Analysis of Stage Gate Process vs. Scrum Methodology in Management

This report offers a comparative analysis of two crucial processes: the Stage Gate process and the Scrum methodology, essential for new product development. It begins with an executive summary highlighting the importance of both processes, followed by a detailed table of contents. The introduction defines and outlines the Stage Gate process, also known as the waterfall process, and the Scrum methodology, a subset of agile development. The report then evaluates the pros and cons of each process, discussing how the Stage Gate process incorporates new development effectively, improves project quality, and enhances collaboration. The Scrum methodology is praised for removing obstacles, improving service effectiveness, and allowing for changes. The report recommends the Stage Gate process as the most effective, providing a rationale that highlights its ability to improve project speed and quality. The rationale includes a breakdown of the Stage Gate phases, from initial analysis to launch, and concludes that the Stage Gate process is most effective for overall new product development, generating profitability and revenue. Finally, the conclusion summarizes the benefits of the Stage Gate process, including error reduction, clear project focus, and improved communication among stakeholders.

Running head: MANAGEMENT
Management
Name of the Student
Name of the University
Author note

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Executive Summary
The assignment has been helpful in understanding the two major processes such as Stage
Gate Process and Scrum methodology which are essentially important for the growth and
development of the new product. In the respective aspect, the pros and cons of the two
processes have been analysed and it has been noticed that the Stage Gate Model is the most
efficient aspect which has been analyzed and it provides the most effective approaches for
dealing with such aspects.

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Table of Contents
Introduction................................................................................................................................3
Evaluation of Pros and Cons of Both Processes........................................................................3
Recommendation for Utilising Best Process..............................................................................5
Rationale for Selecting the Respective Process.........................................................................5
Conclusion..................................................................................................................................7
References..................................................................................................................................8

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Introduction
The report throw light in analysing the two major processes which are essential for the
expansion of the new product. The two processes which have been analyzed are the Stage
Gate Process and Use of Scrum which are equally essential in managing the effectiveness of
services in a successful and appropriate manner.
The Stage gate process mainly focuses on the process related to innovation and is also
known as the waterfall process. It is considered to be the technique for project management
wherein the initiative or the project takes place and then divided in the several stages
successfully (Klingebiel & Esser, 2017). These are the different stages which are divided into
different steps which helps in analyzing whether to proceed further or not. The respective
model can be utilised for developing new products, or making different changes or
improvements in the existing products and services which are present (Putra, 2016).
On the other hand, the Use of Scrum Methodology is considered to be the subset of
the agile development. The proper employment of the respective methodology helps and
allows the team in self-organizing along with making the different changes in a quick manner
which helps in managing effectiveness of the development of the new product. By the
management of the respective process of information exchange, through the usage of the
scrum methodology, it will be helpful in obtaining successful results in comparison to the
others present in the market (Jeong et al., 2016).
Evaluation of Pros and Cons of Both Processes
Stage Gate Process
Pros

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It helps in incorporation of the process of new development for the most effective
ideation for launching the different processes successfully.
It helps in improving the speed with the project quality wherein customer demands
with the efficient cost. It is helpful in providing configurable along with integrated solutions
to the customers and it enhances collaboration for systems and people (de Souza & Borsato,
2016).
Cons
The first disadvantage which is being noticed is the fact that it does not pay much
attention to the linkage between business related opportunities and technology.
Moreover, it is interfering between innovation along with creativity such as the
iterative projects and sometimes, it provides overhead to the project controller with the gate
as well as stage gate process (Cooper & Sommer, 2016).
Use of Scrum Methodology
Pros
Firstly, the main advantage of scrum methodology helps in removing the different
obstacles or rectifying them which will be efficient in improving the effectiveness of services.
Moreover, through usage of the scrum methodology, there will be easy level of
visibility of different stages of the overall process throughout the entire development. It is
always easy in coping up with different changes which are mainly required by the different
clients as in scrum methodology, there is inclusion of short sprints with the constant kind of
feedback (Cooper & Sommer, 2016).

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Through the involvement of customers, it is helpful for ensuring the best results and it
helps in allowing the success in the business wherein the fast results for the better output for
work along with quality (Conforto & Amaral, 2016).
Cons
The respective process requires scrum master as there is strict governance which can
be leading towards the failure of the project. If a member of the member leaves process at the
time of development, it can be creating negative impact on project development (Bott &
Mesmer, 2019).
Moreover, there is strong commitment is required from the different members in the
team and when there are different members who are not present in the respective
circumstance, it can be leading to the graving of problems. In addition, the Scrum
Methodology is mostly suitable for the small teams which will be having great cohesion
along with understanding (Bianchi et al., 2018).
Lastly, there is great pressure on the different members in the team as there is lot of
time required for spending in the project.
Recommendation for Utilising Best Process
After the entire analysis of the two processes for the new product development, the
most effective aspect which can be recommended for utilising is the Stage Gate Process. It is
one of the most effective methods as it helps in incorporating new development of product
which will be generating high level of efficient idea generation that will be successful in
improving the growth prospects of the products successfully (Ardakani, Hashemi & Razzazi,
2018).

