Knowledge Composition and Its Influence on New Product Development Performance in the Big Data Environment

Product innovation is regarded as a primary means for enterprises to maintain their competitive advantage. Knowledge transfer is a major way that enterprises access knowledge from the external environment for new product innovation. Knowledge transfer may face the risk of infringement of the intellectual property rights of other enterprises and the termination of licensing agreements by the knowledge source. Enterprises must develop independent innovation knowledge at the same time they profit from knowledge transfers. Therefore, new product development by an enterprise usually consists of three types of new knowledge: big data knowledge transferred from big data knowledge providers, private knowledge transferred from other enterprises, and new knowledge developed independently by an enterprise in the big data environment. To find what the influences of different types of knowledge are on new product development (NPD) performance, a model is presented that maximizes the expected NPD performance. The results show that the greater the weight of independent innovation knowledge, the greater the performance of NPD. Enterprises tend to transfer knowledge from the external environment when the research and development (R&D) investment is much higher, and enterprises will speed up independent innovation when independent innovation knowledge is expected to bring a larger market share. The model can help enterprises to determine knowledge composition, the scale of R&D investment and predict the performance of NPD.     

Intangible capital,knowledge and new product development competence in supply chains: process,interaction and contingency effects among SMEs

Leveraging the strengths of a firm’s supply chain partners for new product development (NPD) has become essential to satisfy rapidly changing customer demands and to remain competitive. Firms are, therefore, aiming to further their NPD competence, which we define as the ability of the supply chain to improve and generate new products and services, based on the processes and relationships established with suppliers and customers. This study examines how intangible capital and knowledge further the development of NPD competence within the context of a supply chain. A theoretical model, based upon resource-advantage theory, is tested via structural equation modelling utilising survey data collected from 195 small- and medium-sized enterprises in the manufacturing industry reporting on their primary supply chain. Our findings indicate that more easily transferable capital manifests itself in explicit knowledge and less easily transferable capital manifests itself in tacit knowledge. We further identify complementarities of the two types of intangible capital as influencing knowledge type development. More importantly, we find that the two types of knowledge differ in their ability to influence NPD competence in the supply chain, and that these links are moderated by relationship length. Supply chain management implications for academics and practitioners are presented.     

Sequencing and batching procedures for minimizing earliness and tardiness penalty of order retrievals

External involvement in new product development (NPD) has received increasing attention from both academicians and practitioners in recent years. While external involvement has been studied extensively, the academic understanding on how external involvement influences firm performance and the role of time-to-market of new products is still very limited. Drawing on the literature on innovation search and knowledge-based view, we develop a conceptual framework in which external involvement is linked to time-to-market of new products and firm performance. We tested this model using data collected from 176 manufacturing companies in China. The results indicate that both customer and supplier involvement can contribute to the reduction of time-to-market of new products. We also show that time-to-market of new products completely mediates the relationships between two types of external involvement and two dimensions of firm performance. These findings have important implications for research and practice in both the external involvement and the NPD areas.     

The effect of integrated product development on efficiency and innovation

This study tested the effect of integrated product development (IPD) on the efficiency and innovation displayed in new product development (NPD) projects. IPD refers to the overlap, parallel execution, and concurrent workflow of activities. More than 600 employees from 62 R&D projects in one large hi-tech electronics organisation participated in the study. The degree to which the projects had actual IPD, innovated and worked efficiently were measured using the organisation's data collection system and questionnaires. Analysis was conducted at the project level. Seven regression models, as well as multiple comparison tests, were applied. The findings suggest that IPD is positively associated with efficiency and negatively with innovation. However, the trade-off between efficiency and innovation in NPD projects can be balanced, if the IPD level of implementation is tailored to the NPD project stages. Specifically, to successfully complete an NPD project, the emphasis in early stages must be on innovation so that it can assist teams seeking new ideas. Hence, management should implement a low level of IPD at this point. In later stages efficiency must be emphasised so it assists control, and co-ordination, and consequently, IPD should be implemented intensively.     

