Product development projects are exposed to a number of challenges, and the significance of different challenges differs among projects. To prepare for these challenges, project managers may benefit from assessing them at an early stage of the project. This paper presents a method that can be used to assess product development challenges in terms of technological and market uncertainty, product and production complexity, and geographical and organizational dispersion. Project managers can use the results from such assessments to justify preventive action, negotiate resources and specifications, and devise processes that fit the specific characteristics of individual development projects.