The article published by Academy of Management, “Managing the new product development process: Strategic imperatives” focuses on the issues regarding new product development, its processes and strategies. Now a days, new product development is single most important factor that leads to firm’s success or failure for many industries. Though the new product failure are still high the importance of new product development has grown dramatically over the last few decades, and is now the dominant driver of competition in many industries. So, it shows that the emphasis on new products has prompted researchers from strategic management, engineering, marketing, and other disciplines to study the new product development process. In industries such as automobiles, biotechnology, consumer and industrial electronics, computer software, and pharmaceuticals, companies often depend on products introduced within the last five years for more than 50 percent of their annual sales. Due to the observation by survey on result of the R&D projects found that the expected return are not achieved from the market of the new product introduced. This trend has prompted a great deal of research on how to optimize the new product development process. The Article’s objective is to provide a working guide for managers to identify opportunities for improving their new product development (NPD) process and perceptual map for scholars to identify fruitful areas for research.
The main focus given in the article is how to overcome the challenges in new product development process in the current situation. From the researchers conclusion it is revealed that in order to be successful in new product development, a firm or a company must simultaneously meet two objectives. Those are i) ii) Maximizing the fit with customer needs, Minimizing time to market.
While firm’s efforts vary in...