The Concept phase of the New Product Development process is used to plan and define the product. Customer needs and expectations are determined and documented. All work is done with the customer in mind, providing better products and services than the competition.

First, the project is evaluated to determine whether there is relatively high opportunity for success. Concept drawings are created to communicate ideas graphically resulting in a list of design goals. Next, a preliminary supplier review is done to evaluate manufacturing needs. Hard numbers are established based on the timeline and financials. Upon completion, the management team meets to approve the project and supply the customer with a formal estimate. Once approved by the customer, the project moves into the Engineering phase.