Productivity Improvement Project (PIP): Global operational incentive alignment at Infineon

• Main Authors: OTT, Holly, HANUS, Christian
• Format: text
• Language: English
• Published: Institutional Knowledge at Singapore Management University 2014
• Subjects: Project Management; operations; key performance indicators; industrial engineering; finance; operations management; Business Administration, Management, and Operations; Management Sciences and Quantitative Methods; Operations and Supply Chain Management
• Online Access: https://ink.library.smu.edu.sg/cases_coll_all/100; https://cmp.smu.edu.sg/case/2691
• Institution: Singapore Management University

This case is a classic example of misaligned project metrics, where different parts of a project are unable to simultaneously achieve their targets. The case uses a project at Infineon Technologies Asia Pacific Pte. Ltd. to illustrate a complex and very aggressive project, which requires participation from both a Singapore factory team and product developers in Munich, Germany, where together they must meet project targets. The case allows the students to explore the target data and calculations to discover the reasons behind the problem. Additionally, the students can step back from the data and propose what key metrics should be applied instead. This case is designed for operations or industrial engineering students at the undergraduate or graduate levels in order to combine standard operations concepts with finance and project management.