Abstract
Product innovation is a vital strategy for organisations to grow and survive (e.g. Coyne ,1996; Trott 1998). The recent study of 100 CEO’s found that ‘companies that did not keep creating novel products and depended on extensional products showed poor growth rates’ (PA consulting quoted by Perry, 2001). Unquestionably, product innovation is an activity which contains high risk and uncertainty. Either is it hard to define the final result or the achievement of the result is in market. The research aims to investigate general viewpoints of ‘how’, ‘why’, ‘with whom’ and ‘which way’ the UK SMEs link with other organisations in supporting new products. One hundred and thirty eight innovative product case studies, the winners of Millennium Products Awards during 1997- 2000 were selected from the results of the first study by the Design Council regarding the 26 innovation issues/processes. The case studies employed the issue of Links with other organisations in the contribution to their design and innovation successes. The postal questionnaires were directed to Company Directors or Managers who were involved with the winning product. 55.8 percent is the response rate. The paper presents the result of the external sources that the organisations linked with, and at which stage of innovation process the organisations linked with other organisations. In general, the research result presents 88 percent of innovative products which show a degree of radical changes in design. Research institutions (47%) –universities and laboratories and production suppliers (42%) –new technologies of components and systems are the most frequently chosen of external resources in comparison with governmental specialist organisations (18%) and design consultants (16%). The average number of links of external sources is one or two. Four stages during the innovation process: research and development, concept testing, idea and concept generation and manufacture show the important value of employing external organisations.
Citation
Bussracumpakorn, C. (2002) The study of the UK SMEs employing external organisations to support innovative products, in Durling, D. and Shackleton, J. (eds.), Common Ground - DRS International Conference 2002, 5-7 September, London, United Kingdom. https://dl.designresearchsociety.org/drs-conference-papers/drs2002/researchpapers/13
The study of the UK SMEs employing external organisations to support innovative products
Product innovation is a vital strategy for organisations to grow and survive (e.g. Coyne ,1996; Trott 1998). The recent study of 100 CEO’s found that ‘companies that did not keep creating novel products and depended on extensional products showed poor growth rates’ (PA consulting quoted by Perry, 2001). Unquestionably, product innovation is an activity which contains high risk and uncertainty. Either is it hard to define the final result or the achievement of the result is in market. The research aims to investigate general viewpoints of ‘how’, ‘why’, ‘with whom’ and ‘which way’ the UK SMEs link with other organisations in supporting new products. One hundred and thirty eight innovative product case studies, the winners of Millennium Products Awards during 1997- 2000 were selected from the results of the first study by the Design Council regarding the 26 innovation issues/processes. The case studies employed the issue of Links with other organisations in the contribution to their design and innovation successes. The postal questionnaires were directed to Company Directors or Managers who were involved with the winning product. 55.8 percent is the response rate. The paper presents the result of the external sources that the organisations linked with, and at which stage of innovation process the organisations linked with other organisations. In general, the research result presents 88 percent of innovative products which show a degree of radical changes in design. Research institutions (47%) –universities and laboratories and production suppliers (42%) –new technologies of components and systems are the most frequently chosen of external resources in comparison with governmental specialist organisations (18%) and design consultants (16%). The average number of links of external sources is one or two. Four stages during the innovation process: research and development, concept testing, idea and concept generation and manufacture show the important value of employing external organisations.