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Quality Updates to NPD 2.0. NPD Conference Presenter: Bernie Deubel May 29, 2008. New Product Development Roadmap. http://sps.emrsn.com/sites/npd/default.aspx. Quality Updates to NPD 2.0. Why were Quality Updates made to NPD 2.0? Who Made the Changes? What Has Changed?

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Quality updates to npd 2 0

Quality Updates to NPD 2.0

NPD Conference

Presenter: Bernie Deubel

May 29, 2008


New product development roadmap

New Product Development Roadmap

http://sps.emrsn.com/sites/npd/default.aspx


Quality updates to npd 2 01

Quality Updates to NPD 2.0

  • Why were Quality Updates made to NPD 2.0?

  • Who Made the Changes?

  • What Has Changed?

  • What is the Magnitude of the Changes?

  • When are the Changes Effective?

  • How do I Know What has Changed?

  • What’s Next?


Background quality updates to npd 2 0

Background: Quality Updates to NPD 2.0

  • As NPD 2.0 rolled out, the need to improve Quality Content and Linkages between Supply Chain Management and New Products was noted by Senior Management

  • Quality Council and Corporate Technology were tasked by Senior Management in October 2007 to vastly improve Quality Focus and Content of NPD 2.0

  • Specific Request made of the Team to Incorporate more Emerson Quality-Related Best Practices and Tools into NPD 2.0

Why Were Quality Updates Made to NPD 2.0?


Quality updates to npd 2 0 are part of our continuous improvement culture

Quality Updates to NPD 2.0 are Part of our Continuous Improvement Culture

For several years now, we have followed a New Product Development (NPD) roadmap with the Phase-Gate Process. That has worked extremely well for Emerson. The Phase-Gate approach moved products to market faster. It also drove parallel, cross-functional decision-making, and helped eliminate marginal projects. In short, this Phase-Gate approach proved once again that good processes lead to a better outcome.

Now, we have evaluated actual performance from 300 Emerson individuals that show how we can make our Phase-Gate Process even more productive and more profitable. A cross functional team, drawn from all Emerson Business Groups and Corporate staff, has developed updates for Emerson’s NPD process, raising it to the next level and aligning it with our Key Emerson Growth Initiatives. The new and updated content has been added to the NPD Process in the areas of Innovation, Customer Orientation, Portfolio Management, Launch Review and Procurement. This new NPD Website has been developed and is being rolled out to the divisions as another useful tool. The web-site is easier to use and menu driven, containing work templates and new best practice examples. The website is located on the secure Emerson Intranet to protect our confidential information and examples from our competitors.

This more focused, web based Phase-Gate Process offers a unique potential because it is adaptable to individual Emerson companies. It will provide a foundation for your division to refine a better new product process suited to your organization and needs. Also, it builds in the necessary Emerson accountability and measurement benchmarks.

We have experienced excellent success with Phase-Gate. But our internal evaluation shows that we can do better, and we must. That is what Emerson always has been about – continuous improvement, always working to be best in class. I am confident that your division, our customers and Emerson will benefit by adopting and adapting the New Product Development process laid out in this new website. Thanks for your support and commitment to win.

David N. Farr

Chief Executive Officer

From the Chief Executive Officer: NPD2.0 Website 10/07

……. We have experienced excellent success with Phase-Gate. But our internal evaluation shows that we can do better, and we must. That is what Emerson always has been about – continuous improvement, always working to be best in class. I am confident that your division, our customers and Emerson will benefit by adopting and adapting the New Product Development process laid out in this new website. Thanks for your support and commitment to win.

David N. Farr, Chief Executive Officer


Background quality updates to npd 2 01

Background: Quality Updates to NPD 2.0

  • Emerson Quality Council and Corporate Technology led the Cross-Functional Team Effort

    • Each Business Group Represented on the Team:

      • Climate Technologies, Industrial Automation, Motors and Appliance, Network Power, Process Management, Tools & Storage

    • Corporate Groups Represented:

      • Manufacturing, Safety, Supply Chain Management, Technology, Training

  • Updates and Changes were Reviewed and Approved by Ed Monser (COO) and Randall Ledford (CTO)

Who Made the Changes?


