Evaluating risks in new product development and assessing the satisfaction of customers through information technology

When risk factors associated with the development of a new product/service and customers' satisfaction are inadequately determined, poorly structured, underevaluated and vaguely expressed, problems may be increased in the subsequent risk management programme. This paper discusses the evaluation of risk elements associated with the development of new products/services and proposes a risk assessment method/model for: (a) selecting potential products/services as a predictive mechanism; and (b) monitoring and measuring customers' satisfaction. The main aims are to assist managers and other professionals with an analytical framework based on the potential of Information Technology (IT) for: (i) effective evaluation of business risks relating to the prediction and development of new products/sevices; and (iii) monitoring, measurement, feed-back and control of customers' satisfaction. The proposed method and models include the application of: (a) multicriteria decision making involving the Analytic Hierarchy Process (AHP); (b) statistical computation involving Cronbach's reliability coefficient; and (c) sun ey validity. The proposed framework may support business risk evaluators concerned with the development of new products/services and the assessment of customers' satisfaction in effective decision making, especially when attempting to improve a firm's competitiveness and increase its profitability.