Presenter: Jonathan R. Carr, Solutions Architect Date: June 2014 How Internal Politics Drive the Success or Failure of Your Product Development System An Insider’s View of Organizational Change During the Adoption of PTC Windchill
Presenter: Jonathan R. Carr, Solutions Architect Date: June 2014
How Internal Politics Drive the Success or Failure of Your Product Development System
An Insider’s View of Organizational Change During the Adoption of PTC Windchill
Company Confidential © 2014 Boston Engineering Corporation 2
PTC Live Global
Agenda
• Product development challenges: technology, complexity, and process • Roadblocks to employee buy-in • Two case studies • Three keys to employee adoption of product lifecycle management (PLM)
You are surrounded by politics
Company Confidential © 2014 Boston Engineering Corporation 3
PTC Live Global
“All politics is local” – former U.S. Speaker of the House Tip O’Neill “There’s not a business anywhere that is without problems….business is complicated and imperfect.” – Bob Parsons
Company Confidential © 2014 Boston Engineering Corporation 4
PTC Live Global
Product development challenges…
• Added product complexity (variety, technology, and functionality)
• Dynamic markets: need to expand product offerings while maintaining quality
• Relentless cost pressures
• Extended supply chain – more companies and global reach: Coordinate with international, cross-functional teams Comply with corporate standards and multiple regulatory bodies
Today
Distributed
100s of products
1000s of parts
Dynamic technology
Time to market = Months
Time within market = Months
Heavy cost pressures
Many government regulations
Before
Local
1 product
50 parts
Stable technology
Time to market = Years
Time within market = Years
Moderate cost pressures
Note: Adapted from PTC content
Company Confidential © 2014 Boston Engineering Corporation 5
PTC Live Global
… in a complex environment
Key challenges: • Departmental silos with different data systems • Lack of awareness of other departments’ processes
Note: Adapted from PTC content
Company Confidential © 2014 Boston Engineering Corporation 6
PTC Live Global
New technology helps to integrate teams and business processes
Note: Adapted from PTC content
Benefits of PTC‘s Product Development System (PDS): create, collaborate, control, configure, and communicate
Employees are one of three elements of business operations.
It is critical to establish a process and communications program to reinforce change.
• 55% of project managers believe that effective communications to all stakeholders is the most critical program success factor. – The Project Management Institute
• 70% of attempted organizational changes fail, with employees playing a key role in project outcomes. – McKinsey & Company
Company Confidential © 2014 Boston Engineering Corporation 7
PTC Live Global
Think beyond technology: employee buy-in can make or break a new program
• Resist giving up control or ownership • Balk at new levels of transparency and accountability • Worry that underlying IT issues become highlighted and cause
bigger challenges • Allow differences among departments to impede success • Have an “us” vs. “them” mentality between corporate and
regional sites • Fear that they will become expendable
Company Confidential
8
PTC Live Global
Common roadblocks to employee adoption of new programs
Company Confidential © 2014 Boston Engineering Corporation 9
Case Study 1
Green energy company addresses rapid growth, global expansion
Business Challenge: • Need to support high growth across multiple locations Solution: • Implement PTC Windchill to manage engineering design and documentation Politics: • Engineering not involved in the process • Remote sites not supporting the program Initial Roadblock: • Employee resistance caused:
Schedule delays Quality issues Costly late-stage design changes
Engineering
Company Confidential © 2014 Boston Engineering Corporation 10
Case Study 1, Continued
Green energy company addresses rapid growth, global expansion
Reset for Success: • Added engineering to project steering
committee • Improved communication globally,
gained program advocates
Results: • System supports company growth • Company is meeting aggressive new
product introduction goals • Product quality is improved
Company Confidential © 2014 Boston Engineering Corporation 11
Case Study 2
Lab devices manufacturer improves service with real-time insight into part changes
Business Challenge: • Outdated parts information impacts
customer satisfaction, slows service
Solution: • Make product engineering updates available
to global services team automatically via PTC Windchill
• Provide CAD product information in 3D
Politics: • Mid-project disruption by one department
threatens to put the project on hold
Company Confidential © 2014 Boston Engineering Corporation 12
Case Study 2, Continued
Lab devices manufacturer improves service with real-time insight into part changes
Reset for Success: • Met with frustrated department head
immediately to diffuse the situation • Expanded project steering committee • Increased communications with all
stakeholders (from updates to gathering feedback)
Results: • Increased service team efficiency • Reduced repair times • Cut component replacement cost
Company Confidential © 2014 Boston Engineering Corporation 13
PTC Live Global
Three keys to employee adoption of PLM
1. Communicate, communicate, communicate Don’t underestimate the time and repetition required to educate and assure employees Underscore benefits (financial savings in specific areas, etc.) Make your objectives clear – from all-staff emails to departmental meetings Create a communications framework – from sending pre-meeting agendas to creating
a feedback loop to address employee questions
2. See the employees’ perspective Acknowledge short-term “pain” while employees learn new processes Underline the companywide gains – especially if benefits won’t be evenly distributed
across departments
3. Get help Enlist a “change champion” in each group to advocate for your program Make sure that there are employees at all levels that you can leverage to influence
specific teams
Boston Engineering Corporation: 300 Bear Hill Road, Waltham, MA 02451 www.boston-engineering.com
© 2014 Boston Engineering Corporation
Phone: 781-466-8010 E-mail: [email protected]
Web: boston-engineering.com
Please contact us for additional information.