6.3.1 The effects of knowledge and skills on the PD Process

Knowledge and skills in the company, and also the company's philosophy on product development, affect the choice of activities and therefore the structure of the PD Process. If the company is not able to do consumer research, it may do personal research with the retailer, food service buyer, their family and friends. If the company does not have formulation skills, it will take a formula from the ingredient supplier. If the company does not have process engineering skills, it will buy a turnkey processing line from an equipment supplier. Or if there are no innovation skills in the company, then it will acquire another company!

Some company managers are conservative and some want excitement, some are risk takers and some are fearful of risk; these differences cause differences in the PD Process used in the company. Some companies bring new products through to market as quickly as possible, missing activities such as business analysis and test marketing, as they are prepared to live with failures; other companies include all activities so as to reduce their risk of failure in the market. So the PD Process is specific to the company and its knowledge, skills, and philosophy.