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: This is the first critical review published in the peer-reviewed literature that explores the principle dimensions of service innovation and provides a new approach to the literature.
Abstract: Purpose
The purpose of this paper is to propose a new approach that enables service innovation models to incorporate a holographic perspective into their innovation-centric business models. The essence of the holographic approach to service innovation might provide us with an innovative organization that is enclosed in its components; a knowledge-centric approach that adapts each person as a vital component of a whole; and the ability of value co-creation by each part of the organization in ways that benefit the organization as a whole.
Design/methodology/approach
This paper uses a narrative synthesis framework combining existing literature (by textual narrative technique) with expert opinion, based on search of Science-Direct and ProQuest academic databases.
Findings
A total of 114 top-cited and high relevant references were deeply reviewed. Nine principle dimensions were evolved from the final review to construct a comprehensive definition of service innovation. Then, the narrative synthesis helped us to bring forward a new approach to service innovation and applied it in the form of a conceptual model, as the literature was previously established on certain approaches. In the final stage, a comprehensive model of service innovation was designed to introduce the holographic approach to the existing literature.
Research limitations/implications
This paper reviewed top-cited and high relevant references published in English that were indexed in Science-Direct and ProQuest. The authors did not search any grey literature and other language publications, and hand-search any journals.
Practical implications
This research highlights how managers must consider service innovation as a whole.
Originality/value
This is the first critical review published in the peer-reviewed literature that explores the principle dimensions of service innovation and provide a new approach to the literature.
4 citations
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01 Jan 2019
TL;DR: In this article, a design thinking for industrial services (DETHIS) Verfahren is presented, which is a speziell auf die Bedurfnisse von KMU angepasstes Design-Thinking-Verfhren entwickelt, um deren Innovationsfahigkeit nachhaltig zu steigern.
Abstract: Die Relevanz von Dienstleistungsinnovationen hat in letzter Zeit erheblich an Bedeutung gewonnen. Dies gilt gleichermasen fur den spezifischen Fall industrienaher Dienstleistungen. Die dezidierte Entwicklung innovativer Dienstleistungen stellt gerade kleine und mittlere Unternehmen (KMU) vor besondere Herausforderungen, da sie haufig nur uber eingeschrankte Ressourcen und unstrukturierte Innovationsprozesse verfugen. Auf Grundlage des Design-Thinking-Ansatzes, der auf multidisziplinaren Teams, Nutzerzentrierung und Kreativitat basiert, hat das Verbundprojekt ‚Design Thinking for Industrial Services‘ (DETHIS) daher ein speziell auf die Bedurfnisse von KMU angepasstes Design-Thinking-Verfahren entwickelt, um deren Innovationsfahigkeit nachhaltig zu steigern. Dieses Verfahren beruht auf einem spezifischen Phasenmodell und einem Methodenbaukasten mit mehr als 400 Methoden. In diesem Beitrag stehen die Entwicklung sowie die detaillierte Prasentation des im DETHIS-Projekt entwickelten Verfahrens im Fokus.
4 citations
01 Jan 2016
TL;DR: In this paper, an analiza literatury wyka-zała, że dotychczasowe badania naukowe w niewielkim stopniu poświęcone były tej tematyce, a dostępne publikacje dotyczyły głównie zagadnienia ryzyka ocenianego z perspektywy organizacji, klienta i proces
Abstract: Streszczenie Dla firm usługowych innowacyjność stanowi ważny czynnik stymulujący uzyski wanie przewagi konkurencyjnej. Przedsięwzięcia nowatorskie wiążą się natomiast z podwyższonym poziomem ryzyka, dlatego istotne dla przedsiębiorców powinno być świadome zarządzanie w tym zakresie. Przeprowadzona analiza literatury wyka zała, że dotychczasowe badania naukowe w niewielkim stopniu poświęcone były tej tematyce, a dostępne publikacje dotyczyły głównie zagadnienia ryzyka ocenianego z perspektywy organizacji, klienta i procesu wdrożeniowego. Brak jednak w litera turze przedmiotu kompleksowego modelu stanowiącego rekomendację procedury zarządzania ryzykiem dla innowacyjnych przedsiębiorców usługowych. W niniej szym artykule podjęto próbę zapełniania tej luki w postaci propozycji autorskiego modelu łączącego procesy wdrażania nowych usług oraz zarządzania ryzykiem, wraz z objaśnieniem działań dla poszczególnych kroków tych procesów.
3 citations
15 Nov 2010
TL;DR: In this article, the authors present evidence relating to the growing need for innovation management in financial institutions by the example of German savings banks and present recommendations on how to investigate and plan holistic innovation management.
Abstract: In the European public (financial) service industry the innovation management has not been systematically investigated yet, although this sector is highly important for economic growth and employment in Europe. Due to the financial crisis this industry is currently receiving additional attention by European policy makers and researchers. We studied German savings banks using a quantitative survey in order to contribute to a more systematically empirical investigation of the current status of innovation management in one of the most important service industries in Europe. The central result of our empirical study highlights that highly innovative financial service companies differ from less innovative companies in the way the top management supports the innovation development activities and how customer focuses on the companies. Based on these findings we put forward recommendations on how to investigate and plan holistic innovation management in the European financial and (public) service industry in general. We present evidence relating to the growing need for innovation management in financial institutions by the example of German savings banks. Our survey investigated the innovation activities in German savings banks for the first time. Our study is based on the question “How innovative are German savings banks and their corresponding associations?” The presented findings are based on descriptive and multivariate statistical analyses. The recommended procedures can be transferred to other public welfare companies.
3 citations
Cites background from "New service development: areas for ..."
...Much of the research in innovation management still focuses on product development (Menor et al., 2002)....
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Proceedings Article•
01 Jan 2013TL;DR: A theoretical framework that explains how IT and collaboration can contribute to developing service innovation capability is developed and test and distinguishes between sensing, seizing, and transformation abilities in service innovation.
Abstract: In today’s networked service economy, it becomes essential for service firms to continuously innovate their service offering to remain competitive in constantly changing market conditions. Many successful firms collaborate with external partners and utilize contemporary information technology (IT) support to integrate dispersed service innovation capacity and knowledge. In this paper, we develop and test a theoretical framework that explains how IT and collaboration can contribute to developing service innovation capability. Drawing on dynamic capability theory, we differentiate between sensing, seizing, and transformation abilities in service innovation. With our theoretical model, we can explain as much as 65% of the variance in service innovation success (R2=.647) and provide evidence of the multi-facetted and significant effects of IT and collaboration. Especially in the phase of turning first ideas into operational service innovation concepts, IT and collaboration are of great importance for service innovation success.
3 citations
Cites background from "New service development: areas for ..."
...Service design and development issues are increasingly recognized as important to managers (Menor et al. 2002)....
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References
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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
6,797 citations
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 1986TL;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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