Quality updates to npd 2 0 team members

Quality Updates to NPD 2.0 - Team Members

* denotes Quality Council Member

James Ancharski (Inter Metro)*Mike Androlewicz (Corp Training)

*Greta Bai (Process) Tom Baldrick (Network Power)

*Jim Bent (MAC) Jason Blackburn (Corp Tech)

Don Bly (Corp Tech) Ernst Brouwer (Corp Manufacturing)

*Charles Bruce (IA & QC Chairman)*Bernie Deubel (MAC)

Joann Donelon (Corp Procurement)*Steve Frauen (Corp Product Safety)

*Elio Fumagalli (Corp Procurement) Fei Hong (Corp Tech)

Pam Jackson (Corp Tech/ Facilitator) *Ray Keefe (Corp Manufacturing)

*Tim Layer (Process) *Kevin McCalla (Network Power)

*Chris Morris (Network Power) *Bob Norwood (Process)

* Lee Smith (Process) *Dale Tempinson (Climate)


Quality updates to npd 2 02

Quality Updates to NPD 2.0

What Has Changed?

  • Quality Content in NPD 2.0 Explicitly Brought to a Level on par with Other NPD 2.0 Elements:

    • Strategic, Financial, Market, Operational and Technical Criteria

  • Quality now a Distinct Focal Point of the 7 Gates

    • 30+ Specific Quality Related Questions Added to the 7 NPD 2.0 Gates

  • Quality Metrics (5) Added

  • Quality Organization named an Input Resource for 12 existing Deliverables

  • Added 6 New Quality Related Best Practices

  • Added 8 New Quality Tools, Content and/or Web-Links

  • Strengthened NPD 2.0 Deliverable Wording and Phase Content in more than a Dozen Quality Related Subject Areas

  • Added a New Deliverable into the Design & Development Phase:

    • Communicating Project Specific Quality Requirements


Added gate quality criteria flow

Added Gate Quality Criteria & Flow


Added gate quality questions flow

Added Gate Quality Questions & Flow

Question Specificity & Quantification Increase as Projects Progress down the Funnel


Added gate quality questions flow1

What are the 1st level product/service CTQ parameters and initial targets?

Added Gate Quality Questions & Flow


Added gate quality questions flow2

What are the final product/service CTQ parameters, targets, and plans to mitigate the risks?

Added Gate Quality Questions & Flow


Added gate quality questions flow3

Have the CTQ risks been mitigated?

Added Gate Quality Questions & Flow


New gate questions added

New Gate Questions Added

Added Quality Criteria At Every Gate


Quality metrics added

Quality Metrics Added

  • Recommended Quality Metrics at Gates 2 through 7

  • Provided a Quality Metrics Template as a Best Practice at Gates 2 through 7

  • Fall 2009 Goal: Add the Quality Metrics to the 10M


New gate template with quality metrics

New Gate Template with Quality Metrics

Added Quality Metrics At Every Gate


Quality organization added as input resource for 12 existing deliverables

Quality Organization added as Input Resource for 12 existing Deliverables

  • Concept Feasibility Phase

    • Down-Stream Value Proposition

  • Concept Development & Product Planning Phase

    • Project Management Plan

    • Development Plan and Level of Effort

    • Value Based Pricing Strategy & Plan

    • Updated Product Lifecycle and Phase Out Plan

    • Review of Design for Serviceability

    • Services Plan and Level of Effort

    • Updated Financial Analysis

  • Ramp-Up Phase

    • Product Launch Matrix

    • Product Support Strategy

    • Analysis of Existing Contracts

    • Updated Financials


Quality organization added as input resource for 12 existing deliverables example

Quality Organization added as Input Resource for 12 existing Deliverables: Example

Concept Feasibility: Down Stream Value Proposition

Added Quality as An Input For Determining Value Proposition to Customer by Including Target Costs for Warranty, Service, etc.


