Embedding technology vendors for developing improved performance and sustainable capabilities in product development

Embedding technology vendors within the organization allows improvement of product development performance and sustainable capabilities. This empirical research aims to investigate the relationships between embedding vendors and the performance of product development and product development capabilities (PDC), using a case study of a Pay-TV provider in a developing country. Data was collected by means of questionnaire survey from 40 team members who were involved in ten different product development projects. The research findings show that two integration factors, namely the timing of vendor involvement and the extent of technology fit with the organisation, are the significant contributors towards developing improved PDC. Both factors contribute towards improved differentiation and integration of skills, decision-making, communications, development flexibility, and reduced support requirements from top management. Early involvement also leads to improved resource availability, while longer relationships with vendors further improves communications, reduces support requirements from top management, and leads to shorter turn-around times.