Production Management II (Prof. Schuh)
Lecture 10
Production Management II
- Lecture 10 -
Product Lifecycle Management III
Simultaneous Engineering
Prof. Dr.-Ing. R. Noppen
Supervisor (for this lecture):
Dipl.-Ing. Dipl.-Wirt. Ing. A. Kubosch
a.kubosch@wzl.rwth-aachen.de
WZL 53b R. 504
Tel.: 80-28203
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Notes:
Product Lifecycle Management III - Simultaneous Engineering
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Production Management II (Prof. Schuh)
Lecture 10
Classification of the Lecture Product Lifecycle Management (PLM) III
PLM I
PLM II
PLM III
(CAD)
(EDM/PDM)
(SE)
PLM I
PLM II
Legend:
PLM III
CAD
Computer Aided Design
EDM/PDM Engineering Data Management/Product Data Management
SE
Simultaneous Engineering
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Classification of the Lecture Product Lifecycle Management (PLM) III
The lecture Product Lifecycle Management III deals with the topic of Simultaneous Engineering.
Its contents are connected to the previous lectures (PLM I and PLM II) and partly overlapping.
The lecture PLM III covers so-called “management aspects“ of the PLM. Therefore the aspects
treated by the lectures PLM I and PLM II are arranged to fit an overall context.
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Production Management II (Prof. Schuh)
Lecture 10
The Change of the Economic Conditions
growing demands concerning
products and services
change of structures and values
in society
_
20 +0.01
_
20 +1
acceleration of technologic
progress
change of market structures
improvement of communication
and transportation technologies
time
time
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The Change of the Economic Conditions
Compared to former times, the economic conditions have changed fundamentally. About 150
years ago, the economic success of a company was almost entirely determined by the design of
its production processes. Today a company faces a multitude of new challenges and its fast
reaction to cope with these is essential for success. Essentially, there are five fields to be taken
into account.
The change of structures and values in society, also called change of paradigms, manifests itself
in the fact that today the mere function of a product is taken for granted. Instead the quality, cost
and image of the product are decisive for its success.
The acceleration of the technologic progress causes a shortening of the life-cycle time of a
product. Companies have to identify influencing factors and to differentiate between those which
are constant and those which are changing rapidly. Cycles must be properly identified and
utilized. For example in the automotive industry the product life-cycle time of an engine is three
times as long as that of a car body. If both are developed simultaneously, existential trouble can
be expected due to the resulting problems.
The change of market structures caused by globalisation becomes apparent in the switch from
national to international markets. In consequence to this the choice of an adequate production
location becomes a highly complex task. The production in global networks must be supplied by
enormous trade and huge exchange of information. Only the continuous improvement of
communication- and logistic technologies is covering this requirement.
The demands of products and services are also increasing continuously. In the sixties, the fuel
consumption of a low power Volkswagen beetle was about 12l/100km. Today most luxury class
cars do not need more fuel.
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Production Management II (Prof. Schuh)
Lecture 10
Innovation Strength
create discomfort by
arguments
analysis:
basic equipment sun roof
in country XY
stimulate customer‘s
interest, enthusiasm and
desire through innovation
and performance
innovation strength
BMW
Mercedes
20%
15%
why different?
differences in marketing?
...?
carry out key projects
(e.g. lamella roof)
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Innovation Strength
For today‘s companies it is vital to powerfully design changes and thus to be innovative. Yet there
are only few companies which manage to generate actively innovations as there is a lack of
innovation strength.
The most common understanding of the term innovation is the replacement of an old technology
with a new one. For example products with a high innovation rate are mobile phones or
computers. Here, new technologies are introduced to the market every 1-2 years (product
innovation).
Another type of innovation deals with the redesign of the production process of an existing
product in order to be faster, cheaper and more steady in terms of quality (process innovation).
An example is the replacement of drawing boards by CAD systems.
Redesigning and improving the communication with the customer is a third possibility of
innovation. Only companies, which are capable to point out there technical potentials, are able to
capitalise economic profit on their product innovation. For example, when Mannesmann, a
mechanical engineering company, entered the mobile communication market new and no typical
marketing instruments had to be developed.
