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Project and Innovation Management
2
› Ducati history
› Ducati organization
› PEP - What is Innovation?
Agenda
A fascinating History
5
Ducati’s remarkable history began in 1926 with the launch of Radio Brevetti. Ninety-two years of history and beyond.
6
A fascinating History
1926 The Cavalieri Ducati family and other investors found the Radio Brevetti in Bologna. Their aim isto provide industrial components, based on Adriano Ducati’s patents, for the growing field of radiotransmissions.
1935 The cornerstone of the Borgo Panigale factory is laid and the product range extended to includeitems as diverse as electric razors and cameras. During the Second World War production is converted tomilitary use, ending in 1944 when the factory is destroyed in a bombing raid.
1946 The Cucciolo appears: this small auxiliary engine for bicycles is soon a worldwide success. Beforelong the Cucciolo evolves into a true, miniature motorcycle and begins collecting race victories, beginningwith Mario Recchia’s historical triumph in the Emilia Romagna Championship.
1954 Ducati Meccanica is founded, its aim to build motor vehicles. The arrival of top-flight technicianssuch as Fabio Taglioni sees the introduction of unique engineering solutions that are still being developedtoday. And Ducati keeps on winning: Motogiro, Swedish GP and the GP of Nations.
7
A fascinating History
1972 Ducati wins the legendary Imola 200 Miles on the Desmodromic twin cylinder 750, a superbcompetition motorcycle from which another exceptional 750, the Super Sport, would be developed. In
1978 Mike Hailwood wins the legendary Isle of Man TT race on the 900 SS.
1987 Two years after the company is bought by the Castiglioni brothers, along comes the brainchildof Ducati engineer Bordi: the amazing 851. This bike brings a breath of fresh air to the motorcyclingworld with its injection-fuelled, water-cooled Desmoquattro engine. Marco Lucchinelli becomes the
historic, first ever World Superbike race winner at Donington in 1988.
1994 The year of birth of the 916, still one of the most stunning bikes ever designed. In 1996, TexasPacific Group and Federico Minoli oversee Ducati’s transformation from a specialist engineeringmanufacturer to an all-round entertainment company. The Superbike successes keep rolling in and in
2001, Troy Bayliss wins the World Championship, the first of three titles claimed on the back ofthree different Ducatis: the 996, 999 and 1098.
8
A fascinating History
2003 The Ducati adventure in MotoGP is launched. A podium finish in the first round, poleposition in the third and victory in the sixth are proof of what a winning partnership the Desmosedici
and Loris Capirossi made. In 2006 the Desmosedici RR is unveiled as the first and only MotoGPReplica ever produced.
2007 A year after the company is taken over by Andrea Bonomi’s Investindustrial, Casey Stonerand the Desmosedici GP07 win Ducati’s first ever MotoGP World Title – also the first time in 34 years it
has gone to a non-Japanese brand. In 2010, with work beginning on a new plant in Thailand, Ducatibecomes a truly global company.
2012 Ducati Motor Holding S.p.A. is acquired by Audi AG. The year closes as the second in a row of
record global sales, after 44,102 motorcycles are delivered to owners worldwide. In 2016, Ducaticelebrates its ninetieth anniversary and kicks off a year of celebrations that will be crowned during theWDW2016.
Mission
10
Ducati is a Premium Brand which conceives and produces sport motorcycles with exclusive Italian design, distinctive features and superior performance proven on the racetracks all over the world.
Mission
11
STYLE PERFORMANCESOPHISTICATION
12
The world of Ducati
Safety
D.O.C. Clubs
Accessories
Apparel
Licensing
Ducati CorseRacetrackAcademy
Events
Maintenance Costs
Ducati Approved
EnduroAcademy
SafetyAcademy
Tribuna DucatiDays of Joy
Riding Experience
Borgo Panigale
RadioScrambler
Ducati
RidingExperience
Facts & Figures
14
Ducati at a glance
*New 2018
Main Production Plant:Borgo Panigale, Bologna
Site surface: 114,873 m2
Built surface: 71,657 m2
Italy Thailand
Assembly Plant:Amphur Pluakdaeng Rayong
Site surface: 45,000 m2
Built surface: 22,000 m2
Ducati Motor HoldingHeadoffice and main plantBologna, Italy
DNADucati North
America
CupertinoCalifornia
DWEDucati West
Europe
ParisFrance
DJDucati Japan
TokyoJapan
DMDDucati Motor
Deutchland
CologneGermany
DCHDucati
Schweiz
FeusisbergSwitzerland
Brazil [Dafra]Service Provider
DAPACDucati
Asia Pacific
RayongThailand
CKD Assembly Plant:Manaus
DDBDucati
do Brazil
Sao PaoloBrazil
DINDDucati India
New DelhiIndia
DNEDucati North
Europe
SilverstoneGreat Britain
DCHINA*Ducati China
15
Ducati retail sales - Worldwide(Units)
34.58235.985
42.23344.102 44.287
45.117
54.809 55.451 55.871
2009 2010 2011 2012 2013 2014 2015 2016 2017
16
› Ducati history
› Ducati organization
› PEP - What is Innovation?
