Abstract
According to recent surveys, up to 75 % of product costs are fixed by the time design is drawn. Thus, NPD is more often considered the critical discipline in organisations and is therefore increasingly subject to practices and systems of performance management. Product development performance is inseparable from an organisation's ability to manage its knowledge assets. However, most existing performance management frameworks assets. However, most existing performance management frameworks do not address this knowledge aspect in NPD: The present paper outlines some novel performance management functions which specifically address management issues of reuse and creation of new knowledge (invention) which are the dominant phases of the knowledge management value chain. Beyond, recent literature and the practical experience of the authors in the PMS domain shows that the building and implementation of PMS functions represents a major challenge for PMS practitioners. The focus of this paper will be on outlining a comprehensive building and implementation methodology for those knowledge-oriented PMS functions. Finally, a critical review from users' perspective for both the PMS functions and the building and implementation methodology will be presented.