Critical Success Factors in the Front End of Innovation: Results From an Empirical Study

Abstract

This study empirically analyses the effects of five critical success factors on the front end of innovation and new product development success. Data from a self-developed questionnaire on a cross-industry sample of 77 German-based small- and medium-sized firms were collected through an online survey. Accouting for factors not included in previous studies, the results indicate that strategic alignment, creative encouragement, and external collaboration are the key predictors of front-end success. Surprisingly, the impact of process formalisation and the importance of cross-functional collaboration for front-end success could not be supported. We conject that collaboration in the front end of innovation must exceed simple communication and information exchange to significantly effect front-end success. Managerial implications of this study include the need for an internal search for ideas by fostering employees’ creative abilities while simultaneously remaining open to external input. Also, activities in the front end of innovation should be aligned with the organisation’s overall business strategy to promote successful ideation.

Redes de promoção às colaborações no front end da inovação: uma revisão sistemática da literatura

“…Furthermore, although understanding that collaborative networkswhich promote informal communication to the development of ideascan increase interaction and creativity (Leenders et al, 2002;Leenders, Van Engelen, & Kratzer, 2003as cited in Parjanen et al, 2002, it is unclear what are best practices to promote collaboration at the FEI, especially with a view to the development of networks to foster innovative entrepreneurship. Wagner, Bican, & Brem (2021) reinforce that for positive effects in a collaboration at the FEI, it is important for it to exceed the simple communication and exchange of information. This is a field that needs further research.…”

“…However, Wagner, Bican, & Brem (2021) reinforce that collaboration in the FEI must go beyond the simple communication and exchange of information for success in this stage. Gama, Frishammar, and Parida (2019) also reinforce that the literature is still unclear on how the involvement of external actors affects, for example, the relationship between the systematic generation of ideas and the performance of small companies' front end.…”

“…Schweitzer and Gabriel (2012, p. 13) concluded that "the quality of collaboration has a significant and positive effect on all front-end success factors," from factors such as creativity, efficiency, and even the reduction of technical uncertainties. Likewise, Wagner, Bican, and Brem (2021) identified that external collaboration, whether with customers, intermediaries, suppliers, or competition, is an important indicator of front end success. However, Elerud-tryde and Hooge (2014) concluded that more research is needed to understand how collaborative tools can support the efficient generation of ideas and innovation.…”

The effects of the fuzzy front end and cross-functional interfaces in the NPD process

“…First, our study affirms the need for managers to lay emphasis on the FFE stage and its importance should never be underestimated. Attention should be paid to this stage and more resources should be allocated if possible, such as appointing a knowledgeable team leader, providing top management support and commitment, creating a reward system that encourage FFE practices, and facilitating inter-functional collaboration and external collaboration (Kim and Wilemon, 2002; Wagner et al. , 2021).…”

Design of a Software Tool Supporting Orientation in the Context of Digital Transformation

“…[21]). The success of organizations' DT initiatives is vitally dependent on the effective management of ideas in this orientation phase [22], [23]. Supporting idea management activities with (ITsupported) tools can highly reduce the complexity of these and, thereby, increase their effectiveness [11], [22], [24].…”