Agenda
17
Company Organization
HR & CORP. RESPONSIBILIT
YSALES &
MARKETING
CEO
PR & COMMUNICATION
HEALTH, SAFETY & ENVIRONMENT
GENERAL COUNSEL
R&DFINANCE,
SYSTEMS & C.C.O.
DUCATI CORSE DIVISION
QUALITY
PRODUCTION PURCHASING
PROGRAM MANAGEMENT
MOTORCYCLE RELATED
PRODUCTS
DESIGN CENTER
G
18
Company Organization
HR & CORP. RESPONSIBILIT
YSALES &
MARKETING
CEO
PR & COMMUNICATION
HEALTH, SAFETY & ENVIRONMENT
GENERAL COUNSEL
R&DFINANCE,
SYSTEMS & C.C.O.
DUCATI CORSE DIVISION
QUALITY
PRODUCTION PURCHASING
PROGRAM MANAGEMENT
MOTORCYCLE RELATED
PRODUCTS
DESIGN CENTER
G
19
Company OrganizationR&D
R&D
VEHICLE ELECTRIC & ELECTRONIC ENGINE
R&D TECHNICAL SERVICES
20
Company OrganizationR&D: Vehicle
VEHICLE TESTINGHOMOLOGATION
VEHICLE
VEHICLE DESIGN
MODEL AND PROTOTYPE
CONSTRUCTION
INNOVATION DEPT.
21
Company Organization
HR & CORP. RESPONSIBILIT
YSALES &
MARKETING
CEO
PR & COMMUNICATION
HEALTH, SAFETY & ENVIRONMENT
GENERAL COUNSEL
R&DFINANCE,
SYSTEMS & C.C.O.
DUCATI CORSE DIVISION
QUALITY
PRODUCTION PURCHASING
PROGRAM MANAGEMENT
MOTORCYCLE RELATED
PRODUCTS
DESIGN CENTER
G
22
Company OrganizationProgram Management
PROGRAM MANAGEMENT
VEHICLEPROJECT
MANAGEMENT
ELECTRIC & ELECTRONIC
PROJECT MANAGEMENT
ENGINE PROJECT
MANAGEMENT
ACCESSORIES PROJECT
MANAGEMENT
PRODUCT DEVELOPMENT PURCHASING
23
› Ducati history
› Ducati organization
› PEP - What is Innovation?
Agenda
24
S&M
PM
Design
R&D
Quality
Purchase
Production
Finance
PEPProject Evolution Plan
layout mule drawing prototype industrialization test homologation
internal industrialization production
request for quotation supply chain definition production order
clinic test advertising launch
supplier homologation internal check ok for shipment
brief + budget estimated direct cost technical approval
Cost budgeting and control
0
SOP
-3
PRE
-11
AVA
-20
PRO
-27
CLA
-34
SKE
-37
BRF
-40
K-O
market research
sketch clay clinic color & graphicConfidential
25
PEPRACI Matrix
RACI Matrix (Responsible Accountable Consulted Informed)
26
Design Review:
› 5 Internal meetings, arranged along the duration of the project› Several Company divisions are involved› The whole project is discussed and evaluated:
› Technical and style aspects› Timeline of the project› Economic / financial aspects› Quality issues
PEPProject monitoring: Design Reviews
27
PEPProject monitoring: Checklist
28
S&M
PM
Design
R&D
Quality
Purchase
Production
Finance
PEPProject Evolution Plan
layout mule drawing prototype industrialization test homologation
internal industrialization production
request for quotation supply chain definition production order
clinic test advertising launch
supplier homologation internal check ok for shipment
brief + budget estimated direct cost technical approval
Cost budgeting and control
0
SOP
-3
PRE
-11
AVA
-20
PRO
-27
CLA
-34
SKE
-37
BRF
-40
K-O
market research
sketch clay clinic color & graphicConfidential
29
PEPMarket research
Analysis of the existing situation
› Market analysis:› Segments› Main competitors› Pricing› Technical features
› Customer analysis :› Age› Riding skills › Budget availability
BRF SKE CLA PRO AVA PRE SOP
30
PEPBasic characteristics definition
:Side-view Profile Comparison
BRF SKE CLA PRO AVA PRE SOP
31
PEPInnovation Management
Inspirations:
› Ducati Corse › Internal Development & problem solving› Automotive › Competitor analysis› University collaborations› Open innovation programs› External consultants› Main suppliers (es. cornering ABS)
Creation of a Technological roadmap, consideringall the new features and contents for the next 5-10 years.
