The Impact of Service Complexity on New Service Development – A Contingency Approach

This dissertation explores the limitations and impact on performance of applying formalised NPD processes in service innovation. Hypotheses build on a structural framework of organisational factors, which have been linked to successful product innovation but have not been consistently supported in a service context. Evidence is presented for a moderating influence of service complexity on the relationship between factors relating to NSD process organisation and new service performance. The findings create a link between product and service innovation and demonstrate that whereas complex new services benefit from formalised development processes and structure, services with lower complexity do not.