Action Planning for New Product Development Projects

Abstract

Two empirical studies are presented to show how experienced project leaders execute New Product Development (NPD) projects. In the first study we interviewed project leaders from four different design firms. We discovered that inside realistic NPD projects the NPD activities seldom occur in the same order as they are described in the NPD literature. Some activities are omitted, some activities are run in parallel and some even have a seemingly illogical timing. The reasons for these ‘strange’ patterns are usually project‐specific. The NPD project leaders distinguish four types of NPD projects. On the one hand, familiar (client well known and/or standard technology and/or re‐design) or non‐familiar projects (new client and/or new technology and/or innovative design), and on the other hand, the complexity of the product (simple versus complex), and they plan their NPD projects differently according to those four types. For instance, within simple and familiar projects they omit more NPD activities than in projects with a more complex and new nature. In the second empirical study we did a matched pairing study (finding NPD projects which would match each of the four types). This time we interviewed experienced project leaders from different companies, because they are probably more familiar with only one type of NPD project. We found a minimal and a ‘regular’ NPD process. Projects on new products (the non‐familiar type) contain the most activities in the total project. Complex projects execute more activities in the first stages, and also different activities than in non‐complex projects. We also found that NPD project leaders adapt an opportunistic attitude towards carrying out activities in parallel in order to gain time.