R&D–Production integration in the early phases of new product development projects

Abstract

Abstract The paper explores the process of cross-functional integration in the early phases of new product development (NPD). Using case-study methodology five completed NPD-projects from three different companies were investigated from the viewpoint of R&D–production integration. The following four intertwined mechanisms were identified as key integrators: (1) Standards, procedures and plans, (2) milestone and design review practice, (3) individual integrator and (4) cross-functional team. R&D–production integration in the case-projects was characterized by the use of a portfolio of the four mechanisms. The case-studies suggest a number of management challenges related to the use of the above integration mechanisms. First, the organization of a cross-functional project planning process was found to be elementary. Second, in order to effectively support the planning process, the level of detail and timeliness of the NPD-process descriptions should be carefully managed. Third, concerning the individual integrator and cross-functional team, the case-studies highlight the importance of ensuring early production resources by focusing the product development effort, by distinguishing between operational activities and NPD, and by carefully balancing the recruiting between R&D and production.