Conceptual Product Development in Small Corporations

The main objective of the thesis “Conceptual Product Development in Small Corporations” is by the use of a case study test the MFD™-method (Erixon G. , 1998) combined with PMM in a product development project. (Henceforth called MFD™/PMM-method). The MFD™/PMM-method used for documenting and controlling a product development project has since it was introduced been used in several industries and projects. The method has been proved to be a good way of working with the early stages of product development, however, there are almost only projects carried out on large industries which means that there are very few references to how the MFD™/PMM-method works in a small corporation. Therefore, was the case study in the thesis “Conceptual Product Development in Small Corporations” carried out in a small corporation to find out whether the MFD™/PMM-method also can be applied and used in such a corporation.The PMM was proposed in a paper presented at Delft University of Technology in Holland 1998 by the author and Gunnar Erixon. (See appended paper C: The chart of modular function deployment.) The title “The chart of modular function deployment” was later renamed as PMM, Product Management Map. (Sweden PreCAD AB, 2000). The PMM consists of a QFD-matrix linked to MIM (Module Indication Matrix) via a coupling matrix which makes it possible to make an unbroken chain from the customer domain to the designed product/modules. The PMM makes it easy to correct omissions made in creating new products and modules.In the thesis “Conceptual Product Development in Small Corporations” the universal MFD™/PMM-method has been adapted by the author to three models of product development; original-, evolutionary- and incremental development.The evolutionary adapted MFD™/PMM-method was tested as a case study at Atlings AB in the community Ockelbo. Atlings AB is a small corporation with a total number of 50 employees and an annual turnover of 9 million €. The product studied at the corporation was a steady rest for supporting long shafts in turning. The project team consisted of management director, a sales promoter, a production engineer, a design engineer and a workshop technician, the author as team leader and a colleague from Dalarna University as discussion partner. The project team has had six meetings.The project team managed to use MFD™ and to make a complete PMM of the studied product. There were no real problems occurring in the project work, on the contrary the team members worked very well in the group, having ideas how to improve the product. Instead, the challenge for a small company is how to work with the MFD™/PMM-method in the long run! If the MFD™/PMM-method is to be a useful tool for the company it needs to be used continuously and that requires financial and personnel resources. One way for the company to overcome the probable lack of recourses regarding capital and personnel is to establish a good cooperation with a regional university or a development centre.

A design approach to teaching new product development

The educational unit new product development, taught within the industrial design program at the Queensland University of Technology (QUT) introduces the relationship between product design and commercialisation to third year industrial design undergraduate students. In which, they are exposed for the first time to product strategy development aimed at meeting consumer expectations, whilst at the same time achieving corporate objectives. Delivered content such as intellectual property, market opportunities, competitor analysis and investor requirements are taught within the thirteen week semester timeframe. New product development theory is not a new field. However, the design approach to teaching this theory and more importantly how designers can use it in the design process is novel. This paper provides an overview of the curriculum design of this unit as well as its incremental development over the past four year duration period. Student project outcomes and more importantly the process and tools from this unit are also discussed and presented.

ACE research vignette 005 : success or failure - what makes the difference in managing new product development?

This series of research vignettes is aimed at sharing current and interesting findings from our team of international Entrepreneurship researchers. In this vignette, Dr Henri Burgers considers some of the factors that can make a difference in managing new product development.

Environmental priorities in strategic product development

This paper reports some results from a major research project on the integration of environmental issues into design in the electrical and electronic industry. Product development practice and ecodesign methods were examined along with qualitative data from 19 manufacturers, using interviews and an action research methodology. A four-stage framework for ecodesign practice resulted: first, to make an environmental assessment from a life cycle viewpoint; then to communicate the analysis and collect feedback; thirdly to prioritize the environmental issues and finally to complete the design using relevant tools and methods. This 'ARPI' framework (analyse, report, prioritize, improve) applies to both strategic and operational levels. Initial testing of the framework in collaborating companies highlighted difficulties with communication with design teams; the role of 'ecodesign champions' is explained. Other challenges are the development of customized tools and the training of designers. The study concludes that the prioritization step is critical, as it simplifies and clarifies the tasks in design that take place after formulation of the specification. Copyright (C) 2000 John Wiley and Sons, Ltd. and ERP Environment.

Integrating Social Knowledge and Collaboration Tools into Dispersed Product Development

Employee collaboration and knowledge sharing is vital for manufacturing organisations wishing to be successful in an ever-changing global market place; Product Development (PD) teams, in particular, rely heavily on these activities to generate innovative designs and enhancements to existing product ranges. To this end, the purpose of this paper is to present the results of a validation study carried out during an Engineering Education Scheme project to confirm the benefits of using bespoke Web 2.0-based groupware to improve employee collaboration and knowledge sharing between dispersed PD teams. The results of a cross-sectional survey concluded that employees would welcome greater usage of social computing technologies. The study confirmed that groupware offers the potential to deliver a more effective collaborative and knowledge sharing environment with additional communication channels on offer. Furthermore, a series of recommended guidelines are presented to show how PD teams, operating in globally dispersed organisations, may use Web 2.0 tools to improve employee collaboration and knowledge sharing.

