Research Papers: Design for Manufacturing

Resource Allocation for Lean Product Development Using a Value Creation Cell Model

[+] Author and Article Information
Tianyi Cai

Department of Mechanical and
Manufacturing Engineering,
University of Calgary,
Calgary, AB T2N 1N4, Canada
e-mail: bob.caity@gmail.com

Theodor Freiheit

Department of Mechanical and
Manufacturing Engineering,
University of Calgary,
Calgary, AB T2N 1N4, Canada
e-mail: tfreihei@ucalgary.ca

Contributed by the Design for Manufacturing Committee of ASME for publication in the JOURNAL OF MECHANICAL DESIGN. Manuscript received November 15, 2012; final manuscript received June 24, 2014; published online July 21, 2014. Assoc. Editor: Rikard Söderberg.

J. Mech. Des 136(10), 101701 (Jul 21, 2014) (12 pages) Paper No: MD-12-1562; doi: 10.1115/1.4027981 History: Received November 15, 2012; Revised June 24, 2014

Lean can be applied to product development processes to improve value creation management. However, allocating resources to a project or a development program in order to maximize the value generated by project activities can be difficult in complex product development processes. This paper discusses how value creation activities can be better managed by regulating the resource allocation process. A mathematical model is proposed to describe value growth and its application to resource allocation is demonstrated that gives insight into value creation trajectories. The application is demonstrated with scenarios developed from the computer industry and a design project.

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Fig. 1

Conceptual model of value creation cell

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Fig. 2

Value growth behavior with different e and p values

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Fig. 7

Optimal value growth with 50% premium on efficiency investment

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Fig. 6

Optimal value growth for floppy disks areal density

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Fig. 5

Comparison of 5.25” floppy areal density target trajectory plan of Table 2 to historic density growth

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Fig. 10

Projects 2–5 value growth with optimized manpower assignments

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Fig. 4

Example of value growth model application to floppy disk technology

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Fig. 3

Case examples of value growth fits

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Fig. 8

Year-to-year required increase in efficiency (no premium)

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Fig. 9

Project 1 value growth with optimized manpower assignments



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