Influence of market orientation on performance: the moderating roles of customer participation breadth and depth in new product development

ABSTRACT

With a greater number of B2B firms integrating customers into the new product development (NPD) process, how to utilize customer involvement in NPD is an important decision because it may be a double-edged sword carrying both bright and dark sides. Utilizing a sample of 193 B2B firms across various industries, we validate previous research that suggests market orientation positively influences NPD performance and subsequently examine how this relationship may either be enhanced or diminished contingent upon how customers are utilized in the NPD process. The results show that the market orientation–NPD performance relationship is enhanced by having customers participate in a greater number of activities throughout NPD (customer participation breadth) and diminished when customers are involved at deeper levels (customer participation depth). This research suggests that the exact involvement of customers is a critical decision and has clear implications for the dialogues about customer involvement and management of customer relationships.     

试论企业技术创新的概念和举措

文章探讨两个问题：1. 企业技术创新的概念。在自主研究的基础上，借鉴其他学者的研究成果，概括了企业技术创新的7个特征，给出了一个比较科学全面的企业技术创新定义。2. 企业技术创新的举措：a. 开发新产品，概括了新产品的分类、特征和定义，新产品开发的10个小阶段，新产品的构成要素及新产品开发的一般原则；b. 采用新技术，包括创设科研机构、吸引创新型科技人才，采用新技术，创造新的国际技术标准，更新设备和工艺，推广绿色技术；c. 开辟新的市场；d. 开拓新的原料供应来源；e. 采用新的组织和管理方式。     

Product service systems,after-sales service and new product development

After-sales service is a critical element in the successful marketing of many products. Capital goods, for example, manufacturing equipment, require after-sales service such as maintenance and repair in order for customers to get the full value from them. Some manufacturers have started to offer customers an integrated product and service, termed a product-service system in the academic literature. However, in order to deliver such integrated offerings, a different approach to new product development (NPD) is required. This is because the product design influences after-sales service requirements, and so this needs to be considered during NPD. However, researchers have largely ignored the relationship between NPD and service. To address this gap, six in-depth case studies were conducted at leading companies that offer a combined product-service offering, to identify how service requirements are typically evaluated at the design stage. The results show that at companies where after-sales is an important element of the business, service requirements are systematically evaluated during NPD through the involvement of after-sales personnel and the use of field service data to set design goals.     

基于模糊评价方法的新产品开发过程可靠性度量

针对新产品开发（new product development,NPD）过程难以获得所需的可靠性数据的问题,利用模糊打分法获取所需的可靠性数据。基于IDEF0（Integrated Definition for Function Modeling）建模的基础上,以模糊评价法为工具,构造了基于专家经验的模糊影响矩阵,以“输出”的质量作为过程的可靠性,在此基础上对新产品开发过程的可靠性作出评价。仿真结果表明本文提出的方法不仅可以有效地对过程可靠性作出评价,可以从定量的角度确定影响新产品开发过程可靠性的关键因素。      

An empirical study of firm’s absorptive capacity dimensions,supplier involvement and new product development performance

Firms’ performance in their new product development (NPD) is believed to be positively related with involving suppliers in the process of new product development, and also with the organisation’s capacity and capability to absorb external and internal knowledge, namely absorptive capacity (AC). Addressing a gap in the literature, this study adopts the definition and structure for AC suggested by Tu et al. (2006) to examine relationships between AC’s sub-dimensions with NPD performance, and also their moderating effects on the relationship between supplier involvement and new product development performance, on both financial and nonfinancial aspects. Data from a survey of 161 manufacturing firms are used to test the developed hypotheses using structural equation modelling and hierarchical regression. Direct and contingent effects of supplier involvement and AC on new product development performance are studied. As a result factors determining AC are found of different level of effects on financial and nonfinancial performance of new products, which will have implication for theory and practice.     

