Information inputs to new product planning and development |
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| Authors: | Knut Holt |
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| Institution: | University of Trondheim, Norwegian Institute of Technology, 7034 Trondheim, Norway |
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| Abstract: | For more and more firms product innovation is becoming the key to survival and future growth. Successful product innovation cannot be based only upon inspiration, fantasy and random ideas; in most firms a purposeful and systematic approach also is required. Information is a key concept in this context. As product innovation activities are very different from day-to-day activities, a special information system is required.Based on an in-depth study of a large firm, it appears that systematic innovation requires: (a) a sound business concept with future oriented strategies and policies; (b) a competent staff who master the necessary tools; (c) an efficient organization with an appropriate information system; (d) relevant methods for diversification studies and product planning; and (e) development of individual products based on systematical provision of information about user needs and proper specification of requirements.In small firms innovations are based more on the entrepreneurial approach. Such firms often demonstrate a very innovative attitude, but many of them are hampered by lack of skills in marketing and management. They also lack supporting services which can provide information about the environment.Considering the importance of small firms in economic development and social progress, they should be given support in their innovative attempts. This can be done by organizing innovation centers which arrange studies, develop courses, and give practical assistance to firms engaged in innovative work. Governments should develop policies and provide information stimulating both small and large firms to innovations that are more desirable from a social point of view. |
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