An investigation of the moderating influence of NPD speed on the organisational integration-new product market success and NPD process proficiency-new product market success relationships

Abstract

This paper examines the moderating influence of new product development (NPD) speed on the organisational integration-new product market success and the NPD process proficiency-new product market success relationships. The mail survey research approach was used to gather data from NPD managers in the electrical products, medical devices, and the heavy construction equipment industries. The data gathered from this process was used as the basis from which to extract information to address this study’s major research questions which include: 1) to what extent does NPD speed moderate the new product market success-organisational integration relationship?; 2) to what extent does NPD speed moderate the relationship between new product market success and the proficiency with which NPD process activities are performed?; 3) which moderation situation has the greatest impact on new product market success? It was confirmed that organisational integration and NPD process proficiency are significantly related to new product success. This study agreed with the research of Ittner and Larcker (1997) in that NPD speed and new product market success are not significantly related. NPD speed neither moderates the organisational integration-new product market success relationship nor the NPD process proficiency-new product success relationship. Managerial implications are provided and research directions are suggested.