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engineering_change_management

The ideal when designing a product is to get the design right the first time, eliminating the need to make changes. However, changes due to wrong decisions and changes in customer requirements are unavoidable. If an undesired design decision has been made, the product data has to be changed in a controlled fashion using change management approach.

Either of the 2 would be considered an engineering change;

  • Alterations made in the functional, maintenance, performance, or physical characteristics of a product or a system
  • Alterations made to a bill of materials by
    • Adding or deleting an item
    • Substituting an item with another
    • Changing the usage of an item

 

What is Engineering Change Management?

As markets accelerate, so does the pace of change. New technologies and evolving customer demands increase the pressure on engineering to make component adjustments to accommodate changes while maintaining or improving efficiencies and profitability.

change_management

Engineering change management is a systematic approach to the documentation of changes from the identification of the required change, through the planning and implementation of the change, and culminating with the closure of the issue

 

Importance of Engineering Change Management:

importance_of_change_management

By introducing Engineering Change Management

  • Running changes can be clearly indicated (preventing repetitive work going forward)
  • Models and parts that are affected by the change can be identified so the workflow incorporates the effect on other items
  • Eliminates the use of paper routers and the inherent slowness of paper
  • Progress, at any stage, is made more visible to all workflow participants, as well as managers
  • Ensures the most current versions of documents and drawings are being employed
  • Provides easy access to revision histories to permit understanding of the historical changes as well as create an electronic audit trail for review
  • Permits changes to the workflow and associated schedule, with appropriate notifications so the workflow can be expedited, modified to include new information, or just canceled
  • The accuracy of the workflow is improved due to the inclusion of more data (e.g., assembly and parts drawings) and the ability to markup and attach drawings and documents within the process.

Engineering Change Management Process:

engineering_change_management_process The engineering change process is at least a 4-step process that begins when a customer, manufacturing partner, or internal employee raises an issue or problem with a product. Manufacturing, operations, engineering, and others discuss the problem and determine what action (if any) should be taken. Once the group members agree that a change is necessary, they must agree upon a solution and then drive the implementation.

  1. Engineering Change Request:

Regardless of the scope of a change, decision making is the major part of any change, for this we need to look at the impact of the change, the costs, the risks involved, safety issues, short term vs long term, and stop shipments.

Then there is the question of who gets to vote and what authority is needed on which type of change, for this there are usually 3 types of changes:

  • Critical:

If it is a change that has a big financial impact e.g., product recall, the top management needs to be involved and have authority on this

  • Major:

If the change affects the organization but to a certain amount of financial impact, the directors would have authority and their signoff would be required for such a change

  • Minor:

A change that has minimum or no affect on functionality, is financially low impact does not require the top management or director’s signoff and can be completed with the engineers or manager signoff only e.g. typos in printing

 

  1. Engineering Change Notice:

Engineering Change Notice communicates the details of an approved change to someone who needs to know about the change. It often authorizes a notice recipient to make a change to the design or process, which may include purchasing new materials.

A detailed description and an explanation of the change should be captured on the ECN form. The form must contain the list of the items impacted and how to disposition each of them. It should also reference the approved ECO.

 

  1. Engineering Change Order:

An engineering change order (ECO) specifies either new product design details or proposed changes to existing products. ECOs provide a list of all the components, assemblies, and other documents that are affected. The engineering change order is sent to all key stakeholders (change control board or “CCB”) including engineering, quality, procurement, manufacturing, and external design teams or supply chain partners in many cases. Every CCB member is responsible to determine the impact of the change order and whether the ECO can. be implemented as planned and on time. CCB members will approve or reject the change and when all CCB members have approved the ECO, then it can be acted upon.

 

  1. Engineering Change Verification:

Engineering Change Verification determines whether we were able to do what we told everyone to do, did we get what was expected? The change process could have been initiated to achieve financial benefits like Cost Reduction or improvements in Quality and the ECV is to verify whether the percentage results we hoped for are achieved or not.

