Focuses on the quality and innovativeness of products and service, as well as the research and development of products in the pipeline. Also includes the management of packaging and disposal over the product’s lifecycle.
The Product Integrity & Innovation category indicates the level of quality and innovation a firm displays through its products and service and the firm’s management of a product’s outputs over the course of a product’s lifecycle. Responsible practice in the realm of product quality involves the implementation of product management systems and adherence to safety regulations. Effective management systems can limit product recalls, reputational risks and product related legal actions. Lifecycle management includes disposal programs and end-of-life management to help companies recover valuable materials and reduce end-of-life waste as regulated by law. Innovations that improve the energy-efficiency or recyclability of products and packaging are relevant activities.
This category also indicates the strength and quality of a firm’s product pipeline. Product pipeline determines the growth potential and competitiveness of a firm, and ensures that a company has enough products on the market to sustain the business. A firm’s innovation capabilities and research and development spending relate positively to the strength of the product pipeline. This term is also particularly common in the pharmaceutical industry, where it is known as the drug pipeline. Pharmaceutical products can spend significant time in the pipeline though only few make it to the market. Nonetheless, the drug pipeline is an important indicator of the value and future prospects of a pharmaceutical company.