Aligning Marketing and Purchasing for new value creation

Exploring early purchasing involvement in discontinuous innovation: A dynamic capability perspective

“…Our findings indicate that renewing and generating new purchasing capabilities is a critical prerequisite for purchasing to cope with NPD characterized by discontinuous innovation conditions. Cross-functional communication between purchasing and marketing departments can facilitate the adaptation of existing supplier selection and assessment practices during the NPD ideation stage (Gonzalez-Zapatero et al, 2016;Matthyssens et al, 2016). Contrary to prior studies, notably Van Echtelt (2007) and Melander and Lakemond (2014), that indicate purchasing has limited influence on technology selection for NPD, our cases indicate that purchasing involved in the NPD ideation stage can influence technology selection by asking suppliers to propose product solutions based on potential customer expectations from marketing.…”

“…According to Lawson and Samson (2001), companies are encouraging, expecting and rewarding innovation from everywhere within the organization -not just R&D. Research has demonstrated that companies are aligning purchasing and marketing teams for NPD to information sharing regarding customers' preferences and suppliers' resources (Gonzalez-Zapatero et al, 2016;Matthyssens et al, 2016). Indeed, the alignment of purchasing and marketing has been seen as a dynamic process that enhances value creation and generates competitive advantage by developing capabilities difficult to imitate (Matthyssens et al, 2016). For example, strategies of "postponement" may be developed if suppliers initially provide certain product specifications, but wait to disclose others until marketing has more data on the actual demand (Gonzalez-Zapatero et al, 2016, p. 57).…”

“…For example, promoting supplier ideas and concept design proposals, required purchasing managers to move beyond their "zone of comfort" (Phillips et al, 2006b) or, beyond "the steady state" (Bessant et al, 2005). It is described by a new dynamic process that involved interactions with the marketing department to understand supplier proposals and potential customers' expectations (Gonzalez-Zapatero et al, 2016;Matthyssens et al, 2016).…”

Service Innovation Capability for Enhancing Marketing Performance: An SDL Perspectives

“…In order to be beneficial, a company should be striving to enhance its service value creation capability and service innovation capability as a medium for enhancing business performance (Nada & Ali, 2015). Thirdly, A service value that is created and delivered to a target market should be a result of aligning of production and marketing function for optimizing the possibility of value creation for the target market (Matthyssens et al, 2015).…”

Toward an extended perspective of the dual role or purchasing in global new product development: a case study of Avon cosmetics

“…The first aspect is the importance of balancing a well-planned project with fast-paced and precise execution, which allows companies to develop successful projects before competitors (Cooper, 1993). Another critical feature that is highlighted in both cases is the continuous relationship between team members from the most important functions of the business within the NPD structure, conferring an integrated perspective to the process (Clark & Wheelwright, 1993;Tracey, 2004;Matthyssens, Bocconcelli, Pagano, & Quintens, 2015). These two topics are key to the analysis of the NPD literature and will also determine the course of the remainder of this section.…”