The explosion of information and information technology has led many firms to evolve a dispersed product development process with people and organizations spread throughout the world. To coordinate such dispersed processes managers attempt to establish a culture that implicitly rewards product development teams based on their ability to perform against a set of strategic metrics such as customer satisfaction, time to market, defect reduction, or platform reuse. Many papers have focused on selecting the right metrics and establishing the culture. In this paper we focus on a practical method to fine-tune a firm's relative emphasis on the metrics that they...
(162116 bytes; application/pdf) - 23-jun-2010
Olivier, Toubia; Duncan, Simester; John, Hauser
We propose and test a new adaptive conjoint analysis method that draws on recent polyhedral “interior-point” developments in mathematical programming. The method is designed to offer accurate estimates after relatively few questions in problems involving many parameters. Each respondent’s ques-tions are adapted based upon prior answers by that respondent. The method requires computer support but can operate in both Internet and off-line environments with no noticeable delay between questions. We use Monte Carlo simulations to compare the performance of the method against a broad array of relevant benchmarks. While no method dominates in all situations, polyhedral algorithms appear to hold...
(1287038 bytes; application/pdf) - 23-jun-2010
Dahan, Ely; Hauser, John; Simester, Duncan; Toubia, Olivier
In response to the need for more rapid and iterative feedback on customer preferences, researchers are developing new web-based conjoint analysis methods that adapt the design of conjoint questions based on a respondent’s answers to previous questions. Adapting within a respondent is a difficult dy-namic optimization problem and until recently adaptive conjoint analysis (ACA) was the dominant method available for addressing this adaptation. In this paper we apply and test a new polyhedral method that uses “interior-point” math programming techniques. This method is benchmarked against both ACA and an efficient non-adaptive design (Fixed).
Over 300 respondents were randomly assigned to...
(810497 bytes; application/pdf) - 23-jun-2010
Hauser, John; Dahan, Ely
Communication and information technologies are adding new capabilities for rapid and
inexpensive customer input to all stages of the product development (PD) process. In this article
we review six web-based methods of customer input as examples of the improved Internet capabilities
of communication, conceptualization, and computation. For each method we give examples
of user-interfaces, initial applications, and validity tests. We critique the applicability of the
methods for use in the various stages of PD and discuss how they complement existing methods.
For example, during the fuzzy front end of PD the information pump enables customers
to interact with each other in a web-based game that provides incentives...
(1688492 bytes; application/pdf) - 23-jun-2010