PDSim Software
Outline
- Problem Definition / Scope
- Solution
- How it Works
- Program Flow
- Input
- Output
- Assumptions
- What-if Capabilities - “War Gaming”
- R2.0 Features
- Future Applications
- Target Users
Problem Description and Scope:
- A set of N programs has to be developed using the limited resources available in the company. The programs and resources are assigned to M different Strategic Business Units (SBUs) of the company. K key resource types are considered.
- New programs are added to the portfolio of programs in a dynamic fashion throughout the year. Similarly, programs currently in the program portfolio may be deleted irrespective to the stage they are in their development cycle. Programs in the portfolio may be expedited or delayed based on different factors.
- There are L different types of programs based on their complexity. Programs of the same type have the same timing but each program generally requires a different amount and type of resource at each phase of its development cycle. Also, each program has a different cost, return on sale, due date, etc.
- Management can invest in bringing new tools and training so that the resources can be more productive.
- There are a number of factors such as revenue and profit of each program, competitive pressures in the market place, government regulations, safety, etc. that affect the timing and prioritization of the programs.
Features/Solution
- Create dynamic simulation of programs, resources, and management controls
- Output key performance metrics - program to enterprise
- Incorporate profitability, cash flow, resource limitations, milestone timing, quality, etc. as major variables and the interactions among them
- Animate life-cycle progression and key performance metrics
- Revenue, Expenses, Profit, and Cash Flow
- Key Resource Usage and Availability
- Program Throughput and Quality
- Resource analysis showing utilization for easy identification of bottlenecks
- Modular and open architecture with plug-in/plug-out components (extensibility)
- Extensibility to incorporate supplier programs that feed to the corporate programs
- Create user-friendly interface to control the simulation dynamically for war-gaming by users with minimum simulation background
Typical Input
- System Data:
- Capacities of key resources
- SBUs
- Program life-cycle phases, milestones, and timing
- Resource efficiency levels vs time
- Prioritization weights
- Program addition distribution
- Program Data
- Program name, complexity and timing, program group, SBU
- Calendar-based resource requirements, costs
- Shareholder Value, Return On Sale, Forecasted Sales Volumes
- Environmental effects
- Marketing priority
- Sacred Cow
Output
- Revenue, Costs, Profit, Cash Flow, Shareholder Value
- SBU performance
- Throughput
- Resource Utilization
- Lateness of Programs
- Quality of Programs
Assumptions
- Timing through the milestones is dependent on the program’s complexity and resource availability.
- All existing programs with their current characteristics are read in at the beginning of the simulation.
- Program quality is a linear ratio of the resources required per time period over the resources allocated per time period as well as other factors based on historical data.
- All resources have the same average skill level and work at 100% efficiency. Multiple skill work levels can be incorporated based on actual data.
- Resource learning curves and multi-tasking deficiencies are considered based on historical data. The base model assumes that the resources can be allocated to multiple programs and still work at 100% efficiency with no learning curve delays..
- Programs are delayed at a milestone according to the following logic: when a program reaches a milestone and has insufficient quality to pass through the milestone, the program is held at the milestone, and the timing of the program is delayed. A program will continue to try and acquire sufficient resources to get quality above the acceptable limit. The decision to keep resources or release resources is independent of other resources. Resources will be released if the quality for that resource type is above the minimum acceptable limit. Resources will be held if the quality for that resource type is below the minimum acceptable limit.
- No programs, including Sacred Cows, may pre-empt resources from other programs.
- Program re-prioritization occurs periodically (e.g., monthly,quarterly).
- All programs release all captured resources periodically, and an allocation is performed based on the new program priorities.
- All resources can be fractionally allocated across programs (especially under Share-the-Pain allocation policy).
- A program belonging to an SBU requires resources only from their SBU or from the resource pool.
- Programs move through milestones uni-directionally. Undiscovered rework is not modeled. (All rework is handled at the current milestone).
- Job 1 is assumed to occur on the last day of the month. Thus, a program whose Job1 date is 06/2001 would have a Months to Job 1 attribute value of 1 in 06/2001, 2 in 05/2001, 3 in 04/2001, etc.
What-If Capabilities -
“War Gaming”
- Automatic vs. Interactive mode
- Change resource allocation policy
- Share-the-pain
- By Priority
- Change program characteristics
- Add/delete programs
- Change J1 and milestone timings
- Assign priority weights
- Set milestone quality thresholds
- Assign resource attributes
R2.0 Features
- Multiple management philosophies
- Stochastic characteristics
- Quality
- Resource productivity / timing
- Rework probabilities
- Resource efficiencies and learning curves
- Scenario Manager for run batching
- Portfolio Optimizer
- Web-enabled
R2.0 Features (Cont’d)
- Resource enhancements
- Subcategories of resource groups
- Resource subcontracting and cross-training effects/analysis
- New technologies and enablers that change resource productivity
- Frictional effects of the movement of resources among programs
- Resource curve adjustment factor
- Combination of pooled / dedicated
- Program relationships - Start-Finish precedence
- Enhanced Reporting
Future Applications
Supply Chain / Multi-model Integration
Target Users
- Enterprises with product development involving…
- Multiple programs
- Multiple resources
- Multiple Business Units
- Long-lead times
- Concern for future profitability, cash flow, quality and time-to-market
- Programs having time-dependent relationships
- Programs of multiple complexities
