Product development is a critical field for company’s success due to the fact, that here a major part of the product costs are determined. Therefore, efforts are made to shorten product development times by using organizational or technological measures. At the same time, quality has to be increased and total product costs reduced. Technological measures are e.g., IT-Tools, whereas organizational is referred to the structure or sequence of processes. Through increasing the efficiency of product development processes, it is possible to reduce lead time and costs while enhancing the quality.
As one method, product development processes can be paralleled. New methods of development arose like e.g., concurrent or simultaneous engineering. To reduce time even more, a globally distributed method of developing came up, which is especially suited for large, “global player” companies. A so called 24hr–Design and Development project (24hr-DD project) was brought into life by the BMW Group as a part of a research project. In the beginning of this year it was tried out by students in order to clarify the feasibility of this distributed product development.
It showed, that this kind of project works well, but still it is not clear, what the potentials are in respect to time, quality and costs. This thesis tries to clear out these obscurities with the example of the 24hr-Design and Development project and gives recommendations how to use the potentials of time- and moneysaving and of the increase in quality.
The thesis starts with the description of the 24hr-Design and Development project, keeps going with an explanation of the actual company goals, the basics of process improvement and the basics of distributed development. The second large part is the evaluation of the potentials in respect of time, quality and costs. This is followed by measures, which can help to increase the quality and reduce time and costs. These suggestions refer to the fields of development methods, team structure, organizational structure, tools, process etc. The thesis closes with a summary of the subjects mentioned above and an outlook into the future.
Table of Contents
2. Introduction
3. The 24hr-Design and Development Project at the BMW Group
4. Basics
4.1 Goals of companies in the present
4.2 Development Process as one way to achieve goals
4.2.1 Definition of “product development process”
4.2.2 Why product development process?
4.3 Business Process Improvement with respect to Development Process
4.4 Basics of distributed development
4.4.1 Distributed Development (DD)
4.4.2 Concurrent Engineering (CE)
4.4.3 Simultaneous Engineering (SE)
4.4.4 Computer Supported Cooperative Work (CSCW)
4.4.5 24hr- Product Development (24hr-PD)
4.4.6 But what is the reason for a 24hr-Product Development?
5. Estimation of the results of the 24hr-PD-Project
5.1 How to measure the success of a project
5.2 Evaluation Methods
5.2.1 Balanced Scorecard (BSC)
5.2.2 Intangible Assets Monitor (IAM)
5.2.3 Target Costing (TC)
5.2.4 Activity Based Costing
5.2.5 Simple Measurement System (SMS)
5.2.6 Questionnaire
5.2.7 Project-Review
5.2.8 Suggestions for Improvement
5.2.9 Lessons Learned (LL)
5.2.10 Capability Maturity Model (CMM)
5.2.11 Benchmarking
5.2.12 Problems with evaluation
5.3 Measurement of Quality
5.4 Measurement of Costs
5.5 Measurement of Time
6. What potentials exist in respect to time, money, and quality
6.1 Tools
6.1.1 Requirements on tools
6.1.2 CSCW (Computer Supported Cooperative Work)
6.1.3 Adequate CSCW tools for a 24hr-DD project and problems
6.1.4 CAD
6.1.5 Document Management
6.1.6 Hyperwave Information Server (HIS) and Document Management
6.1.7 Taxonomy system
6.1.8 Needed tools for a 24hr-DD project
6.1.9 Use of CSCW tools
6.1.10 Three point video conference
6.2 Organization
6.2.1 The group organization
6.2.2 Project Management
6.2.3 Group Organization
6.2.4 Adequate leading style
6.2.5 Structure of the project members
6.3 Communication
6.3.1 Communication aspects in distributed development
6.3.2 Private communication
6.3.3 Experiences in the project and advises
6.3.4 Exchange Time
6.3.5 Decision making
6.4 Motivation
6.4.1 Motivation in this project
6.4.2 Transferability to other projects
6.4.3 What to do
6.5 Teambuilding
6.5.1 Why influence on team structure?
6.5.2 Basics of a team
6.5.3 Requirements on teams in general
6.5.4 Requirements on team members
6.5.5 What to do
6.5.6 Experiences in this distributed project
6.5.7 Size of the team
6.5.8 Culture
6.5.9 Trust
6.6 The course of a 24hr-DD project
6.6.1 Possible distribution ways – temporal vs. functional distribution
6.6.2 Organization of the course of development projects
6.6.3 Gateways
6.6.4 Kick-off meeting:
6.6.5 Project planning phase
Objectives and Research Themes
This thesis examines the feasibility and performance of a globally distributed, "follow-the-sun" product development model, specifically investigating the impact of such 24-hour design projects on development time, cost efficiency, and product quality. The research seeks to clarify whether the advantages of a continuous, globally spread workflow outweigh the organizational and technical complexities inherent in such an approach.
