Fraunhofer IAO, Germany
Developing Integrated Business and Technology Strategies
NITM International Seminar Series
A series of Seminars for Executives & Managers
NITM, Dublin, September 17th, 2003
Frank Wagner & Flavius Sturm
Fraunhofer Institute for Industrial Engineering
© Fraunhofer IAO Stuttgart / IAT Universität Stuttgart
Slide: 1
Agenda
• Introduction
• Strategic Management for SMEs
“Navigating in Turbulent Times”
• Business and Technology Strategies
• Portfolio, Balanced Scorecards and other Tools
• How Scenarios and Roadmaps can help (Cases)
• Business and Technology Scouting
© Fraunhofer IAO Stuttgart / IAT Universität Stuttgart
Slide: 2
Technology
Fields
Planning
Core
Competencies
Portfolio
Integrated
Scorecards
Simulation
& Cockpit
Tools
© Fraunhofer IAO Stuttgart / IAT Universität Stuttgart
Slide: 3
Integrated Business & Technology Strategy Development PROCESS
External Analysis
Competitors
Stakeholders
Customers
Gap Analysis & Options
Development
x
x
x
Internal
Analysis
Chances & Risks
Scenario
Development
x
x
Project Portfolios
Scenario I
Environment
Markets
Business
Today
- Technologies
- Markets
- Products
- Competencies
External Technology
Roadmaps
Technology
Delphi Study
Internal Technology
Roadmaps
Scenario II
Customers
Competitors
Technology Portfolios
Technology
Assessment
Make & Buy
Scenario III
Technology
Strategy
Society
Continuous Technology Scouting Process
© Fraunhofer IAO Stuttgart / IAT Universität Stuttgart
Slide: 4
Technology
Fields
Planning
© Fraunhofer IAO Stuttgart / IAT Universität Stuttgart
Slide: 5
Introduction to Portfolio Techniques:
Budget allocation with the BCG MATRIX
20%
Question
mark
Market growth rate
Star
High
?
A
10%
D
Low
B
Cash
cow
0%
10x
Dog
C
High
1x
Low
Relative market share
(share relative to largest competitor)
© Fraunhofer IAO Stuttgart / IAT Universität Stuttgart
Slide: 6
0.1x
Definition of Technology Fields
Technology Fields:
- are an extract of the current and potential technological area
of activity
- can be planned relatively independently from other
Technology Fields
- incorporate technologies that have an independent problem
solution potential
Source: Bullinger, 1994, p.95 and Ewald, 1989, p.168
© Fraunhofer IAO Stuttgart / IAT Universität Stuttgart
Slide: 7
Portfolio Techniques: Technology Portfolios
Represents the analysis of technology and
competition position and the lifecycle of the
technology, taking into account the risk exposure.
Arthur D. Little
Technology Portfolio Model
McKinseyTechnology
Portfolio Model
Pfeiffer Technology
Portfolio Model
Represents the analysis of the
technological attractiveness and
the technological position for
the R&D department. It looks to
the integration of market and
technology dimensions left out
in Pfeiffer‘s portfolio model.
© Fraunhofer IAO Stuttgart / IAT Universität Stuttgart
Represents the analysis of the
technological attractiveness and
the reource capabilities, for the
investment and the strategy
selection areas.
