Transcript Development Processes and Organizations

Chapter 2
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What are the key product development
activities that must be included in every
project?
What project milestones and review gates can
be used to manage the overall development
process by phases?
Is there a standard development process that
will work for everyone?
What role to experts from different functional
areas play in the development process?
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Sequence of steps that an enterprise employs
to conceive, design, and commercialize a
product.
Usefulness of a well-defined product
development process
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Quality assurance
Coordination
Planning
Management
Improvement
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Planning
Concept development
System level design
Detail design
Testing and refinement
Production ramp-up
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Used for market-pull products
◦ Identify market opportunity and use whatever
technologies are available to satisfy need
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Identifying customer needs
Establishing target specifications
Concept generation
Concept selection
Concept testing
Setting final specifications
Project planning
Economic analysis
Benchmarking of competitive products
Modeling and prototyping
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Technology –push products
◦ Start with proprietary technology and identify
appropriate market to apply the technology
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Platform built around preexisting
technological subsystem
◦ Intel chipset, iPhone operating system, Gillette
razor blade
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Process-Intensive Products
◦ Food, chemicals, paper
◦ Production process constrains the product
properties
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Customized products
◦ light variations of standard configurations
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High-Risk Products
◦ technical risk – will product function properly?
◦ market risk – will customer like the product?
◦ budget and schedule risk – can team complete
product on time and within budget?
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Quick Build Products
◦ software and electronics – design-build-test cycle
is repeated several times
◦ rapid iteration = spiral product development
process
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Complex systems
◦ larger scale products such as automobiles and
planes
◦ concept development phase considers the
architecture of the entire system
◦ system is decomposed into subsystems and
components
◦ detail design is a parallel process in which many
teams operate separately.
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Organizations are formed by establishing
links among individuals.
◦ reporting relationships
◦ financial arrangements
◦ physical layout
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Organizational links may be aligned with
functions, projects, or both
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How important is cross-functional
integration?
How critical is cutting-edge functional
expertise to business success?
Can individuals from each function be fully
utilized for most of the duration of a project?
How important is product development
speed?
Exhibit 2-9
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Access to information about regional markets
Availability of technical expertise
Location of manufacturing facilities and
suppliers
Cost saving through lower wages
Outsourcing to increase product development
capacity
Warning – no shortcuts, no magic solution