The Case Study:
You are initially required to undertake a team review of the hypothetical case study below:
The MBBDS engine company is one of the leading suppliers of diesel and compressed natural gas (CNG) engines of power packages from 10 kW to 2000 kW and has the capacity to produce up to 550,000 units per year. It is a UK based company, over the years owned by many companies but currently owned by a leading USA company. Around 20% of the sales volume is sold to the owning company in USA. The largest portion of sales is into the European market and the sales in the Asian market are rapidly increasing. Regulations and requirements in these markets vary widely. In these markets products are sold direct to original equipment manufacturers (OEMs) and distributors. Global product support is provided by 3,500 distribution, parts and service centres situated around the world.
Various aspects of engine performance are being regulated; the most important area is that of exhaust emissions, particularly, exhaust gas emissions. A new set of standards will become effective in 2023, which specify NOx (Oxide of Nitrogen) reductions by an additional 75%, taking PM (particulate matter) and NOx emissions to near-zero levels. The number of electronic components has been increased for control and measurement with recent engines having an Engine Control Module (ECM). These extra components and subsystems have increased the complexity of the product as well as amplifying the effort, time and cost required to build, test and manufacture the product. As a result the cost of projects is growing in each generation of engine built and manufactured. The company can choose to pursue one of two types of competitive advantage, either via lower costs than its competition or by
The Managing Director regards this as a crucial decision for the company and wishes to be convinced that your approach to the feasibility study and outline planning is appropriate. With this is mind, you have been initially asked to provide a Microsoft PowerPoint presentation, supported by appropriate notes and appendices, which if approved by the Managing Director, will be delivered to the Board within five weeks’ time.
If the project was then successfully approved, you will then need to place yourself in the position of the assigned project management team and prepare a formal Project Initiation Document (PID) to describe how the project could be implemented. In essence, what approach and actions would you take to ensure the project was appropriately initiated?