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Rationale for Selecting the Respective Process
The Stage Gate Process is being selected as the most efficient one as through the
introduction and implementation of the process, it will be capable of improving the speed and
quality of the project work which is demanded by the customers and within the stipulated
time frame. The Stage Gate process is considered to be one of the most effective ways of
taking the entire standard approach for managing the entire transformational change with the
standardized reviews along with scorecards for tracking the ROI of the project management
(Ardakani, Hashemi & Razzazi, 2018). In the Stage Gate Process, there is high level of
involvement of the advanced resource management and the scheduling related engines help in
guaranteeing the on-time delivery which will be efficient and appropriate for improving the
overall effectiveness of services within the stipulated time frame. In the typical stage gate
model, there are few stages which needs to be followed which are described as follows:
Stage 0- It is the first and foremost stage which is the initial preparatory stage that
helps in determining the analysis of which project needs to be completed. The different ideas
can be generated through the brainstorming session and it is the effective effort for managing
the efficient utilisation (Ardakani, Hashemi & Razzazi, 2018).
Stage 1- It is the other stage which is mainly regarding evaluation of product and the
market which is associated. The strengths and weaknesses of the products will be analyzed
which will be developed as to determine whether it will be providing value to customers.
Stage 2- The concept of business plan is the other stage wherein product is
impervious to the competition and in the respective stage, the business plan will be drawn for
the development of concept and it is crucial before starting development with actual product
(Adnan, Afzal & Asif, 2019).

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Stage 3- The development is the other aspect which needs to be implemented for
understanding the process wherein the simple steps are being calculated. The development
team will be able to create the timeline that will be enhancing the preparation of new product
(Adnan, Afzal & Asif, 2019).
Stage 4- It is the other stage wherein testing and validation are crucial elements
during process of manufacturing and it will be capable of generating effectiveness.
Stage 5- Lastly, the launch and implementation are the crucial aspects which needs to
be implemented for understanding the growth of the new product and it will be generating
successful outcomes (Adnan, Afzal & Asif, 2019).
From the analysis of the respective phases of the Stage- Gate Process, it can be
concluded that it is the most effective process which can be adopted by the different
individuals for the overall development of the new product as it will be capable of generating
profitability and effectiveness in generating the revenues.
Conclusion
Therefore, it can be inferred that the Stage Gate Process helps in reduction of the
errors along with the main internal focus is on the right projects which is capable of analysing
and generating the successful results. There is application of the good communication among
the different departments which will be enhancing the development process to a great extent
as well. In addition, the respective process enhances and provides the clarity regarding the
planned projects and it will be generating successful outcomes within the short span of time.
Lastly, the good communication between the external and internal stakeholders which
includes employees, customers and suppliers are the major approaches which needs to be
followed.

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References
Adnan, M., Afzal, M., & Asif, K. H. (2019). Ontology-Oriented Software Effort Estimation
System for E-commerce Applications Based on Extreme Programming and Scrum
Methodologies. The Computer Journal, 62(11), 1605-1624.
Ardakani, M. R. M., Hashemi, S. M., & Razzazi, M. (2018). Adapting the scrum
methodology for establishing the dynamic inter-organizational collaboration. Journal
of Organizational Change Management.
Bianchi, M., Marzi, G., & Guerini, M. (2018). Agile, Stage-Gate and their combination:
Exploring how they relate to performance in software development. Journal of
Business Research.
Bott, M., & Mesmer, B. (2019). An Analysis of Theories Supporting Agile Scrum and the
Use of Scrum in Systems Engineering. Engineering Management Journal, 1-10.
Conforto, E. C., & Amaral, D. C. (2016). Agile project management and stage-gate model—
A hybrid framework for technology-based companies. Journal of Engineering and
Technology Management, 40, 1-14.
Cooper, R. G., & Sommer, A. F. (2016). The Agile–Stage‐Gate hybrid model: A promising
new approach and a new research opportunity. Journal of Product Innovation
Management, 33(5), 513-526.
de Souza, V. M., & Borsato, M. (2016). Combining Stage-Gate™ model using Set-Based
concurrent engineering and sustainable end-of-life principles in a product
development assessment tool. Journal of cleaner production, 112, 3222-3231.

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Jeong, E. J., Jeong, S. R., RAO, M. S., KUMAR, V. V., PRASAD, M. K., SUJATHA, V., ...
& PRASANTHI, B. (2016). Development and Application of a Stage-Gate Process to
Reduce The Underlying Risks of IT Service Projects. Journal of Theoretical and
Applied Information Technology, 93(2), 233-245.
Klingebiel, R., & Esser, P. (2017). Stage-Gate Processes and Selection in Innovation.
In Academy of Management Proceedings (Vol. 2017, No. 1, p. 10995). Briarcliff
Manor, NY 10510: Academy of Management.
Putra, Z. A. (2016). Early phase process evaluation: Industrial practices. Indonesian journal
of science and technology, 1(2), 238-248.