The aim of marketing strategies are stimulating the customers’ desire to buy a product by using
innovation, performance and competence. For example Webasto managed to develop a new
lamella roof for the Mercedes A-Class which enabled the space-saving installation of sun roofs in
this car for the first time. This development made Webasto market and technology leader in the
field of lamella roofs.
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Production Management II (Prof. Schuh)
Lecture 10
Acquisition of Feedback from End Customers
Questionnaire to 1000 car owners
comfort demands?
Public check: display of 10 cars equipped with
different folding fabric sun roofs
questionnaire
questionnaire
questionnaire
Webasto?
...?
Survey at motorway
service areas
satisfaction with:
- parking heater
- sun roof
-...
feedback
Sales trainings
at big car sellers‘
.........
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Acquisition of Feedback from End Customers
Processing the question of how to improve a product is the aim of feedback acquisition. A second
aim is to check the accordance with self-perception of products and the customer's perception.
It is reasonable to begin with the design of a questionnaire which is not only product-specific but
also deals with the buyers‘ and users‘ habits. The questionnaire should not be distributed via mail
but filled out during a direct conversation with the customer (e.g. at motorway service areas). It is
helpful to create a comfortable atmosphere by offering beverages etc.. The motto is here:
“listening is the best marketing“. A carefully controlled conversation is the best opportunity to get
the customers' opinion about products, e.g. sun roofs.
Another way of benchmarking products is the so called "customer check". Passing people are
encouraged to test different variants of a specific product, for example lamella roofs, at location.
The customers' statements enable the enterprise to draw conclusions on fields of improvement of
specific features, e.g. handling the lamella roof.
In general, a good rule for feedback acquisition is „make it simple“. Simple but sophisticated
dialogs will best show the needs of the customers.
Finally the results of feedback acquisition must be transformed into measurable profit. This
contains for example the consequent training of the salesmen in accordance with the extracted
acknowledge. All efforts will be in vain if the elaborated results are not used during the direct
contact with the customer.
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Production Management II (Prof. Schuh)
Lecture 10
Derivation of a Market Strategy
competitive dynamics
(basis of competition)
formation growth
market
leader
key factors
strong
benchmarking:
relative strengths and
weaknesses regarding the
key success factors
iv
ns
ff e
o
e
medium
relative
market
position
maintainable
market shares
weak
m
dematurity generation
in
ta
n
i
a
d
an
nd
pa
x
e
io
sit
po
n
s
he
c
i
n
on
e
t
ion
ra
at
nt
d
e
i
ol
nc
ns
co
al
o
c
aw
r
d
th
wi
competitive structure
range of possible market strategies
The range of possible market strategies is a result of the dimensions life-cycle
phase and relative market position.
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Derivation of a Market Strategy
The difficulty in finding the proper market strategy is the correct judgement of relative market
position and life cycle phase of corresponding products. Agreeable to the above matrix different
market strategies are resulting from this judgement. During the maturity phase of a product a
completely different marketing strategy is required than during the formation phase. For example
in the automotive industry it is reasonable to promote technologic innovations during the
formation phase, but to stress the reliability of a car during the maturity phase.
A concrete example of the false estimation of a product life-cycle was Porsche‘s decision to
cancel the production of the 911 at the begin of the 80ies and to replace it with the front engine
types 924 and 928. As we all know, the 911 survived them both and today sells better than ever.
From this problem following demand is resulting: A company always has to be sensitive to
changes, especially changes of the economic conditions. As four eyes can see more than just
two, teamwork makes a lot of sense.
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Production Management II (Prof. Schuh)
Lecture 10
Defining the Position: Own Company vs. Competitors
individual
niche program
fix vs. flexible
range of use
specialized vs. universal applications
X
X
“standardized
mass program“
autarkic
“deterministic
resource assignment“
X
flexible
resource supply
“conformist“
“internal
synergy potential“
STABILISING
STRATEGIES
MODIFYING
STRATEGIES
X
activity strategies
Resource strategies:
resource strategies
standardized vs.
individual services
Competitive strategies:
"pioneer"
competitive strategies
narrow vs. broad
service range
product program
strategies
Product program
strategies:
external
synergy potential
Legend:
defensive vs. offensive competitive
behaviour
imitation vs. innovation
Activity strategies:
cost minimization vs.
optimization of
customer‘s benefit
autarchy vs. cooperation
: company A
X : company B
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Defining the Position: Own Company vs. Competitors
Defining the position is a necessary task to every company because of investigating the own
development and the relative market position in comparison to the competitors. A company has to
know about its own strengths and the competitors' ones. For example, the product price is not the
only aspect which determines the market position. In doing so the evaluation must be carried out
as objectively as possible (team work). At the same time, it has to be considered that the market
position is never fix. If the own strengths are cultivated and the others are kept in view, there is a
good chance to maintain or keep the position.
