Competition today is forcing companies to increase their effectiveness thro
ugh exploiting synergy and learning in product innovation. Literature, howe
ver, is still mainly focused on how product development projects, seen larg
ely as isolated efforts, should be organised and managed. This article prop
oses a model to describe and explain how companies can gain a substantive c
ompetitive advantage by extending their innovation efforts to other phases
of the product life cycle and by facilitating knowledge transfer and learni
ng both within the company and with other partner organisations. The model
is based in collaborative research by the authors, based in their involveme
nt in the Euro-Australian co-operation project CIMA (Euro-Australian co-ope
ration centre for Continuous Improvement and innovation MAnagement).