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Journal ArticleDOI

New service development: areas for exploitation and exploration

01 Apr 2002-Journal of Operations Management (No longer published by Elsevier)-Vol. 20, Iss: 2, pp 135-157
TL;DR: The management of new service development (NSD) has become an important competitive concern in many service industries as discussed by the authors, however, NSD remains among the least studied and understood topics in the service management literature.
About: This article is published in Journal of Operations Management.The article was published on 2002-04-01. It has received 688 citations till now. The article focuses on the topics: Service system & New product development.
Citations
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TL;DR: In this article, the authors explored how the Taiwanese government learned from a hospital project and applied this experience to develop innovative IT-enabled services in the healthcare industry and identified issues that arise when innovative IT enabled hospital services are implemented and viable solutions are offered to effectively address those issues.

75 citations

Journal ArticleDOI
TL;DR: In this paper, the authors discuss the common factors and hindrances of service innovation and provide a managerial perspective on service innovation, focusing on the right triggers for success with service innovation.
Abstract: Purpose – This article discusses the common factors and hindrances of service innovation. Our purpose is to add a managerial perspective on service innovation.Design/methodology/approach – Multiple case studies on international firms that create competitive advantage through service innovation leadership are the main tool of theory development.Findings – This study answers following two strategic questions: What typical deficiencies exist that prevent firms from using service innovation as a source for competitive advantages?, What are the appropriate recommendations for succeeding with service innovation?Research limitations/implications – The study focuses only on companies in mature markets. The findings are limited to this sector.Practical implications – The paper assists managers in concentrating on the right triggers for succeeding with service innovation.Originality/value – Both scholars and managers still tend to be somewhat vague in suggesting detailed recommendations for service innovation. This...

75 citations

Journal ArticleDOI
TL;DR: A new systematic approach to new mobile service creation that can generate and evaluate the service concepts systematically is suggested and is expected to help service designers in real service creation processes.
Abstract: In spit of the growing importance of new service creation (NSC), especially new mobile service creation, most of the previous studies on NSC have been conceptual and focused on the traditional services. In response, this study suggests a new systematic approach to new mobile service creation. At first, morphological analysis is applied to identify the structure of services. Specifically, the dimension parameters are defined by decomposing the service system into basic components and the shape parameters are defined by mapping keywords extracted from business method patents through text mining. Then, by applying conjoint analysis, the promising configurations of mobile services are derived. Finally, the Kano model is applied to evaluate the requirement type of alternatives. The proposed approach can generate and evaluate the service concepts systematically. The detailed procedure of the approach is illustrated based on the case of mobile entertainment services. The proposed approach is expected to help service designers in real service creation processes.

74 citations

Journal ArticleDOI
TL;DR: In this paper, the authors proposed a model that relates aspects of organizational settings and collaboration to the success of innovation within the organization, and found that many of the American DMOs respond to visitor changes at the expense of providing new services that somehow do not fit within current organizational setting.
Abstract: Innovation and interorganizational collaboration have been identified as important elements of competitive tourism strategies. This study proposes a model that relates aspects of organizational settings and collaboration to the success of innovation within the organization. In particular, this study focuses on destination marketing organizations (DMOs) as they collaborate with destination businesses to assist in the development of new services in marketing the destination. A national survey among American DMOs indicates that partner collaboration is a significant driver of visitor-orientated innovation. Specifically, innovation success was found to be driven solely by the development of market-oriented rather than strategy-oriented new services, indicating that many of the American DMOs respond to visitor changes at the expense of providing new services that somehow do not fit within current organizational setting. These findings suggest that DMO leadership needs to consider organizational changes in orde...

74 citations

Journal ArticleDOI
TL;DR: In this article, the authors investigated the exploitation and the implications of Web 2.0 for enhancing customer involvement in new service development (NSD) in tourism in Greece, and the benefits of customer involvement.
Abstract: As research into customer involvement and Web 2.0 in new service development (NSD) is limited, this study investigated the exploitation and the implications of Web 2.0 for enhancing customer involvement in NSD in tourism. Studies analysing the following fields were reviewed: the concept, the benefits and the risks of as well as the empowering role of Web 2.0 for customer participation in NSD. The review is organized around a framework summarizing the following issues that need to be considered for Web 2.0 exploitation: the drivers, the degree, the management issues and risks, and the benefits of customer involvement. A model measuring the use of Web 2.0 was also developed and used for surveying the level of Web 2.0 exploitation for NSD purposes by Greek tourism firms. The survey findings were also complemented with a qualitative study exploring the perceptions of professionals regarding the benefits, the management issues and risks that they face when exploiting Web 2.0. Finally, the practical and the theoretical implications of the findings are discussed. Copyright © 2012 John Wiley & Sons, Ltd.

68 citations

References
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Journal ArticleDOI
TL;DR: In this paper, the authors consider the relation between the exploration of new possibilities and the exploitation of old certainties in organizational learning and examine some complications in allocating resources between the two, particularly those introduced by the distribution of costs and benefits across time and space.
Abstract: This paper considers the relation between the exploration of new possibilities and the exploitation of old certainties in organizational learning. It examines some complications in allocating resources between the two, particularly those introduced by the distribution of costs and benefits across time and space, and the effects of ecological interaction. Two general situations involving the development and use of knowledge in organizations are modeled. The first is the case of mutual learning between members of an organization and an organizational code. The second is the case of learning and competitive advantage in competition for primacy. The paper develops an argument that adaptive processes, by refining exploitation more rapidly than exploration, are likely to become effective in the short run but self-destructive in the long run. The possibility that certain common organizational practices ameliorate that tendency is assessed.

