Transcript Chapter 3

Products and
Services
To Accompany Russell and Taylor, Operations Management, 4th Edition,  2003 Prentice-Hall, Inc. All rights reserved.
Design of Products
Humor in Product Design
As the customer
wanted it.
© 1984-1994 T/Maker Co.
As Operations made
it.
© 1984-1994 T/Maker Co.
As Marketing
interpreted it.
© 1984-1994 T/Maker Co.
As Engineering
designed it.
© 1984-1994 T/Maker Co.
What is a Product?
Need-satisfying offering of an organization
Example
P&G does not sell laundry detergent
P&G sells the benefit of clean clothes
Customers buy satisfaction, not parts
May be a good or a service
Product and Service Design
Major factors in design strategy
•Cost
•Quality
•Time-to-market
•Customer satisfaction
•Competitive advantage
Product and service design – or redesign – should be
closely tied to an organization’s strategy
Product or Service Design
Activities
Translate customer wants and needs into
product and service requirements
Refine existing products and services
Develop new products and services
Formulate quality goals
Formulate cost targets
Construct and test prototypes
Document specifications
Reasons for Product and
Service Design or Redesign
The main forces that initiate design or redesign are
market opportunities and threats The factors that give
rise to opportunities and threats can be changes in:
 economic factors
 social and demographic factors
 political, liability or legal factors
 competitive factors
quality
 cost or availability
 technological factors
Product Strategy Options
Product differentiation
Low cost
Rapid response (product life cycles are
becoming shorter, therefore faster
developers of new products gain on
slower developers and obtain a
competitive advantage)
The Key Questions
 Is there demand for it?
 Can we do it? (manufacturability
serviceability)
 What level of quality is appropriate?
 Does it make sense from an economic
standpoint?
Manufacturability,
Serviceability
Manufacturability is the capability of an
organization to produce an item at an acceptable
profit
Servicebility is the capability of an organization to
provide a service at an acceptable cost or profit
Legal and Ethical
Considerations
 Product liability is the responsibility of a
manufacturer for any injuries or damages caused
by a faulty produt because of poor workmanship
or design
 Tradeoff deçisions may involve ethical
considerations.
Design Guidelines
 Produce designs that are consistent with the
goals of the organizaton
 Give customers the value they expect
 Make health and safety a primary concern
Sustainability
Sustainability: using resources in ways that do not
harm ecological systems that support both
current and future human existence
Product and service design is a focal point in the
quest for sustainability. Key aspects include:
 Life cycle assessment
 The three R’s
Reduction of costs and materials used
Reuse of parts of returned products
Recycling
Life Cycle Assessment
Life cycle assessment, also known as life cycle
analysis, is the assesment of the environmental
impact of a product or service throughout its
useful life. The goal is the choose products and
services that have the least environmental impact
while still taking into accoun8t economic
considerations.
Reduce: Value Analysis/ Value
Engineering (VA/VE) (1 of 4)
Reducing the use of materials through VA/VE
 Value analysis refers to an examination of the
function of parts and materials in an effort to reduce
the cost and/or improve the performance of a product.
 Achieve equivalent or better performance at a lower
cost while maintaining all functional requirements
defined by the customer
 Value analysis focuses on design improvements
during production
 Ratio of value / cost
Value Analysis/Value Engineering
(2 of 4)
Typical questions that would be asked as part of the
analysis (to assess value) include :
1. Can we do without it?
2. Does it do more than is required
3. Does it cost more than it is worth?
4. Can something else do a better job
5. Can it be made by less costly method, tools,
material?
6. Can it be made cheaper, better or faster by someone
else?
7. Does the item have any design features that are not
necessary?
8. Can two or more parts be combined into one?
9. Are there nonstandard parts that can be eliminated
Benefits of VA/VE (3 of 4)
Benefits:
simplified products
additional standardization of products
improved functional aspects of product
improved job design and job safety
improved maintainability of the product
robust design
reduction in cost
Cost Reduction of a Bracket
via Value Engineering (4 of 4)
To Accompany Russell and Taylor, Operations Management, 4th Edition,  2003 Prentice-Hall, Inc. All rights reserved.
Reuse: Remanufacturing
Reuse: Refurbishing used products by replacing
worn-out or defective components and then
reselling them
Remanufacturing: Refurbishing used products by
replacing worn-out or defective components and
reselling the products.
Design for Disassembly
Designing products so that they can be
more easily taken apart.
Includes fewer parts and less material
and using snap-fits where possible
instead of screws or nuts and bolts
Recycle
Recycling: Reclaiming parts of unusable products
for recycling (recovering materials for future use)
Reasons for recycling:
 Cost savings
 Environmental concerns
 Environmental regulations
Design for recycling
Design for Recycling: refers to product design
that takes into account the ability to disassemble
a used product to recover the recyclable parts, ie.
