scholarly journals Customer orientation on new product activities and performance from the contract manufacturer’s viewpoint

2014 ◽  
Vol 45 (3) ◽  
pp. 111-120 ◽  
Author(s):  
B. C.Y. Lee ◽  
F. T.C. Kou

Studies have suggested the positive effect of customer orientation on superior performance. However, these studies have not shown how to covert customer orientation into superior performance through new product development (NPD)activities. The purpose of this study was to fill the gap between customer orientation and new product performance and elucidate the mediating influence of product launch, product development capability, and innovativeness on therelationship between customer orientation and new product performance. From the contract manufacturer’s perspective, it was proposed that customer orientation toward new product performance affects NPD activities. Focus was placed on product launch because the launch stage is the most expensive and riskiest aspect of NPD activities. Focus was also given to product development capability, which facilitates superior product performance. Product innovativeness also plays a crucial role in building competitive advantage. NPD activities include product launch, product development capability, and product innovativeness. We used a questionnaire to collect data to test the postulated research model and hypotheses from project, account and product managers in the high-tech industry. The results demonstrated the strong positive effectof customer orientation on NPD activities, and NPD activities play crucial roles as mediators between customer orientation and new product performance.

2018 ◽  
Vol 33 (7) ◽  
pp. 869-882 ◽  
Author(s):  
Tun-Chih Kou ◽  
Chang-Tang Chiang ◽  
Ai-Hsuan Chiang

PurposeSome studies have suggested that a supply chain augmented with information technology (IT) has a positive effect on performance in the marketplace. However, these studies have not explained how the IT-based supply chain achieves this superior performance. This study aims to reveal some of the mediating influences at play: the new product development (NPD) activities of product launch, product innovativeness and product development capability.Design/methodology/approachTaking the electronics manufacturer’s perspective, this study took a resource-based view to propose that NPD activities are affected by IT advancement and that IT-based supply chain architecture is a critical resource that ultimately affects new product performance. Thus study focuses on product launch, because this is the most expensive and risky stage of NPD; product innovativeness, because it plays a substantial role in achieving a competitive advantage; and product development capability, because it leads to superior product performance. A questionnaire was used to collect data from managers of projects, products and supply chains of computer and communication electronics manufacturers; 235 valid questionnaires were returned. These data were subsequently analyzed using a variety of statistical methods.FindingsThe results support that manufacturers’ IT resources enable them to enhance NPD activities effectively with their suppliers, and that NPD activities play a key role in moderating the relationship between IT-based supply chains and new product performance.Originality/valueThis paper provides an empirically tested model of how IT-based supply chain architecture can lead to superior new product performance through product lean launch, product innovativeness and product development capability.


2017 ◽  
Vol 21 (01) ◽  
pp. 1750010 ◽  
Author(s):  
NICOLAS A. ZACHARIAS ◽  
RUTH MARIA STOCK ◽  
SUBIN IM

Although top managers’ direct influence on new product development (NPD) projects may not be evident, managers frame the conditions surrounding such projects by determining the strategic directions and managing the context for a firm’s innovation activities. Drawing on strategic leadership theory and effectuation logic, this study proposes nonlinear effects of three important strategic givens determined by top managers that represent key levers to frame firms’ NPD: customer orientation, encouragement to take risks, and autonomy. Multi-informant data from top-level marketing managers and project managers in multiple U.S. high-tech industries indicate optimal levels for each strategic given. A moderate level of customer orientation is optimal for new product performance (inverted U-shaped relationship); new products also perform best when managers support very low or high levels of autonomy (U-shaped relationship). In contrast with a predicted curvilinear effect, managers’ encouragement of risk taking actually exerts a positive linear effect on new product performance.


2015 ◽  
Vol 21 (1) ◽  
pp. 2-16 ◽  
Author(s):  
Tsung-Chi Liu ◽  
Yi-Jen Chen

AbstractThis study employs a dynamic capabilities perspective to examine the relationships among strategy orientation, product innovativeness, and new product development performance. This paper proposes that the role of product innovativeness in these relationships differs between the two dimensions of strategy orientation (market orientation and technology orientation) and new product performance. Regression analysis was used to test the hypotheses in a sample of 118 new product development cases. The empirical findings indicate that product innovativeness positively moderates the relationship between market orientation and new product performance, whereas technology orientation affects new product performance through the mediating effects of product innovativeness. Finally, the study provides a discussion on the managerial implications and directions for future research.


2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Jianhui Yan ◽  
Yu Zheng ◽  
Jiaxin Bao ◽  
Chongyu Lu ◽  
Yanhui Jiang ◽  
...  

Purpose This paper aims to investigate how to improve new product performance in turbulent circumstances of emerging economies. Design/methodology/approach This paper used regression analysis to examine the performance impact of customer relationship management (CRM) and product development management (PDM) concentration strategy in new product development (NPD). A detailed contingent analysis of the market and institutional environments in emerging economies is also conducted based on a survey of 114 Chinese high-tech manufacturers. Findings The research findings show that PDM has a stronger positive effect on new product performance than CRM in emerging economies and that the contingent effects of the market and institutional environment vary. More specifically, technological turbulence and enforcement inefficiency can positively moderate the relationship between CRM and new product performance, whereas the moderating effect of market turbulence on CRM is negative. Meanwhile, enforcement inefficiency negatively moderates the effect of PDM on new product performance, while the moderating effect of market turbulence on PDM is positive. Research limitations/implications This paper is limited to a survey of high-tech manufacturing enterprises in China. Further research should continues to explore and document the strategic issue about NPD in emerging economies by longitudinal study. Originality/value This paper contributed to theoretical and practical initiatives on the strategic issue of NPD and provided firms a further understanding of how to select the right NPD strategy in emerging economies to improve new product performance.


2014 ◽  
Vol 68 (3) ◽  
Author(s):  
Tan Owee Kowang ◽  
Amran Rasli ◽  
Choi Sang Long

New Product Development (NPD) is vital in assisting Research and Development (R&D) based organizations to adapt to the changes in markets and technology for competitive advantage. Ensuring the success of new products and optimization of new product performance is critical and essential for Research and Development based organizations.  Hence, this study is carried out to explore does organizational background in term of company’s ownership (i.e. local or multinational companies) and operational scales (i.e. number of Research and Development staffs) affect NPD performance of Research and Development companies in Malaysia. In line with this, 8 New Product Development performance attributes were identified from literature review. These attributes were subsequently formulated into a survey questionnaire and responded by 186 respondents. Thereafter, the effect of organizational ownership and operational scale toward NPD performance are examined separately via Independent Sample t-test and Analysis of Variance (ANOVA). Finding from the study revealed that the level of NPD performance in multinational R&D companies is higher than local R&D companies. Findings from this research also implied that NPD performance can be further improved by increasing number of R&D staffs.  


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