How can collaboration be established among many competitors
to benefit the whole ValueWeb network system?
In the early
90s, aerospace giants faced huge costs in the competitive bidding processmore
than $500 million capital expenditure per testand paralyzing test cycle
times. The US domestic aircraft industry was losing market share to Airbus and
Europe's multinational testing facilities because of both the cost and cycle
time problems. At the center of the issue was Arnold Engineering Development
Center (AEDC), the home of a unique, specialized, engine testing capability
which was threatened by lack of funding. How could they cut development
and cycle time costs, meet FAA requirements, and help maintain critical government
In a DesignShop® event facilitated by MG Taylor, manufactures, testers,
and customers collaborated to design a solution based on trust and shared resources.
First, they designed a radical new approach to providing hardware for the test
process Pratt & Whitney, General Electric, and Rolls Royce would
share the technology needed to outfit the test cells. In turn, they would allow
AEDC to refine the test process and to improve critical facilities at no cost
to the taxpayer. The goal was a radical reduction in time to mount the engines
for testsfrom six weeks to six days.
The collaborators had to design tests so superior
that the FAA would accept the results, based on shared technology, with the
government testing facility acting as "fair broker." The result: FAA
Waives 2 Year Requirement for Domestic Aircraft Certification. Boeing's 777
was certified immediately to fly domestically, cutting two years from the intercontinental
certification process. The 777 is now a viable competitor to France's Airbus,
and has made an important contribution to the US economy.
"The list of benefits that have come out of DesignShop evnets goes on
and on: radically reduced testing times; early approval of the 777 engine for
intercontinental flight, based on setting a world record for running an engine
in a wind tunnel continuously for 52 hours." John
Poparad, AEDC and DesignShop participant
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