From Cross-Functional to Rank-Spanning Radical New Product Development: An Analysis with Recommendations

Business Studies Journal, Volume 3, Number 2, 2011

39 Pages Posted: 26 Sep 2012

See all articles by Enrique Nunez

Enrique Nunez

Ramapo College of New Jersey

Richard R. Reilly

Stevens Institute of Technology - School of Business

Gary Lynn

Stevens Institute of Technology - School of Business

Date Written: 2011

Abstract

While CEOs say that innovation is an important source of future growth for their companies, they devote more than twice as much time to financial planning as they do to new product development. Yet, in an environment typified by increased competition, change, and uncertainty, is it surprising if senior executives do not clearly understand what their roles should be in this process? While there is no one best way to organize new product development, firms do employ many of the same mechanisms. More significant however, is that the use of these mechanisms, and consequently, senior management’s involvement, is often markedly different based on how far-reaching of an innovation is being developed. In this paper, we contend that management’s role in radical new product development is to be fully engaged as part of a rank-spanning NPD team. Under this structure, management’s responsibilities include: 1. Designing an environment conducive to radical innovation. 2. Deciding which projects get done. 3. Nurturing the fledgling initiatives to ensure that those that are chosen are implemented well and with the appropriate amount of oversight. In addition,we provide details for each of managements’ responsibilities, and examples to demonstrate how leaders can integrate rank-spanning teams into their organization’s new product development efforts.

Suggested Citation

Nunez, Enrique and Reilly, Richard R. and Lynn, Gary S., From Cross-Functional to Rank-Spanning Radical New Product Development: An Analysis with Recommendations (2011). Business Studies Journal, Volume 3, Number 2, 2011. Available at SSRN: https://ssrn.com/abstract=2152606

Enrique Nunez

Ramapo College of New Jersey ( email )

505 Ramapo Valley Road
Mahwah, NJ 07430
United States

HOME PAGE: http://www.ramapo.edu

Richard R. Reilly

Stevens Institute of Technology - School of Business ( email )

Hoboken, NJ 07030
United States

Gary S. Lynn (Contact Author)

Stevens Institute of Technology - School of Business ( email )

Hoboken, NJ 07030
United States

Register to save articles to
your library

Register

Paper statistics

Downloads
35
Abstract Views
404
PlumX Metrics