Skip to main content

New Product Development in the Context of Industry 4.0: Insights from the Automotive Components Industry

  • Conference paper
  • First Online:

Part of the book series: Springer Proceedings in Mathematics & Statistics ((PROMS,volume 281))

Abstract

The advent of Industry 4.0 is imposing several changes and challenges to companies and industries. Connectivity, software dependence, and deep interdependency between companies in global optimized supply chains are some aspects that will be prevalent in any industry. In this context, new product development (NPD) has been changing to fit this new context. Nine semi-structured interviews were conducted in seven companies in the automotive components industry to understand how NPD processes have been changing. The impact of software is particularly noteworthy. Indeed, the automotive components industry has been greatly boosted by the incorporation of software (mainly in terms of electric/electronic components). The development of software, in some cases, can represent between 60 and 80% of product development costs. Such incorporation of software makes the development of software and of automotive components to have more and more similarities. In this context, there is a clear tendency to reduce the development time, increase complexity, and make several iterations (sprints) to verify if the product is in accordance with what the customer or the market demands.

This is a preview of subscription content, log in via an institution.

Buying options

Chapter
USD   29.95
Price excludes VAT (USA)
  • Available as PDF
  • Read on any device
  • Instant download
  • Own it forever
eBook
USD   149.00
Price excludes VAT (USA)
  • Available as EPUB and PDF
  • Read on any device
  • Instant download
  • Own it forever
Hardcover Book
USD   199.99
Price excludes VAT (USA)
  • Durable hardcover edition
  • Dispatched in 3 to 5 business days
  • Free shipping worldwide - see info

Tax calculation will be finalised at checkout

Purchases are for personal use only

Learn about institutional subscriptions

References

  1. Tuli, P., Shankar, R.: Collaborative and lean new product development approach: a case study in the automotive product design. Int. J. Prod. Res. 53(8), 2457–2471 (2015)

    Article  Google Scholar 

  2. Relich, M.: A declarative approach to new product development in the automotive industry. In Environmental Issues in Automotive Industry, pp. 23–45. Springer, Berlin, Heidelberg (2014)

    Google Scholar 

  3. Ibusuki, U., Kaminski, P.C.: Product development process with focus on value engineering and target-costing: a case study in an automotive company. Int. J. Prod. Econ. 105(2), 459–474 (2007)

    Article  Google Scholar 

  4. Dekker, H., Smidt, P.: A survey of the adoption and use of target costing in Dutch firms. Int. J. Prod. Econ. 84(3), 293–305 (2003)

    Article  Google Scholar 

  5. Davila, T.: An empirical study on the drivers of management control systems’ design in new product development. Acc. Organ. Soc. 25(4), 383–409 (2000)

    Article  Google Scholar 

  6. Gopalakrishnan, M., Libby, T., Samuels, J.A., Swenson, D.: The effect of cost goal specificity and new product development process on cost reduction performance. Acc. Organ. Soc. 42, 1–11 (2015)

    Article  Google Scholar 

  7. Cooper, R., Slagmulder, R.: Target costing and value engineering. Productivity Press, Portland (1997)

    Google Scholar 

  8. Müller, D., Herbst, J., Hammori, M., Reichert, M.: IT support for release management processes in the automotive industry. In: International Conference on Business Process Management, pp. 368–377. Springer, Berlin, Heidelberg (2006)

    Google Scholar 

  9. Parker, D.B., Zsidisin, G.A., Ragatz, G.L.: Timing and extent of supplier integration in new product development: a contingency approach. J. Supply Chain Manag. 44(1), 71–83 (2008)

    Article  Google Scholar 

  10. Petersen, K.J., Handfield, R.B., Ragatz, G.L.: Supplier integration into new product development: coordinating product, process and supply chain design. J. Operations Manag. 23(3–4), 371–388 (2005)

