How to reduce new product development time

When entering the global market the companies encounter several difficulties, the most important one being excessive time for new product development. This problem can be solved by transition from sequential engineering to concurrent engineering, (Concurrent Engineering Fundamentals, Integrated Product and Process Organization, Vol. I, Prentice Hall PTR, New Jersey, 1996; Concurr. Eng. Res. Appl. 9 (2001) 191). The article presents the principle of concurrent product development process. The market forces small- and medium-size enterprises (SMEs) to a transition from sequential to concurrent engineering and as team work is the basic element of the concurrent engineering, special attention is being paid to team and workgroup forming in the loops of concurrent product development process in an SME. The article does not deal with communication issues within a team and among teams. A survey of published works in the field of designing teams in big companies has revealed that in big companies a three-level team structure is recommended, as well as a workgroup, consisting of four basic teams. Analysis of the three-level team structure has led us to the conclusion that in SMEs a two-level team structure and a workgroup consisting of two basic teams should be preferred. The results of designing a two-level team structure and the project of transition to concurrent development of mini-loader are presented. Time and cost analysis results prove the justification of transition from sequential to concurrent product development.