Make platform innovation drive enterprise growth

Most corporations lack a precise, operational definition of their product p latforms, with out which progress is difficult to achieve. With that defini tion new product strategy must be recast to capture the degree to which com mon architectures and subsystems will be leveraged across existing and new market applications, as well as the timing of product introductions. Manage rs must also reconsider the financial model of the business, including inve stments in the development of platforms versus products, and the changes th at are possible in the margins and contribution of platform-based products to profits. Perhaps most pressing are the organizational questions: How can the R&D executive best structure the organization and the processes by whi ch groups plan and interact so as to facilitate platform development and pl atform-based product development? Recent efforts of IBM and other corporati ons to embrace platforms provide both a management and a technology paradig m.