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What is Performance in Complex Product Development

Fulltext:


Authors:

Stefan Cedergren, Joakim Eriksson, Peter Wallin

Research group:

Product and Production Development

Publication Type:

Conference/Workshop Paper

Venue:

R&D Management

Abstract

The process of developing new products is one of the key business processes in a company, especially technology intensive ones. In order to continuously improve the capability of developing new products it is important to be able to measure the performance in the product development process. The dilemma though is that there are no good performance measurements available within complex product development. One reason, as argued in this research, is the lack of a holistic perception of performance within the development process. Data from an explorative five case study including 49 semi-structured open interviews regarding performance indicate that performance is perceived in terms of time, cost, and quality i.e., what is measured. Thus, in order to develop better measurements of performance, the perception of performance needs to be changed first. To meet this need, a Product Development Organizational Performance Model (PDOPM) is proposed, consisting of three generic levels of activities: product strategy, project management, and product activities. These generic activities are modelled in accordance with the IDEF0 framework making it possible to conceptually reason about uncertainty, effectiveness, and efficiency at each activity level. Product development effectiveness and efficiency are also defined for the complete process. Further, product development efficacy is introduced to describe the capability of identifying or creating a market opportunity and being able to develop and deliver a product fulfilling exactly what was identified as the market opportunity.

Bibtex

@inproceedings{Cedergren1256,
author = {Stefan Cedergren and Joakim Eriksson and Peter Wallin},
title = {What is Performance in Complex Product Development},
month = {June},
year = {2008},
booktitle = {R{\&}D Management},
url = {http://www.ipr.mdu.se/publications/1256-}
}