CASE STUDYCASE STUDY

The Lifter ProjectThe Lifter Project

ScenarioScenario

The lifter company identified a demand for The lifter company identified a demand for new model.new model.

A need of new management control A need of new management control system.system.

I.e. simultaneousI.e. simultaneous engineeringengineering

New methodology is new and hard to New methodology is new and hard to adapt by the companyadapt by the company

The execution of new methodThe execution of new method

Reports were compiled at the end of Reports were compiled at the end of August 1992.August 1992.

Plans were re-processed to launch the Plans were re-processed to launch the project in March 1993.project in March 1993.

I.e. further resource I.e. further resource re-allocationre-allocation

The crisisThe crisis

Due to further resource re-allocation & Due to further resource re-allocation & more engineering activities the cost of the more engineering activities the cost of the project increasedproject increased

I.e. budget overrunI.e. budget overrun

Differences in profile of costs Differences in profile of costs incurred due to working towards incurred due to working towards

concurrent engineeringconcurrent engineering

DesignDesign

PurchasingPurchasing

Manufacture engineeringManufacture engineering

ToolingTooling

Testing (for each milestone)Testing (for each milestone)

External fittingExternal fitting

Quality testingQuality testing

DevelopmentDevelopment

The possibility of the project will The possibility of the project will be completed with only small be completed with only small

amount of slippageamount of slippage NoNo. because they spend more time on . because they spend more time on

manufacturing processes & testing. manufacturing processes & testing.

Some times after testing they need to Some times after testing they need to develop the product again develop the product again

to ensure the quality & to ensure the quality & satisfy the stack holders.satisfy the stack holders.

The helpful data other then costs The helpful data other then costs incurred & estimated times for incurred & estimated times for project manager to Form a project manager to Form a better overall picture of progressbetter overall picture of progress

Quality manual (Hierarchy of quality Quality manual (Hierarchy of quality system)system)

Internal/external audit of quality system Internal/external audit of quality system

Documentation reference manualDocumentation reference manual

Internal audit data of previous projectsInternal audit data of previous projects

END OF CASE STUDYEND OF CASE STUDY