Wednesday, August 13, 2014

The Abernathy-Utterback model

The Abernathy-Utterback model of product and process innovation, hypothesizes that the rate of major innovation for both products and processes follow a general pattern over time, and that product and process innovation share an important relationship.
The fluid phase:
Product Innovation > Process innovation
Transitional phase:
Rate of major product innovation slow down and the rate of major process innovations speeds up.
At this point, product variety begins to give way to standard designs known as dominant design.
Specific phase

The rate of major innovation dwindles for both product and process. These industries become extremely focused on cost, volume, and capacity

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