PurposeAlthough previous studies noted the importance for organizations in establishing an innovation strategy, few have examined innovation orientation as a multidimensional knowledge configuration. Therefore, this study draws on the valuable theoretical underpinnings of the resource-based view and information processing theory to examine the mechanism through which an organization's innovation orientation (IO) and team unlearning (TU) can impact new product development (NPD) success.Design/methodology/approachA causal model was developed in order to analyze the role of innovation orientation and team unlearning on NPD success. This proposed model and several hypotheses were gauged using data from 255 NPD team members from Taiwanese high-tech and traditional companies.FindingsThe results indicate that both IO and TU relate to outcomes. Specifically, this study demonstrates that it is insufficient that firms simply establish the configurations needed to enhance their IO and TU, firms also need to find out the correct mechanism to enhance NPD success. The relationships between IO, TU and NPD success were fully mediated by team information processing.Originality/valueThis report sheds light on the importance of innovation orientation and team unlearning in today's NPD process and uncovers the underlying mechanism through which IO and TU contribute to NPD success. It also offers precise advice for the assessment of management of team information-processing to boost the performance of new products.