The Product Development
Cycle in Today’s Manufacturing
1.
2.
3.
4.
5.
OVERVIEW
Explain the product development cycle
Define project management processes
Relate #1 and #2
Discuss the tasks behind each process
Suggest simple communication tools
Bob Carson
March 11, 2004
11MARCH04
Product Development Cycle and Project
Management Process
Expected Outcomes

Individuals will understand:
product development in today’s industry
 processes of project management
 value of simple communication


Individuals will recognize the value of effective
project management skills in today’s product
development cycle
11MARCH04
Product Development Cycle and Project
Management Process
2
Common Definitions




Product Development Cycle: the period of time
needed to complete the set of events that
develops an idea into a quality product
Process: the ordered set of events required to
achieve a quality result and ensure robust,
repeatable results
Project: the organization of the team’s
commitment to deliver a product
Project Management: the control of team
behaviors across the Product Development Cycle
11MARCH04
Product Development Cycle and
Project Management Process
3
Motivation
• Engineers should learn about today’s
development practices
• An engineer’s skill set should
parallel industry’s expectations
• Efficient individuals develop
effective project management skills
11MARCH04
Product Development Cycle
and Project Management
4
Phases of the Product
Development Cycle






Phase 0 - Generate Idea
Phase 1 - Plan
Phase 2 - Develop
Phase 3 - Validate
Phase 4 - Qualify
Phase 5 - Produce
11MARCH04
Product Development Cycle and Project
Management Process
5
Product Development Phases
Phase
Goal
0
Sell Ideas
Generate
many
ideas
1
Plan
Develop
Plan
2
Develop
Advance
idea to
product
3
Validate
4
Qualify
5
Produce
Proof of
specs
Proof of
build
Robust
process
Process Develop
Plan the
Engineer
work for Functional
the Team Models
Test
Proto
units
Build &
Test Pilot
units
Release
Product
to Sell
Main Initial
Artifact Project
Gantt
Chart
Solid
System
Proto
Working
Product
Quality
Product
Ideas into
Proposal
Summary
Owner Project
Core
Champion Team
11MARCH04
Working
Modules &
Prototypes
Extended or Core Team Member
Product Development Cycle and
Project Management Process
6
Project Management Process Steps
1.
Present an idea
2.
Plan the work
3.
Work the plan
Learn from experiences
4.
11MARCH04
Product Development Cycle and Project
Management Process
7
Process–Phase Relationship
Project Phase 0 Phase 1
Ideas
Plan
Mgmt
Process
Steps
1
Develop
Ideas
2
3
4
11MARCH04
Phase 2 Phase 3
Develop Validate
Phase 4 Phase 5
Qualify Produce
Plan the
work
Work the Plan
Learn from positive and negative events
Product Development Cycle and
Project Management Process
8
Process Step 1. Present an Idea
Phase 0
• Collect ideas
• Consider customers
• Know stakeholders
• Write proposal (Initial Project Summary)
QUICK
11MARCH04
Product Development Cycle and
Project Management Process
9
Ideas come from Many Sources
•
•
•
•
•
•
•
STEP 1
Customer wants
Customer needs
Competitor products
Competitor plans
Marketing/sales logs
Organizational strategies
Society attitudes and opinions
Product Development Cycle and
Project Management Process
10
Consider All Customers
• External customers buy products that
provide the lifeblood for the organization
• Internal customers have objectives linked
to products that meet organizational goals
• Business partners help develop products
to further everyone’s organizational goals
• Carefully consider each customer need
STEP 1
Product Development Cycle and
Project Management Process
11
Know all Stakeholder Agendas
• Understand all external customer plans
• Check alignment of the idea with the
current organizational strategies
• Solicit input from all internal customers
and provide continuous feedback
• Uncover any hidden agendas through
open conversations and discussions
STEP 1
Product Development Cycle and
Project Management Process
12
Develop the Initial Project
Summary (IPS)







