Barriers to successful new product development within small manufacturing companies

Abstract

This research was based on the analysis of three PDR-based Knowledge Transfer Partnership (KTP) projects. PDR employs the KTP model as an effective mechanism for collaborative design and development work with companies, particularly small and medium-sized enterprises (SMEs). The well-defined structured of the KTP process generates a comprehensive portfolio of case-study material, and this facilitates research in the area of product development management.

This research study aimed to identify and analyse the main barriers to new product development (NPD) within small manufacturing companies. The study employed a longitudinal case-study methodology, which focused on data gathering from three companies undertaking NPD activities in-house. Three generic managerial issues that impinge on new product development were identified: (1) detrimental influence of a dominant owner-manager; (2) focus on time and cost ahead of other key factors; and (3) failure to understand the importance of product design.

Barriers to, and opportunities for, new product development within small manufacturing companies are neglected areas in terms of detailed research studies. The significance of this work is that the issues highlighted can help to inform managers, practitioners and policy makers who are engaged in enhancing design and development activities within 'traditional' manufacturing companies.