In the chapter, we discussed the use of several measures of the innovation process, includ ing percentage
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In the chapter, we discussed the use of several measures of the innovation process, includ
ing percentage of sales from new products and the breakeven time (BET) metric. Although both measures are attractive for communicating the economics and benefits from successful product development processes, each also has some limitations and dysfunctional consequences if managers focus too narrowly on them as a performance measure.
Identify the potential limitations and weaknesses of both these outcome measures of the new product development process.
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Related Book For
Advanced Management Accounting
ISBN: 9780132622882
3rd Edition
Authors: Robert S. Kaplan, Anthony A. Atkinson, Kaplan And Atkinson
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