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Managing Development Risk in Product Design Processes

Author

Listed:
  • Reza Ahmadi

    (University of California at Los Angeles, Los Angeles, California)

  • Robert H. Wang

    (University of California at Los Angeles, Los Angeles, California)

Abstract

Product development has become the focal point of industrial competition and is the cornerstone of long-term survival for most firms. One of the major management challenges in product development is to deal with development risk in the design process. In this paper we provide a strategic guideline as to how the design process should be managed and controlled. We describe how design reviews and engineering resources can be scheduled as the control mechanisms to operationally manage development risk. The methodologies developed are an integral part of a project to fundamentally restructure product design processes at Rocketdyne Division of Rockwell International, which designs and develops liquid-propellant rocket propulsion systems.

Suggested Citation

  • Reza Ahmadi & Robert H. Wang, 1999. "Managing Development Risk in Product Design Processes," Operations Research, INFORMS, vol. 47(2), pages 235-246, April.
    • Handle: RePEc:inm:oropre:v:47:y:1999:i:2:p:235-246
    DOI: 10.1287/opre.47.2.235
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    References listed on IDEAS

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    1. Robert P. Smith & Steven D. Eppinger, 1997. "A Predictive Model of Sequential Iteration in Engineering Design," Management Science, INFORMS, vol. 43(8), pages 1104-1120, August.
    2. Albert Y. Ha & Evan L. Porteus, 1995. "Optimal Timing of Reviews in Concurrent Design for Manufacturability," Management Science, INFORMS, vol. 41(9), pages 1431-1447, September.
    Full references (including those not matched with items on IDEAS)

    Citations

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    Cited by:

    1. Thomas A. Roemer & Reza Ahmadi & Robert H. Wang, 2000. "Time-Cost Trade-Offs in Overlapped Product Development," Operations Research, INFORMS, vol. 48(6), pages 858-865, December.
    2. Salah Ahmed Mohamed Almoslehy & Mohammed Saad Alkahtani, 2021. "Key Approaches, Risks, and Product Performance in Managing the Development Process of Complex Products Sustainably," Sustainability, MDPI, vol. 13(9), pages 1-24, April.
    3. Bhattacharya, Shantanu & Krishnan, V. & Mahajan, Vijay, 2003. "Operationalizing technology improvements in product development decision-making," European Journal of Operational Research, Elsevier, vol. 149(1), pages 102-130, August.
    4. Bahram Hamraz & Nicholas H. M. Caldwell & P. John Clarkson, 2013. "A Holistic Categorization Framework for Literature on Engineering Change Management," Systems Engineering, John Wiley & Sons, vol. 16(4), pages 473-505, December.
    5. Nitindra R. Joglekar & Ali A. Yassine & Steven D. Eppinger & Daniel E. Whitney, 2001. "Performance of Coupled Product Development Activities with a Deadline," Management Science, INFORMS, vol. 47(12), pages 1605-1620, December.
    6. Joglekar, Nitindra R., 2003. "Performance of coupled product development activities with a deadline," Working papers WP 4122-00., Massachusetts Institute of Technology (MIT), Sloan School of Management.
    7. Whitney, Daniel & Eppinger, Steven D. & Yassine, Ali & Joglekar, Nitin & Braha, Dan, 2002. "Information Hiding in Product Development: The Design Churn Effect," Working papers 4333-02, Massachusetts Institute of Technology (MIT), Sloan School of Management.
    8. Ahmadi, Reza & Roemer, Thomas A. & Wang, Robert H., 2001. "Structuring product development processes," European Journal of Operational Research, Elsevier, vol. 130(3), pages 539-558, May.
    9. Thomas A. Roemer & Reza Ahmadi, 2004. "Concurrent Crashing and Overlapping in Product Development," Operations Research, INFORMS, vol. 52(4), pages 606-622, August.
    10. Lin, Jun & Chai, Kah Hin & Wong, Yoke San & Brombacher, Aarnout C., 2008. "A dynamic model for managing overlapped iterative product development," European Journal of Operational Research, Elsevier, vol. 185(1), pages 378-392, February.
    11. Tyson R. Browning & Ernst Fricke & Herbert Negele, 2006. "Key concepts in modeling product development processes," Systems Engineering, John Wiley & Sons, vol. 9(2), pages 104-128, June.
    12. Aditya U. Kulkarni & Alejandro Salado & Peng Xu & Christian Wernz, 2021. "An evaluation of the optimality of frequent verification for vertically integrated systems," Systems Engineering, John Wiley & Sons, vol. 24(1), pages 17-33, January.
    13. Qian, Yanjun & Xie, Min & Goh, Thong Ngee & Lin, Jun, 2010. "Optimal testing strategies in overlapped design process," European Journal of Operational Research, Elsevier, vol. 206(1), pages 131-143, October.

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