Factor influencing flexibility in new product development: empirical evidence from Indian manufacturing firms

Ruchi Mishra · Onkar Nath Mishra

7 citations0/0 files storedJournal of Business and Industrial Marketing

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Product Development and Customization Innovation and Knowledge Management Quality and Supply Management

Abstract

Purpose A significant amount of work has been done on new product development (NPD); however, studies on the flexibility aspect in NPD are scant. This study aims to investigate the relationship between NPD flexibility and five infrastructural factors, namely, marketing and manufacturing integration practices (MMIPs), advanced human resource practices (AHRPs), supplier integration practices (SIPs), operational improvement practices (OIPs) and advanced manufacturing technologies (AMTs). Design/methodology/approach The study applies a questionnaire-based survey approach to examine the proposed relationships between different variables and NPD flexibility. Using a 39-item questionnaire, 262 valid and usable responses were collected from Indian manufacturing firms. Data were analysed using principal component analysis and confirmatory factor analysis. Further, structural equation modelling was applied to examine the contribution of different infrastructural factors to NPD flexibility. Findings In light of the empirical evidence produced in this study, the study suggests that MMIPs, AHRPs, SIPs, OIPs and AMTs have a direct, positive and significant influence on NPD flexibility. Among all the predictors, SIPs are the strongest predictor of NPD flexibility, followed by OIPs and AMTs. Research limitations/implications The findings extend prior studies of NPD by broadening the theory related to NPD flexibility. Practitioners should take a macro approach and focus on several practices to enhance flexibility in NPD. Originality/value Unlike earlier studies that provide limited empirical evidence on NPD flexibility and deal with the concept in isolation, this empirical study applies a systematic approach to understand factors influencing NPD flexibility.

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References

2003Common method biases in behavioral research: A critical review of the literature and recommended remedies.1997What is the Right Supply Chain for Your Product 2002Aligning Supply Chain Strategies with Product Uncertainties 2006Managing beyond the factory walls: Effects of four types of strategic integration on manufacturing plant performance 2002Benefits associated with supplier integration into new product development under conditions of technology uncertainty 2005Manufacturing Practices and Strategy Integration: Effects on Cost Efficiency, Flexibility, and Market‐Based Performance 1995Shooting the Rapids: Managing Product Development in Turbulent Environments 2002The development of university spin-offs: early dynamics of technology transfer and networking

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