Product Development Team Stability and New Product Advantage: The Role of Decision-Making Processes

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SSCI Scopus FT ABDC-A*

Abstract

Innovation　scholars　have　long　touted　the　value　of　cross-functional　teams,　and　though　firms　have　embraced　a　cross-functional　design　in　their　new　product　development　(NPD)　teams,　these　teams　continue　to　face　challenges.　Stability　in　an　NPD　team　may　offer　important　advantages　for　decision　making;　however,　its　effectiveness　as　a　structural　coordination　mechanism　remains　largely　unexplored.　Therefore,　to　offer　insight　into　the　value　of　NPD　team　stability,　the　authors　develop　a　process-based　model　that　examines　the　extent　to　which　stability　influences　certain　decision-making　processes,　which　in　turn　influence　new　product　advantage.　They　examine　these　relationships　with　a　sample　of　cross-functional　NPD　project　teams　from　208　high-technology　firms.　The　results　reveal　that　the　degree　of　stability　in　an　NPD　project　team　has　a　curvilinear　relationship　to　team-level　debate　and　decision-making　comprehensiveness.　In　turn,　whereas　debate　is　positively　related　to　decision　comprehensiveness,　decision　comprehensiveness　is　positively　related　to　new　product　advantage　only　at　high　levels.　These　curvilinear　patterns　shed　light　on　anecdotal　evidence　that　currently　attributes　success　to　both　stable　and　unstable　project　teams.

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