A DEA benchmarking methodology for project planning and management of new product development under decentralized profit-center business model

2008 ◽  
Vol 22 (4) ◽  
pp. 438-444 ◽  
Author(s):  
Amy J.C. Trappey ◽  
Tzu-An Chiang
Author(s):  
Alejandro Balbontin ◽  
Baback Yazdani

Abstract This report presents the results of the 1998 Global New Product Development Survey, carried-out by the Warwick Manufacturing Group at the University of Warwick (UK). The survey is based on a questionnaire addressed to 637 firms with turnover greater than £ 30 million ($ 45 million), operating in the UK across key industrial sectors and engaged in New Product Development (NPD). Response rate was of 8%. Global NPD practices include product standardization, the strategy used to allocate NPD centers (related to business units and geographically), the level of centralization of tasks, the level of NPD outsourcing, the use of external collaboration and the use of Information Technology (IT) applications to support the NPD process. It was found that firms with products designed for global markets have about an 8 times greater potential to export than those firms who only standardize core components. Firms that collaborate more with external entities implement universal products more easily. Based on the “pretax profit in the last four years of business activity”, the respondent firms with losses have an average of 7 business sectors, whereas the top ten profitable firms have an average of only 4 business sectors, this relationship also applies to NPD activities. It was found that firms manage the collaborative ventures through either team members or team leaders and that top management involvement is only on a small scale. IT communication tools (e-mail and video-conferencing), followed by administration tools (project-planning and presentation software) are the main priorities in firms with widely distributed teams.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Shashishekar M.S. ◽  
Sandip Anand ◽  
Arun Kumar Paul

Purpose Smart connected products (SCP) are the new archetype of products evolving. SCP are subtly changing the product-centric business to system-centric. Development and monetization of new SCP is an uphill task, it necessitates unique market orientation and business models. The purpose of this study is to establish a framework of variables influencing new smart connected products performance (NSCPP) at the market place, suggest methods to operationalize the framework. Design/methodology/approach The study identified key variables influencing NSCPP from existing literature. Conceptualized unique theoretical frameworks of these variables and empirically validated structural relationships. The study performed structural equation modeling using the data collected from 163 respondents having managed the development and monetization of 138 new SCP launches. Findings The study established structural relationships among selected variables proactive market orientation (ProMO), new product development proficiency (NPDPro) and business model innovation (BMoI). It revealed that the effect of ProMO is manifested through NPDPro. BMoI and NPDPro significantly influence NSCPP. Practical implications The study presented “ProMO Canvas” to plan and operationalize ProMO integrated with new product development (NPD) stage-gate activities. The study suggested the practitioners to execute ProMO activities preceding NPD activities and execute NPD, business model development activities in parallel to attain superior NSCPP. Originality/value This study is a novel effort to derive a unique empirical framework of variables ProMO, NPDPro and BMoI to attain superior NSCPP.


2012 ◽  
Vol 16 (06) ◽  
pp. 1240010 ◽  
Author(s):  
FIONA SCHWEITZER ◽  
IRIS GABRIEL

In recent years, the front end of innovation has drawn a great deal of attention as an important driver of new product development (NPD) success. In this study, we analyze the impact of knowledge gathering, project planning, interfunctional collaboration and formalization on the ability to reduce technical and market uncertainties, creativity, and the efficiency of the early stages. 352 Austrian B2B-companies from technology-intensive sectors participated in the study. The results indicate that collaboration quality, formalization of the different phases of the front end and identification of customer-needs are fundamental for front-end performance, while collaboration quantity is less important. Moreover, planning was found to be central for efficiency and did not have a negative impact on creativity. Managerial recommendations from the study include scrutinizing the way in which interfunctional collaboration takes place, increasing customer integration and formalizing the early phases.


2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Biao Sun ◽  
Yu Liu

PurposeAlthough the business model (BM) has become a top priority in management research, existing literature still offers a confusing and partial picture about how to leverage BM designs for new product development (NPD) because of two limitations. First, research has paid little attention to different BM designs' effects on NPD performance. Second, few empirical studies have examined the moderating roles of firms' learning capabilities, such as big data analytics capabilities (BDA capabilities). This study aims to investigate the effects of BM novelty design and BM efficiency design on NPD performance and the ways in which BDA capabilities moderate these effects.Design/methodology/approachA literature review provides the model and hypotheses. Using a sample of 208 Chinese firms, the authors conducted an empirical test following multiple regression analysis.FindingsThe results demonstrate that BM novelty design has a positive effect on NPD performance while BM efficiency design takes the form of an inverted U-shape. Moreover, BDA capabilities (i.e. BDA technology capability and BDA management capability) have complicated moderating effects on BM novelty design- and BM efficiency design-NPD performance relationships.Research limitations/implicationsThe results may be affected by both the context (solely in China) and type (cross-sectional) of the data set. This study has explored the moderating effects of BDA capabilities, further studies considering other significant practices such as social media usage, could yield richer insights that would help validate the results of this study.Practical implicationsFirst, we suggest that managers should be explicitly aware of the different impacts of BM novelty design and BM efficiency design on NPD performance. Second, this study encourages managers to build relevant BDA capabilities to work with BM designs to improve NPD performance.Originality/valueThis is one of the first studies to investigate BM designs' complicated influences on NPD success and explore BDA capabilities' moderating effects on the BM design-NPD performance linkage.


2018 ◽  
Vol 2 (1) ◽  
pp. 44
Author(s):  
Andy Chandra ◽  
Judy Retti Witono

Pengembangan produk baru (New Product Development) diperlukan untuk membuat product life cycle (PLC) yang berkesinambungan. Inovasi harus didukung oleh proses analisis kreatif mendalam agar produk dapat diterima saat diluncurkan ke pasar. Solusi yang ditawarkan adalah manajemen inovasi di perusahaan dalam bentuk co-creation dan breakthrough pada PLC produk yang lebih sesuai dengan keinginan dan kebutuhan konsumen. Metode inovatif yang digunakan adalah metode Stage-Gate®, dimana evaluasi proyek dilakukan secara terukur dan bertahap untuk meminimalkan risiko peluncuran produk baru dari ketidakpastian dan membuat penggunaan sumber daya menjadi lebih efektif dan efisien. Tujuan dari penelitian ini adalah menerapkan metode Stage-Gate® pada inovasi produk kopi celup manis. Produk ini merupakan minuman kopi Arabika dengan pemanis alami yaitu gula Stevia. Hasil yang didapatkan dalam penelitian ini adalah pada setiap pengembangan produk baru, maupun diversifikasi produk yang telah ada, dapat dikembangkan melalui co-creation pada PLC dengan menerapkan metode Stage-Gate® termodifikasi yang dikombinasikan menggunakan perlengkapan lain seperti value proposition canvas dan business model canvas. Dari penerapan metode ini terlihat gambaran dari strategi bisnis yang terukur dan dapat dievaluasi secara bertahap. Pengembangan produk kopi celup manis ini juga dilakukan dengan penggunaan sumber daya yang minimal, yang disesuaikan dengan keinginan dan kebutuhan dari konsumen, serta telah memiliki pasar potensial sejak awal produk ditawarkan.               Kata kunci: Inovasi, PLC, Stage-Gate®, kopi celup, Stevia


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