IPD Learning Notes: Initiating R&D Projects with Integrated Product Development

IPD origin and six‑phase process

Integrated Product Development (IPD) originates from the PACE theory of the U.S. company PRTM and was later adopted by IBM. The IPD framework divides product development into six explicit phases—concept, planning, development, verification, release, and lifecycle. Each phase contains decision‑review points that evaluate business criteria such as market positioning and profitability rather than pure technical review. Advancement to the next point requires completion of the prescribed work.

Project charter definition

A project charter is the formal, signed document that authorizes a product development project, defines its scope, quality, schedule, cost, and deliverables, and grants the project manager authority to allocate resources. According to the PMBOK Guide, the charter should include:

Summary description of the project and its product.

Overall scope and quality requirements.

Measurable objectives and success criteria.

Major risk categories.

Milestone schedule.

Budget range (e.g., 1 M–1.3 M CNY).

Appointed project manager with responsibilities and authority.

Name and authority of the sponsor or other approvers.

The charter is issued after initial design and estimation work and is typically unchanged unless a significant scope alteration occurs.

Charter production artifacts

Statement of Work (SOW) : Narrative description of the products, services, or outputs to be delivered. For internal projects the initiator prepares the SOW; for external projects the client provides it as part of a tender or contract.

Business case : Provides commercial justification, cost‑benefit analysis, and defines project boundaries. Usually prepared by a business analyst and approved by the sponsor.

Agreements : Contracts, memoranda of understanding, service‑level agreements, letters of intent, or other written agreements that define the project’s purpose.

Tools and techniques for charter development

Expert judgment : Input from subject‑matter experts, consultants, stakeholders, PMO, or professional associations.

Facilitation techniques : Brainstorming, conflict handling, problem solving, and meeting management to guide the team in drafting the charter.

Charter outputs

The charter records the commercial need, project justification, understanding of customer requirements, and the description of the new product, service, or output. Its main content items are:

Project and product description.

Purpose or justification for the project.

Overall requirements, including scope and quality.

Measurable objectives and associated success criteria.

Major risk categories.

Milestone schedule.

Total budget.

Approval requirements for planning, execution, monitoring, and closing.

Appointed project manager with responsibilities and authority.

Sponsor or approver names and authority.

The charter elements are illustrated in the following diagram: