Implementing Product and Cycle-time Excellence (PACE) in a multi-national electronics company

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Implementing Product and Cycle-time Excellence (PACE) in a multi-national electronics company


Author: Hui, Yee-nar Peony
Title: Implementing Product and Cycle-time Excellence (PACE) in a multi-national electronics company
Degree: M.Sc.
Year: 2000
Subject: Production engineering -- China -- Hong Kong -- Case studies
New products -- China -- Hong Kong -- Case studies
Electronic industries -- China -- Hong Kong -- Case studies
International business enterprises -- China -- Hong Kong -- Case studies
Hong Kong Polytechnic University -- Dissertations
Department: Multi-disciplinary Studies
Institute of Textiles and Clothing
Pages: ix, 122, [14] leaves : ill. ; 31 cm
Language: English
Abstract: The 20th century is a highly competitive century. Products not only have to come to market faster; they have to meet the high expectations for quality and reliability in a reasonably low price. The key to success is to develop new products faster and better by taking a process approach. This study looked at the new product development methodology called Product and Cycle-time Excellence (PACE) used by a multi-national electronic products manufacturing company which has a regional office in Hong Kong and a manufacturing plant in mainland China. The study covered a period of nearly three years from 1996 to 1999. After a briefly introduction to the principles of PACE, its implementation was chronicled for the Company in the study. The Company had changed her organization structure, operation procedure and information system to match with the new system. Apart from allocation of suitable resources, proper training, empowerment and recognition from top management were found important for successful implementation of the process. The performance of the new methodology was looked at both quantitatively and qualitatively, from data on the internal records of the Company and a survey done on the staff. The study indicated the Company had really achieved improvement in overall revenue, the time-to-market, product development productivity, design for excellence and higher customer satisfaction. It gave evidence that PACE really works and is a good product development process. The study also pointed out one effect of globalization on product development. There is a tendency for large companies to have design centers and manufacturing plants located in different places, and this creates a problem on how to obtain smooth transfer of new product design from the design site to the manufacturing site for production. This also becomes a real problem of Hong Kong as many of the companies have relocated their manufacturing plants to mainland China. The Company in this study had the same experience and her Hong Kong office was involved in activities of communication and coordinator instead of production. The mechanism used by the Company to fill the gap between design sites and the plant in mainland China was described in detail, and the role of the Manufacturing Site Representative, a post not featured in the PACE methodology, was explained. The study not only has identified deficiencies of the traditional method in product development but also made suggestions for improvement through the implementation of PACE. There were problems still faced by the Company in the study and some areas for improvement were suggested. This study was intended as a good example for other Hong Kong companies intending to introduce the new product development process.

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