Structured NPI Life-cycle Methodology Intergrating New Product Introduction and P.M. Whether your projects involve launching fairly routine products or new and innovative products, it's imperative that execution be timely, to customer requirements, and free of costly mistakes. Customers and the marketplace demand that execution be no less than world class. To achieve world class and best in class results, an orgaization must have robust and repeatable launch processes. To achieve this, many companies today employ a new product introduction "phased" life-cycle methodology combined with project management. This approach integrates the new product life-cycle methodology with project management tools and techniques. A well structured NPI methodology offers tremendous advantages because it provides the competitive edge necessary to launch products more successfully. Companies who master their launch process typically enjoy quicker payback, increased customer satisfaction, and will have fewer issues with managing the product in the months and years that follow launch. A structured life-cycle methodology allows organization to standardize their concept to customer launch processes. Having an effective NPI methodology means that the same NPI language is spoken, and understood, from team to team as well as by all functions up and down, and accross, the organization. By incorporating a "phased" methodology, coupled with project tollgates and portfolio management, projects are able to be managed more easily. In addition, the process allows for improved visibility of projects (as well as the entire portfolio) at all levels of the organization. A project phase is simply a grouping of like tasks and activities. Dividing the project into discrete phases enables improved tracking and allows projects to be properly gated. When used in conjunction with robust core processes and good project management, a structured life-cycle approach helps project managers and project teams focus on the deliverables and objectives of a project (or portfolio of projects). A structured methodology also allows issues and roadblocks to be escalated more effectively so they can be handled by the right people. The result is less risk, fewer mistakes, improved visibility, and improved probability of meeting timing and budget targets. For companies operating in the automotive industry, we can incorporate APQP (Advanced Product Quality Planning) requirements right into the new product introduction methodology Terry Holley Consulting can implement new, or improve your existing, tools and methods of structured new product introduction to your organization. Let us work with you to integrate a concept to customer life-cycle methodology for your organization. What We Can Do For You Provide you with a robust NPI process template that satfisfies organizational and industry demands; which can include all or any combination of: Study your requirements and help you to develop a robust methodology right for your company. Map APQP, ISO9000, industry and statutory requirements into the template. Embed company-specific activities, process steps, and all document requirements into the template. Facilitate cross-functional events aimed to improve your first and second-tier processes, subprocesses, and document definition. Design a gate process and procedure that supports the objectives of the methodology. Integrate project management / portfolio management tools into the methodology. Convert the above process into a Work Breakdown Structure that can be commonized throughout the organization. Convert the process methodology into usable MS-Excel and MS-Project templates. Work with your IT or software integrators to integrate process into electronic work flows, document management tools, project and portfolio tracking, etc. Develop / integrate a PM lessons learned subprocess into your NPI process. Integrate the above methodology into your existing or future PMO. Develop & manage training plan. Provide departmental training thru enterprise-wide training. Common Methodologies FIG-1: An example of a "Fully Sequential" new product introduction life-cycle, using a "phased" waterfall approach, is shown in Fig-1 below. This is one of the more common approaches out of the dozens of methods out there. The fully sequential approach is utilized when the firm is not under tremendous time constraints to deliver the project. Obviously, in today's fast-paced business environments, fewer companies rely on a purely sequential methodology. With that being said, often companies that employ the fully sequential methodology experience difficulty in managing compressed time lines, rather than letting the methodology flex to the requirements of the project. FIG-2: An example of a "Concurrent Engineering" new product introduction life-cycle using the waterfall approach is shown in Fig-2 below. The concurrent engineering approach is often utilized when the firm is under time constraints to deliver the project. This approach allows the organization to overlap project phases. This approach introduces a certain amount of risk, obviously, for we are doing the same amount of work in less time. Because of phases occurring in concurrence, it is more of a challenge to interpret (and report) the exact status of the project. FIG-3: An example of the "Concurrent Engineering" methodology with toll gates added. This is not necessarily the best methodology for all situations, but is quite common in organizations that develop and sell products and services. A methodology structured with toll gates is quite desirable when dealing with large, high-profile projects, or projects that bear considerable risk. A "gated" methodology is preferred by organizations that employ portfolio management. When employing gates, the job of managing risk becomes easier because by nature, the project team is forced to step back and evaluate where everything stands. Gates also eliminate ambiguity when reporting progress of the project. An example of the process flow within each phase. Notice that the Intiate, Plan, Execute, and Close cycle is managed within each phase, as well as on the overall project. This iterative cycle is often likened to Deming's Plan, Do, Check, and Act cycle. Advantages of Employing the Right Methodolgy: Ability to Deliver Projects Successfully and Repetively Improves Adherence to APQP and Industry Regulations Improves Adherence to ISO9000 and Internal Quality Procedures Provides Fundamental Foundation for Portfolio Management Reduces the Chance of Making the Same Mistakes Time After Time Aligning Portfolio to Strategy Becomes More Visual Standardization Via "Launch Templates" Reporting and Tracking Visibility > Improves Visibility of Roadblocks and Issues Ability to Pinpoint Process Weaknesses Provides Meaningful Project Launch Criteria and Tollgate Hurdles Standarized Document Control Let Us Do the Work Businesses often do not have the technical staff in house to successfully plan and facilitate implementing the strategies described above. That's where we can help. We have the skills and experience to deliver the right New Product Introduction and Project Management tools and solutions to your organization. Also, don't hesitate to contact us if you have custom needs, or if you are thinking of implementing a new and innovative strategy or application that is not mentioned here on our website. We will be happy to discuss your needs. Contact us for more info