Critical success factors in the front-end of high technology industry new product development

The objective of this research was to identify and assess the impact of critical success factors in the front-end segment of new product development in a high technology industry. Based on a literature review of new product development success factors and success measures, a conceptual model was proposed. The front-end success factors in the model were new product strategic fit, product definition, project definition, and organizational roles. The success construct was evaluated from both the operational and market-based success perspectives. A survey instrument along the model dimensions was created and validated. The survey was then administered to employees in a high technology global multi-market semiconductor company. Analysis of the data was accomplished using factor analysis, regression, and structural equation modeling. Innovation level was tested as a moderating variable in the model.;The results indicated support for the construct loading on the front-end factors. Through the regression analysis, it was found that product definition and organizational roles had a positive and significant relationship with market-based success. The new product strategic fit and project definition factors were positively related to operational success. The structural equation modeling provided additional evidence of the construct relationships with product definition having the strongest contribution to the front-end factor.;It was found that the innovation level indeed did moderate the operational success. The impact of operational success on market-based success was shown to positively correlate.;The conclusions from the research may assist new product development practitioners to better manage the activity of the front-end segment. Understanding the importance of managing the critical factors of the front-end and the impact on various success dimensions provides managers and teams with a framework to manage the new product development process. Knowing that success is multidimensional and innovation level has an impact, the front-end process can be adjusted for the particular needs of an organization and the type of new product project.