Slide: 8
TECHNOLOGY PORTFOLIOS – Arthur D. Little
Arthur D. Little Technology
Portfolio
STRONG
RelativeTechnology
Position
Technology
Cycle
FORMATION
GROWTH
MATURITY
PRIORITIES
CONVINIENT
R&D RISK
WEAK
(Source: Eschenbach, 1994)
© Fraunhofer IAO Stuttgart / IAT Universität Stuttgart
Slide: 9
TECHNOLOGY PORTFOLIOS - McKinsey
Technology
Attractiveness
Market
Attractiveness
Market Priority
Technology Priority
Relative Technology Position
Relative Market Position
Technology Priorities
Agressive R&D Applications
McKinseyTechnology
Portfolio
Selective R&D Applications
Defensive R&D Applications
(Eschenbach, 1994)
© Fraunhofer IAO Stuttgart / IAT Universität Stuttgart
Slide: 10
TECHNOLOGY PORTFOLIOS - Pfeiffer
Technology Field 2
Technology Attractiveness
high
Technology Field 1
Technology Field 5
Technology Field 3
Technology Field 4
Technology Field 6
medium
Technology Field 8
Technology Field 7
low
low
Allocated
Resources
© Fraunhofer IAO Stuttgart / IAT Universität Stuttgart
medium
Technology Resource Strength
Slide: 11
high
Criteria for the evaluation of technology attractiveness
Technology Attractiveness
 Possibility to attain competitive advantage with technology
 Market-Volume opened by technology
 Span of applications opened by technology
 Potential for further development of technology
 Effort and Risk of further development
 Performance of technologies in comparison to alternative technologies
 Possibility to protect technology from being copied
 The threat of substitution technologies
© Fraunhofer IAO Stuttgart / IAT Universität Stuttgart
Slide: 12
Criteria for the evaluation of technological resource strength
Technological Resource Strength
 Competencies of R&D Staff in comparison with competition
 Velocity of technological realization in comparison with competition
 Amount and Quality of registered patents in comparison with
competition
 Quality of own technological solution in comparison with competition
 Availability of internal and external financial resources in comparison
with competition
© Fraunhofer IAO Stuttgart / IAT Universität Stuttgart
Slide: 13
TECHNOLOGY PORTFOLIOS - Pfeiffer
•Technical-qualitative controlling degree
•(Re-) Action Speed
•Patents/ Licences
Resource
Strength
LOW
MEANS
Pfeiffer Technology
Portfolio
Technology
Attractiveness
•Acceptance
•Further development potential
•Application possibility
•Compatibility
INVESTMENT
HIGH
SELECTION
MEANS
LOW
DISNVESTMENT
(Eschenbach, 1994)
© Fraunhofer IAO Stuttgart / IAT Universität Stuttgart
HIGH
Slide: 14
Technology
Fields
Planning
© Fraunhofer IAO Stuttgart / IAT Universität Stuttgart
Core
Competencies
Portfolio
Slide: 15
What are competencies? – IAO Definition
Competencies are capacities and capabilities of
individuals, groups, whole organizations or networks that
allow them to act in fulfillment of the organization’s
objective
In general the definitions on competencies follow the same four characteristics (Source:
Symphony, 2002):
 Competencies are related to Action
 Competencies are related to Performance
 Competencies are Contextualized
RELATED TO ACTION
COMPETENCE
RELATED TO PERFORMANCE
CONTEXTUALIZED
© Fraunhofer IAO Stuttgart / IAT Universität Stuttgart
Slide: 16
What are competencies? – Key Competencies
Key competencies are competencies generated by a company, linked to
its history, its products and its processes. This competence is essential
to practice; it has an impact on a results and on clients satisfaction.
However, key competencies do not cover the entire spectrum of useful or
existing competences within a company and do not fulfill the criteria of a
core competence (see later).
Corporate key competence: is generic to a company and it is generated
and used in several business processes. It is strongly linked to the vision of
the company.
Business key competence: is generally dedicated to selected business
process and add value to a category of customers.
© Fraunhofer IAO Stuttgart / IAT Universität Stuttgart
Slide: 17
When are competencies core? – Definition
Core competencies are collective capacities and
capabilities of an organization that allow them to act and:
1. Provide potential access to a wide variety of markets,
2. Enhance the end product significantly and add a value
perceivable to customers,
3. Make it difficult for competitors to imitate perceived
customer benefits.
