Project Management for New Product Development

Abstract

This paper examines the intersection of the project management (PM) body of knowledge with new product development (NPD). The area under examination is development of consumer products (e.g. dishwashers) that have a significant engineering production content. It is concluded that the PM method, with its structured task definition and software tools, is generally useful for managing NPD projects. However, in some areas PM incompletely meets the needs of NPD. Specifically, NPD is characterised by complex interrelated activities and large uncertainties about precisely which solution path will be taken, such that the full scope of the project can often not be anticipated beforehand. The paper identifies that more research is required to validate the stage-gate and lean project management methods, and to clarify which areas in particular they benefit and how to reliably achieve those benefits. Whereas cost is the primary focus in PM (because conventional projects tend to only spend money), with NPD there is a need to consider both cost and income (from product sales) in making strategic decisions. Communication and human resource management are important factors in NPD success, but existing project management perspectives have little to say about the social and behavioural aspects, such as organisational culture, team dynamics, and leaderships styles, especially not for NPD. Some findings from human resource (HR) management are discussed here. Current PM practices are very much based on >output control= (targets, appraisal, rewards, management by objectives), which the HM literature identifies as inhibiting innovation. There is also likely to exist an intersection, as yet poorly understood, between PM and knowledge management, particularly for innovation processes such as NPD. For practitioners the main message is that the PM method provides a basic, but imperfect, tool for managing NPD. Thus it is recommended that practitioners use, but not rely on, the PM method and the PMBOK. Practising managers might benefit from adopting new PM ideas as they appear, but need to do so with an open mind. The relevance for researchers is that gaps have been identified in the PM method as it is currently applied to NPD. Several places are identified where further research is required to (a) better understand the causality between factors (e.g. human resource management) and

ORGANISATIONAL FACTORS, ANTICIPATED RENTS AND COMMERCIALISATION IN SMEs

“…This suggests good project management may offer SME ownermanagers greater confidence in their innovation's ability to deliver better design and stronger isolating mechanisms through technical and legal complexities. This finding is also consistent with earlier research (Hayashi, 2004;Kerzner, 2006;Pons, 2008, Tugrul, 2013.…”

“…Project success seems to be determined by the efficiency of communications and knowledge sharing (Hayashi, 2004) and by the effectiveness of coordination and control processes (Pons, 2008). The ability to integrate or systematically link NPD, commercialisation and technology evaluation processes is also important for success (Tugrul, 2013).…”

“…The portfolio management construct asked about the types of innovations being developed. The project management construct was measured through five items adapted from Pons (2008) that measured the firm's project management team's experience, access to external expertise and government sponsorship of the innovation management process. The commercialisation construct was measured by four items that asked about the market testing of the innovation (Adams et al, 2006) and formal intellectual property protection, such as patents (Burrone, 2005).…”

The Role of Reward Systems in Product Innovations: An Examination of New Product Development Projects

“…Both market orientation types may influence overall firm performance through their effects on incremental and radical innovations, respectively (Atuahene‐Gima et al, ). Firms typically organize separate project teams to wage on incremental innovation (e.g., product improvements and extensions), whereas other teams engage in radical innovation (e.g., development of completely new products for the emerging markets) (Atuahene‐Gima et al, ; Pons, ). Project teams that conduct incremental innovation plausibly have a responsive market orientation, whereas those that focus on radical innovation have a proactive market orientation.…”

Arquitetura de software de domínio específico para apoio ao gerenciamento ágil de projetos distribuídos

“…Pons (2008) afirma que necessidade de novos métodos para produtos complexos e inovadores e Maylor (2001) aponta indícios de projetos aonde as ferramentas são utilizadas de forma burocrática e que não apóiam efetivamente o gerenciamento de projetos.…”