Design that facilitates the recovery of materials
and components in used produts for reuse
Design for Environment
 Design safe and environmentally sound
(eg. recyclable) products
 Design from recycled material
 Use materials which can be
recycled
 Design for ease of repair
 Minimize packaging
 Minimize material & energy
used during manufacture, consumption &
disposal
“Green Manufacturing”
•
•
•
•
•
•
Make products recyclable
Use recycled materials
Use less harmful ingredients
Use lighter components
Use less energy
Use less material
Benefits of Environmentally
Friendly Designs
• Benefits
– Safe and environmentally sound products
– Minimum raw material and energy waste
– Product differentiation
– Environmental liability reduction
– Cost-effective compliance with
environmental regulations
– Recognition as good corporate citizen
Design for
Environment
Product Life Cycle, Sales,
Cost, and Profit
Sales, Cost & Profit .
Cost of
Development
& Manufacture
Sales Revenue
Profit
Cash flow
Loss
Time
Introduction
Growth
Maturity
Decline
Product Life Cycle
Introduction
Fine tuning
research
product design and development
process modification and
enhancement
supplier development
Short production runs
High production costs
Limited models
Product Life Cycle
Growth
Product design begins to stabilize
Effective forecasting of capacity
requirements becomes necessary
Adding or enhancing capacity may be
necessary
Product Life Cycle
Maturity
Competitors now established
High volume, innovative production may
be needed
Improved cost control, reduction in
options, paring down of product line
Increasing stability of process
Product Life Cycle
Decline
Overcapacity
Unless product makes a special
contribution, must plan to terminate
offering
Products in Various Stages of
Life Cycle
Sales
Growth
Introduction
CD-ROM
Internet
Maturity
Decline
Jet Ski, fax machines
Boeing
727
3½
Floppy
disks
Flatscreen
monitors
Time
Product-by-Value Analysis
Lists products in descending order
of their individual dollar contribution
to the firm.
Helps management evaluate
alternative strategies.
Product Development
Continuum
External Development Strategies
Alliances
Joint Ventures
Purchase Technology or Expertise by Acquiring the
Developer
Internal Development Strategies
Migrations of Existing Products
Enhancement to Existing Products
New Internally Developed Products
Internal ----------------------Cost of Product Development --------------------- Shared
Lengthy --------------------Speed of Product Development---------------Rapid and/or
Existing
High ------------------------- Risk of Product Development ----------------------- Shared
To Accompany Russell and Taylor, Operations Management, 4th Edition,  2003 Prentice-Hall, Inc. All rights reserved.
Degree of Newness of a
Product/Service
1.Modification of an existing product/service
2.Expansion of an existing product/service
3.Clone of a competitor’s product/service
4.New product/service
Degree of Design Change
Type of Design
Change
Newness of the
organization
Newness to the
market
Modification
Low
Low
Expansion
Low
Low
Clone
High
Low
New
High
High
50%
45%
40%
35%
30%
25%
20%
15%
10%
5%
0%
Industry Leader
Percent of Sales From New
Product
Top
Third
Middle
Third
Bottom
Third
Position of Firm in Its Industry
Product Design
 Specifies materials
 Determines dimensions
& tolerances
 Defines appearance
 Sets performance
standards
Service Design
 Specifies what the customer is to
experience
 Physical items
 Sensual benefits
 Psychological
benefits
Trends in Product & Service
Design (1 of 2)
Increased emphasis on or attention to:
Customer satisfaction (by translating
customer wants and needs into product and
service requirements)
Reducing time to introduce new product or
service
Reducing time to produce product
Trends in Product & Service
Design (2 of 2)
Increased emphasis on or attention to:
The organization’s capabilities to produce or
deliver the item
Refining existing products and services
Environmental concerns
Designing products & services that are “user
friendly”
Designing products that use less material
Why Companies Design New
Products and Services
To be competitive
To increase business growth and profits
To avoid downsizing with development
of new products
To improve product quality
To achieve cost reductions in labor or
materials
Objectives of Product and
Service Design
• Main focus
–Customer satisfaction
• Secondary focus
–Function of product/service
–Time to market
–Cost/profit
–Quality
–Appearance
–Ease of production/assembly
–Ease of maintenance/service
Product and service design – or redesign – should be
closely tied to an organization’s strategy
An Effective Design Process
 Matches product/service characteristics
with customer needs
 Meets customer requirements in the
simplest, most cost-effective manner
 Reduces time to market
 Minimizes revisions
Few Successes
2000
1500
1000
500
0
Number of
Ideas
1750
Design review,
Testing, Introduction
Market
requirement
1000
Functional
specifications
500
Product
specification
100
Development Stage
25
One
success!
Stages in the
Design Process
1. Idea Generation — Product Concept
2. Feasibility Study — Performance
Specifications
3. Preliminary Design — Prototype
4. Final Design — Final Design
Specifications
5. Process Planning — Manufacturing
Specifications
The Design Process
Idea
generation
Suppliers
Product or
service concept
Feasibility
study
Performance
specifications
Form design
Customers
R&D
Marketing
Competitors
Revising and testing
prototypes
Production
design
Functional
design
New product or
service launch
Final design
& process plans
Design
specifications
Pilot run
and final tests
Manufacturing
or delivery
specifications
Step 1: Idea Generation
 Suppliers, distributors, salespersons, competitors
 Trade journals and other published material
 Warranty claims, customer
complaints, failures
 Customer surveys, focus
groups, interviews
 Field testing, trial users
 Research and development
Reverse Engineering
Reverse engineering is the dismantling and
inspecting of a competitor’s product to discover
product improvements.