Source: Prahalad/Hamel (1990)
© Fraunhofer IAO Stuttgart / IAT Universität Stuttgart
Slide: 18
Examples of Core Competencies
Big company
SONY - Capacity to miniaturise
devices
Service company
Capacity to networks and compose
ad hoc teams in order to answer
with a perceivable added value to
customers ’needs
High tech company
© Fraunhofer IAO Stuttgart / IAT Universität Stuttgart
Slide: 19
Capacity to develop systems for
measuring fluid in micro-dose
Competence oriented innovation and strategy development
Positioning of Competences in Portfolio
high
CompetenceGaps
Core
Competences
Standard
Competencies
Competence
potentials
Customer
value
low
low
Relative Competence strength
Elaboration of customer value
Environmentanalysis
Competition
Sector analysis
high
Elaboration of relative competence strength
Customer analysis
Companyanalysis
-Value addedstructure
-Product/
Technology
-Processes/
Organisation
Identification of
Critical success factors
"Competence Deployment":
Elaboration and evaluation of competences
Elaboration of
Competences
Definition of
metrics
-Goal criteria
-Best Practices-Information
sources
Benchmarking
of competences
Evaluation of
Competences
-value analysis-definition of
gaps
Elaboration of
Competence strength
Source: Hensle, 1993 (FhG-IAO)
© Fraunhofer IAO Stuttgart / IAT Universität Stuttgart
Slide: 20
Proposition of action for the optimisation of the added value chain
Relative Customer Value
9
Competence-Gaps
8
Core Competencies
selective
7
marginal
buy
marginal
make
Make
strategic
alliances
Learn
Investment
6
5
Competence-Potentials
Standard Competences
4
selective
Buy
3
Outsourcing
2
marginal
buy
marginal
make
Supllier
development
New markets
Adapt
Competences
1
1
2
3
4
5
6
7
8
9
Relative Competence strength
Source: Hensle, 1993 (FhG-IAO)
© Fraunhofer IAO Stuttgart / IAT Universität Stuttgart
Slide: 21
Evolution of Competencies
Today‘s Core Competencies can become Core Rigidities
(Leonard-Barton, 1992)
Tomorrow‘s Competencies
Today‘s Competencies
• Technological competence
• Production competence
• Service competence
• R&D competence
• Sales competence
• Marketing competence
• ...
• Technological competence
• Production competence
• Service competence
• R&D competence
• Sales competence
• Marketing competence
• ...
Competencies to adapt
• Organisational learning
• Employees adaptability
• ...
© Fraunhofer IAO Stuttgart / IAT Universität Stuttgart
Slide: 22
1. Identify Competencies
Today‘s Competencies
Tomorrow‘s Competencies
• Technological competence
• Production competence
• Service competence
• R&D competence
• Sales competence
• Marketing competence
• ...
Focus of
Workshop
• Technological competence
• Production competence
• Service competence
• R&D competence
• Sales competence
• Marketing competence
• ...
Competencies to adapt
• Organisational learning
• Employees motivation
• ...
Methodology: Writing cards
© Fraunhofer IAO Stuttgart / IAT Universität Stuttgart
Slide: 23
2. Definition of success factors
Success factors are the reason that the customers are buying
from you and not from your competitors
Typical success factors are:





Price
Quality
Date
Technology
Service
© Fraunhofer IAO Stuttgart / IAT Universität Stuttgart
Needs to be defined to
evaluate the competencies
from a customer point of
view
Slide: 24
3. Weighting of success factors
How important is each success factor
for the customer ?
Weighting of success factors:






Price
Quality
Date
Facility Properties
Technology
Service
most important
very important
most important
not important
very important
not important
0,23
0,20
0,23
0,07
0,20
0,07
Methodology: use Customer
Satisfaction information
© Fraunhofer IAO Stuttgart / IAT Universität Stuttgart
Slide: 25
Finding the relative customer values
Inquiry and
Offer Handling
Process Planning/Scheduling
Order calculation
Contract arrangement
Supplier Management
Customer Management
9
6
6
9
9
9
6
6
9
6
9
9
6
Quality
0,20
6
6
6
6
6
6
6
6
6
6
6
6
6
6
6
Date
Facilityproperties
0,23
9
9
9
6
9
3
6
6
9
6
6
9
6
6
6
0,07
6
3
6
3
3
6
9
3
1
3
3
3
3
3
3
Technology
0,20
3
3
6
3
3
6
3
6
1
3
3
3
3
3
3
Service
0,07
1
1
1
3
1
3
3
6
3
3
3
1
3
3
9
Customer Value
6,43 4,84 7,03 4,98 5,53 5,79 6,09 6,48 5,13 4,98 5,67 5,53 5,65 5,67 5,40
Methodology:
Evaluation in groups
© Fraunhofer IAO Stuttgart / IAT Universität Stuttgart
Time and Resource
Management
Cost Management
Order Structuring
3
Order Planning
Technical Feasibility
9
Arrangement of the
Sale Organisation
Arrangement
Project Organisation
Order Structuring
Offer Management
0,23
...