BRF SKE CLA PRO AVA PRE SOP
What is Innovation?
33
What is Innovation?
› Google: about 206,000,000 results
› «Turning an idea into a solution thatadds value from a customer’sperspective» (Nick Skillicorn, founder of ideatovalue.com)
› Staying relevant» (Stephen Shapiro, American business author, consultant, and public speaker)
34
Nasa scientists have pioneered more than 6,300 technologies during their bid to understand space that are now routinely used in day-to-day living
› Medicine / health care (Ear thermometer)
› Communications (satellite television)› Food Industry (freeze-dried foods,
water filters)› Material technology (insulations,
foams)› HMI (Joystick)› Technical clothes
What is Innovation?
35
What is Innovation?
36
What is Innovation?
37
Safe
ty
Hom
olog
atio
ns
Rel
iabi
lity
What is Innovation (In Ducati)?
38
SLM (Selective Laser Melting) Technology allows to realize directly metal prototypes, ready to be tested or used as definitive parts. Available metals include Titanium (Ti64 grade 5), CobaltChrome (F75), Aluminium (AlSi10Mg), StainlessSteel 17-4 and StainlessSteel AISI316L.
Motostudent swing arm project: Al AlSi7Mg0.6 additive manufacturing SLM
› Target weight: 3,50kg
Additive Manufacturing
39
Additive Manufacturing
40
S&M
PM
Design
R&D
Quality
Purchase
Production
Finance
PEP
layout mule drawing prototype industrialization test homologation
internal industrialization production
request for quotation supply chain definition production order
clinic test advertising launch
supplier homologation internal check ok for shipment
brief + budget estimated direct cost technical approval
Cost budgeting and control
0
SOP
-3
PRE
-11
AVA
-20
PRO
-27
CLA
-34
SKE
-37
BRF
-40
K-O
market research
sketch clay clinic color & graphic
Project Evolution Plan
Confidential
41
Concept and Positioning• The way to enter the Ducati sports bike world. The smallest of the “Panigale
family” retains design and content of its bigger brother offering the highestlevel of performance and innovation in its category.
• USP’s: performance, mainly focused on driving pleasure and comfort onstreet road, and the unmistakable design of a Ducati sports bike, available atan attractive price.
Product highlights• Superquadro engine – 898cc displacement• Oval section throttle body diam. 62mm – one injector for each cylinder• Monocoque frame with dedicated steering nuts • Fully adjustable Showa BPF front forks • Fully adjustable rear mono-shock – not adjustable wheelbase• Steel fuel tank• Steel trellis rear sub-frame with aesthetical side plastic covers• Double sided swingarm• 3 Riding modes that act on: Engine map, EBC, DTC, ABS• Full ride by wire system with electronic e-grip• Dashboard with LCD display
Target cost (margin % ITA / margin % USA) / Best estimate at SOP (margin % ITA / margin % USA)
• 899Panigale ABS € xxx (xxx% / xxx%) / € xxx (xxx% / xxx%)
Target Retail Price (KoH) / USA (MSRP)• 899Panigale ABS € xxx / xxx $
Sell in volumes:• 899Panigale ABS xxx / year
Performance• Max torque 10 kgm• Torque % at 50% rpm Pmax 74%• Power 148 cv• Weight (wet, no fuel) 186 kg
Investment• Engine xxx M€• Vehicle xxx M€• Total xxx M€
Milestones• Kick Off 10-01-11• Design freeze 01-04-12• Avanserie 15-01-13• SOP 09-09-13
xxxx - Project Highlights (xxx)
BRF SKE CLA PRO AVA PRE SOP
42
First sketches
› The Designer puts his ideas on paper
› First involvement of the R&D
PEPProject Milestones
BRF SKE CLA PRO AVA PRE SOP
43
Preliminar Lay-out
› R & D designers study the positioning of components, considering them as simple volumes
› The main inputs are the sketches of the Design Center, together with strategic decisions and innovative contents that it was decided to insert (eg monocoque)
BRF SKE CLA PRO AVA PRE SOP
PEPProject Milestones
44
Final Sketches
› The designer develops “the winning idea”, drawing the vehicle from different points of view (front, rear, side, of ¾, ...)
