Product Development

Integrating Manufacturing into the Strategic Phases of New Product Development

Donald Gerwin


Abstract
Some companies are beginning to integrate the manufacturing function with product planning and R&D during the earliest stages of new product development. Manufacturing has been influencing choices with strategic implications such as new technologies, product strategy, and product concepts; forging direct links with product planning to supplement those previously developed with R&D; and fully participating in decision making rather than merely supplying information. More important, manufacturing is often the catalyst for these developments. It determines which specific front-end activities to target such as feature-cost tradeoffs, competitive analyses and interviews of customers. With assistance from the other functions, it develops a plan for establishing credibility by defining mutual expectations, acquiring a market-oriented knowledge base, creating new liaison roles, and initiating special joint ad hoc projects. While these efforts are currently piecemeal in nature, they are leading to a new three-way partnership in the opening stages of product development.

California Management Review

Published at Berkeley Haas for more than sixty years, California Management Review seeks to share knowledge that challenges convention and shows a better way of doing business.

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