Price / Costs
Weighting
Inquiry gathering
Order Handling
• ...
• R&D competence
• Sales competence
• Marketing competence
• ...
...
4. Evaluation of the relative customer value
Slide: 26
5. Evaluation of the absolute competence strengths
Finding the relative competence strengths
Competence
internal, absolute
evaluation
• Sales competence
1
2
3
4
5
6
7
Evaluation
versus
Competition
8
Inquiry and
Offer Handling
Inquiry gathering
9
--
-
rel. competence
strenghts
Strengths in each
+
++
competence relative to
each2other
o
5
Offer Management
Technical Feasibility
Order Structuring
Process Planning/Scheduling
Order calculation
Contract arrangement
Arrangement of the Sales Org..
6
5,5
5,5
5
3,5
6
Order Handling
Arrangement of Project Organisation
7
Order Structuring
Order Planning
7
6
Supplier Management
3
Methodology:
4
Evaluation
in groups
5
Time and Resource managem.
Costs Management
Customer Management
© Fraunhofer IAO Stuttgart / IAT Universität Stuttgart
2,5
Slide: 27
6. Evaluation of the relative competence strengths
Finding the relative competence
Finding
strengths
the relative competence strengths
internal,
Competence
absolute
evaluation
Evaluation
internal, absolute rel. comversus
evaluation
petence
Competition
strenghts
• Sales competence
Inquiry gathering
2
Offer Management
Technical Feasibility
Order Structuring
Process Planning/Scheduling
Order calculation
Contract arrangement
Arrangement of the Sales Org..
5
5
6
6
5,5
5,5
5,5
5,5
5
5
3,5
3,5
6
6
2
3
4
5
6
7
8
9
--1
3 o 4+ 5 ++
6
7
8
9
--
Order Handling
7
7
Order Structuring
Order Planning
7
7
Supplier Management
3
Time and Resource managem.
4
Costs Management
5
5
2,5
2,5
ganisation Arrangement of Project Organisation
gem.
2-
Inquiry and
Offer Handling
s Org..
rel. competence
strenghts
Display strengths in each
o +
++
competence relative to
competition
2
1
ling
Evaluation
versus
Competition
Customer Management
© Fraunhofer IAO Stuttgart / IAT Universität Stuttgart
6
Slide: 28
6
Methodology:
3
Evaluation
in groups
4
Strategy Development:
Competence-Portfolio “Inquiry and Offer Handling“
9
Competence
Gaps
Relative Customer Value
8
1 Inquiry gathering
2 Offer Management
3 Technical Feasibility
4 Process Structuring
5 Process Planning/Scheduling
6 Offer calculation
7 contract Arrangement
8 Arrangement of the Sales
Organisation
Core
Competence
3
7
1
6
8
7
5
6
5
2
4
4
3
StandardCompetence
2
Competence
Potentials
1
1
2
3
4
5
6
7
8
Relative Competence Strength
© Fraunhofer IAO Stuttgart / IAT Universität Stuttgart
Slide: 29
9
Strategy Development:
Competence-Portfolio “Order Handling”
9
Competence
Gaps
Relative Customer Value
8
7
Core
Competences
5
4
6
7
6
3
1
5
2
4
3
2
StandardCompetences
Competence
Potentials
1
1
2
3
4
5
6
7
8
Relative Competence Strength
© Fraunhofer IAO Stuttgart / IAT Universität Stuttgart
Slide: 30
9
1 Arrangement of the
project organisation
2 Order structuring
3 Order Planning
4 Time and Resource
Management
5 Cost Management
6 Supplier Management
7 Customer Management
Technology
Fields
Planning
Core
Competencies
Portfolio
Integrated
Scorecards
© Fraunhofer IAO Stuttgart / IAT Universität Stuttgart
Slide: 31
Converting the strategy into operational measures:
The Balanced Scorecard (BSC) of Kaplan & Norton
Outline:
Financial
perspective
• objectives
• perfomance figures
• requirements
• measures
Customer
perspective
• objectives
• perfomance figures
• requirements
• measures
Vision
and
Strategy
Process perspective
• objectives
• perfomance figure
• requirements
• measures
Learn and
development
• objectives
• perfomance figures
• requirements
• measures
© Fraunhofer IAO Stuttgart / IAT Universität Stuttgart
traditional, finance performance
figures give only information
about a company‘s past
performance, but rarely give
answers about the future.