    Article  Google Scholar 

  11. Wagner, S.M.: Tapping supplier innovation. J. Supply Chain Manag. 48(2), 37–52 (2012)

    Article  Google Scholar 

  12. Farrukh, C., Fraser, P., Gregory, M.: Development of a structured approach to assessing practice in product development collaborations. Proceed. Inst. Mech. Eng. Part B J. Eng. Manuf. 217(8), 1131–1144 (2003)

    Article  Google Scholar 

  13. Lee, M., Lee, Y., Chou, C.: Essential implications of the digital transformation in industry 4.0. J. Sci. Ind. Res. 76, 465–467 (2017)

    Google Scholar 

  14. Wang, S., Wan, J., Zhang, D., Li, D., Zhang, C.: Towards smart factory for industry 4.0: a self-organized multi-agent system with big data based feedback and coordination. Comput. Netw. 101, 158–168 (2016)

    Article  Google Scholar 

  15. Erol, S., Schumacher, A., Sihn, W.: Strategic guidance towards industry 4.0–a three-stage process model. In: International Conference on Competitive Manufacturing (2016)

    Google Scholar 

  16. Shengfeng, Q., Kai, C.: Special issue on future digital design and manufacturing: embracing industry 4.0 and beyond. Chin. J. Mech. Eng. 29(6), 1045–1045 (2016)

    Article  Google Scholar 

  17. Klinec, I.: Impacts of advanced materials on economy and society-strategic implications and policies. J. Environ. Prot. Saf. Educ. Manag. 7(4), 83–87 (2016)

    Google Scholar 

  18. Afeez, A., Sanjay, Kumar, A.: Application of CAD and reverse engineering methodology for development of complex assemblies. J. Eng. Des. Technol. 11(3), 375–390 (2013)

    Article  Google Scholar 

  19. Zimniak, Z.: Problems of multi-step forming sheet metal process design. J. Mater. Process. Technol. 106(1), 152–158 (2000)

    Article  Google Scholar 

  20. Hague, R., Campbell, I., Dickens, P., Reeves, P.: Integration of solid freeform fabrication in design. In Solid Freeform Fabrication Symposium Proceedings, pp. 619–627 (2001)

    Google Scholar 

  21. Pham, D., Dimov, S.S.: Rapid manufacturing: the technologies and applications of rapid prototyping and rapid tooling. Springer Science & Business Media (2012)

    Google Scholar 

  22. Modarress, B., Ansari, A., Lockwood, D.L.: Kaizen costing for lean manufacturing: a case study. Int. J. Prod. Res. 43(9), 1751–1760 (2005)

    Article  Google Scholar 

  23. Monden, Y., Hamada, K.: Target costing and kaizen costing in Japanese automobile companies. J. Manag. Account. Res. 3, 16–34 (1991)

    Google Scholar 

  24. Hess, T., Summers, J. D.: Case study: evidence of prototyping roles in conceptual design. In: Proceedings of the 19th International Conference on Engineering Design, pp. 1–10. Seoul, Korea (2013)

    Google Scholar 

  25. Koishi, M., Shida, Z.: Multi-objective design problem of tire wear and visualization of its Pareto solutions 2. Tire Sci. Technol. 34(3), 170–194 (2006)

    Article  Google Scholar 

Download references

Author information

Authors and Affiliations

Authors

Corresponding author

Correspondence to Jorge Oliveira .

Editor information

Editors and Affiliations

Rights and permissions

Reprints and permissions

Copyright information

© 2019 Springer Nature Switzerland AG

About this paper

Check for updates. Verify currency and authenticity via CrossMark

Cite this paper

Oliveira, J., Nunes, M., Afonso, P. (2019). New Product Development in the Context of Industry 4.0: Insights from the Automotive Components Industry. In: Reis, J., Pinelas, S., Melão, N. (eds) Industrial Engineering and Operations Management II. IJCIEOM 2018. Springer Proceedings in Mathematics & Statistics, vol 281. Springer, Cham. https://doi.org/10.1007/978-3-030-14973-4_8

Download citation

Publish with us

Policies and ethics