A Study on Effective Factors on New Product Development with an Emphasis on Fuzzy Hierarchical Analysis Approach

Subject Areas : Business Strategy

Javad Iranban ¹ , Sanaz Davodzadeh ²

1 - Department of Management, Shiraz Branch, Islamic Azad University, Shiraz, Iran
2 - Shiraz Branch, Islamic Azad University, Shiraz, Iran

Received: 2015-01-03 Accepted : 2015-03-01 Published : 2016-01-01

Keywords: fuzzy analytical hierarchy process, Value innovation, New product development, structural equation modeling,

Abstract :

Nowadays the new product and its importance are consideredas an essential strategy for staying in business. Though the hi-techindustry has focused on value innovation and improving the qualityof the new product development (NPD) process to drive new productperformance, new product success has not changed dramaticallyover the years. This study presents a novel approach based on structuralequation modeling (SEM) and fuzzy analytical hierarchy processmodel (FAHP) to explore how value innovation and quality of new productprocess affect NPD performance.The survey contained industrial companies which are located in Farsprovince. The sample contains 98 people who were selected by randomcluster sampling. The research was done using descriptive and appliedmethod. Totally, 16 indicators have been collected and were classifiedin 3 groups of value innovation, quality and NPD performance. Resultsdemonstrate that value innovation directly affects NPD performanceand the quality of NPD processes has a nonlinear effect on NPD performance.

References:

[1] Aiman-Smith, L., Goodrich, N., Roberts, D., and Scinta, J. (2005), Assessing

your organization’s potential for value innovation .Research Technology

Management, 48 (2), 225-246.

[2] Aragon-Correa, J. A. and Garcia-Morales, V. J., Cordon-Pozo ,E.(2007),

Leadership and organizational learning’s role on innovation and performance:

Lessons from Spain. Industrial Marketing Management, 36 (4),

349-359.

[3] Barclay, K. 2006, Between modernity and primitively: Okinawan identity

in relation to Japan and the south pacific. Nations and Nationalism, Vol.

12, No. 1, 117-138.

 [4] Cooper, R. G. (1996), Overhauling the new product process. Industrial

Marketing Management, 25 (6), 465-482.

[5] Cooper, R. G. and Kleinschmidit, E. J. (2007), Winning businesses in

product development: The critical success factors. Research Technology

Management, 50 (3), 52-66.

[6] Dikmen, L., Birgonul, M. T., and Artuk, S. U. (2005), Integrated framework

to investigate value innovations. Journal of Management in Engineering,

21 (2), 81-90.

[7] Dillon, T. A., Lee, R. K ., and Matheson, D. (2005), Value innovation

:Passport to wealth creation. Research Technology Management, 48 (2),

22-36.

[8] Garcia-Morales, V. J., Ruiz-Moreno, A., and Loren’s-Montes, F. J.

(2007), Effects of Technology absorptive capacity and technology proactivity

on organizational learning, innovation and performance: An empirical

examination. Technology Analysis and Strategic Management, 19 (4),

527-558.

[9] Haider A. (1388), Structural Equation Modeling using lisrel software.

Third edition. SAMT.

[10] Hurley, R. F. and Hult, G. T. (1998), Innovation, market orientation,

and organizational learning: An integration and empirical examination.

Journal of Marketing, 62 (3), 42-54.

[11] Irwin, J. G., Hoffman, J. J., and Lamont, B. T. (1998), The effect of the

acquisition of Technological innovations on organizational performance:

A resource-based View. Journal of Engineering and Technology Management,

15 (1), 25-54.

[12] Joshi, A. W. and Sharma, S. (2004), Customer knowledge development:

Antecedents and impact on new product performance. Journal of Marketing,

68 (4), 47-59.

[13] Kline, R. B. (2005), Principles and practice of structural equation modeling

(2nd Ed.). New York: The Guilford Publications. Inc.

[14] Mohanty, R. P. (1999), Value innovation perspective in Indian organizations.

Participation and Empowerment: An International Journal, 7 (4),

88-103.

 [15] Sethi, R. and Iqbal, Z. (2008), Stage-Gate controls, learning failure, and

adverse effect on novel new products. Journal of Marketing, 72 (1), 118-

134.

[16] Taghavi fard, T. and Akhbari, M. (1386), New product development process.

Tadbir scientific-educational publication, 184.

[17] Page, A. and Jones, R. (1989), Business growth How to achieve and sustain.

Leadership and Organization Development Journal, 10 (2), 1-55.

[18] Varela, J. and Benito, L. (2005), New product development process in

Spanish firms: Typology,antecedents and technical/marketing activities.

Technovation, 25 (4), 395-405.