It's almost redundant to use the phrase "collaborative product development" today. By definition, product development, for most manufacturers, is a collaborative process necessitated by widespread globalization and virtual operating models that rely on cross-functional teams, supply chain and technology partners, customers, and other stakeholders.
As the need intensifies to get better products to market faster while keeping costs in check, manufacturing companies must optimize their global design chains and manage the challenges associated with extended enterprises. That includes providing cross-organizational access to the same product information and protecting intellectual property.
"Product development collaboration used to mean something different [from] or in addition to product development alone," says Robin Saitz, vice president of solutions marketing at product lifecycle management software provider PTC. "Now, collaboratively is the only way you can do product development. The Internet has completely changed the way companies do business."
While every company would say it strives for effective collaboration, some examples from successful manufacturing companies are worth noting. In a recent study of top performing manufacturing companies — measured by how well they are able to integrate product innovation with operational excellence initiatives — AMR Research has identified among its list of best practices the need for cross-functional participation in new product development from the earliest stages of development.