Product Development Processes in the Nordic Paper Packaging Companies : an assessments of complex processes

It is important for firms to continually develop their offerings as the business landscape develops in order to sustain their competitiveness (e.g. Schumpeter, 1934; Ansoff, 1979; Porter, 1985; Trott, 2012). In a context of globalization, rapid technology development and changing customer needs, the...

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Autor principal: von Ehrenheim, Louise
Formato: H2
Lenguaje:Inglés
sueco
Publicado: SLU/Dept. of Forest Products 2013
Materias:
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author von Ehrenheim, Louise
author_browse von Ehrenheim, Louise
author_facet von Ehrenheim, Louise
author_sort von Ehrenheim, Louise
collection Epsilon Archive for Student Projects
description It is important for firms to continually develop their offerings as the business landscape develops in order to sustain their competitiveness (e.g. Schumpeter, 1934; Ansoff, 1979; Porter, 1985; Trott, 2012). In a context of globalization, rapid technology development and changing customer needs, the paper packaging industry is urged to enhance its product development activities (Hansen & Niskanen, 2007; Björkdahl & Börjesson, 2011). However, there is little research about paper packaging firms’ product development processes (ibid). Accordingly, this study assessed the product development processes of four Nordic paper packaging firms. This study took the contemporary theoretical perspective that product development is a complex, non-linear processes, which should be managed accordingly (OECD & Eurostat, 2005; Burns, 2005; Smith et al., 2008; Goffin & Mitchell, 2010; Trott, 2012). In particular, Goffin and Mitchell’s (2010) Innovation Pentathlon Framework was selected as a model to assess the firms’ product development processes. This framework comprises an innovation process that has three phases; idea generation, prioritizations and implementation. This innovation process is supported by the firms’ strategy as well as underlying human resources and organizational structures. Executives responsible for product development were interviewed using semi-structured interviews. Interview results were then analysed and compared with the Innovation Pentathlon Framework and literature. Findings were that the Nordic paper packaging producing companies have flexible and dynamic product development processes. Moreover, all executives consider that flexibility in running product development projects is vital. The four firms have different product development praxis. Nonetheless, components such as idea generation and product development phases are similar. All firms recognised that there is a need for enhanced investments in competences, people processes and team management. A key distinguishing feature of product development praxis was that some firms have a push oriented idea generating and prioritization processes while others have pull oriented processes. Involvement of customers varies among the companies accordingly. The assessment was that most firms could benefit from having a more diverse idea generating process, involving employees and customers in the prioritization process as well as focusing more on the value proposition. The study showed a difference in attitudes towards external actors. Some advocate that open innovation can provide firms with opportunities, although it requires competence in how to establish agreements and balance values etc. However, the findings also indicate that other actors in the industry are becoming more introverted, which may negatively affect the development of the sector and firms within it. Findings showed that firms’ business strategies were integrated in the product development process, although this was performed differently. The assessment found that a naturally integrated strategy can act as a facilitator for the products development, although too lose structures might lead to project drift. On the other hand, too controlled and strict processes might hamper the innovativeness, even though it secures the project alignment. The companies need to examine the effects of their approaches. Finally the study highlights the need for more knowledge about the complexity of running product development processes in paper packaging firms. Several areas for improvement are identified in the study, such as people processes and management, open innovation and customer involvement, flexibility vs. efficiency and the nature of flexible cultures. Further research is needed to understand what explicit components the management needs to address to master these areas.
