New Jetta Seat Project Risk Management Of Changchun FJC

With the rapid development of Chinese economy, with China joining the WTO, many cars produced by the foreign company enter the Chinese automotive market, some automotive company come to China to build the factory or joint venture enterprise. Chinese automotive market faces the strong competition. In order to reduce the researching and developing time and enhance the R&D ability, the OEMs of Chinese auto begin to have united development with using the global R&D resources, the united development project has many risks. The Auto Part Company faces the opportunity and challenge. In order to ensure project success and deliver the expected product and service to OEM, project risk management is needed.In order to meet the requirement from market and the need of development of a company, Changchun Fawer Johnson Controls started the New Jetta Seat project. FAW-VW defines the New Jetta is meet the low price private user, business user and taxi user. The production quantity is 825 thousand, the lifecycle is 8 years, they will be launched in Chinese market in 2008, this product has good market foreground. The project team members: FAW-VW, CCFJC,Korea Johnson Controls,IDG and others. FAW-VW is the production manufacturer of New Jetta, responsible for expenditure of project; CCFJC is the supplier of New Jetta interiors, responsible for engineering design, trial-manufacture and testing. Korea JC is responsible for industry design of New Jetta, work in Korea .IDG is responsible for industry design of whole exterior, work in Italy. German-VW, American Johnson Controls.Firstly, some risk has been met in the implementation of New Jetta Seat, the project couldn't go on wheels. There are many risks: technical risk, quality risk, process risk, management risk, organizes risk, market risk and economic risk. All the members of New Jetta project team face the challenge, and the project risk management is the key point for project success.Secondly, we must layout the problem of NJ project risk management (PRM). PRM layout is the basis and premise of project risk management. Project risk management includes: project risk management object, project risk management scope, key process that project risk management exist, establishing the project risk management plan. Project risk management object has two parts: one is the object before losing, the other is the object after losing, they together are the system objects of the risk management. Project risk management object is used to control and manage project risk, prevent and reduce the loss, alleviate or remove the disadvantage effect with low cost .in order to ensure the project go on wheels. The content of project risk management scope, project risk type, project risk grade, how, whom, scope change and control. The project risks come from engineering, manufacturing, purchasing, quality, commercial and project management organization. Project risk management plan includes risk management method role and responsibility, cost and time, risk sort, probability and risk checklist .Risk management plan must be updated with the project going.Thirdly, all the project risk must be identified in every phase of New Jetta development process; we need to connect product development process with the project risk management process. There are five phases for identify the risk: proposal, Design & Development, Design Verification, Production Validation, and Launch. In proposal stage, after we receive the approval of GM and receive the expenditure from FAW-VW, we can start program and development. The project is changing, unsure factors are all risk, there are all kinds of risk .we must control the potential risk, which will affect the time, cost and quality. The risk identified must exist in the risk checklist.In Design & Development stage, we need to complete product definition, product feasibility and DV tool release. After we receive the expenditure for DV tool release, we can do DV tool release. PE need to have communication complete the product definition with the OEM, Manufacturing Engineer is responsible for product feasibility. There are risk from engineering and manufacturing, this will lead to the risk of quality, purchasing, commercial and organize. The risk identified must exist in the risk checklist.In Design Verification stage, we need to complete DV readiness, customer parts and final production release. The risk is from manufacturing, engineering purchasing and quality, this risk will lead to affect commercial and organize. The risk identified must exist in the risk checklist.In Production Validation stage, we need to complete PV readiness and customer part approval. There are a lot of risks from manufacturing, for example manufacturing parameter could meet the requirement with the tool. The risk from engineering is reducing. There is much risk from quality and manufacturing. Supplier couldn't meet the production requirement. The transportation of supplier will affect the project. The risk identified must exist in the risk checklist.In Launch stage, we need to ensure production readiness, ensure production from begin to transition, meet the customer requirement. There are some risks from manufacturing and supplier. The AFM will meet risk of the expenditure from customer some risk may be from market. The risk identified must exist in the risk checklist. Lastly, we must classify all the risks from all stages, base on the function department to classify the risks. We need to analysis all the risks, we use brainstorm and indicate graded method to range the project risk, and the high risk is the first. We must analysis the high risk deeply; we will find the strategy to avoid the risk happened. The function department is responsible for the risk from his department. PE and EM are responsible for the risks from engineering, ME is responsible for the risks from manufacturing, the buyer is responsible for the risks from purchasing, QE is responsible for the risks from quality, AFM is responsible for managing the risk from commercial, PM is responsible for managing and controlling the risk from the function department. We can adopt the different strategy to face the risks in every stage in new product development process. We will realize dynamic supervision and control to the risk from every stage in product development process. Finally we can ensure the project success.Project risk management is the important part of project management; we must pay more attention the project risk management in any project. We need to enhance risk consciousness and promote the level of project risk management in order to ensure the project success.