A useful aid is the "strategic profile" (see figure above, also PM I, lecture 11). At first the company
evaluates its own market position in the four quadrants in accordance to the criteria which are
mentioned in the grey fields. Afterwards the "fit" has to be checked, that means, where are the
own positions in comparison to the perfection. Perfection: company's positions are located on the
bisecting line in each quadrant and on a cycle around the origin. If the "fit" doesn't match the
perfection, the strategic position of the company must be corrected adequately. Finally there will
be a check between the evaluated position and the long-ranging planned strategic position of the
company. Moreover the positions can be compared with the competitors' ones. (Let's assume a
company plans following a modifying strategy, but by using the strategic profile it detects that its
current strategy is a stabilising one. As consequence the company has to make changes in
different fields.)
To work for the company‘s future does not only mean to react, but to take action.
additional literature:
Das Konzept integriertes Management, Kap. 2.5 Stoßkraft durch
strategisches Management
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Production Management II (Prof. Schuh)
Lecture 10
Strategic Company Repositioning
1
new profiles:
financing
service
development of new
core tasks
total efforts
efforts for core tasks
cu
rre
n
vertically integrated processes:
prefabrication range
logistic services
...
t
fo r
me
r tr
en
tre
nd
d
concentration on
core tasks
by outsourcing
integrated auxiliary services:
legal affairs
PR
...
0
low
intra-corporate service range
Advantages:
know-how focusing
profile improvement
cost optimization
high
Disadvantages:
loss of know-how
communication and coordination efforts
irreversible dependence on suppliers
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Strategic Company Repositioning
In the past companies often executed strategic repositioning by concentration on the enlargement
of the scope of services. In contrast to this, today importance is attached to the core competences
and on all capabilities and processes of the company, which are relevant to supporting core
competences. By judging processes in accordance to their relevance decisions about
enlargement or reducing of the scope of services can be taken. Enlargement to enter new
markets and reducing to safe costs.
An example of the strategic repositioning of a company is reducing the manufacturing range.
Internal “sensors“ have to report on which tasks are relevant resp. irrelevant. Outsourcing the
canteen or the own license department can be a sensible option and save fixed costs, whereas
outsourcing the IT is rather controversial.
When repositioning a company it is often reasonable not to think in a product-specific manner. In
many cases the customer does not want a specific product but the corresponding benefit. For
example a forwarding agent is not interested in a specific truck but in the corresponding transport
capacity. Mercedes-Benz recognized this trend and hardly sells trucks; they have concentrated
on supplying the effective transport capacity. The elevator manufacturer Kone also usually sells
transportation capacity instead of elevators, which contains service and granted function, etc.
By offering auxiliary services connected to the product such as service and financing, new
markets can be developed. In Eastern Europe the demand is high but the financial means are
low, so a product can only be sold when applying an appropriate financing concept.
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Production Management II (Prof. Schuh)
Lecture 10
Module and System Procurement of the OEMs
purchase range (%)
reasons
* estimated
80
reduction of the manufacture range
reduction of investments for new production lines
transfer of market risks to suppliers
60
use of pay scale advantages by suppliers
reduction of internal complexity
40
77*
65
reduction of logistic efforts
reduction of the development range
20
40
reduction of development coordination efforts
cutback of supplier redundancies regarding R&Dresources
0
1993
Attention:
2015
2002
sources: Bossard, Mercer (2002)
• How important is the service element to be
outsourced for the own company?
!
use of external specialized development capacities
realization of OEM-spanning scale effects
acceleration of development dates
concentration on core competencies
• How capable are the suppliers?
