Factor influencing flexibility in new product development: empirical evidence from Indian manufacturing firms

Abstract

Purpose A significant amount of work has been done on new product development (NPD); however, studies on the flexibility aspect in NPD are scant. This study aims to investigate the relationship between NPD flexibility and five infrastructural factors, namely, marketing and manufacturing integration practices (MMIPs), advanced human resource practices (AHRPs), supplier integration practices (SIPs), operational improvement practices (OIPs) and advanced manufacturing technologies (AMTs). Design/methodology/approach The study applies a questionnaire-based survey approach to examine the proposed relationships between different variables and NPD flexibility. Using a 39-item questionnaire, 262 valid and usable responses were collected from Indian manufacturing firms. Data were analysed using principal component analysis and confirmatory factor analysis. Further, structural equation modelling was applied to examine the contribution of different infrastructural factors to NPD flexibility. Findings In light of the empirical evidence produced in this study, the study suggests that MMIPs, AHRPs, SIPs, OIPs and AMTs have a direct, positive and significant influence on NPD flexibility. Among all the predictors, SIPs are the strongest predictor of NPD flexibility, followed by OIPs and AMTs. Research limitations/implications The findings extend prior studies of NPD by broadening the theory related to NPD flexibility. Practitioners should take a macro approach and focus on several practices to enhance flexibility in NPD. Originality/value Unlike earlier studies that provide limited empirical evidence on NPD flexibility and deal with the concept in isolation, this empirical study applies a systematic approach to understand factors influencing NPD flexibility.

Supply chain flexibility and mass personalization: a systematic literature review

“…A flexible supply chain encompasses every effort involved in producing and delivering a final product from the supplier’s supplier to the customer’s customer” (Lummus et al , 2003; Wadhwa et al , 2008). Vickery et al (1999) define SCF as an amalgamation of new product flexibility, product flexibility, volume flexibility, distribution flexibility and responsiveness flexibility, into supply chain agents (Kou et al , 2018; Mishra and Mishra, 2019). A broader and more up to date concept of SCF encompass those flexibility dimensions that directly impact a firm’s customers and constitutes the shared responsibility of two or more functions along the supply chain, whether internal (marketing, manufacturing) or external (suppliers, channel members) to the firm (Martínez-Sánchez and Pérez, 2005; Stevenson and Spring, 2007; Ashrafi and Ravasan, 2018).…”

The moderating role of industry clockspeed on the relation between supply chain integration practices and new product flexibility

“…NPF is defined as a firm's ability to produce new products in response to an uncertain environment and customers' changing needs without adding major equipment, losing time and performance [ 9 ]. It shows a firm's ability to use a cost-efficient and effective manufacturing process to produce new products without sacrificing its primary objectives.…”

“…Garret [ 28 ] asserted that NPF is essential for coping with internal or external disruptions. Therefore, a firm operating in an uncertain and dynamic environment should adopt the flexible approach in its new product development process to make changes according to customer requirements [ 9 ].…”

“…They operationalized it as quality, cost, delivery, and supply chain flexibility [ [6] , [7] , [8] ]. However, new product flexibility (NPF) literature is scant [ 9 , 10 ]. NPF differs from other forms of flexibility and refers to the firm's ability to develop, produce, and make changes in new products in an uncertain environment without excessive cost and time [ 9 , 11 ].…”

“…However, new product flexibility (NPF) literature is scant [ 9 , 10 ]. NPF differs from other forms of flexibility and refers to the firm's ability to develop, produce, and make changes in new products in an uncertain environment without excessive cost and time [ 9 , 11 ]. The outbreak of COVID-19 caused uncertainty that soared the demand for safety products.…”