Optimizing the closures development process using the design structure matrix

Product development processes are inherently complex sets of activities that involve a vast number of connections between participants. Engineers, designers, marketers, financial analysts, and manufacturers all have to receive information, process it, and distribute their decisions back into the system. These paths create information loops that are hidden from the participants on a long time scale and generate non-linear feedback. An analysis of the closures product and process development tasks at a major US automaker prompted the creation of new tools to optimize the ordering, identification of coupled blocks, prioritization of interactions, allocation of resources, and modeling of multiple projects. Ultimately, the analysis predicted a reduction in the average completion time of [approx.] 80%, a reduction in standard deviation of [approx.] 95%, and potential savings of -[approx.] $5B. Unfortunately, many of the suggestions from the analysis run headlong into the organization's structural, political, and cultural environment. Structurally, the automaker is a matrix organization split along functions and program lines, constantly attempting to balance between being a strong component designer and a quality assembler. However, the functional divisions create trouble in viewing and communicating across the entire system, whether that system is the vehicle to be designed or the organization itself. Politically, the atmosphere is dominated by a strong functional orientation, authoritative traditions, and a rigid hierarchy. Culturally, the people seem to be jaded and somewhat fatalistic about the company's future.

Department dc:contributor.department

Leaders for Manufacturing Program at MIT

Grantor dc:publisher

Massachusetts Institute of Technology

Year dc:date.issued

2005

Author dc:creator

• McGill, Eric Andrew

Advisor dc:contributor.advisor

• Daniel E. Whitney and Janice Klein.

• Sloan School of Management.
• Engineering Systems Division.
• Leaders for Manufacturing Program.

Statement dc:rights

• M.I.T. theses are protected by copyright. They may be viewed from this source for any purpose, but reproduction or distribution in any format is prohibited without written permission. See provided URL for inquiries about permission.

Licence dc:rights.uri

• http://dspace.mit.edu/handle/1721.1/7582

Language dc:language.iso

eng

Handle dc:identifier.uri

http://hdl.handle.net/1721.1/34858

OAI identifier oai:identifier

oai:dspace.mit.edu:1721.1/34858