A strategic framework for new service development

The trends of increasing globalisation and accelerating technological progress have led services to predominate in most developed economies. Thus, the development of new service industries is strongly emphasised in many countries. However, the process of New Service Development (NSD) is still not well-understood. This paper proposes a matrix to analyse new service development and to elaborate its strategic implications using a field study approach. Findings in this research are based on a national initiative to create new knowledge-based service industries in Taiwan where over ten technology-related business service systems have been proposed in the programme. Observations from empirical results also examine the appropriateness of applying systems engineering in NSD.