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Product Development

Product development: Ushering in a New Era

Market leaders outperform their competitors with up to 30% faster time-to-market and 35% lower development and product costs through efficient synchronization of their functions at key milestones all along the development.

Product Development best practices are driving continuous improvement for time to market and product cost optimization, while leveraging emerging fundamental trends to shape tomorrow’s markets and long term success. Product Development differs from other operations practices as its performance indirectly affects the long term company position, by:

  • Integrating market data and users’ evolution of needs into the design
  • Developing new knowledge & technology while maintaining an agile worldwide footprint and ecosystem
  • Creating proficiency in complex system design
  • Supporting clients’ business model evolutions

Services design and disruptive innovations from other industries eventually impact top line competitiveness. These emerging trends are so numerous that they act as genuine game changers!

Now this new era calls for a tremendous and key challenge:

  • Do things right: Developing both soft and hard skills for Engineering teams fosters creativity and efficiency, but requires targeted waves of focused effort to achieve cross-functional team work, cost reduction targets, and reconciliation of initiatives to the P&L.
  • Do the right things: Integrating fundamental trends into products and organizations ignites future competitiveness and the transformation journey. Such initiatives are achievable only with true cultural mindset change, significant effort, and intelligent coordination to avoid getting lost in complexity!

Assets

We bridge efficiency and growth between your product development practices and fundamental trends.

CYLAD provides guidance on the impact of fundamental trends on your organization and the right approach to identify and implement true product development efficiency opportunities while paving the way for new markets.

Achievement of successful product development approaches in all organizations depends on the company’s ability to:

  • Understand both the external and internal value of transformation
  • Choose and adapt the mix of evolutions in order to secure the transformation journey and mitigate risks
  • Implement clear and sustainable approaches with the teams involved
  • Ensure value for the company in the short- and long-term

 

We build upon our past experiences in Innovation, R&D and Product Development to deliver significant recommendations and successful transformations. With CYLAD you can expect:

  • A team of seasoned professionals that understands market evolutions, business models, global footprints, and technology capabilities
  • Value delivered to keep focus on the impact fundamental trends on your business and product development strategy
  • A suite of proven approaches to identify true product development opportunities (incl. covering assessment and impacts of cross functional organizations and products, both internally and at extended enterprises level)
  • A team that understands product complexity and synchronization opportunities from R&D, style, or system design to Manufacturing Engineering and Product Validation while maintaining a top level view to ensure P&L reconciliation
  • High consideration for fostering soft skills and learning

Client cases

Product Development health check for a wind energy OEM

Product Lifecycle Management (PLM) initiative, framing study for development of a warship

Analysis of the Product Development department to identify improvement potentials to improve time, cost, and quality.

CONTEXT

Create a competitive advantage in the product development to gain market share.

In a growing and highly competitive business for wind turbines, the development of new products with a short time to market is essential to build the right products for customers and increase market share. The analysis of the Product Development should identify strengths and pain points to sustainably improve the product portfolio.

PROJECT APPROACH

Analysis of the current processes to identify strengths and improvement potential.

The Product Development was analyzed by an individualized grid, assessing 20 different Product Development dimensions from the Product Development process to the resource modelling. The assessment was performed by interviewing various experts within the client’s Product Development department as well as departments with a strong link to the Product Development . This analysis was confirmed by assessing some specific development projects with regard to the identified strengths and weaknesses.

RESULTS / FINDINGS

Improvement potential identified for a simplified Product Development focusing on products with demand pull.

The analysis showed that a simplified product portfolio increases the overall output of the main development projects significantly by focusing the Product Development on the products with the greatest demand pull. Additionally, a number of improvement levers were identified to increase the performance and reduce the time to market (e.g., by using an enhanced stage gate process in the product development).

 

Analysis of the impacts of a new PLM system on the Engineering disciplines and other functions.

CONTEXT

Deploy a new PLM system to cope with time to market, cost efficiency, and service development ambitions.

Obsolescence of a current product data system combined with ambitions for additional engineering performance and service development were sufficient rationales to justify a new PLM initiative. However, key points remained open before launching the project, including: business priorities, expected capabilities, measurable and committed savings, and deployment principles.

PROJECT APPROACH

Align perspectives of business needs regarding PLM from operational teams up to executive management.

The first step was dedicated to establishing the expected performance baseline and setting the targets for each business unit, including recurring/non-recurring cost reduction, time to market improvement, or generating additional services turnover. Then the team translated expected PLM impacts into contribution to the target. Each area of impact was detailed in terms of levers, expected new capabilities, product portfolio scope, prerequisites to be secured, and level of priorities. Finally, based on business priorities, the global project roadmap was consolidated.

RESULTS / FINDINGS

An alignment of functions and business units on the priorities and benefits of the future PLM system.

The analysis showed that PLM had a wide impact on the overall organization, although all the products were not necessarily impacted by the new capabilities (e.g. no need to deploy concurrent engineering functionalities on legacy products). Functions and business units agreed on the priorities and key benefits of the solution. The benefits were quantified and committed to, allowing to set a 4-year ROI for an 11M€ investment.

Interview

Modularity approach implemented by Alstom & CYLAD teams to boost competitiveness of offers and anticipate products’ variability

"We were kind of at a turning point between what we had been doing in recent years and preparing for the next 4 years. I wanted a partner simply to provide us, not with a model to copy, but rather one that understood us and could help us design our own model."

Paloma Moran

VP platform Metro et Suburban at Alstom Transport

Play

Contacts

Laurence Massat

Partner / France

Toulouse

Olivier Paget

Partner / France

Paris

Dr. Thomas Trautmann

Partner / Germany

Hamburg

Alexandre van den Berg

Partner / Canada

Montreal