Process Uncertainty: A New Dimension for New Product Development

Abstract

Companies pursuing product leadership continually push products into innovative technology areas and new unknown markets. As companies continue to strive for continuous innovation, often leapfrogging even their own technology, new product development (NPD) processes play an increasingly important role in defining the success or failure of many new innovations. In addition, increased competitive rivalry is driving companies to commercialize their new products much more quickly. To meet these pressures, new strategies are being used to supplement the conventional new product development process that consists of strategy formulation, idea generation, screening and evaluation, development, testing, and launch. The primary objective of each of these innovation strategies is to attain sustainable competitive advantage for the company and achieve higher overall performance.

Our research examined product and service innovation strategies of six projects. Half of which were considered successful and the other half failures. Using several emerging innovation strategies including process-driven, speed-to-market, quantitative, market-driven, technology-driven, and learning-driven to classify these projects, we evaluated the innovation strategies employed in an attempt to determine the overall NPD strategy effectiveness. In addition, we also attempted to identify relevant critical success factors and associated activities to construct an ideal innovation strategy model.

In the projects we studied, we found that no one best strategy leads to successful innovation. While evaluating areas of uncertainty that impact project success, we determined that a new dimension, process uncertainty, plays as important a role as market or technical uncertainty previously examined in the emerging scholarship. Furthermore, the insights that were discovered by comparing the different innovation strategies led us to formulate the technical-market-process (TMP) uncertainty mode. The TMP model serves as a predicator for identifying the appropriate innovation strategies that can be brought together to drive project success. We conclude that the combination of identifying the appropriate innovation strategies and proficiently executing these strategies is the key to successful new product development.     

Modelling engineering change management in a new product development supply chain

The changes within a new product development (NPD) process are handled differently depending on the stage of the project. The changes during the initial stages of the project are addressed by design iterations, while the changes after the product design is complete are addressed using a formal engineering change management (ECM) process. The ECM process is a complex process, especially under a collaborative environment, where various independent entities work together for a common cause of product development. The interactions between the NPD and ECM processes have rarely been investigated in the research community. In this paper, we attempt to study the interactions between the various NPD and ECM process parameters by modelling the processes and simulated the model to understand the parameter interactions. The organisations in a supply chain have been characterised based on their interactions with the original equipment manufacturer (OEM) during the NPD process. The organisation process templates representing the NPD and ECM processes of each type of organisation in the supply chain have been modelled. The templates have been used to develop a simulation model representing the NPD and ECM processes for a supply chain. The process variables, such as processing rates, resources, resource composition, resource allocation priority, processing quality and phase overlap, have been included in the model. The results indicate that most of the variables and interactions among the variables have a significant influence on the NPD lead time. By identifying the status of?the NPD process, the decision-makers can use these results to develop appropriate management policies to govern their product development projects.     

The impact of dual-market on supply chain configuration for new products

Given a firm’s supply chain network, the key objective of supply chain configuration (SCC) is to determine a subset of supply chain partners to be involved in development, sourcing, production, distribution and support of a new product at the highest level of efficiency and expected responsiveness. Current literature on SCC realises the importance of considering the demand dynamics associated with the new product diffusion (NPD). However, these studies assume one-segment market for new products, a single homogenous consumer segment. Recent research in marketing indicates that such simplification might be fatal because a diverse and significant number of product categories may experience a dual-market structure, namely early and main markets, and generate a different demand dynamics. The objectives of this study are to: (i) develop a hybrid optimisation model, capturing both SCC decisions and the demand dynamics of dual-market NPD process; (ii) based on real-world data for a host of electronic product categories, various SCC networks and NPD demand dynamics, examine the new integrated optimisation model under one- and two-segment market; and (iii) present relevant managerial implications and guidelines for supply chain and marketing managers. Our extensive comparative computational experiment with 26 categories of consumer electronic products show that on average the relative net profit may improve significantly, when the market is considered as two-segment.     

