New Product Development Success Research Articles

Impact of contextual factors on new product development process: evidence from a large company in Thailand

This research investigates the impacts of contextual factors, including organization-, project-, product-, and market-related factors, on New Product Development (NPD) process and explores how these factors shape the NPD process of the company within a specific context—a large-sized company in Thailand. By interviewing 11 managers from a large-sized company in Thailand, the findings reveal different impact of the contextual factors on the company’s NPD process. Based on these findings, we develop a practical NPD model to overcome company-specific challenges and, consequently, offer valuable insights to enhance the NPD process in similar contexts. Importantly, our findings suggest that innovative companies should strategically integrate the route-to-market for radical innovation into their NPD process because it enhances the customer perception of the innovation’s value before commercialization, leading to the success of NPD. Our empirical evidence fills the gaps in the literature regarding the practical configuration of NPD processes in developing countries as well as large-sized companies, acknowledging the variation in the NPD process that depends on contextual factors where innovation occurs. It also provides detailed insights beyond most existing studies that investigate correlation of factors with the NPD process and offers practical implications for management involved in the NPD process, emphasizing the need for contextual awareness in formulating effective NPD strategies.

An Empirical Analysis of New Product Development Success Among Automotive Industry Vendors in Malaysia

New product development in the automotive industry necessitates significant upfront investment, given the uncertainty of a product's competitiveness upon market launch. Hence, industries strive to comprehend and evaluate crucial success factors during implementation phases. This paper delves into the findings of an empirical qualitative analysis study on the success of New Product Development (NPD) in order to provide deeper insights into these success factors. The study delineates three primary dimensions: IT capability, new product development process, and new product development strategy. Conducted within the Malaysian automotive industry, the empirical results affirm the criticality of these factors to success.

Navigating new product development: Uncovering factors and overcoming challenges for success

New product development (NPD) frequently encounters failures, whether during the development phase or in the subsequent commercialization stage. These failures can often be attributed to root causes originating in the early stages of NPD, known as the front end. This study aims to investigate the factors that contribute to NPD success and the challenges faced by firms throughout the development process. To achieve this objective, an in-depth qualitative approach utilizing interviews was employed to explore the internal and external factors influencing NPD success. Additionally, the study aims to identify specific challenges encountered by firms during the NPD process. The identification of these factors and challenges are crucial for companies as it can lead to long-term cost savings.The findings of this study have broad implications for firms regardless of their product plans. By adopting the derived approach, companies can effectively navigate the product development process and gain insights into the potential challenges associated with introducing a new product into an existing market. As customer preferences evolve with technological advancements, the barriers and challenges faced by new products entering established markets also increase. Therefore, firms that incorporate the results of this study into their product development practices across various industries can avoid pitfalls and achieve greater efficiency in terms of time and costs. This research sheds light on critical areas that contribute to successful product development and provides valuable guidance for firms striving to excel in their NPD endeavors.

Agile R&D units' organisation and its relationship with innovation performance

Firms increasingly apply agile approaches in their development processes, and therefore researchers started investigating how agility affects innovation performance. However, previous research on agility often only considers software development or approaches the concept only from an outcome perspective (i.e. increased adaptability to changes) instead of from a capability perspective (i.e. how to organise for adaptability to be successful). Consequently, research failed to investigate how the organisation of agile research and development (R&D) units in physical new product development (NPD) affects innovation performance. We apply structural equation modelling on 162 R&D units in a large industrial firm and analyse the interplay of agile R&D units' organisation, the resulting agility, front‐end success and NPD success. Moreover, we consider contingency factors of environmental turbulence. The study extends research on agility's neglected capability perspective in innovation management, thus providing a better understanding of agility's relationship with innovation performance and showing managers how to increase their unit's NPD success.

