Supplier and customer involvement in new product development stages: Implications for new product innovation outcomes

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International Journal of Innovation and Technology Management


This paper investigates the relationships among supply chain participants' involvement at various stages of new product development (NPD) and a firm's innovation outcomes in terms of number of new product introduction and new product radicalness. A total of 107 questionnaires were collected from a cross-sectional survey of NPD managers. Results show significant impacts of suppliers' and customers' involvement on the firm innovation outcomes in the various NPD stages. Suppliers' involvement in the firm NPD process influences negatively or is not related to firm innovation success in the various NPD stages. However, customers' involvement affects positively or is not related to firm innovation success in the various NPD stages. This indicates that the distinct features of the various NPD stages make customer or supplier involvement more or less appropriate at each stage. Therefore, this paper provides significant managerial implications for supply chain practitioners regarding with whom, when, and how they set up supply chain strategy to improve their innovation performance.

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