A hybrid optimisation approach to configure a supply chain for new product diffusion: a case study of multiple-sourcing strategy

Configuring a supply chain for a new product is a challenging task due to the lack of historical demand data and the dynamic/uncertain nature of the new product diffusion process. An integrated supply chain configuration (SCC) and new product diffusion (NPD) model is developed to explicitly account for the impact of demand dynamics during a new product's diffusion on an optimal supply chain configuration. Our hybrid NPD-SCC model allows a manufacturer to source from multiple suppliers, vendors or modes for its supply chain entities. Such a multiple-sourcing approach not only helps the manufacturer to diversify its pool of suppliers and maintain bargaining power, but also builds redundancy into the supply chain to hedge against potential demand surge and supply disruption during the new product life cycle. Through a case study and a comprehensive computational study, we find that although the single-sourcing solution is able to achieve lower unit-manufacturing cost (UMC), the multiple-sourcing approach is superior to single-sourcing on the overall supply chain performance in the environment with random supply disruptions. By building-in redundancy as multiple suppliers and modes, the resultant supply chain has less chance of being disrupted and achieves higher overall profit on average. We also draw several other managerial insights closing the gap between some supply chain operations and marketing strategies.     

Effects of marketing–manufacturing integration across stages of new product development on performance

Our understanding on the benefits of marketing–manufacturing integration (MMI) across various stages of new product development (NPD) process is limited. Based on the resource-based view of a firm, this study empirically examines the direct and interactive effects of MMI in four stages of NPD process on three dimensions of new product performance. Survey data from 214 completed NPD projects in Chinese manufacturing firms are employed to test the developed hypotheses using hierarchical regression. The results indicate that greater MMI in each stage is, respectively, associated with faster NPD speed. Stronger MMI in business/market opportunity analysis (BMA), technical development (TD) and product testing (PT) stage is, respectively, associated with higher NPD cost efficiency. Higher MMI in BMA and PT stage is, respectively, associated with better market performance. In addition, the interactions of MMI in BMA and TD stages and MMI in PT and product commercialization (PC) stages have positive effects on NPD speed and NPD cost efficiency, while the interaction of MMI in BMA and PC stages has negative effects on NPD speed and NPD cost efficiency. The interaction of MMI in BMA, TD and PC stages is positively related to market performance; surprisingly, the interactions of MMI in BMA, TD and PT stages and MMI in BMA, PT and PC stages are negatively related to market performance. These findings have important implications for research and practice in both the cross-functional integration and NPD areas.     

The role of relationship promoter in new product development collaboration

Since new product development (NPD) collaborations with external partners have become the next generation in NPD practices, relationship promoters have become especially relevant as key contributors to the success of this type of inter-organisational collaboration. To realise successful outcomes in NPD collaborations, partners face the challenge of effectively integrating the role of relationship promoter into their existing and essential relationships of trust. It is within this context that this paper examines the role of the relationship promoter, by analysing its moderating effect on the relationship between trust and the outcomes of NPD collaboration – including new product competitiveness and partner satisfaction. We test our hypotheses against survey data from 107 innovative firms involved in NPD collaboration with the help of relationship promoters. The results show that, while a non-significant influence can be reported about the presence of a relationship promoter in terms of partner satisfaction, the relationship promotor weakens the influence of trust on new product competitiveness, making trust less important when it comes to creating a competitive new product.     

Multi-generation pricing and timing decisions in new product development

When planning for the introduction of a stream of new products into the marketplace, managers must consider both the timing and dynamic pricing decisions to determine an appropriate entry strategy into the marketplace. Literature in new product development (NPD) typically addresses optimal timing and pricing decisions independently. We develop an analytical model of coordinated product timing and pricing decisions when there are two generations of a new product under consideration. Factors driving the timing and pricing decisions include the unit sales and cost relationships for each generation as well as NPD costs for introducing the next generation of products. We derive analytic results that characterise the optimal timing and pricing strategies for a single product rollover scenario. We analyse several numerical examples to illustrate the interplay between optimal pricing and time-to-market strategies under more general settings.     