- Analysis of distributed product development methods (24hr-DD).
- Evaluation of key performance metrics (time, cost, quality) in distributed teams.
- Examination of the organizational requirements for global engineering success.
- Identification of essential IT tools and communication strategies for virtual project management.
Auszug aus dem Buch
The 24hr-Design and Development Project at the BMW Group
The planning of the mentioned project started in 1998 with the aim to determine the benefit of this new method for designing and developing. The actual work began in January 2000 with a Kick off Meeting in Munich. Invited to this meeting were the 9 students from the design team (3 team members at each location) with all the team coaches from each location for 5 days in order to get to know each other and clarify the task and other organizational uncertainties.
The three locations in this case were the Technische Universität Munich, Germany, Clemson University, South Carolina, U.S., and the Darmstadt University of Technology, Germany. For two teams being located in one country and the teams consisting of students, it was impossible to work eight hours at one location. Therefore the working time was modified and reduced to only five hours of working time for each team with a break of nine hours in between.
Summary of Chapters
2. Introduction: Discusses the market pressures for shorter product life cycles and introduces the 24-hour design and development project as a potential solution.
3. The 24hr-Design and Development Project at the BMW Group: Describes the specific pilot project involving three international universities and the organizational framework applied to coordinate the teams.
4. Basics: Defines the foundational concepts of modern company goals, process improvement, and distributed development methodologies.
5. Estimation of the results of the 24hr-PD-Project: Evaluates the performance of the BMW pilot project using various metrics and methods to assess impacts on quality, costs, and time.
6. What potentials exist in respect to time, money, and quality: Provides actionable guidelines for optimizing distributed projects regarding tools, organization, communication, motivation, and teambuilding.
Keywords
24hr-Design and Development, Distributed Development, Concurrent Engineering, Simultaneous Engineering, Product Development Process, Business Process Improvement, CSCW, PDM, Team Building, Project Management, Time-to-Market, Virtual Teams, Quality Assurance, Global Engineering, Automotive Industry
Frequently Asked Questions
What is the core focus of this research paper?
The paper focuses on the feasibility and potential benefits of "24hr-Design and Development" (24hr-DD), a globally distributed project model aimed at reducing product development cycles by leveraging multiple time zones.
What are the central thematic areas?
The central themes include process optimization in automotive engineering, management of distributed virtual teams, the selection of effective IT and collaboration tools, and the analysis of metrics for measuring quality, cost, and development time.
What is the primary goal of the study?
The primary goal is to evaluate the 24hr-DD project conducted by BMW, identifying whether the distributed approach successfully saves time and costs while maintaining high quality, and to provide recommendations for future implementation.
Which scientific methods are utilized?
The research combines theoretical literature analysis with practical evaluation methods, including the use of questionnaires, Balanced Scorecard (BSC), Target Costing, and the Capability Maturity Model (CMM) to assess project performance.
What topics are covered in the main section of the work?
The main section details the fundamental theories behind distributed engineering, presents the results of the BMW pilot study, and provides comprehensive instructions on tools (like CSCW and PDM), organization, communication, and teambuilding strategies.
Which specific keywords describe the study?
Key terms include 24hr-Design and Development, Concurrent Engineering, Distributed Development, Virtual Teams, CSCW, and Product Life Cycle management.
How were team members managed across different locations?
The leadership structure involved a central project manager supported by distribution coaches at each location to ensure smooth communication, decision-making, and consistent information flow despite the geographical separation.
What role did IT systems play in the project's success?
IT systems were critical enablers. The project relied on tools like Microsoft NetMeeting for synchronous communication, Hyperwave for document management, and various CAD software to ensure that the distributed teams could collaborate effectively.
- Quote paper
- Mirja Beukenberg (Author), 2000, Identifying the potentials and necessary support for 24-h around the world, around the clock product development, Munich, GRIN Verlag, https://www.grin.com/document/185484