Quality related tools added to npd 2 0

Quality Related Tools Added to NPD 2.0

  • Exhibit 135 and Cost of Quality (COQ) Instructions

  • Profit Review Presentation Model (Quality Performance and Risk Mitigation)

  • Emerson Supplier Audit Checklist (ESAC)

  • TechSource Tool

  • ANSI Link and Instructions (Safety Standards)

  • New Product Safety Checklist

  • Emerson Capability Analysis Tool (ECAT)

  • Emerson Supplier Audit Database

Quality Tools also Accessible via the NPD 2.0 Tools and Best Practice Quick Launch Tool Bar


Added quality tool esac

Added Quality Tool: ESAC


Added quality tool new product safety checklist

Added Quality Tool: New Product Safety Checklist

Update Includes Addition of Corporate Wide Standard Safety Checklist


Added quality tool profit review presentation model

Added Quality Tool: Profit Review Presentation Model

Profit Review Template Provided As A Tool To Help With Quality Performance and Risk Mitigation


Quality related best practices added to npd 2 0

Quality Related Best Practices Added to NPD 2.0

  • Emerson Software Center of Excellence (SCOE):

    • Capability Maturity Models (CMM) or Capability Maturity Models Integration (CMMI)

    • Emerson Capability Assessment Model (ECAM) (link)

  • Highly Accelerated Life Testing (HALT) Example

  • Highly Accelerated Stress Audit (HASA) Testing Example

  • American National Standards Institute (ANSI) Examples

  • Introduction to Testing for Significance – Outlier Detection during Parametric Function Testing Example

  • Design for Manufacturing Review

Quality Best Practices also Accessible via the NPD 2.0

Tools and Best Practice Quick Launch Bar


Added quality best practice example halt and hasa

Added Quality Best Practice: Example – HALT and HASA

Presentation On HALT (Highly Accelerated Lifetime Testing) and HASA (Highly Accelerated Stress Audit) Provided Along With Examples


Strengthened deliverable content across all npd 2 0 phases

Strengthened Deliverable Content Across All NPD 2.0 Phases

  • Quality

  • Reliability and robustness (the degree of margin under abnormal conditions)

  • Critical to Quality (CTQ) flow down characteristics and tolerances

  • Risk analysis, plans and mitigation

  • Quality training and employee qualification plans

  • Competitive intelligence

  • Validation and Verification

  • Cost of Quality (COQ)

  • Service, Serviceability, Failure Rate, Repair, Warranty

  • Product Obsolescence

  • DFMEA, PFMEA

  • Value Stream Mapping


Strengthened deliverable content example cost of quality coq

Strengthened Deliverable Content: Example - Cost of Quality (COQ)

Concept Development and Project Planning: Product Cost Model

Added Cost Of Quality And Link To Exhibit 135


Coq metric update objectives

COQ Metric Update Objectives

  • Better define the cost elements

  • Focus on significantwaste

    • Costs of waste that the customer does not value

    • Costs that can be avoided/eliminated

    • Costs that impact the P&L

    • Goal is easy……..it is zero!

  • Link to Emerson financial exhibits or standard practices, where possible


Coq exhibit 135 elements

COQ Exhibit 135 elements


Strengthened deliverable content example critical to quality ctq

Strengthened Deliverable Content: Example - Critical to Quality (CTQ)

