Improving New Product Quality: An Empirical Study of Product Development Teams in Taiwan

The role of team and organizational factors affecting new product quality and their interactions as moderating the effects are examined. Results from a domestic study suggest that new product quality is positively affected by information capability in the team and quality orientation in the firm; in contrast, it is negatively related to the innovativeness of the new product as seen by the firm and speed-to-market pressure in the team. However, teams’ information capabilities alleviate the negative effect of innovativeness on quality. Quality orientation lessens the relationship between information capability and new product quality. Functional diversity and tenure diversity do not affect new product quality. In addition, managerial implications and directions for future research are proposed.