For the purpose of steering a
company additional
performance figures have to be
used, representing further
factors that determine a
company‘s success.
The BSC uses four
perspectives which allow a
balanced performance
measurement.
Slide: 32
Integrated R&D Scorecard
Financial perspective
How do
internal and
external
customers
perceive us?
Survive
How do we look to our financiers?
PV of R&D accomplish-ments%/ R&D expenditure
Succeed % of sales from new products
Prosper
Market share gained due to R&D
Internal business perspective
Customer perspective
High customer
satisfaction
Score on customer
Satisfaction audit
Anticipation of
external
customers‘ needs
High design for
manufacturability
% of customer driven projects
R&D hit rate
% of projects terminated
Before implementation
Engineering hours on projects
/engineering hours on
Projects and troubleshooting
Hours spent on projects/
total hours R&D
Current ttm/reference ttm
Rate of re-use of standard
Speed to market
Designs/proven
Technology/design re-use technology
Sum of revised project
Reliable delivery of outputs durations/sum of planned
durations
Quality of output
Amount of rework
Productivity
Vision
and
Strategy
Innovation and learning perspective
Technology leadership
What must
we excel at?
Long-term focus
High absorptive capacity
Learning organisation
© Fraunhofer IAO Stuttgart / IAT Universität Stuttgart
No. Of patentable discoveries
per $ spent on R&D
% of budget spent internally
And externally on basic and
applied research
Can we continue to improve
and create R&D value?
% of projects in cooperation
With third party
% of project evaluation ideas
Applied in new projects
Slide: 33
Source: Kerssens-van
Drongelen/Bilderbeck, 1999
Case Study Skandia
Knowledge based performance management
Baseline
• Financial Advisory company
• 7000 employees, world known because of their
innovative knowledge and intellectual capital
management approaches
• Distributed and highly dynamic value chain ("new
economy")
• Intensive competitive environment
• Service provider
Problem
• Measurement of knowledge transfer and creation between different,
distributed local business units faces the problem of missing process
transparency and missing infrastructures and tools.
• The performance of the organisational knowledge basis is only measured on
corporate high level (intellectual capital balance sheet) without operative
implications on the derivation of concrete actions and the measurement of the
actions on operative level.
Source: EU project NIMCube
© Fraunhofer IAO Stuttgart / IAT Universität Stuttgart
Slide: 34
Case Study Skandia
Knowledge based performance management
Approach:
• Development of a local and global
Skandia reuse and invention bank
(GOLD - Global objects Local
development)
Global Objects…
(business logic)
Local Development...
• Development of processes,
organisational structures and ITsupport for distributed communities of
practices through the world
• Build and implement of a new, reuse
and invention oriented performance
management system on basisNimCube
of the
Skandia navigator
Navigator
(customization)
Performance
Stakeholder
Contribution
Exploitation
In ventio n
Ecology
Source: EU project NIMCube
© Fraunhofer IAO Stuttgart / IAT Universität Stuttgart
Slide: 35
Reuse
Case Study ECI Telecom
Reuse of knowledge versus invention
Baseline
• Israeli high-tech company
• 4000 employees, Israel’s most innovative company
• Distributed, complex software- and hardware
development process
• Extremely competitive market, particularly in the
telecommunication sector
Source: ECI Telecom Ltd, 2000.