Concept Development and Project Planning: Detailed Product Specification

Added Critical To Quality Content To Many Of The Deliverables


Strengthened deliverable content example dfmea and pfmea

Strengthened Deliverable Content: Example - DFMEA and PFMEA

Added PFMEA and Other Quality Related Content-

Still Looking to Find Best Practice For DFMEA and PFMEA


New deliverable added communicating project specific quality requirements

New Deliverable Added: Communicating Project Specific Quality Requirements

New Deliverable Page


New deliverable communicating project specific quality requirements

New Deliverable: Communicating Project Specific Quality Requirements


Other procurement related quality changes

Other Procurement Related Quality Changes


E sourcing opportunity assessment

E-Sourcing Opportunity Assessment

Added ESAC content


Preferred supplier identification engagement

Preferred Supplier Identification & Engagement

Added communicating quality requirements


Preliminary sourcing plan

Preliminary Sourcing Plan

Added ESAC content


Procurement plan and level of effort

Procurement Plan and Level of Effort

Added ESAC content


E sourcing high level process flow

E-Sourcing High Level Process Flow

Added ESAC content


Suppliers for component parts

Suppliers for Component Parts

Added ESAC content


Cost containment assessment

Cost Containment Assessment

Added ESAC content


Process control and fmeas for mfg

Process Control and FMEAs for Mfg

Added Procurement


Gate 2 project charter

Gate 2 - Project Charter

Added for early Procurement involvement


Gate 3 business plan

Gate 3 – Business Plan

Added


Quality updates to npd 2 03

Quality Updates to NPD 2.0

  • Web-site Changes Effective April 18.

    • Notification and Training Package Posted prominently on Website

  • Training Sessions Scheduled for:

    • Quality Council: April 9 (completed)

    • Web-Ex Training Sessions: Week of May 5

      • 3 WebEx Training Sessions, 1 each targeted for Americas, Europe and Asia

      • Target: Corporate Quality Leadership, Brand Officers, TBLs and PBLs

    • Division Specific Training: May and June

      • Quality Council Members will Deploy the Quality Training Within Their Own Divisions to Key NPD Staff

When are the Changes Effective?


Quality updates to npd 2 04

All Updates and Changes Will be Documented Under the ‘What’s New’ Tab on the NPD 2.0 Home Page

Users Who Selected the Update Notifications (ISO Recommended) Option on the Website will receive an e-mail notifying them of the update.

Quality Updates to NPD 2.0

How do I Know What has Changed?


Quality updates to npd 2 05

Quality Updates to NPD 2.0

What’s Next?

  • Quality Council Members Gathering and Vetting additional Quality Tools and Best Practices to Incorporate into NPD 2.0 during Q3 FY08 and Q4 FY08. Potential Examples Include:

    • Processes: Change Management, Traceability

    • Plans: Quality Risk Mitigation, Manufacturing Quality Verification, Product Life Cycle Phase In/Out

    • Examples & Resources: dFMEA, COQ, QFD, Preliminary Validation Test, Design for Serviceability, Estimating Mean Time to Service

    • Competitive Benchmarking: Quality

  • Update Advanced Design Center (ADC) NPD Guidelines and Link to NPD 2.0: Target Summer 2008

  • Exhibit 10M:

    • Refresher Training: Summer 2008

    • Update 10M to include Quality Metrics: October 2009 (tentative)


Questions

Questions?

  • Quality Specific contacts:

    • Charles Bruce [email protected] or

    • Quality Council NPD 2.0 Team Members:

      • Mike Androlewicz (Corp Training)Greta Bai (Process)

      • Jim Bent (MAC)Bernie Deubel (MAC)

      • Steve Frauen (Corp Product Safety) Elio Fumagalli (Corp Procurement)

      • Ray Keefe (Corp Manufacturing)Tim Layer (Process)

      • Kevin McCalla (Network Power)Chris Morris (Network Power)

      • Bob Norwood (Process) Lee Smith (Process)

      • Dale Tempinson (Climate)

  • NPD 2.0 contacts:

    • Pam Jackson [email protected] or

    • Jason Blackburn [email protected]

http://sps.emrsn.com/sites/npd/default.aspx


Backup

Backup


Communicating project specific quality requirements

Communicating Project Specific Quality Requirements


What s new drop down summary

‘What’s New’ Drop Down: Summary

High Level Overview of Latest Changes….


What s new drop down detailed listing

‘What’s New’ Drop Down: Detailed Listing

Detailed Listing of Changes by NPD 2.0 Webpage


Quality updates to npd 2 06

Quality Updates to NPD 2.0

Users Who Sign Up Receive Alerts When Changes Are Made. Users Can Go To What’s New Page To View Changes.


Quality updates to npd 2 07

Quality Updates to NPD 2.0

  • Updates and Changes Affect Over 100 Existing Web Pages in NPD 2.0

  • 60% of the existing 153 NPD 2.0 Deliverables Required Modification

  • Over 100 Pages of New Content Added or Linked as a Result of the New Tools and Best Practices

  • 1 New Deliverable Page Added

What is the Magnitude of the Changes?


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