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spelling RepoSLU59022013-07-30T06:47:29Z Product Development Processes in the Nordic Paper Packaging Companies : an assessments of complex processes Produktutvecklingsprocesser i de nordiska pappersförpackningsföretagen : en analys av komplexa processer von Ehrenheim, Louise Product development processes Paper packaging companies Complexity Flexible & dynamic processes Team management Organizational structures Networks and alliances Correlation to strategy produktutvecklingsprocesser pappersförpackningar komplexitet flexibla och dynamiska processer projektledning organisationsstrukturer samarbeten strategi It is important for firms to continually develop their offerings as the business landscape develops in order to sustain their competitiveness (e.g. Schumpeter, 1934; Ansoff, 1979; Porter, 1985; Trott, 2012). In a context of globalization, rapid technology development and changing customer needs, the paper packaging industry is urged to enhance its product development activities (Hansen & Niskanen, 2007; Björkdahl & Börjesson, 2011). However, there is little research about paper packaging firms’ product development processes (ibid). Accordingly, this study assessed the product development processes of four Nordic paper packaging firms. This study took the contemporary theoretical perspective that product development is a complex, non-linear processes, which should be managed accordingly (OECD & Eurostat, 2005; Burns, 2005; Smith et al., 2008; Goffin & Mitchell, 2010; Trott, 2012). In particular, Goffin and Mitchell’s (2010) Innovation Pentathlon Framework was selected as a model to assess the firms’ product development processes. This framework comprises an innovation process that has three phases; idea generation, prioritizations and implementation. This innovation process is supported by the firms’ strategy as well as underlying human resources and organizational structures. Executives responsible for product development were interviewed using semi-structured interviews. Interview results were then analysed and compared with the Innovation Pentathlon Framework and literature. Findings were that the Nordic paper packaging producing companies have flexible and dynamic product development processes. Moreover, all executives consider that flexibility in running product development projects is vital. The four firms have different product development praxis. Nonetheless, components such as idea generation and product development phases are similar. All firms recognised that there is a need for enhanced investments in competences, people processes and team management. A key distinguishing feature of product development praxis was that some firms have a push oriented idea generating and prioritization processes while others have pull oriented processes. Involvement of customers varies among the companies accordingly. The assessment was that most firms could benefit from having a more diverse idea generating process, involving employees and customers in the prioritization process as well as focusing more on the value proposition. The study showed a difference in attitudes towards external actors. Some advocate that open innovation can provide firms with opportunities, although it requires competence in how to establish agreements and balance values etc. However, the findings also indicate that other actors in the industry are becoming more introverted, which may negatively affect the development of the sector and firms within it. Findings showed that firms’ business strategies were integrated in the product development process, although this was performed differently. The assessment found that a naturally integrated strategy can act as a facilitator for the products development, although too lose structures might lead to project drift. On the other hand, too controlled and strict processes might hamper the innovativeness, even though it secures the project alignment. The companies need to examine the effects of their approaches. Finally the study highlights the need for more knowledge about the complexity of running product development processes in paper packaging firms. Several areas for improvement are identified in the study, such as people processes and management, open innovation and customer involvement, flexibility vs. efficiency and the nature of flexible cultures. Further research is needed to understand what explicit components the management needs to address to master these areas. I takt med att affärsklimatet förändras måste företag kontinuerligt utveckla sina erbjudanden för att upprätthålla sin konkurrenskraft (eg. Schumpeter, 1934; Ansoff, 1979; Porter, 1985; Trott, 2012). Globalisering, snabb teknikutveckling och föränderliga kundönskemål gör att pappersförpackningsindustrin behöver förbättra sin produktutveckling (Hansen & Niskanen, 2007; Björkdahl & Börjesson, 2011). Det finns sparsamt med forskning om just pappersförpackningsföretagens produktutvecklingsprocesser (Ibid.), varför denna studie tittar på just detta för fyra av Nordens ledande företag. Denna studie har anammat modern