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Teradyne Corporation: the Jaguar Project.

In: Computers and Technology

Submitted By anushaallam
Words 1352
Pages 6
Case Study #3

SUMMARY OF RELEVANT FACTS
Teradyne was the world’s largest supplier of equipment for testing semiconductors, with sales of $1.8 billion (in 2004) and over 6000 employees working worldwide. Teradyne initially focused on making equipment to test transistors and other electronic components and their business involved a new breed of “industrial grade” electronic test equipment that is highly reliable however, two main problems were created within these five units. The first problem was caused by engineering organizations over committing to projects, therefore, utilization capacity was estimated at 300% because the projects were poorly planned and goals and scope was often not clearly defined upfront which caused projects to be delayed because engineers and marketers had to think of additional features. The strategy implemented to solve this problem, was Aggregate Project Planning (APP). APP was implement so Teradyne could to stick to the projects that align with the broader strategy of the company and to not over commit by starting projects when appropriate resources are available. The second problem was attributed to the planning and implementation of projects and objectives, therefore, several improvement initiatives were launched
Jaguar was initiated in 2001 as an effort to improve Teradyne’s product development process and was aimed to create a highly flexible tester platform that could be adaptable to the needs of different devices. The Jaguar project was set to create an entirely new semiconductor test-system platform and resulted in the Ultra Flex system which was critical to the success of Teradyne’s new competitive strategy. Although, most of the aspects of the Jaguar project went well, software, a major component of the program, ran behind schedule and total development costs came in at 35% higher than was initially budgeted. In the...

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