At the Other End of Innovation
by Niklas Brundin, Björn Axling
Product Portfolio Complexity Reduction

Furthermore, market adaptations, customizations, and product line extensions keep adding variants to both new and old products, all with good intentions to generate revenue growth. However, there is a risk that these will drive internal inefficiencies and potential margin erosion. Arthur D. Little’s experience is that companies should devote more attention to, and develop efficient and effective approaches for product phase-out. In this viewpoint we share some fundamental concepts that have produced tangible results for our clients.