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CII Research Team 211. Effective Use of the Global Engineering Work Force. James B. Mynaugh Rohm and Haas Company. 2003 Engineering Graduates. Source: US Census Bureau/NASSCOM. Global Engineering Work Force. Wages/benefits costs for recent engineering grads: U.S.A.: $ 70,000
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CII Research Team 211 Effective Use of the Global Engineering Work Force James B. Mynaugh Rohm and Haas Company
2003 Engineering Graduates Source: US Census Bureau/NASSCOM Global Engineering Work Force Wages/benefits costs for recent engineering grads: • U.S.A.: $ 70,000 • Hungary: $ 25,690 • China: $ 15,120 • Russia: $ 14,420 • India: $ 13,580 Source ASEE Prism
Project Goal To develop a framework to address the comprehensive issues involved in successful Global Virtual Engineering Teams through identifying best practices in: • Personnel, • Work processes, • Tools, and technologies.
Definition • A Global Virtual Engineering Team (GVET) is a group of geographically dispersed engineers that needs to overcome: • Space and Time issues, • Function and Organizational barriers, and • National, and Cultural differences
Thank you to Anheuser-Busch Studios Director: Jim Duff Scriptwriter: Jody Lambert Coordinator: Todd White Western Team: Sandie Hartwick Amy Lunn Adam Jost Joe Dollar Eastern Team: Rakhi Gupta Radhika Kamath Nhon Dang Speedy Warner
Use of Global Engineering Teams All Projects 6 % Not Using 17 % On First Project 15 % On Many Projects 62 % Survey Results: CII Members
Future of Global Engineering Teams Maintain 19 % Increase 81 % Survey Results: CII Members
Top-Rated Driving Forces • Reduce engineering cost • Competition • Global (or local) customers • Locate services close to project location • Reduce engineering schedule Survey Results: CII Members
Perceived Impact of GVET Survey Results: CII Members
Case Study Results Typical Engineering Cost on Projects >$5 million = 16.9% Total savings (5 projects) was > $20 million or roughly 30%.
Top-Rated Failure Factors • Poor communication, lack of face-to-face meetings. • Lack of understanding of local work practices, cultural differences, and/or language issues. • Lack of management involvement & experienced leadership. • Slow response to change. • Incompatible or poor technology support. Survey Results: CII Members
SOLUTION ?? GVET Execution Planner
GVET Execution Planner • Software application • Six primary categories: • Scope definition • Communication • Project organization • Technology • Project controls • Quality assurance
Workshop • Join us for: - Demo of GVET Execution Planner - Additional research findings - Live discussion with virtual team members • Room: Grand Ballroom
Effective Use of the Global Engineering Work Force Research Team Robert J. Beaker General Motors (Co-chair) Karl E. Seil Stone & Webster, Shaw Group (Co-chair) Hector Brouwer de Koning Black & Veatch Dennis Chastain Mustang Engineering Chuan ‘Victor’ Chen Penn State University Gregory Gould Burns & McDonnell John Hackney Nova Chemicals Lona Hankins ConocoPhillips Robert E. Houghtaling DuPont George Joseph Penn State University Aivars E. Krumins ABB Lummus Global John I. Messner Penn State University James B. Mynaugh Rohm and Haas Batuk Patel The Dow Chemical Co. Matthew J. Petrizzo Washington Group International Reinhard Pratt AMEC Gerald A. Schacht Abbott Bruce A. Strupp Parsons Corporation H. Randolph Thomas Penn State University Todd White Anheuser-Busch