16,377 citations

Journal ArticleDOI
TL;DR: In this paper, the authors organize the product development literature into three streams of research: product development as rational plan, communication web, and disciplined problem solving, and synthesize research findings into a model of factors affecting the success of product development.
Abstract: The literature on product development continues to grow. This research is varied and vibrant, yet large and fragmented. In this article we first organize the burgeoning product-development literature into three streams of research: product development as rational plan, communication web, and disciplined problem solving. Second, we synthesize research findings into a model of factors affecting the success of product development. This model highlights the distinction between process performance and product effectiveness and the importance of agents, including team members, project leaders, senior management, customers, and suppliers, whose behavior affects these outcomes. Third, we indicate potential paths for future research based on the concepts and links that are missing or not well defined in the model.

3,824 citations


"New service development: areas for ..." refers background in this paper

  • ...…that a common set of factors—development process, market/environment, organizational and strategic—impact NPD performance (Schilling and Hill, 1998; Brown and Eisenhardt, 1995; Montoya-Weiss and Calantone, 1994) and NSD performance (de Brentani, 1995; Cooper et al., 1994; Cooper and de Brentani,…...

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  • ...This challenge is particularly difficult given the diverse literature reporting NPD research (see Krishnan and Ulrich, 2001; Wind and Mahajan, 1997; Brown and Eisenhardt, 1995)....

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  • ...The extant NPD research does not have all the answers to the questions of product or service development, but there is a foundation that can be drawn on (see integrative reviews by Krishnan and Ulrich, 2001; Schilling and Hill, 1998; Wind and Mahajan, 1997; Brown and Eisenhardt, 1995)....

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  • ...Underlying the empirical work addressing the antecedents of development performance is the belief that a common set of factors—development process, market/environment, organizational and strategic—impact NPD performance (Schilling and Hill, 1998; Brown and Eisenhardt, 1995; Montoya-Weiss and Calantone, 1994) and NSD performance (de Brentani, 1995; Cooper et al....

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Journal Article
TL;DR: Porter as discussed by the authors argues that the Internet is not disruptive to most existing industries and established companies and, contrary to recent thought, the Internet itself will be neutralized as a source of advantage.
Abstract: Many of the pioneers of Internet business, both dot-coms and established companies, have competed in ways that violate nearly every precept of good strategy. Rather than focus on profits, they have chased customers indiscriminately through discounting, channel incentives, and advertising. Rather than concentrate on delivering value that earns an attractive price from customers, they have pursued indirect revenues such as advertising and click-through fees. Rather than make trade-offs, they have rushed to offer every conceivable product or service. It did not have to be this way--and it does not have to be in the future. When it comes to reinforcing a distinctive strategy, Michael Porter argues, the Internet provides a better technological platform than previous generations of IT. Gaining competitive advantage does not require a radically new approach to business; it requires building on the proven principles of effective strategy. Porter argues that, contrary to recent thought, the Internet is not disruptive to most existing industries and established companies. It rarely nullifies important sources of competitive advantage in an industry; it often makes them even more valuable. And as all companies embrace Internet technology, the Internet itself will be neutralized as a source of advantage. Robust competitive advantages will arise instead from traditional strengths such as unique products, proprietary content, and distinctive physical activities. Internet technology may be able to fortify those advantages, but it is unlikely to supplant them. Porter debunks such Internet myths as first-mover advantage, the power of virtual companies, and the multiplying rewards of network effects. He disentangles the distorted signals from the marketplace, explains why the Internet complements rather than cannibalizes existing ways of doing business, and outlines strategic imperatives for dot-coms and traditional companies.

3,558 citations


"New service development: areas for ..." refers background in this paper

  • ...The Internet dramatically reduces these barriers, as summarized in Table 3 ( Porter, 2001 )....

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  • ...A differentiation strategy is difficult to attain in a service environment where innovations are quickly and easily copied ( Porter, 2001 )....

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Book
01 Jan 1986
TL;DR: Innovation is defined as "the development and implementation of new ideas by people who over time engage in transactions with others within an institutional order" as mentioned in this paper, where the authors focus on four basic factors new ideas, people, transactions, and institutional context.
Abstract: Innovation is defined as the development and implementation of new ideas by people who over time engage in transactions with others within an institutional order. This definition focuses on four basic factors new ideas, people, transactions, and institutional context. An understanding of how these factors are related leads to four basic problems confronting most general managers: 1 a human problem of managing attention, 2 a process problem in managing new ideas into good currency, 3 a structural problem of managing part-whole relationships, and 4 a strategic problem of institutional leadership. This paper discusses these four basic problems and concludes by suggesting how they fit together into an overall framework to guide longitudinal study of the management of innovation.

3,513 citations


"New service development: areas for ..." refers background in this paper

  • ...Focusing on NPD, Van de Ven (1986) notes four problems related to the management of development and innovation efforts....

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  • ...Focusing on NPD, Van de Ven (1986) notes four problems related to the management of development and innovation efforts....

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