Step 4.9

Prepare proposal to secure necessary project resources.

Primary findings

Secondary findings

Primary findings

Barriers

Focusing on market failure and taking a purely economic approach falls short of obligations. 
Case study findings
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Carriers

Evaluate rules regarding fund dispersal. Include obligations and obstacles as part of SWOT analysis.
Case study findings
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Methods

Exxon/Mobil lists a key lesson as: Properly resource roll-outs of NPD work processes to avoid false starts; otherwise there may be fits and starts of activity with gaps in between because of resource problems.
Industry experience.
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Senior Management and External Stakeholders — image managing, information seeking — As NPD in biotechnology is a many year project, it is essential that the role of the fundraiser is performed to ensure a steady flow of investment funds. Subjects indicated that the external communication to the funds analysts and venture capitalists could be considered ‘Investor Relations’ or ‘Public Relations’. In return, these stakeholders require information about the firm’s milestones, progress and future research to continue funding.
Case study analysis.
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Tips

Enter into a viable Research Center to help find funding for research.
Faculties of Universities participating in Research Centers have been able to secure funding from their business partners.
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Invest in tools, staff or other resources to help reduce development bottlenecks, the time to market benefits usually far outweigh the investment cost.
Case Study. Top manufacturers have found this to be true.
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NPD project support from top management is critical to ensure departmental level success, as it brings visibility which is associated with morale, and it brings adequate resources which are associated with shortened cycle time.
Three case studies supported by 18 interviews.
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R&D spending for product development, as measured as a percentage of sales, is the strongest determinant of the impact of a product development effort. However, R&D spending does not have a significant effect on profitability.
Survey of 161 business units.
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Resource deficiency is a major problem for many organizations, despite the fact that the provision of sufficient resources is one of the stronger factors distinguishing best from worst performers. In particular, marketing and sales often find that they lack needed resources, while technical resources are deemed barely adequate.
Survey of 105 U.S. companies.
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Too much multi-tasking occurs among members of new product development teams- too many projects, too much other work, a lack of focus, and a lack of a dedicated effort to their new product development projects. The results are quite negative- the ability to focus and dedicate resources is one of the important drivers of new product development performance. Resource allocation and focus must be a top priority if the goals of reduced time to market and quality of execution are to be realized.
Survey of 105 U.S. companies.
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Secondary findings

Barriers

Despite an abundance of academic and scientific expertise, biotechnology firms suffer from a lack of management skill and knowledge. This lack of skills and knowledge impacts on the firm’s ability to manage NPD as well as to secure the funding required for sustained performance.
Source: Ernst_&_Young (2001), Department of Industry Science and Resources and Ernst & Young (1999). In: Frahm, J., Ireland, D.C., & Hine, D. (2007)

Methods

Coordination in this sense refers to the problem of ensuring that scarce development resources are allocated efficiently to the different tasks that must be accomplished, that task deadlines are set appropriately and communicated clearly, and that the sequence of planned activities leads to a total project duration that approaches the minimum possible. In the literature on project management, these problems are typically addressed in terms of PERT charts and 'critical path analysis.'
Source: Eppen, Gould, and Schmidt (1993). In: Hoopes, D.G., & Postrel, S. (1999)

Tips

Organizational strength (strategy, skills, culture) as driver of new product success.
Source: Heynard and Szymanski, 2001; Montoya- Weiss ad Caklantone, 1994). In: Troy, L. Hirunyawipada, T. & Paswan, A. (2008)