RISK ASSESSMENT AND ACTION SELECTION IN PRELIMINARY DESIGN

New product development (NPD) has typically had strategic implications for the success and prosperity of an organization. This paper applied refined failure mode and effect analysis and genetic algorithm techniques to develop and establish an integrated risk analysis model for improving preliminary design of NPD. Three core items, technological performance, cost, and schedule risk, were used to improve the process of preliminary design and resource allocation in NPD projects. Risk severity, occurrence, and correlation characteristics are collected for each core item. A real study case was implemented to conclude an improving design decision and process change for NPD project.