The Analysis of Factors Contributing to the Success or Failure of New Product Development

Developing new products and staying ahead of the competition is critical for the survival of companies in a competitive environment. There are many factors affecting a product's chance of success in these environments, such as the company business model, the product type, the company's organisational structure and so on. The objective of this study was to define the relative importance (weights) of 19 factors that FMM companies can use to measure the success or failure of the new product development (NPD) they launch. We used group decision-making with the analytical hierarchy process (AHP) and considered three methods of handling the responses of outliers (DMs whose opinions differed from the majority). The results showed that customer satisfaction, proportion of total sales by new products, influence on the overall profit of the company, and growth of demand for the company products were the most important factors for measuring the success of innovation. However, it can happen that weight assignment methods produce very different rankings of factors and this situation can be challenging for the decision analyst.

Determinants of competitive advantage: The roles of innovation orientation, fuzzy front end, and internal competition

Although innovation orientation is identified as an effective strategy to enhance an enterprise's competitive advantage, its mechanism remains to be investigated. This study divides the fuzzy front‐end (FFE) activities of new product development (NPD) projects into idea generation, concept definition, and initial planning and investigates the transmission path between innovation orientation and competitive advantage through these three activities. Additionally, we explore the moderating role of internal competition. This empirical study is based on 261 respondents from China. The results suggest that innovation orientation has a positive impact on FFE activities, and these promote competitive advantage. The mediating role of FFE activities in the relationship between innovation orientation and competitive advantage is confirmed. The results also reveal that internal competition regulates the relationship between innovation orientation and FFE activities in an inverted U‐shape. The study further reveals the internal mechanism of innovation orientation on competitive advantage and provides a deeper understanding of the link between them. The study guides research and development (R&D) management practitioners in managing FFE activities and rationalizing internal competition to enhance NPD success.

Using supplementary reviews to improve customer requirement identification and product design development

A clear understanding of customer needs is key to the success of new product development and customer-centric product design. Online reviews, particularly initial reviews, are commonly used as effective sources for mining customer requirements. Although customers may post truer and more objective supplementary reviews after a period of product use, such reviews are often overlooked when identifying customer requirements for product design improvement. In this study, we proposed a framework for identifying customer requirements by combining initial and supplementary reviews based on text mining. We categorized the identified customer needs into five product attribute categories using the Kano model. Two case studies were conducted in the laptop and cell phone industries to demonstrate the effectiveness of our method. Thus, dynamic customer requirements and satisfaction can be accurately mined and captured when considering supplementary reviews. In practice, the appropriate use of supplementary reviews may provide valuable guidance for product design and development strategies.

The Impact Of Knowledge Management Capability On New Product Development In Bamboo Painting Enterprises In Vietnam

New product development (NPD) is both an opportunity and a great challenge for all enterprises, especially those in traditional industries. Enterprises must coordinate well with knowledge from both internal and external, such as marketing, sales, research and development. This study was conducted with the aim of clarifying the impact of knowledge management capability on new product development of bamboo painting enterprises in Vietnam. In addition, this study also explores the moderating role of green transformational leadership (GTL) styles on this relationship. Based on data obtained from 203 NPD teams at bamboo painting enterprises in Vietnam, this study conducted a quantitative analysis and obtained some new results. First, both internal KMC and external KMC have a positive impact on the NPD speed and success of bamboo painting enterprises, in which the impact of internal KMC is stronger. Besides, although it did not find a positive impact of GTL on NPD, this study found a moderating role of GTL on the impact of both internal KMC and external KMC on NPD. Based on these results, this study has made suitable recommendations for bamboo painting enterprises in Vietnam in improving NPD speed and success.

The Determinant of Furniture Business Performance in Jepara Regency

In the current business context, entrepreneurial orientation (EO) has been highlighted as key to improving firm performance. Despite the overall positive evidence on the association between EO and firm performance, scholars have stressed the importance of taking into account and properly managing intermediate capabilities. This study was conducted to examine the effect of entrepreneur orientation on business performance and Innovation. This research was carried out in Jepara Regency. The sample in this study amounted to 75 Furniture Business Owners. The data collection method used a questionnaire. The analytical method used in this study is SEM with Smart PLS 3.3.3. The results of this study indicate that entrepreneur orientation does not have a significant influence on business performance. Innovation can mediate the influence of Entrepreneur Orientation on Business Performance. This study makes a novel contribution to the EO kinds of literature as it finds evidence that business model innovation is an effective way to funnel the firm’s entrepreneurial orientation into its innovation processes and to increase the success of new product development. Some suggestions for managers and future lines of research are proposed

