An Evaluation of Analytic and Simulation Models for Organizing the Steps in New Product Development

Summary form only given. Organizing the new product development (NPD) process, in terms of how to locate the steps in the process in relation to each other and determine the information processing links between the steps, is a significant issue for both researchers and practitioners. For example, this work has helped us to understand the appropriateness of concurrent versus sequential engineering. This paper compares analytic and simulation models for organizing the process. By examining inputs, outputs, and means of converting inputs into outputs for 13 different models, we indicate which significant NPD features the analytic and simulation categories tend to incorporate. Knowledge of the differences in features between the two types of models then leads us to explain variations in the results that are obtainable and to also suggest needed improvements. Because an ability to incorporate more features is not the whole story, we also examine a type of model's receptiveness to interpretation and validation, capacity for optimal solutions, and ability to evaluate alternative organizational arrangements for the NPD process. Finally, we indicate ways in which the two types of models can complement each other