Why Firefighting Is Never Enough: Preserving High-Quality Product

In this paper, we add to insights already developed in single-project models about insufficient resource allocation and the "firefighting" and last-minute rework that often result by asking why dysfunctional resource allocation persists from project to project. We draw on data collected fr...

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Main Authors: Black, Laura, Repenning, Nelson
Format: Working Paper
Language:en_US
Published: 2003
Subjects:
Online Access:http://hdl.handle.net/1721.1/3804
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author Black, Laura
Repenning, Nelson
author_facet Black, Laura
Repenning, Nelson
author_sort Black, Laura
collection MIT
description In this paper, we add to insights already developed in single-project models about insufficient resource allocation and the "firefighting" and last-minute rework that often result by asking why dysfunctional resource allocation persists from project to project. We draw on data collected from a field site concerned about its new product development process and its quality of output to construct a simple model that portrays resource allocation in a multi-project development environment. The main insight of the analysis is that under-allocating resources to the early phases of a given project in a multi-project environment can create a vicious cycle of increasing error rates, overworked engineers, and declining performance in all future projects. Policy analysis begins with those that were under consideration by the organization described in our data set. Those policies turn out to offer relatively low leverage in offsetting the problem. We then test a sequence of new policies, each designed to reveal a different feature of the system's structure and conclude with a strategy that we believe can significantly offset the dysfunctional dynamics we discuss. The paper concludes with a discussion of the challenges managers may face in implementing the strategy that can prevent persistent under-allocation of resources to projects.
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spelling mit-1721.1/38042019-04-09T16:25:04Z Why Firefighting Is Never Enough: Preserving High-Quality Product Black, Laura Repenning, Nelson system dynamics resource allocation firefighting rework error rates dysfunctional dynamics In this paper, we add to insights already developed in single-project models about insufficient resource allocation and the "firefighting" and last-minute rework that often result by asking why dysfunctional resource allocation persists from project to project. We draw on data collected from a field site concerned about its new product development process and its quality of output to construct a simple model that portrays resource allocation in a multi-project development environment. The main insight of the analysis is that under-allocating resources to the early phases of a given project in a multi-project environment can create a vicious cycle of increasing error rates, overworked engineers, and declining performance in all future projects. Policy analysis begins with those that were under consideration by the organization described in our data set. Those policies turn out to offer relatively low leverage in offsetting the problem. We then test a sequence of new policies, each designed to reveal a different feature of the system's structure and conclude with a strategy that we believe can significantly offset the dysfunctional dynamics we discuss. The paper concludes with a discussion of the challenges managers may face in implementing the strategy that can prevent persistent under-allocation of resources to projects. MIT Center for Innovation in Product Development under NSF Cooperative Agreement Number EEC-9529140 2003-12-09T20:17:51Z 2003-12-09T20:17:51Z 2001 Working Paper http://hdl.handle.net/1721.1/3804 en_US 248982 bytes application/pdf application/pdf
spellingShingle system dynamics
resource allocation
firefighting
rework
error rates
dysfunctional dynamics
Black, Laura
Repenning, Nelson
Why Firefighting Is Never Enough: Preserving High-Quality Product
title Why Firefighting Is Never Enough: Preserving High-Quality Product
title_full Why Firefighting Is Never Enough: Preserving High-Quality Product
title_fullStr Why Firefighting Is Never Enough: Preserving High-Quality Product
title_full_unstemmed Why Firefighting Is Never Enough: Preserving High-Quality Product
title_short Why Firefighting Is Never Enough: Preserving High-Quality Product
title_sort why firefighting is never enough preserving high quality product
topic system dynamics
resource allocation
firefighting
rework
error rates
dysfunctional dynamics
url http://hdl.handle.net/1721.1/3804
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