11MARCH04 Product Development Cycle and Project Management Process The Product Development Cycle in Today’s Manufacturing OVERVIEW 1.Explain the product development cycle 2.Define project management processes 3.Relate #1 and #2 4.Discuss the tasks behind each process 5.Suggest simple communication tools Bob Carson March 11, 2004

11MARCH04 2 Product Development Cycle and Project Management Process Expected Outcomes Individuals will understand: Individuals will understand: product development in today’s industry product development in today’s industry processes of project management processes of project management value of simple communication value of simple communication Individuals will recognize the value of effective project management skills in today’s product development cycle Individuals will recognize the value of effective project management skills in today’s product development cycle

11MARCH04 Product Development Cycle and Project Management Process3 Common Definitions Product Development Cycle: the period of time needed to complete the set of events that develops an idea into a quality product 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 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: the organization of the team’s commitment to deliver a product Project Management: the control of team behaviors across the Product Development Cycle Project Management: the control of team behaviors across the Product Development Cycle

11MARCH04Product Development Cycle and Project Management Process 4 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 5 Product Development Cycle and Project Management Process Phases of the Product Development Cycle Phase 0 - Generate Idea Phase 0 - Generate Idea Phase 1 - Plan Phase 1 - Plan Phase 2 - Develop Phase 2 - Develop Phase 3 - Validate Phase 3 - Validate Phase 4 - Qualify Phase 4 - Qualify Phase 5 - Produce Phase 5 - Produce

11MARCH04 Product Development Cycle and Project Management Process6 Product Development Phases Phase0 Sell Ideas 1Plan2Develop3Validate4Qualify5Produce Goal Generate many ideas Develop Plan Advance idea to product Proof of specs Proof of build Robust process Process Develop Ideas into Proposal Plan the work for the Team Engineer Functional Models Test Proto units Build & Test Pilot units Release Product to Sell Main Artifact Initial Project Summary Gantt Chart Working Modules & Prototypes Solid System Proto Working Product Quality Product Owner Project Champion Core Team Extended or Core Team Member

11MARCH04 7 Product Development Cycle and Project Management Process Project Management Process Steps 1. Present an idea 2. Plan the work 3. Work the plan 4. Learn from experiences

11MARCH04 Product Development Cycle and Project Management Process8 Process–Phase Relationship Project Mgmt Process Steps Phase 0 Ideas Phase 1 Plan Phase 2 Develop Phase 3 Validate Phase 4 Qualify Phase 5 Produce 1 Develop Ideas 2 Plan the work 3 Work the Plan 4 Learn from positive and negative events

11MARCH04 Product Development Cycle and Project Management Process9 Process Step 1. Present an Idea Phase 0 Collect ideas Collect ideas Consider customers Consider customers Know stakeholders Know stakeholders Write proposal (Initial Project Summary) Write proposal (Initial Project Summary) QUICK

STEP 1 Product Development Cycle and Project Management Process10 Ideas come from Many Sources Customer wantsCustomer wants Customer needsCustomer needs Competitor productsCompetitor products Competitor plansCompetitor plans Marketing/sales logsMarketing/sales logs Organizational strategiesOrganizational strategies Society attitudes and opinionsSociety attitudes and opinions

STEP 1 Product Development Cycle and Project Management Process11 Consider All Customers External customers buy products that provide the lifeblood for the organization External customers buy products that provide the lifeblood for the organization Internal customers have objectives linked to products that meet organizational goals Internal customers have objectives linked to products that meet organizational goals Business partners help develop products to further everyone’s organizational goals Business partners help develop products to further everyone’s organizational goals Carefully consider each customer need Carefully consider each customer need

STEP 1 Product Development Cycle and Project Management Process12 Know all Stakeholder Agendas Understand all external customer plans Understand all external customer plans Check alignment of the idea with the current organizational strategies Check alignment of the idea with the current organizational strategies Solicit input from all internal customers and provide continuous feedback Solicit input from all internal customers and provide continuous feedback Uncover any hidden agendas through open conversations and discussions Uncover any hidden agendas through open conversations and discussions

