GM Competition
LFM teams received 1st, 4th and 5th places; TPP took 2nd and 3rd
By Monica Nakamine
May 27, 2003
Student teams representing Engineering Systems Division (ESD) programs took the top five titles in General Motors Corporation’s Fuel Cell Case Competition. Three Leaders for Manufacturing (LFM) groups took first, fourth, and fifth places, while second and third places went to Technology and Policy Program (TPP) teams. Winners were announced on May 9, 2003 at the final round of presentations, held at the Sloan School of Management.
First place team, from left to right: Peter Haughton (LFM ’04), Satish Krishnan (LFM ’04), and Jonathan Rheaume (LFM ’03).
“All proposals were thorough and well defended and we were impressed by the level of depth in each,” said Fernando Ramirez, a business analyst at GM and one of the judges for this competition. “The teams described their strategies in great detail, more than what we anticipated. The ideas were all so different from each other that it made the judging process very interesting.”
The competition was based on a “chicken-and-egg”-type dilemma: How does GM encourage consumers to purchase fuel cell vehicles (FCVs) while getting fuel providers to invest in the hydrogen-fueling infrastructure required? The objective for each team was to identify and describe a strategy that would enable the growth of the FCV market as well as the development of a fuel cell infrastructure by the year 2010. Teams also had to address the following issues:
- The geographical market best suited for FCV introduction
- How the infrastructure development process will play out
- Key existing and potential stakeholders
- Major uncertainties and risks associated with the proposed strategy
- Implications to GM
Approximately 50 students, in teams of three or four, participated in this competition, representing five different programs across MIT. Team proposals were judged on effectiveness, creativity, feasibility, and quality of the report.
Ramirez noted that the 1st place team scored highly on all criteria, but stood out because their report was well written and easy to comprehend – an important factor in a close competition. The team, which received a $5,000 cash prize, consisted of Jonathan Rheaume, LFM ’03; Satish Krishnan, LFM ’04; and Peter Haughton, LFM ’04.
“We chose to roll out fuel cell vehicles and the hydrogen infrastructure in Paris, France, mainly due to high gasoline prices, severe air pollution, and a large supply of excess nuclear power,” said Rheaume. “One of our biggest challenges was to frame our strategy in a way that environmentalists and oil companies alike would applaud and endorse. To build up the hydrogen infrastructure, we devised a three-phase plan that consisted of setting the stage for growth, roll-out of fleet vehicles, and then introduction of personal vehicles.”
“The proposed solution was radically different than the more conventional ideas being considered,” said Ramirez. “While this raised concerns in several technical areas, the judging panel was impressed with their creativity.”
Second place went to TPP students Swati Chaturvedi, Michael Speerschneider, and Anneloes Hesen. The team received a $3,000 cash prize.
“Our strategy involved phasing in FCVs and refueling stations over a period of time using the existing hydrogen production capacity to grow the FCV market,” said Chaturvedi. “Once some market growth had been exhibited, there would be an incentive for hydrogen producers to expand capacity. The second phase involved a capacity expansion with an accompanying increase in hydrogen supply and a fall in prices. The two phases served the dual purpose of introducing FCVs into people’s day-to-day lives while bringing down prices. This would set the stage for spontaneous growth of market after 2010.”
Another TPP team – Trent Yang, Kok Hou (Jim) Tay, Joshua McConnell, and Chris Glazer -- took third place and received $2,000.
“Our solution employed a unique, two-tier infrastructure system that would not only provide the immediate needs of hydrogen to early fuel cell vehicle owners, but would also allow the industry to take on less risk in entering this new market,” said Yang.
Since the 4th and 5th place teams received the same prize ($500 each), the judges did not reveal these teams’ placement. Both teams, however, were made up of LFM ’04 students: the “crazy Hawaiian team” included Josh Binder, Kevin Schwain, Steve Herren, and Amber Chesborough; and the “alternative fuel experts” were Michael Brylawski, Erik Bue, and Mark Hagan.
“We are very pleased with the process and outcome of the competition,” said Ramirez. “It was well worth the effort that GM invested, and we hope the participants also found it worthwhile.”
From left to right: Prabhakar Vaidyanathan (GM), Slaven Sljivar (GM), Professor Henry Weil (MIT), Mike Speerschneider (TPP ’03), Nick Pudar (GM), Swati Chaturvedi (TPP ’04), Anneloes Hesen (TPP ’04), Dave Webster (GM), and Fernando Ramirez (GM).
From left to right: Prabhakar Vaidyanathan (GM), Slaven Sljivar (GM), Professor Henry Weil (MIT), Trent Yang (TPP ’04), Nick Pudar (GM), Kok Hou (Jim) Tay (TPP ’04), Joshua McConnell (TPP ’03), Dave Webster (GM), and Fernando Ramirez (GM).
Fourth and 5th place teams, from left to right: Amber Chesborough, Josh Binder, Erik Bue, Steve Heren, and Mark Hagan. Michael Brylawski and Kevin Schwain not shown. Students are all LFM ‘04s.