Supplier involvement and supplier performance in new product development: Moderating effects of supplier salesperson behaviors

Supplier involvement (SI) for new product development (NPD) entails multiple relationships between buyers and their suppliers, demanding appropriate coordination mechanisms for successful NPD collaboration. This study proposes that supplier salesperson behaviors act as coordination mechanisms in the SI setting for NPD information regulating and process regulating behaviors. Drawing on information processing theory and using survey data matched with archival data, this study unravels the role of supplier salesperson behaviors in the relationship between the timing of SI and supplier performance, which is the precursor to the buyer’s NPD performance. Our results indicate that although information regulating behaviors positively moderate the timing of SI–supplier performance linkage, process regulating behaviors weaken this linkage across multiple NPD stages. This study contributes to the literature by highlighting a new salesperson’s role in the SI setting (i.e., salesperson as coordinator), which has been previously overlooked.

Path to Sustainable Competitive Advantage with Use of Environmental, Social and Governance Principles

Purpose of the study: This study aims to analyze the relationship between product innovation and strategic resources used by the furniture enterprises, under the perspective of sustainable competitive advantage, with the intention to identify the resources previous to innovation.
 Methodology/approach: The method used in this research is a quantitative and descriptive study, through a survey, applied to 1067 companies in Brazilian furniture industry. The data analysis occurred through Structural Equation Modeling.
 Originality/Relevance: Product innovation and strategic resources are capable of providing great potential for economic transformation. It is strategically acknowledged that there is a relationship between product innovation and the use of resources, however, there are as yet insufficient empirical studies to determine which resources influence product innovation. Another important aspect is to evaluate the influence of Environmental, Social and Governance sustainability precepts in the development of new products.
 Key findings: In the empirical study, noticed that Product Innovation results from the use of resources, which configures innovation antecedents.
 Theoretical/methodological contributions: This study contributes the advancement of science, which can be used to analyze the antecedents of Product Innovation, which pointed out that companies with strategic resources can expand the capacity of innovation by generating sustainable Product Innovation, which leads to the success of a new product.
 Social contributions/to management: This study can contribute to managerial decisions, as the results indicate that the Success in New Product Development proved to be an essential form of competitive advantage, comparing the results of Product Innovation with competitors and relating this performance to the use of Environmental, Social and Governance principles.

A Complexity-based Framework for Social Product Development

The development of new products using social technologies among defined crowds of individuals or groups, commonly known as Social Product Development (SPD), has become a growing trend in engineering design and manufacturing literature. This paper proposes an approach to studying the actors involved in SPD from a complexity science point of view. Specifically, we suggest that organizational efforts towards SPD must be concentrated on human and technological elements to achieve success in New Product Development (NPD). The paper explores the differences and similarities between the creation of new products and SPD and proposes a differentiated approach, based on complexity science for the different stages of NPD and SPD. Our findings show that SPD requires the integration of the complexity approach due to the combination of the knowledge, skills, and abilities of those involved during the development of new products. In addition, it is recommended that engineering design managers consider the importance of leadership styles, work structure, and organizational culture to achieve the expected outcomes of SPD.

Human Factors, Innovation and Technology, and Cluster Strategies as Triggers of New Product Development

This paper reports the results of a cross-sectional investigation into the organizational factors that influence the development of new products in Mexican organizations. We examine the degrees of complexity to determine the influence of three organizational levels, divided into four variables, on New Product Development (NPD) activities. The first level is related to Human Factors (HF), which focuses on the internal members involved in the NPD activities and their functions. The second level is related to Innovation (Inn) and Technology (Tec), which corresponds to the level of processes established in the organization and during NPD. The final level corresponds to the Cluster Strategies (QS) employed by the organizations, which focuses on their ability to work collaboratively with other organizations outside of their current internal boundaries. The influences of the proposed variables are then analyzed with results showing that QS, Inn, Tec, and HF explain, in a range of 58.8%, the emergence of successful NPD based on R2. The study's findings provide a basis for future research through advanced statistical methods.

