Strategic research and development: it is more than just getting the next product to market

Purpose – The purpose of this paper is to provide an understanding of a concept that the author refers to as strategic research and development. Design/methodology/approach – The driver for this article came from interviews and discussions with CEOs, vice presidents, and director level engineers and scientists over the past several years who have demonstrated great interest in understanding why their companies' R&D efforts fall short of target so many times. Findings – A visionary research and development, or new product or service development that is not linked early on to excellent operational and governance processes, cannot be successfully implemented. Conversely, operational excellence may lower costs, improve quality, and reduce process and lead times; but without a strategic R&D vision and guidance is unlikely to enjoy sustainable success from its operational improvements alone. High performance operating processes in R&D are critical and when combined with pro‐active implementation and governance will result in successful and strategic R&D which could serve as a sustaining advantage of companies in the near term and should secure long term survival. Originality/value – The paper is insightful in that it makes several suggestions at optimizing research and development efficiency and effectiveness through strategic operational excellence. It is creative in that it links operational excellence and operations management themes with developing new products and services and the work of R&D. This is a very interesting read for high‐level executives and senior management involved with research and development and new product development.