New high technology product development: The case of light emitting diodes

New high technology products usher in novel possibilities to transform the design, production and use of buildings. The high technology companies which design, develop and introduce these new products by generating and applying novel scientific and technical knowledge are faced with significant market uncertainty, technological uncertainty and competitive volatility. These characteristics present unique innovation challenges compared to low- and medium technology companies. This paper reports on an ongoing Construction Knowledge Exchange funded project which is tracking, real time, the new product development process of a new family of light emitting diode (LEDs) technologies. LEDs offer significant functional and environmental performance improvements over incumbent tungsten and halogen lamps. Hitherto, the use of energy efficient, low maintenance LEDs has been constrained by technical limitations. Rapid improvements in basic science and technology mean that for the first time LEDs can provide realistic general and accent lighting solutions. Interim results will be presented on the complex, emergent new high technology product development processes which are being revealed by the integrated supply chain of a LED module manufacture, a luminaire (light fitting) manufacture and end user involved in the project.

Integrated Product Development in Truck Industry - A Case Study on Product Development Processes

This paper presents the result from a case study at Scania on product development processes. The objective with the case study was to gather information on Scania’s product development process (PDP) including the use of CAD and simulation tools, and project work. The objective was also to find any deviations or different interpretations among the employees on the PDP. To gather the information, semi-structured tape-recorded interviews have been used to ensure that individual interpretations from the interviewees could be gathered. Scania uses a defined and structured PDP which facilitates concurrent and cross-functional work. The PDP is implemented and followed to various degrees. The newly employed personnel may have difficulties with communication, both to find and to give information. Although, newly graduated personnel may find it easier to adapt to changes, and also to use a structured process which they have studied at universities. It was also known during the case study that the PDP is a major support for the newly employed personnel, which in turn decreases the time to get into the same working process as the more experienced personnel. Employees with decades of experience know the right sources from which to both give and gather information. Also, the terminology and definitions in the product development process may not be used as intended. This makes it difficult for other project members or teams who need to interpret the information received. At the same time, the routines among the more experienced personnel, which have been set-up throughout the years, make them more inflexible in adapting changes. The findings in the case study as well as challenges with implementing the PDP are known to Scania and are a part of the continuing work with improvement.

The influence of the supply chain agents on the new product development's performance: an analysis based on the multi-group moderation

Este estudo buscou verificar a influencia dos agentes da cadeia de suprimentos no desempenho do desenvolvimento de novos produtos quando os agentes são analisados em conjunto. A motivação desta pesquisa veio de estudos que alertaram para a consideração da integração da cadeia de suprimentos como um constructo multidimensional, englobando o envolvimento da manufatura, fornecedores e clientes no desenvolvimento de novos produtos; e devido à falta de informação sobre as influencias individuais destes agentes no desenvolvimento de novos produtos. Sob essas considerações, buscou-se construir um modelo analítico baseado na Teoria do Capital Social e Capacidade Absortiva, construir hipóteses a partir da revisão da literatura e conectar constructos como cooperação, envolvimento do fornecedor no desenvolvimento de novos produtos (DNP), envolvimento do cliente no DNP, envolvimento da manufatura no DNP, antecipação de novas tecnologias, melhoria contínua, desempenho operacional do DNP, desempenho de mercado do NPD e desempenho de negócio do DNP. Para testar as hipóteses foram consideradas três variáveis moderadoras, tais como turbulência ambiental (baixa, média e alta), indústria (eletrônicos, maquinários e equipamentos de transporte) e localização (América, Europa e Ásia). Para testar o modelo foram usados dados do projeto High Performance Manufacturing que contém 339 empresas das indústrias de eletrônicos, maquinários e equipamentos de transporte, localizadas em onze países. As hipóteses foram testadas por meio da Análise Fatorial Confirmatória (AFC) incluindo a moderação muti-grupo para as três variáveis moderadoras mencionadas anteriormente. Os principais resultados apontaram que as hipóteses relacionadas com cooperação foram confirmadas em ambientes de média turbulência, enquanto as hipóteses relacionadas ao desempenho no DNP foram confirmadas em ambientes de baixa turbulência ambiental e em países asiáticos. Adicionalmente, sob as mesmas condições, fornecedores, clientes e manufatura influenciam diferentemente no desempenho de novos produtos. Assim, o envolvimento de fornecedores influencia diretamente no desempenho operacional e indiretamente no desempenho de mercado e de negócio em baixos níveis de turbulência ambiental, na indústria de equipamentos de transporte em países da Americanos e Europeus. De igual forma, o envolvimento do cliente influenciou diretamente no desempenho operacional e indiretamente no desempenho de mercado e do negócio em médio nível de turbulência ambiental, na indústria de maquinários e em países Asiáticos. Fornecedores e clientes não influenciam diretamente no desempenho de mercado e do negócio e não influenciam indiretamente no desempenho operacional. O envolvimento da manufatura não influenciou nenhum tipo de desempenho do desenvolvimento de novos produtos em todos os cenários testados.

