Murilo Mendes Thomaz
TOWARD AN EXTENDED PERSPECTIVE OF THE DUAL ROLE OF PURCHASING IN GLOBAL NEW PRODUCT DEVELOPMENT: THE CASE OF AVON COSMETICS
Class: 215, FEA-5
Adviser: Prof. Dr. Paulo Tromboni de Souza Nascimento
Comission: Profs. Drs. Adriana Marotti de Mello, Eduardo de Senzi Zancul e Moema Pereira Nunes
The present study explores the innovation management practices in multinational corporations (MNC) through the interactions between Purchasing and other functional areas in the global new product development (GNPD) process. This research aims to examine how Purchasing can fulfill the dual role of supporting the innovation activities of the firm while also pursuing specific functional goals. As a result of this research question, a longitudinal case study approach was selected and conducted at Avon Cosmetics. This methodological design, in combination with an analysis of existing theory, allows an investigation of the reciprocal interplay of purchasing and operations strategy performance objectives with product innovation. The findings of the case study developed in the empirical phase of this research corroborate the frameworks developed by previous researchers, allowing the refinement of the ideas and consolidating them into one encompassing diagram. Furthermore, the interviews show that Purchasing plays an important role in the innovation dynamic, channeling strategic Supply Chain goals towards the GNPD process, while also ensuring that innovation targets are clearly communicated upstream in the value chain. The main contribution of this study is to deepen the discussions about the dual role of Purchasing in GNPD by acknowledging interdependencies and extending the concept to other generic performance objectives for operations strategy, as a way to convene an extended perspective to the innovation process of MNCs. Finally, the longitudinal analysis of the transformations impacting the company both at the Purchasing department level as at the global corporate level provide mixed evidences about the improvement of the dual role in GNPD.
*Abstract provided by the author