Problem
• ”We were very proud of our efficient mechanical
design process, based heavily on reuse of shared
platforms. In a users meeting in April some
customers told us off the record that some of our
competitors offer other products with more
‘innovative’ mechanical design”
Source: EU project NIMCube
© Fraunhofer IAO Stuttgart / IAT Universität Stuttgart
Slide: 36
Case Study ECI Telecom
Reuse of knowledge versus invention
Approach:
Method
Name:
_________
Category: _________
Method
Description:
_______
Name:
_________
Experts:_________
________
Category:
Method
Description:
_____________
Presentation:
Name:
Experts:
Where_________
used: ________
Category:
_________
Tips:_______________
Presentation:
Description:
_______
Where
otherused:
info sources:________
Experts:
________
Tips:_________
and other relevant attirbutes
Presentation:
______
other info sources:________
Where
used:
and other
relevant attirbutes
Tips:_________
Other info sources:________
and other relevant attirbutes
• Modelling of the NPD process
Knowledge
Assets Types
Expert card
Employee #:1643
Name:
Expert
card _________
Expertise
Areas: _________
Employee
#:3484
Name: _________ _________
Expert
card
Projects:
________
Expertise
Areas: _________
Employee
#:________
Publications:
______
_________
Name:
and_________
other relevant
attirbutes
Projects:
________
Expertise Areas: _________
Publications:
______
_________
and other relevant
attirbutes
Projects:
________
HR
Database
Publications:
______
and other relevant attirbutes
• Development of reuse and invention
structure
Documents
Database
CARD: contains the meta-data
of a specific reusable asset
Template Card
#:________
Name: Card
_________
Template
Description:_______
#:________
Category:_______
Name:
_________
Template
Card
Designer:_________
Description:_______
• Build and implement of the NIMCube
PMS regarding reuse and invention of
knowledge assets with integration in
ECI’s Balanced Scorecard
#:________
Implementation recom:
Category:_______
Name: Link
_________
to Template:
Designer:_________
Description:_______
Comments:________
Implementation
recom:
Category:_______
Link
toother
Template:
and
relevant attirbutes
Designer:_________
Comments:________
Implementation recom:
relevant attirbutes
Linkand
to other
Template:
Exploitation
Reuse
The ability to commercially exploit new
products and turn them into profits (or
value in a non-profit organisation).
Recurring application of existing
knowledge in diverse contexts.
Knowledge comprises tangible and
intangible assets, such as ideas,
modules, documents, etc.
Comments:________
and other relevant attirbutes
Stakeholder Contributions
Contribution of the various individuals
and / or groups the organisation is
accountable to or responsible for
Generation of new knowledge
and its novel application.
Knowledge comprises tangible
and intangible assets, such as
ideas, modules, documents, etc.
This facet assesses the fulfilment of
stakeholder expectations and indicates the
current strengths of a NPD process as well
as the potentials for improvement
Innovation =
(invention + reuse) X commercialisation
Ecology
The environment and foundation,
which enables (or limits) an
organisation to innovate
Source: EU project NIMCube
© Fraunhofer IAO Stuttgart / IAT Universität Stuttgart
Slide: 37
DM
Projects
Database
PM tool
Module
card
SWSW
Module
card
#:ZE15365V2.2
#:ZE15365V2.2
Name: _________
Name: _________
Description:_______
SWDescription:_______
Module
card
Function(s):_______
#:we1456V1.1
Function(s):_______
________
Name: _________
________
SWDescription:_______
Module
card
Interfaces:
_______
Interfaces: _______
#:________
_______
Function(s):_______
_______
Name: _________
Operating
system:___
________
Operating
system:___
Description:_______
Projects: ________
Interfaces:
Projects:_______
________
Function(s):_______
________
_______
________
________
Designer:_________
Operating
system:___
Designer:_________
Interfaces:
_______
Bug
history:______
Projects:
________
Bug history:______
Link_______
to module:____
Link to________
module:____
Operating
system:___
Designer:_________
Comments:________
Comments:________
Projects:
