better, faster, cheaper npd peter hoyland
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Better, Faster, Cheaper NPD Peter Hoyland. www.bubblegroup.com. The manufacturing world has doubled it’s productivity in the last 20 years. Bureau of Labor Statistics. Better. Will a better process deliver better products?. Will our NPD portfolio deliver our growth targets?. - PowerPoint PPT PresentationTRANSCRIPT
Better, Faster, Cheaper NPD
Peter Hoyland
www.bubblegroup.com
The manufacturing world has doubled it’s productivity in the last 20 years
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Bureau of Labor Statistics
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Will a better process deliver better products?
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Will our NPD portfolio deliver our growth targets?
Are we looking after all of our key markets?
Are we actioning our strategic decisions?
The hard way to find out…
We need a system that answers these questions with zero effort
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What can be done to make NPD Quicker?
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The Queue The Work The Rework
Queuing is a question of capacity
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Wai
ting
time
/ Av
erag
e Pr
oces
s Lea
dtim
e
Percentage of Capacity Used
20% 40% 60% 80% 100%0
5
10
15
20
2x
5x
Single
Arriva
ls
Project Delays due to Queuing
We need a sensible way to calculate loading
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We need a sensible way to calculate loading
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The law of large numbers
The law of large numbers
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20% 40% 60% 80% 100%
+60% uncertainty from each project
+ 8% uncertainty from 100 projects
So rough cut planning at a project level is more than adequate for overall capacity planning
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Each dot represents the average headcount required by 100 projectsWhere each project requires somewhere between 2 and 8 people
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Business Case
Marketing
Supply Chain
Sales
Technical Design
Business Case
Marketing
Supply Chain
Sales
Technical Design
1 2 3 4 5
Increased Risk – Leads to reworkNPD Equivalent of WasteTime and Money
Lack of co-ordination generates re-work
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And a system that supports project managers to synchronise resources … effortlessly
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Return on Investment from R&D
AverageConsumer Goods and Food
Telecommunications, IT, MediaLogistics & Services
Public and Professional ServicesFinancial Institutions
Electrical Eng. & ElectronicsChemicals & Resources
Engineering & ManufacturingPharmaceuticals
Construction & EquipmentAerospace
Utilities
Share of total sales generated by new products / Share of total sales spent on R&DSource: Arthur D. Little Innovation Excellence Study 2005
?% hours spent on cancelled projects
?Delays due to pilot plant availability
?Delays due to Marketing not signing off results
?No of Patent applications per quarter
?% of times Gates are late..
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We need easy but effective Continuous Improvement
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Thank YouSee the Innovator System on www.bubblegroup.com