Supply capability creation process: Key milestone criteria and activities

Abstract

Purpose: The article focuses on supply capability creation (SCC) within the new product development (NPD). The purpose is to establish an SCC process describing the main SCC activities and milestone criteria in preparing the supply process for new products Design/methodology/approach: The article analyses the earlier research, carries out current state analysis of six case companies regarding the SCC areas, and proposes a SCC process. Findings: The developed SCC process aims at preparing the operational supply capability for a developed new product based on the preferred, qualified and contracted suppliers and materials along the NPD process, and ultimately at the product ramp-up. Originality/value: This paper introduces a SCC process that has not been presented earlier in the literature, highlighting the important role of the SCC for successful product ramp-ups.

Keywords

• new product development, NPD, supply-chain management, supply chain capability creation, supply management, supply capability creation, procurement