Metrics to Evaluate Rd Groups

Cover Metrics to Evaluate Rd Groups
Metrics to Evaluate Rd Groups
Florian Zettelmeyer
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However, organizations seem to recognize that there are forces that prevent a pure profit-center approach. We speculate on explanations for this phenomenon later in the paper. Thus, market measures make sense within a portfolio of measures, not as the only measure. Market measures are not independent of customer satisfaction measures. We have shown in earlier research that customer satisfaction measures can be used to encourage a focus on long-term rather than on short-term profit (Hauser, Sime...ster and Wemerfelt 1994) and we have shown that some internal customer satisfaction systems have profit-center- like interpretations (Hauser, Simester and Wemerfelt 1995). Tier 2 - The Role of Management Tier 2 provides the bridge from basic research to development. It is in this middle ground that the role of managers and managerial judgment is most important. As one person said, "The customer knows the direction but lacks the expertise; researchers have the expertise but lack the direction. " Tier 2 must match the expertise with the direction.

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