The growing complexity and pace of industrial technological changes are forcing firms to forge new alliances and to respond more efficiently to the market changes. This process is leading some companies toward more strategic joint integration with others. The development of new engineering‐based products is one of the key factors in both corporate and national success. The importance of the new product development process to corporate success is now firmly recognized. It is reflected in continuing interest so as to how this process might be most effectively and efficiently “managed.” This paper aims to investigate this issue.
The methodology of research is soft system methodology (SSM) and statistical. This paper, first, reviews the role of innovation, relationship between time/cost of production, effective factors of product efficiency. Then, using SSM, the authors introduces an integrated network model innovation based on internal and external organizational elements when it applies to the research and development complex environment of engineering‐based new product development programs.
While previous attempts in modelizing the process of innovation was not adequate in view of the increasing complexity, changing conditions are now influencing the innovation process.
The paper discusses the evolution, changing perceptions and changing practices of what constitutes the dominant model of best practice in the innovation process.
