The Study On Process Optimization Of New Product Development In SMS Company

The product development center of SMS Company in Shenzhen focuses on building control product development,with a team of more than thirty engineers including hardware,software,mechanical,product test and project managers.They work with product managers and procurement team located in HK,also the building system test resources in Switzerland and Beijing,for product design and development.Part of detail design and production was out sourced from external EMS suppliers in south China.Since 2010,around 40 projects were finished in SZ center,but the delivered projects can hardly meet management expectation since majority of the projects got either schedule delay or budget overshoot.How to improve project performance and management efficiency by making best use of available resources to deliver best products to cope with the fierce competition is the most urgent topic to be resolved in ShenZhen RD center.By applying what had been learnt from MBA classes,the goal of this article is to summarize key reasons that leading to project deviation,and provide workable improvement solutions to the company so to improve overall project management results.The article introduced the development history of project management theory in the world,and then outlined the current theory structure for the five stages of project management in ten different areas.As for new product development,also introduced traditional water fall development and also the agile development process.In this article we collected finished project data in the past ten years,and summarized reasons that leading to project delay and budget overshoot.We found the main reason lies in product requirement change,design defect,supplier cooperation and internal resources shortage etc.;as for improvement,the article provided detailed enhancement suggestions for each stage during new product development process.Since current process in SMS Company is already quite mature,we will not fundamentally change the existing process but just optimize in process details and also enhance the implementation as required by process.The improvement solutions got strong support from management team and the organization was changed accordingly,which provided a solid foundation for the improvement actions to be implemented in the RD center.The optimized project management process provided a better guideline on risk control and how to cooperate with external suppliers,thus especially helpful for managing JRD and ODM type product development.