The Effects of Integrative Strategies Along the Supply Chain on NPD Success

This study analyses the effects of different integrative strategies related to supply chain (SC) actors (suppliers, customers and internal manufacturing) in the early stages of new product development (NPD) on NPD success. Relying on various theories and related empirical evidence, we state three hypotheses and empirically test them using multi-country and multi-industry data from 309 manufacturing plants. The results show that different strategies of involvement explain different NPD success. We observed that integrative practices involving three distant actors have a positive impact on all NPD success indicators. We also observed that NPD success related to specific purposes, for example, market or internal processes, can be obtained with simpler combinations of collaboration. This shows the significance of choosing a differentiated portfolio of SC partners based on cognitive distance to achieve success in different NPD performance measures. Our results confirm that the types of partners are determinants in achieving different NPD success and that there are different alternatives to achieve success. These results have implications for managers to optimise the allocation of limited resources when cooperating with different agents in NPD projects.

Innovation in Organizations and Management of New Product Development

Organizations should have a focus on new product development and innovation to succeed in the competitive business environment. The objective of the study is to understand how organizations manage new product development and innovation and try to integrate innovation in all processes. The methodology adopted is a conceptual analysis of various aspects of new product development and innovation in organizations. Organizations should understand the importance and relevance of innovation and should be ready to incorporate innovation in all processes. They may adopt different approaches viz. customer-centred approach, team-based approach, and systematic approach towards new product development and innovation. Organizations should understand how to achieve success in new product development and should adopt different strategies and initiatives. Academicians may analyze the various approaches towards innovation. Practicing managers will realize the importance of innovation. They will realize how to manage innovation and achieve business excellence in the long run.

Navigating Through Paradoxes: The Influence of Paradoxical Thinking on Idea Screening

Idea screening is crucial as it must select the ‘right’ new product development (NPD) ideas that are best suited to increase front-end and NPD success. Given the limited resources, high levels of uncertainty, and competing demands of the front end, idea screeners must cope with learning tensions when assessing the creativity of ideas. However, the literature tends to neglect the receiving side of creativity, namely idea screeners. This gap is problematic since idea screeners vary in coping with learning tensions and, then, fuel either innovation or counterproductive reactions. In response, we investigate the effects of idea screeners’ paradoxical thinking on the assessment of the creativity of ideas and front-end success. Further, we research the motivational antecedents of paradoxical thinking. By analyzing a survey (N= 326) and an experiment (N= 292), we show that paradoxical thinking increases front-end success, idea meaningfulness, and idea novelty. In turn, by creating a motivational context (comprising decision autonomy, encouragement to take risks, and tolerance for mistakes), firms can motivate idea screeners to apply paradoxical thinking. In addition, product complexity positively moderates the positive relationship between the motivational context and paradoxical thinking. Our study contributes to and extends the literature on the front end and on creativity. Its findings show how paradoxical thinking can improve the outcomes of idea screening and how firms, by adopting paradoxical thinking, can manage idea screeners to synthesize learning tensions.

THE ROLE OF CONSUMER INVOLVEMENT ON INNOVATION AND NEW PRODUCT DEVELOPMENT PROCESS: META-ANALYSIS AND WORD CLOUD TEXT ANALYSIS