Goal
Product Roadmap
Key Selling Points
Key Customers
Proposed Team
Business Case
Recommendation to decision-makers
STEP 1
Quick
Product Development Cycle and
Project Management Process
13
Process Step 2. Plan the work
Phase 1
Incorporate new organizational input
Select the team
Identify tasks
Link deliverables to milestones
Anticipate showstoppers
Define tradeoffs
Freeze the plan
11MARCH04
Product Development Cycle and Project
Management Process
14
Consider new input
Decision-makers typically set direction for
the project at the Phase 0 exit review
(quality, performance, schedule and cost)
Meld those inputs into the IPS as you
develop the project plan
Oversight or ignoring organizational
direction can be costly down the road
STEP 2
Product Development Cycle and Project
Management Process
15
Select the teams
The core team may
include 8 members
The extended team
contains as many
members as needed
to complete the work
– BUT time, humans
and money are never
infinite resources
STEP 2
CORE TEAM
–
–
–
–
–
–
–
–
Research
Quality
Hardware
Software
Mechanical
Manufacturing
Marketing/Sales
Finance
Product Development Cycle and Project
Management Process
16
Identify the tasks
Break down the work into tasks for each
project phase
Assign owners
Assign proposed due dates
Set milestones and review dates
Iterate to a potential plan
STEP 2
Product Development Cycle and Project
Management Process
17
Link deliverables
Match deliverables to milestones by phase.
Plan for deliverables that are not tied to key
milestones. What are some examples of key
deliverables?
–
–
–
–
–
–
STEP 2
New parts or components
Module prototypes
System prototypes
Marketing collateral
New test equipment and rework systems
New manufacturing equipment or machines
Product Development Cycle and Project
Management Process
18
Define tradeoffs
Showstoppers need defined before
finalizing the plan
Establish tradeoffs to give the team clear
direction should known risks develop
This task avoids wasted time later in the
project. It shows the decision-makers a
team’s due diligence to project success
STEP 2
Product Development Cycle and Project
Management Process
19
Freeze the plan
Establish reporting structure
Define project metrics - QPSC
Set firm values
– Phase Schedules
– Cost
– Qualification date
– Production date
Recommend a final plan for approval
STEP 2
Product Development Cycle and Project
Management Process
20
Process Step 3. Work the plan
Phases2-5
• The team must report on progress and address
any issues as the project unfolds. The concepts
for Work the Plan include:
–
–
–
–
–
Commit and deliver to plan
Monitor and report metrics with data
Discuss obstacles and engage stakeholders
Communicate change
Recommit and deliver to change
11MARCH04
Product Development Cycle and Project
Management Process
21
Commit and Deliver
• “Can do” attitudes ensure project success
• Cohesive teams produce a synergy
STEP 3
Product Development Cycle and Project
Management Process
22
Report routinely
• Report project progress using data
• Communicate project status to all decisionmakers and stakeholders with Quality,
Performance, Cost and Schedule metrics
• Suggest recommendations when negative data
identifies a need for change. Never report a
problem without a recommended solution
STEP 3
Product Development Cycle and Project
Management Process
23
Date: 11MAR04
GREEN
RED
Status Report: 04-123
Project Manager: Carson
Year-to-Date Project Figures
Quality
Performance
Schedule
Cost
Project Budget: $_____
% Under Budget _____
Project Start Date:10DEC04
Current Phase: Validation
Original End Date: 2APR04
Current End Date: 27APR04 5MAY04
Upcoming Activities
UACT 1
UACT 2
UACT n
Start Date
Completed Activities
CACT 1
CACT 2
CACT n
Completion Date
Expected $$ Overrun ___
% Over Budget
_____
Team Member
Summary of current week’s activities
Due Date
Andersen
Finalized the test fixtures for Proto3A
Modified the test code for UL testing platform
20MAR04
24MAR04
Green
Green
Zeller
Modified test fixtures for Proto4A
Build self locking fixturing for Mfg Qualification tests
15MAR04
10MAR04
Green
Issue
Summary
Action
Schedule
Beryllium Copper late in arriving – due 12MAR
Will work OT on 13-14MAR
Comments:
Low risk item: Mfg Engr has high confidence that Production tests will still meet schedule
WEEKLY STATUS
REPORT
Product Development Cycle and
Project Management Process
Owner
HILL
Status
RED
Due Date
15MAR
24
Discuss obstacles with
stakeholders
• Discuss the effects of any obstacle with every
stakeholder and ensure understanding
• Engage all stakeholders to meet each one’s
needs. Over-communicate to ensure
concurrence with change plans
• Submit recommendations to decision-makers
and stakeholders. Welcome comments and
feedback on any change plans
STEP 3
Product Development Cycle and Project
Management Process
25
Cost of Changes
Cost
$1,000,000
1,000,000
900,000
800,000
700,000
600,000
$500,000
500,000
400,000
300,000
$250,000
200,000
100,000
0
$50,000
$5,000
$500
Phase 0 Phase 1 Phase 2 Phase 3 Phase 4 Phase 5
HYPOTHETICAL
Product Development Cycle and Project
Management Process
26
Communicate change
Never surprise anyone
• Over-communicate when change happens
• Ensure all decision-makers and stakeholders
agree with any new tasks or plan changes
STEP 3
Product Development Cycle and Project
Management Process
27
Recommit and Deliver
• Change plans get the scrutiny of many
• Recognize there may be lots of emotion around
any change in plans. It’s the team’s responsibility
to plan accordingly
• Emphasize commitment and delivery to the
change plan. It may be more important than
achieving the original plan.
STEP 3
Product Development Cycle and Project
Management Process
28
Process Step 4. Learn from experience
Phases 0-5
Professionals use well-documented
events to reinforce good behaviors
and discourage bad ones.
 Continuous improvement discipline
demands everyone to learn from
past experiences – shed the bad and
share the good.

11MARCH04
Product Development Cycle and
Project Management Process
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Learn from experience
Document events
 Train the positive
 Toss the negative
 Teach your world

STEP 4
Product Development Cycle and
Project Management Process
30
Document events


Every project experiences both
positive and negative events
Record all events using accurate data
STEP 4
Product Development Cycle and
Project Management Process
31
Toss the negative



Every event during a project is an
opportunity for improvement.
Eliminate these events from practice
by modifying processes and work
instructions to prevent recurrence.
Live the NMI discipline
STEP 4
Product Development Cycle and
Project Management Process
32
NMI Discipline
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

NameIt: If a process is not defined
the you do NOT know what to do
MeasureIt: You cannot measure a
process unless you have defined it
ImproveIt: A process cannot be
improved unless you can measure it
STEP 4
Product Development Cycle and
Project Management Process
33
Train the positive



Every event during a project is an
opportunity for improvement.
Incorporate these events into practice
by modifying processes and work
instructions to ensure recurrence.
Live the NMI discipline
STEP 4
Product Development Cycle and
Project Management Process
34
Teach your organization


Both positive and negative
experiences provide valuable insight
to others.
Proactively share the “Lessons
Learned” across the organization.
Educate others of possible benefits in
other areas of the organization.
STEP 4
Product Development Cycle and
Project Management Process
35
Conclusions
Process Phase 0
Ideas
Steps
1
Phase 1
Plan
Phase 2 Phase 3
Develop Validate
Phase 4
Qualify
Phase 5
Produce
Develop
Ideas
2
Plan the
work
3
4
11MARCH04
Work the Plan
Learn from positive and negative events
Product Development Cycle and
Project Management Process
36