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    Lecture2 Feb8

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    Abhishek Puri
    The critical path for the project has a total duration of 129 weeks. Shortening the advertising campaign to 15 weeks would reduce the total project duration to 128 weeks. To reduce the total time until launch to 28 months (112 weeks), tasks on the critical path such as hardware engineering, operating system development, and external game development would need to be shortened. There is a 43% probability that the total project duration will be more than 135 weeks given the random durations of certain tasks.

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    Lecture2 Feb8

    Uploaded by

    Abhishek Puri
    43 views11 pages
    The critical path for the project has a total duration of 129 weeks. Shortening the advertising campaign to 15 weeks would reduce the total project duration to 128 weeks. To reduce the total time until launch to 28 months (112 weeks), tasks on the critical path such as hardware engineering, operating system development, and external game development would need to be shortened. There is a 43% probability that the total project duration will be more than 135 weeks given the random durations of certain tasks.

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    The critical path for the project has a total duration of 129 weeks. Shortening the advertising campaign to 15 weeks would reduce the total project duration to 128 weeks. To reduce the total time until launch to 28 months (112 weeks), tasks on the critical path such as hardware engineering, operating system development, and external game development would need to be shortened. There is a 43% probability that the total project duration will be more than 135 weeks given the random durations of certain tasks.

    Copyright:

    Attribution Non-Commercial (BY-NC)
    Download as PDF, TXT or read online from Scribd
    Flag for inappropriate content
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    43 views11 pages

    Lecture2 Feb8

    Uploaded by

    Abhishek Puri
    The critical path for the project has a total duration of 129 weeks. Shortening the advertising campaign to 15 weeks would reduce the total project duration to 128 weeks. To reduce the total time until launch to 28 months (112 weeks), tasks on the critical path such as hardware engineering, operating system development, and external game development would need to be shortened. There is a 43% probability that the total project duration will be more than 135 weeks given the random durations of certain tasks.

    Copyright:

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    of 11

    Course Outline

    1 2 3 4 5 6 7 8 9 10 11 Process 12 Quality 13 14 15 Supply 16 Chain 17 18 Wrap-Up Introduction Product Dev Operations Strategy Process Technology Process Analysis Course Introduction Dreamcast/Sega Burger King Inventory Mgmt Alaska Airlines Webvan Cisco Process Flow Models National Cranberry Univ Health Service Quality Mgmt Toyota The Goal Bank of America Hewlett-Packard Barilla SPA Sport Obermeyer Wrap-up Hammer & Cole Articles SMR paper Deming, Juran, Crosby; 6sig, Berwick, Memory Jogger Lean Production, Karmarkar Trial by Fire, powerpoint on Ops Strat Chap 8 in Clkspd on 3-DCE, ABC's of CPM Types of Processes, EOQ, Newsvendor Inven probs, Relevant costs, Whirlwind/Web, Dell/Conqueror, Laptop King Levitt They've got mail. MRP note, ERP Technology Note Queueing Note & Inventory Buildup

    15.760: Sega Dreamcast/CPM


    1. What are the key elements of the value chain for the home video game business? 2. What are the possible failure modes for Sega and its Dreamcast product? 3. What capabilities does Sega require to succeed? 4. Whats the critical path for the CPM exercise? 5. Launch as scheduled or postpone? 6. What happened. Why? 7. Lessons learned.

    15.760: CPM exercise


    Task A B C D E F G H I J K L M N O P Q R S T U V W Description Duration (weeks Precedence Market Study 14 External Developer Focus Group 10 Feature Selection 4 A,B Hardware Engineering 25 C Operating System Devlpt. 16 D,B Advertising Campaign 20 D,M,N Supplier Selection & Negotiation 20 D Component Inventory Buildup 45 G Assembly Facility Setup 18 D Finished Good Inventory Buildup 7 I,H Library & Programmer Toolkit Devlpt. 12 E External Development Support Setup 5 K Internal Game Devlpt. 30 K External Game Devlpt. 32 L,O Platform Promotion 6 K Publisher Selection & Negotiation 5 M Website Setup 20 M Release Promotion Material Design 3 D,M,N Distribution Channels Devlpt. & Negotiation 9 R Carrier Selection & Negotiation 4 S Launch Event Organization & PR 5 R Hardware & Software Shipment 1 J,T,P,N Launch! 0 V,U,Q,F

    15.760: CPM exercise


    1. What is the critical path and total duration for this project? 2. Suppose that a marketing study finds that the Advertising Campaign can be shortened to 15 weeks without significant impact reduction. What is the new CP and total project duration? 3. Suppose we would like to reduce the time until launch to 28 months, what would you recommend? 4. Bonus: Suppose that the duration of the development tasks E, M and N are now random variables following exponential distributions with means 16, 30 and 32 respectively. What is the probability that the total project duration will be more than 135 weeks?