Product development process: Using real options for assessments and to support the decision-making at decision gates

Enterprises need continuous product development activities to remain competitive in the marketplace. Their product development process (PDP) must manage stakeholders' needs - technical, financial, legal, and environmental aspects, customer requirements, Corporate strategy, etc. -, being a multidisciplinary and strategic issue. An approach to use real option to support the decision-making process at PDP phases in taken. The real option valuation method is often presented as an alternative to the conventional net present value (NPV) approach. It is based on the same principals of financial options: the right to buy or sell financial values (mostly stocks) at a predetermined price, with no obligation to do so. In PDP, a multi-period approach that takes into account the flexibility of, for instance, being able to postpone prototyping and design decisions, waiting for more information about technologies, customer acceptance, funding, etc. In the present article, the state of the art of real options theory is prospected and a model to use the real options in PDP is proposed, so that financial aspects can be properly considered at each project phase of the product development. Conclusion is that such model can provide more robustness to the decisions processes within PDP.

Open innovation and user s involvement in new product development: a case study in the automotive sector

Innovation is an essential factor for obtaining competitive advantages. The search for external knowledge sources for product creation, which can contribute to the innovation process, has become a constant among companies, and users play an important role in this search. In this study, we aimed to analyze user’s involvement in the product development process based on open innovation concepts. We used the unique case study research method. This study was carried out in an automotive company that has developed a project of a concept car involving user’s through the Web 2.0. With such scope, the research demonstrates that users can contribute not only with generation of ideas but also with the innovation process itself.

Integration of R&D and new product development: case studies of Brazilian high-tech firms

One of the aspects that influence good performance of new product development (NPD) at high-tech companies is the integration of research and development (R&D) and the other functions involved with NPD. The objective of this paper is to examine why Brazilian medium and large sized high-tech companies are different with respect to the integration of R&D with NPD. An analysis of case studies was conducted at five Brazilian high-tech firms. Among the results, collectivism, which is characteristic of the Brazilian organisational culture, was seen to manifest itself in companies through the adoption of cross-functional teams; the valorisation of personal relations, which is stimulated by physical proximity; and project managers’ ample participation in different functions involving NPD.

New product development proficiency and multi-country product rollout timeliness

Purpose: The purpose of this paper is to address a gap in the understanding of the indirect effects of marketing and technical factors on time efficiency in developing a new product and international new product launch. Design/methodology/approach: This paper adopts a contingency perspective in examining the relationships between antecedents and on-time completion (or timeliness) of new product development (NPD) and international new product rollout (INPR). A conceptual framework is tested based on data obtained on 232 NPD projects undertaken by Korean firms. Findings: The results show that NPD proficiencies mediate to a greater or lesser extent the effects of key antecedents (e.g. cross-functional linkages, project fit with available marketing resources, and effective coordination of headquarters-subsidiary/agents' activities) on timeliness in NPD and INPR. Research limitations/implications: Empirical research on the role of marketing and technical proficiencies in improving NPD timeliness and rollout timeliness in the context of international NPD affirms the importance of adopting a contingency perspective in examining the antecedents of NPD and multi-market entry timeliness. Practical implications: This paper lends insight into the role of overseas subsidiaries or agents in helping to build the technical proficiencies of emerging country companies. Originality/value: This is the first review focusing on the mediating influences on time dimensions (e.g. timeliness) in multi-country product launches. © Emerald Group Publishing Limited.

A Framework to Capture and Share Knowledge Using Storytelling and Video Sharing in Global Product Development

In global engineering enterprises, information and knowledge sharing are critical factors that can determine a project’s success. This statement is widely acknowledged in published literature. However, according to some academics, tacit knowledge is derived from a person’s lifetime of experience, practice, perception and learning, which makes it hard to capture and document in order to be shared. This project investigates if social media tools can be used to improve and enable tacit knowledge sharing within a global engineering enterprise. This paper first provides a brief background of the subject area, followed by an explanation of the industrial investigation, from which the proposed knowledge framework to improve tacit knowledge sharing is presented. This project’s main focus is on the improvement of collaboration and knowledge sharing amongst product development engineers in order to improve the whole product development cycle.