Abstract
This paper examines the nature of the core capabilities of a firm, focusing in particular on their interaction with new product and process development projects. Two new concepts about core capabilities are explored here. First, while core capabilities are traditionally treated as clusters of distinct technical systems, skills, and managerial systems, these dimensions of capabilities are deeply rooted in values, which constitute an often overlooked but critical fourth dimension. Second, traditional core capabilities have a down side that inhibits innovation, here called core rigidities. Managers of new product and process development projects thus face a paradox: how to take advantage of core capabilities without being hampered by their dysfunctional flip side. Such projects play an important role in emerging strategies by highlighting the need for change and leading the way. Twenty case studies of new product and process development projects in five firms provide illustrative data.
Keywords
Core (optical fiber)New product developmentCore productProcess (computing)Product (mathematics)Dimension (graph theory)Process managementBusinessComputer scienceIndustrial organizationKnowledge managementMarketingTelecommunications
Affiliated Institutions
Related Publications
The Effectiveness of Customer Participation in New Product Development: A Meta-Analysis
Although the returns of customer participation on new product development (NPD) performance can vary substantially, the current literature lacks a systematic conceptual and empi...
Building dynamic capabilities for digital transformation: An ongoing process of strategic renewal
In this qualitative study, we explore how incumbent firms in traditional industries build dynamic capabilities for digital transformation. Digital transformation has been define...
A resource‐based view of the firm
Abstract The paper explores the usefulness of analysing firms from the resource side rather than from the product side. In analogy to entry barriers and growth‐share matrices, t...
Deliberate Learning and the Evolution of Dynamic Capabilities
This paper investigates the mechanisms through which organizations develop dynamic capabilities, defined as routinized activities directed to the development and adaptation of o...
Prospering in Dynamically-Competitive Environments: Organizational Capability as Knowledge Integration
Unstable market conditions caused by innovation and increasing intensity and diversity of competition have resulted in organizational capabilities rather than served markets bec...
Publication Info
- Year
- 1992
- Type
- article
- Volume
- 13
- Issue
- S1
- Pages
- 111-125
- Citations
- 6303
- Access
- Closed
External Links
Social Impact
Altmetric
PlumX Metrics
Social media, news, blog, policy document mentions
Citation Metrics
6303
OpenAlex
Cite This
Dorothy Leonard‐Barton
(1992).
Core capabilities and core rigidities: A paradox in managing new product development.
Strategic Management Journal
, 13
(S1)
, 111-125.
https://doi.org/10.1002/smj.4250131009
Identifiers
- DOI
- 10.1002/smj.4250131009