ASML Realizes the Value of Getting Everyone on the Same Project Page

The Background

ASML is the world’s leading provider of lithography systems for the semi¬conductor industry, manufacturing complex machines that are critical to the production of integrated circuits or microchips. Founded in 1984, ASML is publicly traded on the Euronext Amsterdam and NASDAQ. With more than 6,500 employees worldwide, it enjoys an approximate 65 percent market share.

ASML spends an average of €460 million annually on research and development and has more than 3,000 engineers in R&D. Working on five major products, along with other applications and products, ASML’s engineers can have more than 200 simultaneous projects occurring at any one time.

In 2005 ASML decided to assess its project management capabilities. It determined that while the company had long enjoyed successive growth and strong profit margins, there were opportunities through improved project management to realize even greater results.

The assessment showed that while there was no agreed ASML project management methodology, many engineers applied a range of project management skills and tools to gather requirements, plan and track their projects. However, since less than ten percent of project plans were “good” based on ASML’s criteria, this hampered company executives’ ability to evaluate and track projects against corporate goals and ensure effective resource allocation. The review also found that individuals fulfilling the role of project manager had often been selected for their technical expertise, rather than their project management skills, knowledge and experience.

It was determined that ASML could greatly benefit from:

1. The development of an ASML-specific project management methodology

2. A learning program to identify, teach and reinforce the methodology to project managers

3. The embedding of project management support as a function within the company

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