| The purpose of this research is to enhance the understanding of how to involve suppliers early in the product development process. It is the result of a cooperative effort between the Institute for Technology Management at the University of St. Gallen, Switzerland and AT&T Bell Laboratories in Holmdel, New Jersey.;However, many companies still struggle to effectively utilize their suppliers. The existing research is mostly exploratory and lacks specific guidance as to how to accomplish early supplier involvement (ESI). This research effort, by using a qualitative approach, develops a basic framework for ESI and explains the underlying concepts. Furthermore, it identifies key success factors, potential barriers and conflicts, and provides guidelines and tools for systematic ESI deployment.;During the course of this research, eleven key success factors have been identified. The process of analyzing these factors was initially driven by the desire to identify single best practices that could be used universally across industries. However, the complexity of most factors does not always allow an unlimited transfer of practices. To circumvent the problem of local optimization, this research provides further insights through presenting the spectrum of decision alternatives for each of the eleven key success factors. Although generalizations are difficult, the examination of the extreme decision alternatives allows certain assertions for successful ESI deployment. Overall, the assertions indicate that ESI has a strong process impact. To attain an integrated view, it is always important to examine the relevant factors in context with each other. The proposed assessment tool of the eleven key decision areas can be used as a baseline to analyze the current situation of a project and to determine the desired position for each decision area.;Research to date demonstrates that the early phases of product development have a strong impact on production cost, life-cycle cost, and a product's quality performance. Few companies can afford to develop internally all the capabilities that might provide an advantage in the future. Suppliers, as a viable source for additional knowledge and know-how, can make a significant contribution to a company's overall competitiveness. |
