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R&D Project Selection Incorporating Customer-Perceived Value and Technology Potential: The Case of the Automobile Industry

Author

Listed:
  • Sungjoo Lee

    (Department of Industrial Engineering, Ajou University, Suwon 16499, Korea)

  • Chanwoo Cho

    (Electronics and Telecommunications Research Institute, Daejeon 34129, Korea)

  • Jaehong Choi

    (Hyundai Motor Company, Hwaseong 18280, Korea)

  • Byungun Yoon

    (Department of Industrial & Systems Engineering, Dongguk University, Seoul 04620, Korea)

Abstract

As user-centric innovation has recently emerged as a successful way of developing new products, services, and concepts, it is worth considering the perspectives of potential technology users during R&D project selection processes. Nevertheless, little effort has been made to reflect customer-perceived value in establishing selection criteria, with the focus mainly on technological potential instead. Therefore, this study aims to develop an R&D project selection model incorporating not only technological potential but also customer-perceived value. For this purpose, a new R&D project evaluation model and process is proposed, and its feasibility is tested by potential users in a real scenario. The automobile industry is suitable for our evaluation model because it is a B2C and system-based industry where customer needs are critical to market success and a number of R&D projects are proposed every year. Finally, a supporting tool is developed to help interact with various evaluators and visualize the evaluation results, as customer involvement is recommended for accurate project evaluation from the perspective of technology users. This study is one of the earliest attempts to reflect customer-perceived value in R&D project selection, and practically, the research outputs are expected to be useful to automobile manufacturers in creating value from R&D projects.

Suggested Citation

  • Sungjoo Lee & Chanwoo Cho & Jaehong Choi & Byungun Yoon, 2017. "R&D Project Selection Incorporating Customer-Perceived Value and Technology Potential: The Case of the Automobile Industry," Sustainability, MDPI, vol. 9(10), pages 1-18, October.
    • Handle: RePEc:gam:jsusta:v:9:y:2017:i:10:p:1918-:d:116074
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    References listed on IDEAS

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    Cited by:

    1. Kiwon Lee & Suchul Lee, 2021. "Knowledge Structure of the Application of High-Performance Computing: A Co-Word Analysis," Sustainability, MDPI, vol. 13(20), pages 1-20, October.
    2. Ewa Frąckiewicz, 2021. "Information and Communication Technologies as a Source of Customer Value in the Context of Balancing the Positions of Younger and Older Consumers," Sustainability, MDPI, vol. 13(9), pages 1-15, April.
    3. Simone Wurster & Philipp Heß & Michael Nauruschat & Malte Jütting, 2020. "Sustainable Circular Mobility: User-Integrated Innovation and Specifics of Electric Vehicle Owners," Sustainability, MDPI, vol. 12(19), pages 1-20, September.
    4. Seunghoon Lee & Young Hoon Lee & Yongho Choi, 2019. "Project Portfolio Selection Considering Total Cost of Ownership in the Automobile Industry," Sustainability, MDPI, vol. 11(17), pages 1-17, August.
    5. Elena Higueras-Castillo & Sebastian Molinillo & J. Andres Coca-Stefaniak & Francisco Liébana-Cabanillas, 2019. "Perceived Value and Customer Adoption of Electric and Hybrid Vehicles," Sustainability, MDPI, vol. 11(18), pages 1-15, September.

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