AbstractA major problem for managers is to effectively manage the high risks inherent in moving a new product from idea to market introduction. An example is presented in which a company effectively manages the process of developing a new product by effectively managing risk. The process is characterized by a modular approach to risk and timely review points built into each risk management module. Explicit recognition is made of the major uncertainties at the end of each module and specific actions taken to reduce these uncertainties and therefore reduce risk.