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Communication breakdowns cost

Published Jan 20, 2010

Failing communication and deficiencies in the handling of information costs manufacturing companies large sums of money every year. Now researchers at KTH have analysed the situation and developed economy measures.

Diana Malvius
Diana Malvius, doctoral student of integrated product development at KTH.

In order to keep an eye on product development in a company, software is used for product life cycle handling, so-called PLM systems. These systems are however anything other than free for companies. Suppliers promise, among other things, that there will be a clear association to operations where only 20% of system functionality needs to be tailor-made. But in reality it is different.

“It is not at all unusual that 80% of the system needs to be tailor-made based on the customer’s specific requirements. In this way, it costs an incredible amount to introduce PLM systems, something which suppliers earn considerable amounts of money on. Nor is it unusual that companies have to operate two systems during the transition period,” says Diana Malvius, doctoral student of integrated product development at KTH.

Over the past four years she has conducted research on the subject and has quite recently defended her thesis “Integrated information management in complex product development”.

According to Diana Malvius, there are at least two issues which cause problems when introducing PLM systems. On the one hand different types of engineers don’t always speak the same language; engineers who work with programming and those who work with mechanical engineering don’t always use the same terminology for the same thing. This creates major problems when handling information. On the other hand, there are major differences between different engineering groups in their understanding as to what lead times are required in product development.

This forms the basis for the classic problem of deficiencies when specifying requirements. Manufacturing companies must learn to determine the correct requirements when introducing PLM systems, and they do this by getting to know their own organisation and being aware of their needs. Diana Malvius draws a parallel to the problems found with business systems which resulted in major costs for companies.

“This type of problem is something that we have known about for a long, long time, but companies are nevertheless not working in the correct manner as regards specifying their requirements,” says Diana Malvius.

The solution, in her opinion, is to use a number of tools which identify problem areas that companies have within their organisation. With these tools, databases can then be created which show clearly which work processes and PLM systems should be used.

“This means that it will be possible to identify what needs to be linked with new ways of working and IT support,” says Diana Malvius.

For more information, contact Diana Malvius at malvius@kth.se or ring +1 617 320 89 55.

Peter Larsson

Page responsible:redaktion@kth.se
Belongs to: About KTH
Last changed: Jan 20, 2010