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Performance impact of new product development processes for distinct scenarios under different supplier–manufacturer relationships

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  • Lee, Yun-Huei
  • Wang, Kung-Jeng
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    Abstract

    Although supplier involvement in new product development (NPD) projects has become increasingly important for strengthening a firm's competitive position, few studies have investigated the impact of changing research and development (R&D) workloads in NPD. According to the level of design-related characteristics including design-related communication and design-related nature, we identify four types of supplier–manufacturer relationships: sequential mode, passive supplier involvement, active supplier involvement, and strategic development. Differing from qualitative and survey-oriented research, this study proposes a system dynamics model for the quantitative exploration of workload impacts on R&D-system equilibrium under different supplier–manufacturer relationships. We justify experimentally the NPD performances of these supplier–manufacturer relationship configurations under workload impacts and provide managerial insights.

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    Bibliographic Info

    Article provided by Elsevier in its journal Mathematics and Computers in Simulation (MATCOM).

    Volume (Year): 82 (2012)
    Issue (Month): 11 ()
    Pages: 2096-2108

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    Handle: RePEc:eee:matcom:v:82:y:2012:i:11:p:2096-2108

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    Web page: http://www.journals.elsevier.com/mathematics-and-computers-in-simulation/

    Related research

    Keywords: New-product development; Supplier-relationship management; System dynamics;

    References

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    1. Ragatz, Gary L. & Handfield, Robert B. & Petersen, Kenneth J., 2002. "Benefits associated with supplier integration into new product development under conditions of technology uncertainty," Journal of Business Research, Elsevier, vol. 55(5), pages 389-400, May.
    2. John D. Sterman, 1989. "Modeling Managerial Behavior: Misperceptions of Feedback in a Dynamic Decision Making Experiment," Management Science, INFORMS, vol. 35(3), pages 321-339, March.
    3. LaBahn, Douglas W. & Krapfel, Robert, 2000. "Early Supplier Involvement in Customer New Product Development: A Contingency Model of Component Supplier Intentions," Journal of Business Research, Elsevier, vol. 47(3), pages 173-190, March.
    4. Sahal, Devendra, 1985. "Technological guideposts and innovation avenues," Research Policy, Elsevier, vol. 14(2), pages 61-82, April.
    5. Bidault, Francis & Despres, Charles & Butler, Christina, 1998. "The drivers of cooperation between buyers and suppliers for product innovation," Research Policy, Elsevier, vol. 26(7-8), pages 719-732, April.
    6. Wynstra, Finn & van Weele, Arjan & Weggemann, Mathieu, 2001. "Managing supplier involvement in product development:: Three critical issues," European Management Journal, Elsevier, vol. 19(2), pages 157-167, April.
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