific project, Kennedy’s research output is derived predominantly from primary research.

The group’s long-term relationships with consulting clients and industry leaders are based on trust and respect. Kennedy’s fundamental goal is to deliver objective assessments and insightful viewpoints on the management and IT consulting market.

For details, please contact your Kennedy Client Service Leader at +1.603.357.8102 or e-mail research@kennedyinfo.com.

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Innovation Strategy & New Product Development Consulting

DefinitionsExample: Provider Capability Strength Descriptions

Source: Innovation Strategy & New Product Development Consulting; Kennedy Consulting Research & Advisory

For details, please contact your Kennedy Client Service Leader at +1.603.357.8102 or e-mail research@kennedyinfo.com.

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Consulting Firm Management Report SeriesDesigned for buyers of consulting services, and consulting firm leaders and financial managers, Kennedy’s Firm Management series of reports provides critical decision-making tools for assessing and managing consulting’s determinants of revenue, profitability, cost, and overall operational performance.

Service and Competency ReportsKennedy’s competency-based research examines provider capabilities at the engagement level to inform buyers of consulting services of the strengths and limitations of specific providers. The research contains:

• Emerging market trends and drivers

• Market forecasts and segmentation by geographic region and industries

• Qualitative assessments of providers

• Ranking of providers by revenue and market share

• Detailed profiles of the leading consultancies

Market Index ReportsKennedy’s Market Index research for consulting service providers deliver data and market intelligence with a quantitative overview of:

• Market sizing and segmentation

• Revenue rankings by service lines

• Revenue rankings by geographic regions:

• North America and Canada

• Europe, Middle East and Africa (EMEA)

• Asia Pacific (APAC)

• Latin America

Kennedy Information delivers relevant, accurate, meaningful, and valuable intelligence to the business markets it serves through a variety of media. The organization strives to over-deliver on client expectations, develop mutually beneficial relationships with industry leaders and influencers, and provide value to its clients.

Published and Custom Market Research

By Service Area

• Strategy Consulting

• Operations Management

• Financial Consulting

• IT Consulting

• Human Resource Consulting

By Industry

• Financial Services

• Healthcare

• Public Sector

Advisory Services

• Compensation & Utilization Benchmarking

• Organizational Development

• Marketing Strategy

• M&A Appraisal

• Consulting Spend Optimization

For Consulting Buyers

• Consulting Firm and Practice Ratings

• Provider Capability Mapping

• Fee/Rates Analysis

• Consulting Spend Management

For details, please contact your Kennedy Client Service Leader at +1.603.357.8102 or e-mail research@kennedyinfo.com.