Technology ManagementRochester Institute of Technology

Karina VasquezPavel Estrella

Roberto Castillo

Agenda

1. Introduction 2. Company Overview3. Product Development Department4. Product: Ice cream freezer5. Product concept development6. Development process

Introduction

Essential activity

Rese

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and

Dev

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Innovation

Quick – Efficient – Effective

Economic Impact

Introduction

Maximizing product’s fit with customer requirements

Minimizing the development cycle time

Controlling development costs

Product Development

Company Overview

Product Development

Company: Commercial refrigerators manufacturing company from the Dominican Republic

(*The company provided the information needed but wants to keep its confidentiality)

Department: Product Development

Product: Commercial freezer for ice cream retail.

Low cost of local distribution

Centralized and decentralized activities

Sales to direct to client – Manufacture’s representatives

Global linked strategy - Strategic alliances - contractual agreements to manage market share – Licensing

Custom design and commercialization

Company Overview

Product Development Department

2. Engineering Team1. Design Team

Partly parallel development process

Cross Functional Team

Team MembersManager

Design Coordinator

Design Engineer 1 Technician 1

Technical Engineer

Technician 2

Team Members

Design Engineer 2

Communication with marketing – manufacturing – purchasing

Product Development

Ice cream freezer product development

1. Opportunity Identification / Client requirements

2. Product Concept Development

Steps of the Process

1. Opportunity Identification / Client requirements

1. Countertop design

2. Specific overall dimensions

1. Inner capacity for 120 cups. 2. Full facing 5x6 cups.

5. Inner lighting. 6. Self-Contained.

The design brief with basic requirements

3. Low energy consumption. 4. NSF and UL standards.

7. Easy temperature reading interfaces / must be visible.

8. Gravity-fed shelving.

Product Concept Development

1 2 3 4 5

1.Preliminary Assessment

5.Submission

2.Investigation

3.Development4.Evaluation

Development Cycle Time = 5 days

Partly Parallel Development Process

Product Concept DevelopmentFinal Concept: Alternative 1

Design for manufacturing approach Use of CAD / CAM technology

Product Concept DevelopmentFinal Concept: Alternative 2

Design for manufacturing approach Use of CAD / CAM technology

Development Process

Current development Process

5 days

Team members had fifty percent overtime

Variation of a stage-gate process (M. chilling)

Escalation for development time implemented

Stage Time1 Customer request

1 day

2 PM team selection3 Study of customer design requirement and conduct

preliminary investigation in the house4 Brainstorming with Product Development Team to create

design alternatives 5 Alternatives generated by the design team.

3.5 days6 Selection of two alternatives for customer by design committee and submission

7 Final decision by the customer 0.5 dayTotal 5

Table 1

Suggested Modification for development Time implemented

Table 2

Stage Time

1 Customer request

1 day

2 Project filtering.

3 PM team selection

4 Study of customer design requirement and conduct preliminary investigation in the house

5 Brain storming with Product Development Team to create design alternatives

6 Alternatives studied by the design team. 3.5 days

7 Selection of two alternatives for customer by design committee

Final decision by the customer 0.5 days

Total 5 days

Filtering ProjectsBenefits for The Company Focus more its resources which will help to reduce development costs

Help to approach product development systematically

Improve ratio of product developed that results in commercial projects

Schilling, 2010

Rapid Development

Management according to economics

Be Flexible About Process

Handle Complexity

Rapid Development

Outcome

Unsatisfactory outcome

Bigger issues: Complexity and time

50% Workload increased

Waste of recourses

Outcome

• Disadvantages and advantages of early entrants of their own innovations.• The developing cycle • Secured user for new developed product• Opportunity To Develop customer satisfaction at its highest• Optimize cash flow or go with cannibalization• Request confidentiality to their exclusive customer• The Dominican Republic market and cannibalization• Skim the market by setting high prices due to the innovations and custom

made designs• Penetration price • Need of innovation in Dominican Market• Partnership and distribution: USA, Puerto Rico and Guatemala • Local distribution: Retails and disintermediation

Crafting a Deployment Strategy