› The designer defines all the details (dashboard, exhaust terminals, projectors, ...)
BRF SKE CLA PRO AVA PRE SOP
PEPProject Milestones
45
Mule
› A moving vehicle is assembled, normally based on an existing model, with ergonomic and chassis dimensions of the new product
BRF SKE CLA PRO AVA PRE SOP
PEPProject Milestones
46
S&M
PM
Design
R&D
Quality
Purchase
Production
Finance
PEP
layout mule drawing prototype industrialization test homologation
internal industrialization production
request for quotation supply chain definition production order
clinic test advertising launch
supplier homologation internal check ok for shipment
brief + budget estimated direct cost technical approval
Cost budgeting and control
0
SOP
-3
PRE
-11
AVA
-20
PRO
-27
CLA
-34
SKE
-37
BRF
-40
K-O
market research
sketch clay clinic color & graphic
Project Evolution Plan
Confidential
47
Clay
› A 1: 1 scale maquette is created: it represents the final design of the vehicle (definitive and well finished surfaces)
BRF SKE CLA PRO AVA PRE SOP
PEPProject Milestones
48
Clinic
› After several interactions with R & D, a painted maquette is created and the final graphics are applied
PEP
BRF SKE CLA PRO AVA PRE SOP
Project Milestones
49
Engine Start
› At least 3 months before the first prototype is produced, the first bench motor is tested
› Implementation of a first calibration to be able to test the proto
PEP
BRF SKE CLA PRO AVA PRE SOP
Project Milestones
50
Prototype
› The design of the vehicle and the engine are linked to each other
› R & D has finished the design of the motorcycle components
› The components are made without using mass production technologies (eg, machined from solid and not die cast)
PEP
BRF SKE CLA PRO AVA PRE SOP
Project Milestones
51
S&M
PM
Design
R&D
Quality
Purchase
Production
Finance
PEP
layout mule drawing prototype industrialization test homologation
internal industrialization production
request for quotation supply chain definition production order
clinic test advertising launch
supplier homologation internal check ok for shipment
brief + budget estimated direct cost technical approval
Cost budgeting and control
0
SOP
-3
PRE
-11
AVA
-20
PRO
-27
CLA
-34
SKE
-37
BRF
-40
K-O
market research
sketch clay clinic color & graphic
Project Evolution Plan
Confidential
52
Avanserie
› R & D implements modifications based on prototype tests
› The components are made by nominated suppliers, with definitive equipment
› The bikes are still assembled by expert personnel
PEP
BRF SKE CLA PRO AVA PRE SOP
Project Milestones
53
S&M
PM
Design
R&D
Quality
Purchase
Production
Finance
PEP
layout mule drawing prototype industrialization test homologation
internal industrialization production
request for quotation supply chain definition production order
clinic test advertising launch
supplier homologation internal check ok for shipment
brief + budget estimated direct cost technical approval
Cost budgeting and control
0
SOP
-3
PRE
-11
AVA
-20
PRO
-27
CLA
-34
SKE
-37
BRF
-40
K-O
market research
sketch clay clinic color & graphic
Project Evolution Plan
Confidential
54
Preserie
› Minor changes are still implemented
› Purpose of the pre-series is the validation of the production process (both supplier and company)
› Line personnel are instructed
PEP
BRF SKE CLA PRO AVA PRE SOP
Project Milestones
55
S&M
PM
Design
R&D
Quality
Purchase
Production
Finance
PEP
layout mule drawing prototype industrialization test homologation
internal industrialization production
request for quotation supply chain definition production order
clinic test advertising launch
supplier homologation internal check ok for shipment
brief + budget estimated direct cost technical approval
Cost budgeting and control
0
SOP
-3
PRE
-11
AVA
-20
PRO
-27
CLA
-34
SKE
-37
BRF
-40
K-O
market research
sketch clay clinic color & graphic
Project Evolution Plan
Confidential
56
SOP
› “Quarantine” period
› Debriefing (Lessons Learned)
PEP
BRF SKE CLA PRO AVA PRE SOP
Project Milestones
57
Multi – Project management
2012 2012 2014 2015 2016 2017
1199 Panigale Hypermotard Monster1200 Multistrada XDiavel SuperSport
Scrambler
MTS FL Diavel FL 1299 MTS Enduro Monster797
Desert Sled
Panigale1199R Superleggera Panigale R Monster R MTS 950
899 Monster821 959 Panigale Monster1200
HYM 939 1299 SL
Cafè Racer
New Products
Derivatives