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Module and System Procurement of the OEMs
Topical studies forecast a continuing trend of an increasing proportion of purchased parts and
component groups up to estimated 77% in 2015. But today there already exists OEMs whose
purchase range is about 80%, e.g. Porsche.
The main reason is the increasing technologic capabilities of the suppliers and the willingness of
the OEMs to outsource their technical competences.
Nevertheless the estimation for 2015 as shown above must be handled with care. The OEMs
have to ensure to stand independent of the suppliers. The current situation emphasizes the
importance of this problem. Because of the increasing purchase range some so-called “mega
suppliers” like Bosch or Magna evolved over the years. At the beginning of this development
primarily the OEMs pressurized their suppliers (especially with respect to costs and quality). But
nowadays the mega suppliers turned the table and due to their dominant market position they are
able to pressurize the OEMs.
In consequence the competences of the OEMs are reduced to the range of the "customer
relationship management" (see also lecture 2). Although some suppliers almost manufacture the
entire product, they just lack the image and the customer base. At the moment, it would hardly be
possible to sell a car named “Bosch”.
The danger by technical dependence appeared shortly, when in February 2005 defective diesel
fuel injectors by Bosch caused call-backs and production stops by among others Mercedes and
BMW.
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Production Management II (Prof. Schuh)
Lecture 10
Risk Classification for New Activities
known
new
portfolio to support the risk
classification for the development
of new activity areas
known
technology
market/
customer
new
legend:
risk for activity rises
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Risk Classification for New Activities
When developing new activity areas, a company has to identify which parts of the existing
business can be transformed into innovation, which parts are the “tree” to hold on to.
For example it would be a high risk adventure if the sun roof manufacturer Webasto would be
mad enough to take over the coffee roaster Tchibo. It is more common to hold on to at least one
area, either the customers or the technology. At present Webasto conquers the bus door market
as bus doors are in some respects comparable to sun roofs. In addition Webasto is world market
leader in the field of auxiliary heating systems for busses and thus has excellent connections to
the bus manufacturers. Therefore the risk is manageable.
It is always important to probe options systematically and then design innovations in a well
ordered manner.
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Production Management II (Prof. Schuh)
Lecture 10
The Quality of the Product Development
failure ratio with respect to cost shares [%]
60
trouble shooting actions
failure occurrence
0
planning
design
scheduling manufacturing testing
implementation
source: VDI 2247
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The Quality of the Product Formation
Examinations regarding the quality in the product development process have shown that most
failures (75%) are generated during the early planning phases, but they are often not detected
before the production, the quality inspection or in the worst case not before the use of the
customer. As costs of failure correction increase exponentially in the time a high quality level
during the planning phases is very important to reduces costs.
The correction of failures during later phases is not only much more expensive, but can also
damage the image, for example by call-backs. The consumer pays attention to such things!
So action has to be taken in order to recognize and avoid failures already in the early phases (in
which product costs and function are influenced).
additional literature: Betriebshütte Kap13.15 Qualitätsmanagement in der Produktion
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Production Management II (Prof. Schuh)
Lecture 10
Systematic and Definition of Simultaneous Engineering (S.E.)
product planning
production planning
Definition:
Simultaneous Engineering is the integrated and time-parallel processing of product
and process design aiming at:
shortening the “time-to-market” from the product idea to its implementation,
reducing the development and production costs and
improving the product quality according to the comprehensive sense of
“Total Quality Management“
Guidelines:
utilization of big improvement potentials by coordinated decisions
In the early phases
2 avoidance of modifications causing high costs during later phases
1
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Systematic and Definition of Simultaneous Engineering (S.E.)
Due to the division of labour and the complex interconnections of today‘s world, processes and
products must be designed at the same time in order to be faster and better than the competitors.
SE deals with the problem of lacking coordination during the early phases of the product
development process (see page 11).The basic idea of SE is “parallelization”. It means that even
“fuzzy”, i.e. not confirmed information, is exchanged with the aim of enabling all involved experts
to check approaches and ideas at an early stage. Product and process design are processed at
the same time.
