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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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Journal ArticleDOI
TL;DR: Product service systems (PSS) have been heralded as one of the most effective instruments for moving society towards a resource-efficient, circular economy and creating a much needed "resource revolution" as mentioned in this paper.

1,345 citations

Book ChapterDOI
17 Jul 2002

1,123 citations

Posted Content
TL;DR: In this paper, the authors identify 16 topics relevant to marketing science, which they classify under five research fields: consumer response to innovation, including attempts to measure consumer innovative-ness, models of new product growth, and recent ideas on network externalities.
Abstract: Innovation is one of the most important issues in business research today. It has been studied in many independent research traditions. Our understanding and study of innovation can benefit from an integrative review of these research traditions. In so doing, we identify 16 topics relevant to marketing science, which we classify under five research fields: - Consumer response to innovation, including attempts to measure consumer innovative-ness, models of new product growth, and recent ideas on network externalities - Organizations and innovation, which are increasingly important as product development becomes more complex and tools more effective but demanding - Market entry strategies, which includes recent research on technology revolution, exten-sive marketing science research on strategies for entry, and issues of portfolio manage-ment - Prescriptive techniques for product development processes, which have been transformed through global pressures, increasingly accurate customer input, web-based communica-tion for dispersed and global product design, and new tools for dealing with complexity over time and across product lines - Defending against market entry and capturing the rewards of innovating, which includes extensive marketing science research on strategies of defense, managing through metrics and rewards to entrants For each topic, we summarize key concepts and highlight research challenges. For pre-scriptive research topics, we also review current thinking and applications. For descriptive top-ics, we review key findings.

1,040 citations

Journal ArticleDOI
TL;DR: In this paper, the authors identify 16 topics relevant to marketing science, which they classify under five research fields: consumer response to innovation, including attempts to measure consumer innovativeness, models of new product growth, and recent ideas on network externalities; organizations and innovation, which are increasingly important as product development becomes more complex and tools more effective but demanding.
Abstract: Innovation is one of the most important issues in business research today. It has been studied in many independent research traditions. Our understanding and study of innovation can benefit from an integrative review of these research traditions. In so doing, we identify 16 topics relevant to marketing science, which we classify under five research fields: Consumer response to innovation, including attempts to measure consumer innovativeness, models of new product growth, and recent ideas on network externalities; Organizations and innovation, which are increasingly important as product development becomes more complex and tools more effective but demanding;. Market entry strategies, which includes recent research on technology revolution, extensive marketing science research on strategies for entry, and issues of portfolio management; Prescriptive techniques for product development processes, which have been transformed through global pressures, increasingly accurate customer input, Web-based communication for dispersed and global product design, and new tools for dealing with complexity over time and across product lines; Defending against market entry and capturing the rewards of innovating, which includes extensive marketing science research on strategies of defense, managing through metrics, and rewards to entrants. For each topic, we summarize key concepts and highlight research challenges. For prescriptive research topics, we also review current thinking and applications. For descriptive topics, we review key findings.

956 citations

Journal ArticleDOI
TL;DR: In this paper, the authors present a framework for conducting case studies examining how smart cities were being implemented in San Francisco and Seoul Metropolitan City by integrating various practical perspectives with a consideration of smart city characteristics taken from the literature.

622 citations


Cites background from "New service development: areas for ..."

  • ...[36] borrow March [33] notion of exploitation (meaning ‘persuading further leveraging and refinement’) and exploration (meaning the ‘identification of newareas or domains...

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References
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Journal ArticleDOI
TL;DR: In this article, the authors present a framework for examining the service recovery process and then report on an empirical study to test this framework, which not only validate much of what is anecdotally claimed by researchers and casual observers of service industries but also highlight the role of operational activities in service recovery.

528 citations


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

  • ...Some of these service design constructs range from the familiar like customer contact (Kellogg and Chase, 1995; Chase and Tansik, 1983), service blueprinting (Shostack, 1987, 1984), and service quality (Harvey, 1998; Behara and Chase, 1993) to less frequently mentioned—though important—constructs such as service recovery (Miller et al., 2000; Hart et al., 1990) and service climate (Schneider and Bowen, 1995, 1985)....

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  • ...…Tansik, 1983), service blueprinting (Shostack, 1987, 1984), and service quality (Harvey, 1998; Behara and Chase, 1993) to less frequently mentioned—though important—constructs such as service recovery (Miller et al., 2000; Hart et al., 1990) and service climate (Schneider and Bowen, 1995, 1985)....

