Operational effectiveness and strategic flexibility: scales for performance assessment of new product development systems

Petronella C. de Weerd-Nederhof, Klaasjan Visscher, Jelmer Altena, O.A.M. Fisscher

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Abstract

Many firms attribute a central role to their New Product Development (NPD) function, in speeding up time to market, improving product quality, increasing manufacturing efficiency, building core competence and increasing innovative ability, often all within one and the same NPD system. This balancing of short-term operational effectiveness and longer-term strategic flexibility requires accurate insight in NPD performance on both dimensions. This paper reports on the operationalisation of these constructs based on NPD success literature, using a subdivision in product concept effectiveness and NPD process effectiveness. A validation test of the subjective scales shows good reliability results. Preliminary analysis of test results (n = 29) seems to point at firms trying to both exploit and explore by adapting the NPD process, and the building of dynamic capabilities.
Original languageUndefined
Pages (from-to)354-372
Number of pages11
JournalInternational journal of technology management
Volume44
Issue number3/4
Publication statusPublished - 2008

Keywords

  • IR-71777
  • Success factors
  • performance assessment
  • strategic flexibility
  • NPD
  • operational effectiveness
  • METIS-250493
  • New product development

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