Competitive advantages through modularisation

A modularisation concept is so important and crucial to success in the traditional manufacturing industry as it increases flexibility and efficiency in production. By splitting products into standardised modules, companies can react more quickly to customer requirements, offer individual solutions and reduce costs at the same time. It also enables new products to be brought to market more quickly and makes it easier to adapt to changing market conditions. Overall, a modularisation concept helps to strengthen the competitiveness and innovative strength of companies in the manufacturing industry.

The successful implementation of a modularisation concept requires comprehensive changes in various areas of the company. This affects not only development and production, but also purchasing, finance, quality assurance and sales. These changes extend across the company's strategic orientation, organisational structure and process landscape and affect all hierarchical levels.

For quick wins, we would like to show you a pragmatic implementation using the following modularisation concept. By further detailing and processing/implementing the above content, the concept will be of lasting benefit to your company.

FIG 1. Modularization WIKI
Figure: Prioritisation of core topics according to importance and urgency

Following the logic of the "Eisenhower Matrix", the concept work starts with the most important and urgent content such as the objective (target - KPIs), structure creation and integration of the development process and timeline. It is successively supplemented by other topics such as committees, processes and organisational structure.

In plain language, this means Measurable goals are defined and established together with the management. Once the timeline and the system/module structure are in place, the next step is to optimise the concepts (depending on the target set). The presentation and development of quick wins should be mentioned here. This ensures that the development and implementation of the modularisation concept gains acceptance and provides motivation.

The module team as well as the type of concept documentation must involve all relevant areas and thus be cross-functional. This means that the goals set are not only known in all areas, they are also jointly developed, supported and implemented sustainably.

FIG 2. Modularization WIKI
Figure: Procedure in the 3-phase model

In the detailing phase, further core topics such as cross-functional processes and organisational adjustments, IT/documentation, lifecycle management etc. are worked out.

In addition to the overall conceptual work, it is extremely useful to establish the practical relevance from the outset and to start a pilot project in parallel so that the effectiveness can be illustrated using a practical example.

The most important success factors in the introduction and sustainable implementation of a modularisation concept are

  • Management attention
  • Cross-functional involvement
  • Clear objectives
  • Perseverance and the will to succeed

Your Benefit

  • Cost savings in production material as well as in the organisation
  • Reduction of manufacturing time in production and development
  • Increase in quality
  • Freeing up capacities and resources for innovation
  • Increased competitiveness
  • Improvement of communication - company-wide