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Journal ArticleDOI
TL;DR: In this article, the authors introduce a multistage model of new product development process and show that if product improvements are additive (over stages), it is optimal to allocate maximal time to the most productive development stage.
Abstract: Reduction of new product development cycle time and improvements in product performance have become strategic objectives for many technology-driven firms. These goals may conflict, however, and firms must explicitly consider the tradeoff between them. In this paper we introduce a multistage model of new product development process which captures this tradeoff explicitly. We show that if product improvements are additive (over stages), it is optimal to allocate maximal time to the most productive development stage. We then indicate how optimal time-to-market and its implied product performance targets vary with exogenous factors such as the size of the potential market, the presence of existing and new products, profit margins, the length of the window of opportunity, the firm's speed of product improvement, and competitor product performance. We show that some new product development metrics employed in practice, such as minimizing break-even time, can be sub-optimal if firms are striving to maximize prof...

503 citations


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

  • ...Cohen et al. (2000, 1996) add a third objective to that mix, namely total development cost....

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Journal Article
TL;DR: Service companies like Taco Bell, Dayton Hudson, and ServiceMaster are reversing the cycle of failure by putting workers with customer contact first and designing the business system around them, developing a model that replaces the logic of industrialization with a new service-driven logic.
Abstract: For more than 40 years, service companies like McDonald's prospered with organizations designed according to the principles of traditional mass-production manufacturing. Today that model is obsolete. It inevitably degrades the quality of service a company can provide by setting in motion a cycle of failure that produces dissatisfied customers, unhappy employees, high turnover among both--and so lower profits and lower productivity overall. The cycle starts with human resource policies that minimize the contributions frontline workers can make: jobs are designed to be idiot-proof. Technology is used largely for monitoring and control. Pay is poor. Training is minimal. Performance expectations are abysmally low. Today companies like Taco Bell, Dayton Hudson, and ServiceMaster are reversing the cycle of failure by putting workers with customer contact first and designing the business system around them. As a result, they are developing a model that replaces the logic of industrialization with a new service-driven logic. This logic: Values investments in people as much as investments in technology--and sometimes more. Uses technology to support the efforts of workers on the front lines, not just to monitor or replace them. Makes recruitment and training crucial for everyone. Links compensation to performance for employees at every level. To justify these investments, the new logic draws on innovative data such as the incremental profits of loyal customers and the total costs of lost employees. Its benefits are becoming clear in higher profits and higher pay--results that competitors bound to the old industrial model will not be able to match.

481 citations


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

  • ...Among the more familiar service design paradigms are the production-line approach to service (Levitt, 1972), the service-driven service company (Schlesinger and Heskett, 1991), and the service profit chain (Heskett et al., 1997)....

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  • ...Among the more familiar service design paradigms are the production-line approach to service (Levitt, 1972), the service-driven service company (Schlesinger and Heskett, 1991), and the service profit chain (Heskett et al....

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Journal ArticleDOI
TL;DR: It is found that the project execution methods are positively associated with project execution success, and these methods are effective singly and collectively, suggesting that firms can “balance firmness and flexibility” in product development via appropriate execution methods.

458 citations


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

  • ...A number of studies have focused exclusively on the projectlevel unit of analysis (Tatikonda and Rosenthal, 2000; 146 L.J. Menor et al. / Journal of Operations Management 20 (2002) 135–157 Hauptman and Hirji, 1996; Meyer and Utterback, 1995; Iansiti, 1995; Clark, 1989)....

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Journal ArticleDOI
TL;DR: In this article, a growing body of evidence suggests that a firm may employ strategies to successfully meet two critical objectives: maximizing the fit with customer needs, and minimizing time to market.
Abstract: Executive Overview For many industries, new product development is now the single most important factor driving firm success or failure. The emphasis on new products has spurred researchers from strategic management, engineering, marketing, and other disciplines to study the new product development process. Most conclude that in order to be successful at new product development, a firm must simultaneously meet two critical objectives: maximizing the fit with customer needs, and minimizing time to market. While these objectives often pose conflicting demands on the firm, there is a growing body of evidence that the firm may employ strategies to successfully meet these objectives. Successful firms are those that articulate their strategic intent and map their R&D portfolio to find a fit between their new product development goals and their current resources and competencies. Their success also rests on how well the technology areas they enter contribute to the long term direction of the firm by helping them...

452 citations


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

  • ...…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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  • ...Indeed, Schilling and Hill (1998) identify (i) the minimization of time-to-market and (ii) the maximization of fit between customer requirements and product characteristics as being critical objectives for NPD processes....

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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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