________
Bug history:______
and other relevant attirbutes
and
other
relevant attirbutes
Reusability
index:____
Link to module:____
Designer:_________
Comments:________
Bugand
history:______
other relevant attirbutes
Link to module:____
Implementation recom:
Comments:________
and other relevant attirbutes
SW
modules
Library
SW cad tool
NIMMeasure
Cube
NPD Performance
Invention
• Build and implement of the NIMCube
software application with connectivity's
to ECI’s EDM- and ERP system to use
existing information structures
HR system
link from a knoweldge
asset to the legacy
database where the
actual content is stored
SW modules
HW modules
SW/HW platform
Components
Products
Processes
Test Cases
Solutions
Templates
Methods
Tools
Best Practice
Business Plans
Requirements
Expertise
Lessons Learned
Proposals
Ideas
Patents
Fallstudie: ECI Telecom
Results / Bottom line Oriented
Rating Profile of the AMMA (Advanced Maturity M
Effect on business results:
e.g. time delay, cost of re-inventingforthe
wheel
Aeronautics)
Re-use level:
e.g. % of re-used content in the product
Re-use tools utilisation level:
e.g. # of calls to the reuse object library
Objects Re-usability:
e.g. # of re-usable SW modules
Re-use Process:
e.g. % projects with systematic re-use process
Re-use Infrastructure:
e.g. # of objects types catalogued in a library
Re-use Awareness:
e.g. % engineers participating in a re-use training program
Processes, Organisat ions,
IT-St ruct ures
Quantitative
Metrics
Infrastructure Oriented
0
1
2
3
Maturity Levels
3 SOLUTION
Knowledge
Infrastructure
10 COMPETITOR
2 PROBLEM
REPORT
12 INDUSTRY
SECTOR
11 SUPPLIER
© Fraunhofer IAO Stuttgart / IAT Universität Stuttgart
5 IMPROVEMENT
SUGGESTION
REPORT
1 PRODUCT
13 DOCUMENT
6 PERSON/
EMPLOYEE
8 CUSTOMER
Source: EU Project MaKe-IT SME
4 SERVICE
ACTION
9 SALES
REPRESENTATIVE
Slide: 38
7 UNIT/
DEPARTMENT
4
Case Study ECI Telecom
Reuse of knowledge versus invention
SW Department – Reuse Portal
Owner:
R. Benet
Contact:
Y. David
Last update: 21.12.00
Assets:
175
Hits :
470
More information
Owner:
R. Benet
Contact:
Y. David
Last update: 21.12.00
Assets:
175
Hits :
470
More information
Owner:
R. Benet
Contact:
Y. David
Last update: 21.12.00
Assets:
175
Hits :
470
More information
Owner:
R. Benet
Contact:
Y. David
Last update: 21.12.00
Assets:
175
Hits :
470
More information
Owner:
R. Benet
Contact:
Y. David
Last update: 21.12.00
Assets:
175
Hits :
470
More information
Owner:
R. Benet
Contact:
Y. David
Last update: 21.12.00
Assets:
175
Hits :
470
More information
Source: EU project NIMCube
© Fraunhofer IAO Stuttgart / IAT Universität Stuttgart
Slide: 39
Owner:
R. Benet
Contact:
Y. David
Last update: 21.12.00
Assets:
175
Hits :
470
More information
Owner:
R. Benet
Contact:
Y. David
Last update: 21.12.00
Assets:
175
Hits :
470
More information
Repositories Table
Functions
• Single point of access
• Highlighting of critical
indicators (Automatic
generation where
applicable)
• Feed indicators into
NIMMeasure
• Cross repository
searching
• Customisation and
personalisation
Additional Information
Workplans
users feedback
More resources
Tips
Performance Measurement Frameworks, e.g. NIMCube
NIMCube: Measurement cube
Stakeholder contributions
se
eu
R
Exploitation
Presenting a multi-dimensional measurement framework showing the
six measurement facets stakeholder contribution, NPD performance,
reuse, invention, exploitation and enabling context.
NPD performance
In
v
en
tio
n
Measurement
cube
Enabling context
© Fraunhofer IAO Stuttgart / IAT Universität Stuttgart
Slide: 40
Source: EU project NIMCube
Perspectives of a re-use and new-use oriented Engineering Performance
Management System
Reuse
Exploitation
Recurring application of existing knowledge.
Knowledge includes tangible and intangible
objects, such as ideas, modules, documents etc..
Ability to commercialise the product and
add value to customers
Innovation =
(Invention + Reuse) X
Commercialisation
Contributions from
Stakeholders
Contributions from Stakeholders to
product development performance
Ecology
Invention
The environment enabling or hindering the
product development (Human Factors, IT,
Organisational Form, Market situation).
