The influence of process concurrency on project outcomes in product development: an empirical study of cross-functional teams

Abstract

This study examines the practice of concurrent engineering (CE) in terms of process concurrency, and the impact of concurrency on success of product development projects. The study is based on 50 cross-national projects from companies in Australia, Canada, Denmark, Finland, United Kingdom, and the United States in the aerospace, automobile, chemical, computer, electronics, shipbuilding, and telecommunications industries. Four dimensions of process and behaviors of engineering/R&D and manufacturing members of cross-functional product development teams were reliably operationalized: (1) two-way communication, (2) overlapping problem solving, (3) readiness to make decisions on the basis of uncertain and ambiguous information, and (4) readiness to release uncertain and ambiguous information. These dimensions of process concurrency were found to be reliable predictors of development projects' success, as measured by product cost and quality, project schedule and budget performance, and project team satisfaction. The paper offers implications for theory and practice and models of CE management for future research.