Engineering Change Verification also determines whether this change can be reused, or if a part of this process is reusable. If results of the change are not as expected, this can be done again.

 

Engineering Change Management Approaches:

 

  1. Simple Change Process:

simple_change_process

  1. ECR/ECO Process:

ecr_eco_process

Recommended Process:

The recommendation is to have a

  • Balanced process depending on the business requirements and industry
  • If process requires, the best practice is to utilize ECR/ECO with notifications and signoffs

 

The Engineering Change Management Workflow:

change_management_workflow

Each change has a lifecycle, from origination through completion. The process of moving a change along a path, from one lifecycle state to the next, is called the engineering change workflow.

Roles in Engineering Change Management:

roles_in_engineering_change_management

  • Customer

is the role that requests a change due to problems encountered or new functionality requirements; this can be a person or an organizational entity and can be in- or external to the company that is asked to implement the change.

  • Project manager

is the owner of the project that the CHANGE REQUEST concerns. In some cases, there is a distinct change manager, who in that case takes on this role.

  • Change committee

decides whether a Change Request will be implemented or not. Sometimes this task is performed by the project manager as well.

  • Change analyst

The change analyst is the person who plans and implements the change; it could be argued that the planning component is (partially) taken on by the project manager.

 

Engineering Change Management and PLM

change_management_and_plm

The essence of product lifecycle management (PLM) is to engage with the life of your product throughout its entire lifecycle – from conceptualization to development, from prototype to production, through maintenance and ultimately obsolescence

Types of changes in PLM:

  • ECR

An engineering change request is used to request a change to be made to items. ECR can be requested against any revision of an item

  • ECO

An engineering change order tells users that changes need to be made to specific items, and to go ahead and do the work required to make those changes

  • MCO

manufacturer change order tells users the changes need to be made to the manufacturing data of items

  • Stop Ships

stop ship alerts users to stop shipping or using an item. Stop ships do not allow any redlining

  • Deviations

deviation is used to deviate from a process or specification for a specific time period. Deviations do not allow any redlining

  • Components of a PLM Engineering Change

An engineering change process leads up to the critical event: an item (part or document) becomes formally accepted for its intended use. Agile PLM solution releases items using a change form commonly known as Engineering Change Notice (ECN) or Engineering change Order (ECO).

When users approve the Change Form, it will change the release status of the affected item revisions from Pending to Released, or from Released to Canceled.

  • A description of the problem encountered
  • The reason the change is needed
  • A proposed change (optional)
  • The part number(s) affected by the problem
  • The part descriptions
  • The request originator’s name
  • The change request submission date
  • The key stakeholders’ names and roles like change analyst, reviewers
  • The disposition action required to resolve the original issue

 

Practices for Engineering Change Management:

  • Unique Identifiers

Each change should have a unique identifier, it requires a manual identifier assignment process so that multiple requests cannot be combined into a single order, or split a single request into multiple orders.

  • Change number source

Use a single identifier sequence for all change types. You’ll eliminate any confusion between, for instance, ECO 1234 and ECR 1234. Users can simply work with the change number without having to explicitly state the change type.

  • Proactive Change Management

Multiple changes are encouraged early in the product lifecycle where they are very inexpensive.

  • Incomplete but accurate product design data

Productive work can be done on product and process definition information that are accurate but not complete, retaining definition information until the design is complete reduces the enterprise agility.

  • Identify owners responsible for changes to data

All product and process definition information has owners who are responsible for understanding         the impact off change on the data elements they own, these owners must understand how their data elements are related to other product definition information.

  • Owners as approvers

Users or owners of the item being changed should approve, managers should not necessarily be approving items every time.

  • More than 3 or 4 approvers typically not required

Typically, once all key approvers sign off, other approvers should follow and if there is a need to know the change, notifications should be used.

  • Communicating product changes

Product changes must be communicated throughout enterprise and to extend enterprise participants as required. Proposed and approved changes should be communicated at the right time, to the right people, where they are located.

  • Holistic approach to change management

Take holistic approach to change management – allowing you to better understand the impact of change in all forms.

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