An evaluation framework for product planning using FANP,QFD and multi-choice goal programming

Technological innovation and satisfaction of customer needs are the keys to survival and success for firms, especially in global competitive high-tech industries. Since new products are usually a source of new sales and profits, the success of new product development (NPD) is essential to maintain a competitive edge and to make a decent profit in a longer term. Therefore, how to develop products that deliver the quality and functionality customers demand while generating the desired profits becomes an important task for the manufacturers. In this paper, a framework with two phases is constructed for facilitating the selection of engineering characteristics (ECs) for product design. In the first phase, quality function deployment (QFD) is incorporated with the supermatrix approach of analytic network process (ANP) and the fuzzy set theory to calculate the priorities of ECs with the consideration of the interrelationship among factors and the impreciseness and vagueness in human judgments and information. In the second phase, multi-choice goal programming model is constructed by considering the outcome from the first phase and other additional goals, such as NPD cost and manufacturability, in the attempt to select the most suitable ECs. A case study of the product design process of backlight unit (BLU) in thin film transistor liquid crystal display (TFT-LCD) industry in Taiwan is carried out to verify the practicality of the proposed framework.     

Performance Effects of Exploratory and Exploitative Innovation Strategies and the Moderating Role of External Innovation Partners

In today's dynamic environment, the involvement of external partners in the innovation process is frequently assumed to be a panacea to cut costs while improving outcomes. In this study, we scrutinize how different collaboration types influence the effects of exploitative and exploratory innovation strategies on new product development (NPD) performance. For our analyses, we draw on a survey comprising a sample of 254 technology-based German firms. Our findings indicate that exploitative strategies are best pursued without comprehensive external collaborations, while the involvement of several partners in a balanced approach is most promising for exploratory strategies. Joint exploration with competitors, in particular, shows the highest effects on NPD performance. The paper discusses the findings and provides several implications for future research.     

A study on the improvements of new product development procedure performance–an application of design for Six Sigma in a semi-conductor equipment manufacturer

With the pressure of intensive global competition and the trend of shortening product life-cycle, the procedure for new product development (NPD) has become the focus of business concerns and investment of large corporations and the key strategy to upgrade competitiveness of corporations. An effective NPD procedure can meet the demands on quality, time-to-delivery and cost limitations of a corporation. Measuring and analysing the performance of the existing NPD procedure and pinpointing and resolving the problems of the existing NPD procedure is the key to improve the NPD performance to meet a corporation's demands. Six Sigma is a systemic procedure commonly used to improve product quality. This paper proposes a model to evaluate and improve the performance of NPD procedures by following the systemic procedure of Six Sigma and applying criteria defined by application of performance matrix, factor analysis, and theory of constraints. The resulting model is then verified with real life NPD procedures from a certain semi-conductor equipment manufacturer such that corporative competitiveness can be enhanced through the elevating cycle of performance evaluation, problem excavation, causes analysis, and countermeasure determination and execution proposed by this paper.     

Anti‐Atherogenic Effect of Stem Cell Nanovesicles Targeting Disturbed Flow Sites

Atherosclerosis development leads to irreversible cascades, highlighting the unmet need for improved methods of early diagnosis and prevention. Disturbed flow formation is one of the earliest atherogenic events, resulting in increased endothelial permeability and subsequent monocyte recruitment. Here, a mesenchymal stem cell (MSC)‐derived nanovesicle (NV) that can target disturbed flow sites with the peptide GSPREYTSYMPH (PREY) (PMSC‐NVs) is presented which is selected through phage display screening of a hundred million peptides. The PMSC‐NVs are effectively produced from human MSCs (hMSCs) using plasmid DNA designed to functionalize the cell membrane with PREY. The potent anti‐inflammatory and pro‐endothelial recovery effects are confirmed, similar to those of hMSCs, employing mouse and porcine partial carotid artery ligation models as well as a microfluidic disturbed flow model with human carotid artery‐derived endothelial cells. This nanoscale platform is expected to contribute to the development of new theragnostic strategies for preventing the progression of atherosclerosis.