STEP 1 Product Development Cycle and Project Management Process13 Develop the Initial Project Summary (IPS)  Goal  Product Roadmap  Key Selling Points  Key Customers  Proposed Team  Business Case  Recommendation to decision-makers Quick

11MARCH04 Product Development Cycle and Project Management Process 14 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

STEP 2 Product Development Cycle and Project Management Process 15 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 16 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 CORE TEAM –Research –Quality –Hardware –Software –Mechanical –Manufacturing –Marketing/Sales –Finance

STEP 2 Product Development Cycle and Project Management Process 17 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 18 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? –New parts or components –Module prototypes –System prototypes –Marketing collateral –New test equipment and rework systems –New manufacturing equipment or machines

STEP 2 Product Development Cycle and Project Management Process 19 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 20 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

11MARCH04 Product Development Cycle and Project Management Process21 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: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

STEP 3 Product Development Cycle and Project Management Process22 Commit and Deliver “Can do” attitudes ensure project success“Can do” attitudes ensure project success Cohesive teams produce a synergyCohesive teams produce a synergy

STEP 3 Product Development Cycle and Project Management Process23 Report routinely Report project progress using dataReport project progress using data Communicate project status to all decision- makers and stakeholders with Quality, Performance, Cost and Schedule metricsCommunicate project status to all decision- makers 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 solutionSuggest recommendations when negative data identifies a need for change. Never report a problem without a recommended solution

WEEKLY STATUS REPORT Product Development Cycle and Project Management Process 24 Date: 11MAR04 Status Report: Project Manager: Carson GREEN RED Quality Performance Schedule Cost Year-to-Date Project Figures Project Start Date:10DEC04 Current Phase: Validation Original End Date: 2APR04 Current End Date: 27APR04 5MAY04 Project Budget: $_____ % Under Budget _____ Expected $$ Overrun ___ % Over Budget _____ Upcoming Activities UACT 1 UACT 2 UACT n Start Date Completed Activities CACT 1 CACT 2 CACT n Completion Date Team MemberSummary of current week’s activitiesDue DateStatus Andersen Finalized the test fixtures for Proto3A Modified the test code for UL testing platform 20MAR04 24MAR04 Green Zeller Modified test fixtures for Proto4A Build self locking fixturing for Mfg Qualification tests 15MAR04 10MAR04 Green RED IssueSummary ActionOwnerDue Date Schedule Beryllium Copper late in arriving – due 12MARWill work OT on 13-14MARHILL15MAR Comments: Low risk item: Mfg Engr has high confidence that Production tests will still meet schedule

STEP 3 Product Development Cycle and Project Management Process25 Discuss obstacles with stakeholders Discuss the effects of any obstacle with every stakeholder and ensure understandingDiscuss 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 plansEngage 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 plansSubmit recommendations to decision-makers and stakeholders. Welcome comments and feedback on any change plans

HYPOTHETICAL Product Development Cycle and Project Management Process26 Cost of Changes

STEP 3 Product Development Cycle and Project Management Process27 Communicate change Never surprise anyone Never surprise anyone Over-communicate when change happensOver-communicate when change happens Ensure all decision-makers and stakeholders agree with any new tasks or plan changesEnsure all decision-makers and stakeholders agree with any new tasks or plan changes

STEP 3 Product Development Cycle and Project Management Process28 Recommit and Deliver Change plans get the scrutiny of manyChange 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 accordinglyRecognize 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.Emphasize commitment and delivery to the change plan. It may be more important than achieving the original plan.

11MARCH04 Product Development Cycle and Project Management Process 29 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.

STEP 4 Product Development Cycle and Project Management Process 30 Learn from experience  Document events  Train the positive  Toss the negative  Teach your world

STEP 4 Product Development Cycle and Project Management Process 31 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 32 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 33 NMI Discipline  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 34 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 35 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.

11MARCH04 Product Development Cycle and Project Management Process36Conclusions Process Steps Phase 0 Ideas Phase 1 Plan Phase 2 Develop Phase 3 Validate Phase 4 Qualify Phase 5 Produce 1 Develop Ideas 2 Plan the work 3 Work the Plan 4 Learn from positive and negative events