Troy, L. Hirunyawipada, T. & Paswan, A. (2008). Cross-Functional Integration and New Product Success: An Empirical Investigation of the Findings. American Marketing Association, 72, 132-146.
Format: Peer-reviewed article
Type: Research — Non-experimental
Experience level of reader: Advanced
Annotation: The authors used 25 previous studies to analyze the impact of cross-functional integration on New Product Development (NPD), with the goal of identifying variables which produce the strongest relationship between cross-functional integration and NPD success. They found nine conditions which appeared to be optimal for cross-functional integration to benefit NPD. They were: integration at a team or project level, shared customer information, a maximum of 2 functions integrated, information sharing only as opposed to cooperative climate, operating in non-western countries, producing high-tech products, and producing services. It was also found that the way in which researchers measure NPD success will influence the relationship to cross-functional integration. Objective measures such as sales or profits show more positive results than the subjective measures such as manager’s perceptions. Also, when reviewing product success, there is a stronger correlation between NPD success and integration when product effectiveness is measured as opposed to productivity or market performance. A summary of these findings can be found in a conference presentation made in 2005 by the second author and colleagues.
Knowledge user level addressed by the literature: Organization
This article uses the Commercial Devices and Services version of the NtK Model