Creation of new knowledge and its
application.



Development-Performance
Fulfilment of expectation of the people
involved in product development, the
performance level of a development process
and the potential for improvements.
based on existing Controlling Frameworks e.g. Skandia Navigator, Balanced Scorecard or Performance Prism.
It’s deduced from the company’s R&D strategy
Combines bottom-up and top-down evaluation processes
© Fraunhofer IAO Stuttgart / IAT Universität Stuttgart
Slide: 41
NIMCUBE and NIMSoft
NimCube: Knowledge-based
performance management system
Metrics
View
Problem
Supplier
Product
Document
Customer
Identify
needs
Idea
Establish
Target
Specs.
Solution
Generate
Reuse and Innovation
View
Select a
Product
concept
Concepts
Analyse
Comp.
Products
Perform
Economic
Analysis
Process View
Source: EU project NIMCube
© Fraunhofer IAO Stuttgart / IAT Universität Stuttgart
Slide: 42
Refine
Specs.
Plan Development
Project.
NimCube in Action – Overview on Sample Key Indicators
Re-use
• Product Quality
• Age of Knowledge Objects
• Re-use Rate
Performance
Exploitation
Stakeholder Contributions
•
•
•
•
• Customer Performance
• Supplier Performance
Construction Efforts
# Offers / # Orders
# Client Visits
Sales Efforts
Invention
•
•
•
•
# New Customers / Time
# New Products
Age of Products
Quality of Products
Ecology
•
•
•
•
© Fraunhofer IAO Stuttgart / IAT Universität Stuttgart
Accident statistics
Employee Satisfaction
Personnel Turnover
Employee Training
Slide: 43
•
•
•
•
•
•
•
•
•
•
# Orders
Turnover
Construction Efforts
Pending Orders
# Complaints/Product
Delivery time
Customer Satisfaction
Failure Costs
Supplier Satisfaction
#Problems / Module
The NIMCube software application - Navigation
Production
Marketing
Measurement Cube
Phase 1
CTO
Concept development
Measurement Cube
Phase 2
System
Design
Measurement Cube
Phase 3
Detail
Design
Measurement Cube
Phase 4
Testing and
Validation
Measurement Cube
Phase 5
Production
-start
R&D/
Head of Unit
R&D
Head of dept.
Process
R&D
engineer
Source: EU project NIMCube
© Fraunhofer IAO Stuttgart / IAT Universität Stuttgart
Slide: 44
The NIMCube software application
Source: EU project NIMCube
© Fraunhofer IAO Stuttgart / IAT Universität Stuttgart
Slide: 45
Technology
Fields
Planning
Integrated
Scorecards
© Fraunhofer IAO Stuttgart / IAT Universität Stuttgart
Core
Competencies
Portfolio
Simulation
& Cockpit
Tools
Slide: 46
Advanced Strategy Tools:
SAP Strategic Enterprise Management™
• Integration of multiple perspectives
• Integration of various data Sources
• Advanced Visualisation (Cockpit Functionality)
• Dynamic Forecasting with Simulation tools
Source: http://www.sap.com/solutions/financials/sem/brochures/
© Fraunhofer IAO Stuttgart / IAT Universität Stuttgart
Slide: 47
Advanced Strategy Tools: Visualise Corporate Performance
with Cockpit Tools
CIM Software (Sample Screenshots), Source:
ANTARES Informationssysteme GmbH ©
© Fraunhofer IAO Stuttgart / IAT Universität Stuttgart
Slide: 48
Advanced Strategy Tools: Modelling System Dynamics with PowerSim
Example: Optimising Marketing expenditure
according to product life-cycle
© Fraunhofer IAO Stuttgart / IAT Universität Stuttgart
Slide: 49
Advanced Strategy Tools: Modelling System Dynamics with PowerSim
Modeling the
System dynamics:
What are the
premises the
simulation is build
on?
© Fraunhofer IAO Stuttgart / IAT Universität Stuttgart
Slide: 50
© Fraunhofer IAO Stuttgart / IAT Universität Stuttgart
Slide: 51