Today, businesses are trying to make the concept and process of innovation a collective phenomenon by collaborating in innovation activities and opening up, especially thanks to the cooperation and relationships they have established with consumers. In order for new economic paradigms to be superior, new paradigms must have factors that can be defined as a group of key inputs. From this point of view, there are many factors that affect the success and performance of innovation and new product development. Consumers have become the most important source of innovation. Studies show that the impact of consumer integration on innovative products and resource expenditure is enormous. In this study, the aforementioned paradigms were brought together and a literature review of the projects and researches in the field of innovation, consumer effects of new product development processes and innovation integration between the years 2005-2022 was conducted. Then, the text data of these studies were brought together and translated and a dataset was created. Then, word cloud text analysis, which is a powerful visualization tool, was applied on the Anaconda-Pycharm software with python programming language to provide a statistical view. It has been observed that the results obtained by this text analysis method, the most frequent terms settle in the center by increasing their density, and the lower frequency terms are located towards the borders by decreasing. According to the results of the observation, it was found that the terms with high frequency were “NPD (New Product Development), consumer participation and innovation” and were clearly concentrated in the center. As a result, in parallel with the results of meta-analysis and word cloud text analysis, it is concluded that the innovation and new product development strategy is "consumer participation", that is, staying close to the consumer, so that the right users can provide the company with ideas that promote new products.In future studies, considering that product innovations have different dimensions as "technology innovation" and "market innovation", the factors that demand different levels of information from the consumer depending on the innovation level should be evaluated. The contribution of the study to the literature is that at the stage of developing a new product idea, companies that have a high level of knowledge about consumers and consumer groups will be able to develop products that perform at a higher level when they gain more information.

Boosting creativity in co-creation with consumers in the fuzzy front-end of new product development: A literature review and organising framework

Interest in consumer co-creation in the fuzzy front-end of the new product development (NPD) process has increased in recent years. It is generally acknowledged that integrating consumers into collaborative idea generation leverages the potential of social interactions, knowledge sharing and collective creativity, and it may improve the success of NPD. Despite extensive literature on value co-creation, little is known about how creativity can be enhanced and encouraged in this process. Based on a thorough literature review, the author develops an organising framework and six propositions on how creativity can be stimulated at the fuzzy front-end of the innovation process. By exploring the relevant literature, this study extends the understanding of the role that creativity plays in co-creation for NPD and provides some guidelines that may help boost the creative output and interest in co-creation activities during the development stage of an idea.

Product Innovation: Path to Sustainable Competitive Advantage with Use of Environmental, Social and Governance Principles

Purpose of the study: This study aims to analyze the relationship between product innovation and strategic resources used by the furniture enterprises, under the perspective of sustainable competitive advantage, with the intention to identify the resources previous to innovation. Methodology/approach: The method used in this research is a quantitative and descriptive study, through a survey, applied to 1067 companies in Brazilian furniture industry. The data analysis occurred through Structural Equation Modeling. Originality/Relevance: Product innovation and strategic resources are capable of providing great potential for economic transformation. It is strategically acknowledged that there is a relationship between product innovation and the use of resources, however, there are as yet insufficient empirical studies to determine which resources influence product innovation. Another important aspect is to evaluate the influence of Environmental, Social and Governance sustainability precepts in the development of new products. Key findings: In the empirical study, noticed that Product Innovation results from the use of resources, which configures innovation antecedents. Theoretical/methodological contributions: This study contributes the advancement of science, which can be used to analyze the antecedents of Product Innovation, which pointed out that companies with strategic resources can expand the capacity of innovation by generating sustainable Product Innovation, which leads to the success of a new product. Social contributions/to management: This study can contribute to managerial decisions, as the results indicate that the Success in New Product Development proved to be an essential form of competitive advantage, comparing the results of Product Innovation with competitors and relating this performance to the use of Environmental, Social and Governance principles.

Antecedents and level of success in the development of new products of the community enterprises in Nonthaburi Province

The development of local products to meet with the quality standards can respond to the needs of consumers. However, the new product development (NPD) is one of the major challenges. The rate of success in NPD is low which is a hurdle to promote local products. In this way, this study is an attempt to highlight various factors influencing NPD. For this purpose, the current study considered quantitative research method and qualitative research method. Thus, a mix method approach is used in which the data collection is made through questionnaire and interviews. For the quantitative research part, the research sample consisted of 740 members of community enterprise groups in Nonthaburi province, Thailand. For qualitative research, in-depth interviews were carried out. Results of the study highlighted that; co-creation, speed for entering the market, innovation, process, new product development teams, marketing strategies, technology, leadership and government support has positive role in NPD. Results of the study contributed significantly to the literature as well as practice.