Thus it becomes possible to reach the generally contrary aims of better quality, cheaper costs
and shorter (cycle-)times at the same time. Yet SE needs to be well organized, which is not trivial.
additional literature:
Simultaneous Engineering, Kap.1 Ziele und Potentiale des SE
Betriebshütte, Kap 7.5 Integrierte Produkt- und Prozessgestaltung
handout of the lecture 4, PM I
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Production Management II (Prof. Schuh)
Lecture 10
Relationships between Manufacturers and Suppliers in the Automotive Industry
original equipment
OEM
manufacturer (OEM)
50 – 500 system
suppliers at 1st level
system integrator,
1st tier
module supplier
2nd tier
system specialist
3rd tier
parts/component supplier
Industry-wide cooperation because of:
…the technological complexity
…the economical risk
…the need for capacity
…the innovation demands
ask too much of a single supplier.
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Relationships between Manufacturers and Suppliers in the Automotive
Industry
As shown in the chart above there are different levels of suppliers. The OEM primarily keeps in
touch with the first level supplier, who then deals with the lower level suppliers.
At the same time industry-wide cooperation is necessary as the technological complexity of the
product, the corresponding economical risk, the need for capacity and the innovation demands
cannot be performed by a single supplier.
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Production Management II (Prof. Schuh)
Lecture 10
Characteristics of Development Processes
Preliminary development
System development
Strategic tasks
Tasks
technology monitoring for product and
process technologies
long-term product planning (5-10 years)
trend analyses (effect analyses,
license analyses)
Operative tasks
technology assessment for certain
product and process technologies
Result:
phase of
product/
process technologies,
concept
studies,
functional
prototypes
Result:
and design
maturity
prototypes
customer neutral
Tasks
system analysis
system platform development
which are
fulfilment of demands specific to the
automotive industry (designed space,
power, reliability, number of units)
ready for
production
adaptation to own existing
manufacturing resources (DFx)
and non-
defined interfaces for customer
characteristics (e.g. data links)
customers
elaboration of design rules for the
application of technology (“Design for
Manufacturing”, standardization)
specific to
or types
Dfx: Design For x (assembly, manufacturing, ...)
Problem solving
Development at customer’s
customization of system platforms in order to get
customer/model specific products
use of system platforms
adaptation to customer/type specific demands (design,
quality, connections, integration into vehicle)
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Characteristics of Development Processes
When designing development processes the fact has to be taken into account that these
processes can be fundamentally different. So different design approaches are required.
During the preliminary development it is the aim to study functional concepts. Details such as
squeaking hinges are not important in this phase. An example for a typical question is: Does the
engine work at -40°C at all?
Afterwards the functional concepts of the preliminary development are detailed and handled
during the system development. For example the details such as the surface finish.
Finally the development at the customer adjusts the solution of the system development to the
demands of specific orders (e.g. extra-features).
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Production Management II (Prof. Schuh)
Lecture 10
Structuring the Extent of Development Phases
project frontend
development
phase
service range
milestone plan of
system supplier
objects, services
start request
target catalogue
provide
specification sheet
bumper module
mounting structure front hood lock
radiator module
rough concept
rough concept
rough concept
radiator cowling
concept elaboration concept elaboration concept elaboration check documents concept elaboration
concept elaboration
styling model
schedule/costs projection, performance indicators
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Structuring the Extent of Development Phases
One method of shortening the development time possible is to divide the whole product into
different modules, so that they can be developed simultaneously. The development process
should be structured in order to run smoothly. Unnecessary loops should be avoided. The
transparency of data is of essential importance.
Milestone plans help to coordinate parallel activities within the development process.
additional literature:
Betriebshütte, Kap 6.4.1 Ablauforganisation
Betriebshütte, 7-132, Absatz PNEP
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Production Management II (Prof. Schuh)
Lecture 10
SE Team
quality management
development
preparation of production
additional
module team
module teams
OEM
project staff
office
methods
coaching
IT
if required
jour fixe
decision
makers
OEM
responsible
system
team leader
supplier
module team
system suppliers
team leader
R&D
sales
responsible system supplier
team leader
module team
system
suppliers
quality management
module team
purchase
decision
makers
system supplier
module assembly planning
coordination if required
Legend:
R&D
CPL
IT
OEM
team leader
representative OEM R&D module team
OEM
team leader purchase
Research and Development
Component Project Leader
Information Technology
Original Equipment Manufacturer
communication
CPL
component
A
CPL
CPL
...