    Setup Factory
    I
    18

    FG Inv Build
    J
    7

    Ship HW & SW
    V
    1

    GO!

    Supp Sel & Neg Mkt Study


    A
    14

    G
    20

    Features
    C
    4

    D
    25

    45

    Setup Comps Website H Inv Q


    20

    HW Eng Int Dev SW Dev Kit M


    K
    12 30

    Plan Launch Event


    U
    5

    B
    10

    E
    16

    Ext Dev Focus Grp

    O/S Dev

    Publisher Sel & Neg


    R
    3

    Distr Neg
    S
    9

    Dev Supp
    L
    5

    T
    4

    N
    32

    O
    6

    Release Carrier Neg Promo


    F
    20

    Platform Mktg

    Ext Dev

    Advert Plan

    129, 129 43, 61

    W
    0

    18 103,121 43, 63 0, 14

    108, 115

    7 121,128 63, 108

    124, 125

    129, 129

    V
    1

    G
    18, 43 20 56,76

    128, 129 101, 121

    14 0,14

    H
    45 76, 121

    14, 18

    C
    4

    20 109,129 111, 116 101, 106

    0, 10

    14,18

    25 18, 43 43, 59

    B
    10 4,14

    71, 101 59, 71

    16 43, 59

    M
    30

    P
    5 123,128

    5 124,129 111, 120 108, 111 S 120, 124 R T 9 115,124 4 3 112,115 124,128 109, 129

    12 59, 71

    79, 109 71, 76

    ES, EF LS, LF

    71, 77

    5 72, 77

    77, 109

    N
    32 77, 109

    6 71, 77

    F
    20 109, 129

    129, 129 43, 61

    W
    0

    18 103,121 43, 63 0, 14

    108, 115

    7 121,128 63, 108

    124, 125

    129, 129

    V
    1

    G
    18, 43 20 56,76

    128, 129 101, 121

    14 0,14

    H
    45 76, 121

    14, 18

    C
    4

    20 109,129 111, 116 101, 106

    0, 10

    14,18

    25 18, 43 43, 59

    B
    10 4,14

    71, 101 59, 71

    16 43, 59

    M
    30

    P
    5 123,128

    5 124,129 111, 120 108, 111 S 120, 124 R T 9 115,124 4 3 112,115 124,128 109, 129

    12 59, 71

    79, 109 71, 76

    ES, EF LS, LF

    71, 77

    5 72, 77

    77, 109

    N
    32 77, 109

    6 71, 77

    F
    20 109, 129

    Corporate Decision

    Market Performance Dynamics


    rs e v eco

    Supplier

    Effects on Relationships
    Retailers increase dedicated space Software development accelerate

    nd H a m e D

    NEC

    Win-Win-Win !!!
    Product is a dud Reinvigorate or Exit. Sales puts on the best face possible Pressure/help NEC Retailers unhappy with empty shelves Disgruntled Customers Software developers anxious Need to stimulate demand & NEC Product may be a dud Software developers may quit Production ramp-up crucial Must maintain good communications Slow start is overcome: win-win-win Recrimination mode Was product a dud or was lateness to market the killer? Deep trouble Try to mend relationships and make new plan or just exit.

    Deman

    dL

    lau Ex ha nc pr ust h od iv e uc l y t io s e n ek fix a

    NE

    Cl ate

    nd H Dema

    Deman

    dL

    NEC

    rs e v eco

    nd H Dema

    d ye la ch de un la

    Deman

    dL

    NE

    Cv

    ery

    lat e

    INDUSTRY CLOCKSPEED IS A COMPOSITE:


    OF PRODUCT, PROCESS, AND ORGANIZATIONAL

    CLOCKSPEEDS Mobile Phone INDUSTRY CLOCKSPEED

    THE Mobile Phone


    product technology

    THE Mobile Phone PRODUCTION PROCESS


    process technology

    THE Mobile Phone MANUFACTURING COMPANY


    organization

    Transmission Standards, Software and Handsets

    Mobile Phone System CLOCKSPEED is a mix of

    Mobile Phone System


    TRANSMISSION STANDARD
    slow clockspeed

    SOFTWARE APPLICATIONS OPERATING SYSTEM


    medium clockspeed

    HAND SET SERVICES


    fast clockspeed fast clockspeed

    ISSUE: THE FIRMS THAT ARE FORCED TO RUN AT THE FASTEST CLOCKSPEED ARE THE MOST LIKELY TO STAY AHEAD OF THE GAME.

    slow clockspeed

    Product
    Design Architect. Detailed Modular Perform. vs. Specs Integral & Funct.

    Process
    Unit Processes Tech. & Equip. Mfg.Syst Functnl Cellular.

    Supply Chain
    S.C. Architect. Orgs Set & Alloc. of Tasks Logistics & Coord System Auton vs. Integrated

    - Focus - Architecture - Technology

    A 3-D CE decision model illustrating the imperative of concurrency

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