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Entrepreneurial Culture-Driven Improvement of Technical Facets for Product Quality and Customer Satisfaction

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Advances in Materials, Mechanical and Industrial Engineering (INCOM 2018)

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Abstract

Globalization widens the platform of small-, medium- and large-scale industries for achieving success by exploring their competitive advantages for continual development. New product development (NPD) is one of those constituents which enrich the competence of companies for industrial sustainability. In today’s era, entrepreneurship has become one of the essential cultures of the company to support and develop innovative products by encouraging the NPD activities. This empirical study accumulates primary data from 76 Indian manufacturing companies and identifies the role of entrepreneurial culture to promote the technical improvements which again accelerate the NPD success by developing quality products as per customer demand. Interrelationship model of these constructs is developed by structural equation modelling (SEM) approach using IBM SPSS Amos 21.0 software packages. This model developed from the experts’ opinion depicts that entrepreneurial culture positively encourages the technological advancement of companies which helps to develop innovative products of better quality to attain customer satisfaction and in turn the NPD success.

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Acknowledgements

The research work was substantially supported by a grant from the Department of Science and Technology (DST) of Government of India as a DST INSPIRE Fellowship to carry out the doctoral research of the corresponding author. The authors are also thankful to the industry personnel and experts from manufacturing industries from India who shared their views and opinions.

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Correspondence to Sudeshna Roy .

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Appendix

Appendix

  • Interview Protocol with description of latent variables

  1. 1.

    Entrepreneurial Culture (EC)

    • Risk-taking capability (m1): Risk-taking capability which enhances the probability of profit making

    • New product development culture (m2): Emphasis on development of new and innovative products

    • Technological leadership for R&D and innovation (m3): Emphasis on R&D, technological leadership and innovations

    • Development of many new lines of products (m4): Development of many new lines of products or services to increase profitability

    • Initiative actions (m5): Initiative actions to which competitors then respond

    • First to market (m6): First to introduce new products/services, techniques, technologies

    • Highly competitive approach (m7): Adoption of very competitive, “undo-the-competitors” posture

    • Productivity for high-risk projects (m8): Strong productivity for high-risk projects (with chances of very high returns)

    • Bold and wide-ranging acts (m9): Bold and wide-ranging acts are necessary to achieve the firm’s objectives

    • Exploration of opportunities (m10): Adoption of bold, aggressive posture to maximize the probability of exploiting opportunities.

  2. 2.

    Organizational Factors (OFs)

    • Responsiveness to change (m11): Quick responses to the changes occur during new product development.

    • Availability of qualified human resources (m12): Available qualified human resources successfully perform new product development activities.

    • Availability of production resources (m13): Available production resources for new product development.

    • In-house development of technology (m14): In-house development of technology related to the product to be developed.

    • Involvement of project leaders (m15): Involvement of project leaders in different activities at working level.

    • Focus on core competency areas (m16): Focus on core competency areas within the organization.

  3. 3.

    System Integration (SI)

    • Availability of formal department (m17): Availability of formal department that manages the system integration

    • Possession of experienced engineers (m18): Possession of experienced engineers with product knowledge in the system integration department who help to integrate several teams working on separate modules

    • Availability of middle management to handle system integration (m19): Availability of middle management, with operational skills and understanding of corporate strategy, to handle system integration activities

    • Necessity of a product manager (m20): Necessity of a product manager for system integration.

  4. 4.

    Financial Resources (FRs)

    • Available funds for product development (m21): Availability of funds to be spent on new product development activities

    • Funds for R&D (m22): Allotment of funds for continuous research activities and development of innovative products based on the findings of research work

    • Funds for marketing (m23): Funds spend on marketing activities to get promote the newly developed products for increasing profit.

  5. 5.

    Technical Improvements (TIs)

    • Investment to upgrade technological infrastructure (m24): Percentage of funds invested for upgrading of technological infrastructure to make the development process high-tech

    • Technology forecasting (m25): Implementation of technology forecasting to trace the difficulties

    • Usage of CAD/CAM (m26): Usage of CAD/CAM and various state-of-the-art technologies and newly launched technologies

    • Group technology (m27): Degree of implementation of group technology/cellular manufacturing

    • Lean manufacturing (m28): Implementation of lean manufacturing practices

    • Flexible manufacturing (m29): Presence of flexible manufacturing system

    • Design for manufacturability (m30): Degree of adoption of Design for Manufacturability and Assembly (DFMA)

    • Enterprise resource planning (m31): Use of enterprise systems (ERP) for product data management

    • Number of machine tools (m32): Number of machine tools used in the company for new product development process

    • Trained manpower (m33): Availability of trained manpower to handle the new product development activities skilfully and efficiently.

  6. 6.

    Product Quality (PQ)

    • Meet quality guidelines (m34): Achieve the quality guidelines as per requirements

    • Achieved product performance goal (m35): Attainment of product specifications as per customer requirement

    • Achievement of design goal (m36): Achievement of design specifications.

  7. 7.

    Customer Satisfaction (CS)

    • Customer delight: cost aspects (m37): Achievement to develop the new products within the cost as stated by customers

    • Customer delight: quality aspects (m38): Attainment of quality of new products as per customer requirements

    • Customer delight: specification and features aspects (m39): Successful development of new products as per specification and features mentioned by customers

    • Customer delight: after-sales services aspects (m40): High-end after-sales service facilities that company can provide after selling their products.

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Roy, S., Modak, N., Dan, P.K. (2019). Entrepreneurial Culture-Driven Improvement of Technical Facets for Product Quality and Customer Satisfaction. In: Sahoo, P., Davim, J. (eds) Advances in Materials, Mechanical and Industrial Engineering. INCOM 2018. Lecture Notes on Multidisciplinary Industrial Engineering. Springer, Cham. https://doi.org/10.1007/978-3-319-96968-8_33

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  • DOI: https://doi.org/10.1007/978-3-319-96968-8_33

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