This paper applies the concept of concurrent engineering to develop a product portfolio management (PPM) methodology, which systematically analyzes product portfolio strategy at the beginning of the product lifecycle. This research adopts the approach of multi-attribution decision analysis to estimate the synthesized-performance value for each R&D project. Thus, the most plausible product portfolio can be concurrently derived during the early design stage to avoid investing and executing less ideal product R&D projects. We develop a new methodology for evaluating the resource requirements and the potential risks of product portfolios through applying the activity-group concept. In order to accurately estimate the revenue of a product portfolio, this research considers the levels of substitution among products in a given product portfolio. Finally, a case study of mobile phone PPM helps us demonstrate the efficacy of the methodology presented in the paper.
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