CPL
representative (if required)
component
supplier
(if required)
component
B
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SE Team
When performing SE, complex tasks such as the development of a new car body comprising
design and techniques must be processed with regard to the time and with the aim of finally
achieving a product. The large number of co-workers involved causes highly complex
coordination processes.
This is why today companies provide resources to SE-teams, e.g. they erect own houses used by
SE teams, where whole project teams stay in close contact during the course of a project, which
affects the communication very positively .
Regarding the complexity there two vital preconditions for SE:
•
Clear decision structures must be created on the basis of responsibility, power and
competence. The decision makers should be able as well as allowed to decide!
•
Access to the complete range of data must be granted to the whole team. 100% of
transparency in terms of data and results must be assured by means of accurate data
preparation.
additional literature: Simultaneous Engineering, Kap. 2.4 Organisationsstrukturen
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Production Management II (Prof. Schuh)
Lecture 10
Customer-oriented Sales Organization through Key-Account-Management
customer 1
product 1
product 2
key account 1
product n
key account 2
customer 2
key account n
Tasks of the “key account manger”:
scout for his company
customer X
problem solver for the customer
elaboration of solutions in an interdisciplinary team (from product developer to controller)
recognize and disarm weak points in the manufacturer-customer-relationship
determine not only product, but also service quality
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Customer-oriented Sales Organization through Key-Account-Management
So-called Key-Account-Managers provide great advantages for the decision management of a
company. They project their own technical abilities onto the customer, acting as intermediaries
between manufacturer and customer.
Advantage of the customer: He requires only one contact person, who receipts his orders and
desires, directed them to the right person within the company and informs the customer about the
progresses.
Advantage of the company: Better coordination of communication to the customer and reduction
of redundancies.
The bundling of customer-related activities at a Key-Account-Manager is a precondition for clear
decision structures. It provides the required flexibility, which means nothing else but well-ordered
quickness.
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Production Management II (Prof. Schuh)
Lecture 10
Customer Relation Matrix
sales dept.
development
Herr Aalto
Herr Niehaus
Herr Classen
Herr Dick
Herr Ebert
Herr Walter
Frau Blitz
Frau Donner
Herr Zorn
Frau Maisen
Instrument for the evaluation
Frau Weber
Herr Jansen
Herr Küpper
Herr Frank
Herr Meyer
Frau Holle
sales dept.
Frau Becker
Herr Reinhartz
Herr Schmidt
customer
(OEM)
Herr Müller
supplier
Herr Kramer
development
of staff-level inter-company
relationships
Legend:
never seen
he knows him but
not both-ways
they know each other
they work together
they sometimes have
a beer together
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Customer-Relation-Matrix
Cultivation of relationships is another part of a company‘s activities. The analysis of “Who was
involved in the awarding of a contract on the customer‘s side?” as well as “Who knows the
involved persons how well on the manufacturer‘s side?” is a good opportunity to learn from the
loss of a contract. By listing these relationships, you get the Customer-Relation-Matrix.
The relationships to the decision-makers of the customer during all phases of the awarding
process can be analysed and identified. If there are none or few, efforts have to be made to install
them.
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Production Management II (Prof. Schuh)
Lecture 10
Use of Virtual Engineering in the Automotive Industry
Vision:
The first car is sold!*
physical prototypes only
on the basis of digital
prototypes!
Benefits:
reduction of the number
of physical prototypes
reduction of development
times and costs
control of changes
Δt
degree of freedom for development
Strategy:
Virtual
Engineering
time
concept
design
product and
process
development
tool making
manufacturing
and assembly
* source: Audi
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Notes:
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Production Management II (Prof. Schuh)
Lecture 10
Recommendations: Human Being
white-collar workers also
have to work in the production
for 1-2 days per year
self-inspection
motivation
responsibility
training
guidance
flexible
working hours
financial bonus for successful
contributions to the
suggestion box
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Recommendations: Human Being
SE does not only involve machines but primarily human beings!
In order to make people work well, it is important to motivate them, to place the responsibility for
actions on them, to train them well and to guide them properly. Innovation only evolves if the
possibility to innovate, the ability to innovate and the willingness to innovate occur at the same
time. It must not be forgotten that consultancy and discussion are important aspects of
leadership.
