Business Services Industry
Change: embrace it, don't deny it: tools and techniques inspired by software development can introduce the flexibility needed to make changes during product development with minimal disruption
Research-Technology Management, July-August, 2008 by Preston G. Smith
Experimentation takes many forms. It includes: building prototypes, mock-ups and breadboards; testing these; running simulations and building models; and overloading a system to see what fails first (a smoke test). The savvy experimenter looks for experiments that will return as much information and insight as possible for the investment in money and time. This cost-benefit equation has shifted enormously in recent years as computer-aided technologies have greatly reduced the cost of experimentation in many fields, such as exploring molecules in pharmaceutical development, building physical models of mechanical parts for customers to touch, and automating the testing of software and hardware.
Such computerized technologies permit experimenting prolifically at reasonable cost. Many managers employ these computerized tools to cut cost and simply pocket the savings, but Orion, a Massachusetts sensor technology firm, used computerized prototyping in a hand-held surgical laser project to explore seven times more design options than it would normally have while keeping its prototyping budget to only two-thirds of the previous amount (3, pp. 98-100). This gave Orion much more flexibility to find a comfortable, easy-to-use design.
Again, experiments cost money and consume time, so seasoned experimenters seek areas where change is likely and concentrate their experimentation there. Other trade-offs are involved. One is in deciding whether to run several experiments, in parallel (faster) or sequentially (usually cheaper). There are guidelines for making such choices, such as the amount of learning you can apply from one generation of experiments to the next and how cleanly structured you expect the design space to be (3, pp. 102-104).
Explore the Design Space
Experimentation is a good tool for exploring options, but we also need a strategy for applying it, that is, for knowing which experiments to run. Toyota has an excellent strategy, called set-based design, that amounts to a very different way of approaching design.
To illustrate the difference, I contrast the set-based approach with the more normal point-based one by using a non-product-development example attributable to Ward et al. (10). Suppose that you wish to convene a meeting. The traditional way of doing this (point-based) would be for the convener to contact a participant and negotiate a mutually acceptable time. Then the convener proceeds to the second participant, doing the same and perhaps returning to the first participant to renegotiate. This repeats with the other participants.
The set-based approach would be for the convener to request all participants' calendars first. Then the convener (today using modern meeting-scheduling software), looks for a common open time (the intersection of individuals' available times) and sets a time where everyone is free. This not only saves time, but more important, it exposes all possible solutions so that, should something change, the convener is in a strong position to make adjustments easily.
- 5 Rules for Immediate Annuities
- Death in the Family: 12 Things to Do Now
- Dumbest Things You Do With Your Money
- 6 Online Networking Mistakes to Avoid
- 401(k) Mistakes to Avoid
- 5 Economic Scenarios to Keep You Up at Night
- The Real ‘Best Places to Retire’
- Best Credit Cards for You
- 12 Tough Questions to Ask Your Parents
- The Real ‘Best Colleges’
- Home Buyer Tax Credit: How to Cash In
- Why You Shouldn't Bash Cash
- 8 Phony 'Bargains' and Better Alternatives
- Danger: 3 Debit Card Scams to Avoid
- 6 Myths About Gas Mileage
- 29 Fees We Hate Most
- Quick and Easy Ways to Boost Returns
- Best Stocks to Buy Now
- Lower Your Taxes: 10 Moves to Make Now
- New Jobs: 8 Lessons from Real-Life Career Switchers
- The New Job Market: Who Wins and Who Loses?
- Health Care Reform's Public Option: Everything You Need to Know
- Volunteer Work When Unemployed: Should You Work for Free?
- Whose Recovery Is This?
- Long-Term-Care Insurance: 4 Biggest Risks to Avoid
Content provided in partnership with
Most Recent Business Articles
- Samsung Mobile Highlights Mobile Innovation and Leadership at International CES 2010
- Qosmos Gains Momentum with Network Intelligence Technology
- Graphic.ly Debuts in Microsoft’s Keynote Address at Consumer Electronics Show
- Research and Markets: Construction Site Supplies Market in Russia: a Comprehensive Business Report
- Research and Markets: Overview of the Business & Enterprise Application Software and Services Market in Developed Asia-Pacific
Most Recent Business Publications
Most Popular Business Articles
- 7 tips for effective listening: productive listening does not occur naturally. It requires hard work and practice - Back To Basics - effective listening is a crucial skill for internal auditors
- Using object-oriented analysis and design over traditional structured analysis and design
- FAS 109: a primer for non-accountants - Financial Accounting Standards Board's "Statement 109: Accounting for Income Taxes"
- LIFO vs. FIFO: a return to the basics
- Design a commission plan that drives sales - Sales Commissions



