Managing new product development process and project leaders for modular architecture development : Framework of two- stage NPD process and module leaders

This paper proposes a new product development (NPD) process and new project leaders suitable for a modular architecture development. Based on theoretical considerations and an in-depth analysis of the common module family (CMF) architecture of Nissan Motor Company Ltd., this paper argues that a modular architecture strategy requires both a two stage NPD process and module leaders. This differs from conventional overlapping processes and heavyweight (HW) project leader. This NPD process for a modular strategy comprises two stages. First, the NPD process starts by the formulation and freezing of design rules. Second, concurrent component development activity. This sequence is mandatory, with a distinct boundary between the two stages. Formulation of design rules in the first stage requires a learning process, and an organizational arrangement promoting close coordination between technical and strategic views, enabling their integration. Also, to sustain the modular strategy, not only an HW project leader responsible for each product, but a module leader responsible for managing the modular concept are necessary. Otherwise, the modular strategy may collapse due to its fragility, even if started successfully. Based on these findings, this paper proposes the framework for an effective NPD process and project leaders in terms of product architecture.