Abstract: The capability of independent innovation is very important. Chinese manufactories should enhance their status in value chain by improving the independent innovative capability. Both the communication and harmonization between members in the supply chain are propitious to the product innovation of manufactory. Based on the comparison between the innovation process of manufactory and product innovation process in supply chain, a product innovation process model in supply chain is put forward. Then the advantages and characteristics of the model are analyzed.

Key words: product innovation, supply chain, innovation model, independent innovative capability