litteraturs perspektiv där produktutveckling anses bestå av komplexa, icke-linjära processer som även bör hanteras och styras därefter (OECD & Eurostat, 2005; Burns, 2005; Smith et al., 2008; Goffin & Mitchell, 2010; Trott, 2012). Framför allt har Goffin & Mitchells (2010) modell Innovation Pentathlon Framework använts som utgångspunkt för att analysera företagens innovations processes. Denna modell delar upp innovationsprocessen i tre faser; idégenerering, prioriteringar and utveckling/förverkligande. Samtidigt menar modellen att dessa faser stöttas av företagets strategi samt underliggande organisationsstrukturer och resurser i form av individers kompetens. Personer på ledande position inom produktutveckling intervjuades i semi-strukturerade intervjuer. Materialet från intervjuerna analyserades och jämfördes sedan med Innovation Pentathlon Framework-modellen och annan litteratur inom ämnet. Studien visar på att de nordiska pappersförpackningsföretagen har flexibla och dynamiska produktutvecklingsprocesser. Alla intervjuade personer ansåg dessutom att flexibilitet är av stor vikt i utvecklingsprojekten. De fyra företagen har alla olika praxis för deras produktutveckling, men likväl har de liknande komponenter, exempelvis faserna idégenerering och prioritering av idéer och projekt. Alla företag underströk behovet av utveckling inom projektledning och kompetens för att hantera den komplexitet som produktutvecklingsprocessena innebär. Resultaten indikerar även att företagen skiljer sig i fråga om fokus för idégenerering och prioriteringar. Vissa företag är mer push-orienterade medan andra är mer pull-orienterade och detta speglar även till vilken utsträckning företagen involverar kunder i deras utvecklingsprocesser. De flesta företag skulle troligtvis ha nytta av en mer diversifierad idégenereringsprocess, att involvera delaktiga personer och kunder även i prioriteringsprocessen samt att fokusera mer på vilka värden de olika projekten kan generera. Det finns också en diskripans i företagens attityder mot externa aktörer. Vissa företag förespråkar öppen innovation och menar att detta förhållningssätt skapar möjligheter, även om metoden kräver insikt och kunskap om hur man ska utforma avtal och balansera värden etc. Samtidigt har andra aktörer blivit mer introverta, vilket kan komma att påverka hela industrin negativt. Vidare visar resultaten att alla företag integrerar sina affärsstrategier i produktutvecklingsprocesserna, fastän detta sker på olika sätt. Analyser tyder på att en naturligt integrerad strategi kan fungera underlättande för produktutveckling. För att undvika att projekt driver iväg kan dock kontroller behövas. Kontroller och strikta processer för att integrera strategin kan å andra sidan påverka innovationskraften och kreativiteten negativt. Företagen måste analysera hur deras förhållningssätt påverkar deras produktutvecklingsprocesser för att kunna balansera med kompletterande åtgärder. Slutligen konstaterar studien att det finns ett behov av mer kunskap om komplexiteten i att hantera produktutvecklingsprocesser. Studien identifierar ett antal områden som behöver förbättras och studeras närmare, exempelvis projektledning och hantering av personal, öppen innovation och involvering av kunder, flexibilitet versus effektivitet, samt flexibla kulturers förutsättningar. Vidare forskning behövs för att förstå vilka handgripliga komponenter företagens ledning bör adressera för att hantera dessa områden och förbättra sina produktutvecklingsprocesser. SLU/Dept. of Forest Products 2013 H2 eng swe https://stud.epsilon.slu.se/5902/
spellingShingle Product development processes
Paper packaging companies
Complexity
Flexible & dynamic processes
Team management
Organizational structures
Networks and alliances
Correlation to strategy
produktutvecklingsprocesser
pappersförpackningar
komplexitet
flexibla och dynamiska processer
projektledning
organisationsstrukturer
samarbeten
strategi
von Ehrenheim, Louise
Product Development Processes in the Nordic Paper Packaging Companies : an assessments of complex processes
title Product Development Processes in the Nordic Paper Packaging Companies : an assessments of complex processes
title_full Product Development Processes in the Nordic Paper Packaging Companies : an assessments of complex processes
title_fullStr Product Development Processes in the Nordic Paper Packaging Companies : an assessments of complex processes
title_full_unstemmed Product Development Processes in the Nordic Paper Packaging Companies : an assessments of complex processes
title_short Product Development Processes in the Nordic Paper Packaging Companies : an assessments of complex processes
title_sort product development processes in the nordic paper packaging companies : an assessments of complex processes
topic Product development processes
Paper packaging companies
Complexity
Flexible & dynamic processes
Team management
Organizational structures
Networks and alliances
Correlation to strategy
produktutvecklingsprocesser
pappersförpackningar
komplexitet
flexibla och dynamiska processer
projektledning
organisationsstrukturer
samarbeten
strategi