The Artificial Intelligence Revolution in New Product Development

Dr. Robert G. Cooper

Artificial Intelligence (AI) is poised to revolutionize all aspects of business, particularly new product development (NPD). Leading early-adopter firms demonstrate that AI not only finds many applications in NPD, but also offers substantial payoffs, such as a 50% reduction in development times. This article provides an outline of the diverse and powerful applications of AI in NPD, offering numerous examples from leading companies.

Our exploratory journey begins at the idea stage and traverses the entire new-product process to the post-launch period. Some examples are nothing short of astounding: Unilever’s $120-million lab, staffed entirely with robots for creating and testing new personal care products, end to end; Nestle’s “concept generator” that scans multiple sources for data and insights, and then generates new product concepts based on the scanning results; or Moderna’s AI-based drug discovery tool that yielded the mRNA Covid vaccine. Additionally, digital twins, employed by leaders like GE, Siemens, and Tesla, play a pivotal role during development (field testing) and even during post-launch, enhancing customer satisfaction.

While AI might still resemble science fiction to many, that future is no longer fiction – it’s here now. AI has arrived in full force! The numerous applications of AI in NPD have already ushered in dramatic changes, enhancing the speed, efficiency, and quality of NPD for these early-adopter firms. However, the journey is not about adopting AI on a piecemeal basis; rather, this must be a holistic transformation guided by a bold, enterprise-wide strategy that is created and championed by your business’s leadership team.

Read the full article. Complimentary Download Artificial Intelligence Revolution in NPD Article 2023

Companies referenced: GE, General Motors, Mattel, Moderna, Nestle, P&G, and Unilever.