Valuation of Design Adaptability in Aerospace Systems

ISBN-13: 9783639127539 / Angielski / Miękka / 2009 / 204 str.

Phd Ismael Fernandez

Opis

As more information is brought into early stages ofthe design, more pressure is put on engineers to produce a reliable, high quality, and financially sustainable product. Unfortunately, requirements established at the beginning of a new project, andtheir environment, continue to change in some unpredictable ways. Robust Design Simulation is a method that addresses the risk of a new designfalling out of value at early stages of production. Under certain conditions, this method fails toaccount for the intrinsic value embedded in the system when certain design features are activated. This book introduces the concepts of adaptability and real options to manage risk foreseen in the face of uncertainty at early design stages. The results presented in the study contained herein show the benefits of real options analysis during the design process of aerospace systems. These include: a better management of design features over time, a better view of uncertainty around future technologyeconomics, a good understanding of adaptability value over time, and a consistent risk reductionwith respect to alternatives in which flexibilitywas not embedded.

O autorze

Dr. Fernández is currently a Risk Analyst for GE Energy, where he
evaluates the benefits and risks of retrofitting new technologies
into gas turbines for power generation. He earned a PhD and MBA
at Georgia Institute of Technology after obtaining significant
knowledge in the areas of aircraft design methods and real
options in engineering.