For example, responsibility is placed on the workers by self-inspection. Flexible working hours
help the workers to maintain a certain scope for developments in their lives.
It can be a good idea to make white-collar workers work in production in order to facilitate their
understanding of external problems and to find completely new solution approaches.
Product Lifecycle Management III - Simultaneous Engineering
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Production Management II (Prof. Schuh)
Glossary of the lecture (I/III)
Simultaneous Engineering
(SE)
(synonymic: Concurrent
engineering (CE))
Simultaneous Engineering deals with an integrated and time-parallelised
execution of the product and process design with a view to:
- shortening the period from the product idea up to the introduction into the
market (time-to-market),
- reducing of the development and manufacturing cost and
- an improvement of the product quality.
The optimisation of organisational interfaces is reached by an horizontal and a
vertical task integration..
- horizontal: Combination of task along the process chain
- vertical: Completion of planning acknowledge by using operators know-how.
Innovation
Technological product and process (TPP) innovations comprise implemented
technologically new products and processes and significant technological
improvements in products and processes. A TPP innovation has been
implemented if it has been introduced on the market (product innovation) or used
within a production process (process innovation). TPP innovations involve a series
of scientific, technological, organisational, financial and commercial activities. The
TPP innovating firm is one that has implemented technologically new or
significantly technologically improved products or processes during the period
under review.
(source: Oslo Manual, second edition, 1997, www.oecd.org)
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Product Lifecycle Management III - Simultaneous Engineering
Production Management II (Prof. Schuh)
Glossary of the lecture (II/III)
Product innovation
A technologically new product is a product whose technological
characteristics or intended uses differ significantly from those of previously
produced products. Such innovations can involve radically new technologies,
can be based on combining existing technologies in new uses, or can be
derived from the use of new knowledge.
A technologically improved product is an existing product whose
performance has been significantly enhanced or upgraded. A simple product
may be improved (in terms of better performance or lower cost) through use of
higher-performance components or materials, or a complex product which
consists of a number of integrated technical sub-systems may be improved by
partial changes to one of the sub-systems.
(source: Oslo Manual, second edition, 1997, www.oecd.org)
Process innovation
Technological process innovation is the adoption of technologically new or
significantly improved production methods, including methods of product
delivery. These methods may involve changes in equipment, or production
organisation, or a combination of these changes, and may be derived from the
use of new knowledge. The methods may be intended to produce or deliver
technologically new or improved products, which cannot be produced or
delivered using conventional production methods, or essentially to increase the
production or delivery efficiency of existing products.
(source: Oslo Manual, second edition, 1997, www.oecd.org)
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Product Lifecycle Management III - Simultaneous Engineering
Production Management II (Prof. Schuh)
Glossary of the lecture (III/III)
Key-account-management
sub-range of customer marketing handling the care of major
customers predominantly. Attributes of this care are a customer
related attitude, a sophisticated way of processing, special form of
organisation and special work methods/techniques. The primary
reason of installation is creating a platform which affords growth in
the markets. This contains the long-termed extension of business
connections to "familiar customers", the acquisition of prospects and
securing of local marketability.
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Product Lifecycle Management III - Simultaneous Engineering
Production Management II (Prof. Schuh)
Additional literature to the lecture
Betriebshütte, Produktion
und Management
Eversheim, W.; Schuh, G.: Betriebshütte, Produktion und
Management, 7. Auflage. Springer-Verlag, 1996
Simultaneous Engineering
Eversheim, W.; Bochtler, W.; Laufenberg, L.: Simultaneous
Engineering. Springer-Verlag,1995.
Prozessorientierte
Unternehmensorganisation
Eversheim, W.: Prozessorientierte
Unternehmensorganisation, 2. Auflage. Springer-Verlag,
1996.
VDI-Richtlinie 2247
VDI-Richtlinie 2247, Qualitätsmanagement in der
Produktentwicklung. VDI Gesellschaft Entwicklung,
Konstruktion, Vertrieb, 1994
Das Konzept integriertes
Management
Bleicher, K.: Das Konzept integriertes Management aus St.
Galler Management –Konzept, Band 1. Campus-Verlag,
2001
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