Strategic Drivers Of Concurrent System Design

How does transformation take place from a mechanistic bureaucracy to a concurrent system of development for exploiting the capabilities of the composite model? Scenarios for transformation vary, but there are some events which are common to many journeys. Strategic responses to environmental dynamism drive a series of changes infusing horizontal integration into vertical hierarchies. A chart sketches a hypothetical path of events starting with environmental context and culminating with the emergence of the composite model of new service development (NSD). The competitive environment of services has become increasingly turbulent in recent years. Enterprises with superior capability for adapting to environmental changes are likely to enjoy competitive advantages because they more agilely adapt to changing threats and opportunities. The adoption of an innovation strategy has become increasingly critical for adaptation to environmental change. Opportunities for developing innovative customer offerings are typically greater under turbulent conditions. To develop superior customer offerings, a sea change needs to take place in the capability of new service development systems to generate differentiated customer offerings. A pivotal factor in response to environmental dynamism is the formation of a cross-functional group responsible for developing innovative offerings. Consolidating stakeholders responsible for NSD fosters the adoption of organic practices which stimulates innovation. The need and capability for innovation drives the adoption of practices that provides the platform for the emergence of the composite model.