To Accompany Russell and Taylor, Operations Management, 4th Edition,  2003 Prentice-Hall, Inc. All rights reserved.
Research & Development (R&D)
Organized efforts to increase scientific knowledge or
product innovation & may involve:
Basic Research advances knowledge about a
subject without near-term expectations of
commercial applications.
Applied Research has the objective of achieving
commercial applications.
Development converts results of applied research
into commercial applications.
More Idea Generators
 Perceptual Maps
 Visual comparison of
customer perceptions
 Benchmarking
 Comparing product/service
against best-in-class
 Reverse engineering
 Dismantling and inspecting a competitor’s
product to discover product improvements
Perceptual Map of Breakfast
Cereals (1 of 2)
GOOD
TASTE
LOW
NUTRITION
HIGH
NUTRITION
BAD
TASTE
Perceptual Map of Breakfast
Cereals (2 of 2)
GOOD
TASTE
Cocoa Puffs
LOW
NUTRITION
HIGH
NUTRITION
Rice
Krispies
Cheerios
Wheaties
Shredded
Wheat
BAD
TASTE
Step 2: Feasibility Study
 Market
Analysis
 Economic
Analysis
 Technical / Strategic Analysis
Performance Specifications are written
for product concepts that pass the
feasibility study
Step 3: Preliminary Design
 Create form & functional design
 Build prototype
 Test prototype
 Revise prototype
 Retest
3.1. Form Design
(How the Product Looks)
Cellular Personal
Safety Alarm
Personal Computer
3.2. Functional Design
(How the Product Performs)
 Reliability: The ability of a product, part or system to
perform its intended function under a prescribed set of
conditions over a specified length of time. It is
expressed as the probability that the product performs
intended function for a specified length of time
 Normal Operating Conditions: the set of conditions
under which an item’s reliability is specified
 Maintainability: Ease and/or cost of maintaining/
repairing product
Computing Reliability (1 of 4)
Components in series
0.90
0.90
0.90 x 0.90 = 0.81
Computing Reliability (2 of 4)
Components in series
0.90
0.90 x 0.90 = 0.81
0.90
Components in parallel
0.90
R2
0.95 + 0.90(1-0.95) = 0.995
0.95
R1
Computing Reliability (3 of 4)
Determine the reliability of the system shown
.98
.90
.92
.90
.95
Computing Reliability (4 of 4)
The system can be reduced to a series of three components
.98
.90+.90(1-.90)
.98 x .99 x .996 = .966
.95+.92(1-.95)
How to improve Reliability
Component design
Production/assembly techniques
Testing
Redundancy/backup
Preventive maintenance procedures
User education
System design
System Availability (1 of 4)
MTBF
System Availability, SA =
MTBF + MTTR
System Availability (2 of 4)
MTBF
System Availability, SA =
MTBF + MTTR
PROVIDER
MTBF (HR)
MTTR (HR)
A
B
C
60
36
24
4.0
2.0
1.0
System Availability (3 of 4)
MTBF
System Availability, SA =
MTBF + MTTR
PROVIDER
MTBF (HR)
MTTR (HR)
A
B
C
60
36
24
4.0
2.0
1.0
SAA = 60 / (60 + 4) = .9375 or 93.75%
SAB = 36 / (36 + 2) = .9726 or 97.26%
SAC = 24 / (24 + 1) = .9473 or 94.73%
System Availability (4 of 4)
MTBF
System Availability, SA =
MTBF + MTTR
PROVIDER
MTBF (HR)
MTTR (HR)
A
B
C
60
36
24
4.0
2.0
1.0
SAA = 60 / (60 + 4) = .9375 or 93.75%
SAB = 36 / (36 + 2) = .9726 or 97.26%
SAC = 24 / (24 + 1) = .9473 or 94.73%
3.3. Production Design
Part of the preliminary design phase
 Simplification
 Standardization
 Mass customization
3.3.1. Design Simplification (1 of 3)
(a) The original design
Assembly using
common fasteners
3.3.1. Design Simplification (2 of 3)
(a) The original design
Assembly using
common fasteners
(b) Revised design
One-piece base &
elimination of
fasteners
3.3.1. Design Simplification (3 of 3)
(a) The original design
Assembly using
common fasteners
(b) Revised design
(c) Final design
One-piece base &
elimination of
fasteners
Design for
push-and-snap
assembly
3.3.2. Standardization
Standardization
Extent to which there is absence of variety in
a product, service or process
Standardized products are immediately
available to customers
Advantages of Standardization
(1 of 2)
• Fewer parts to deal with in inventory &
manufacturing
• Design costs are generally lower
• Reduced training costs and time
• More routine purchasing, handling, and
inspection procedures
Advantages of Standardization
(2 of 2)
• Orders fillable from inventory
• Opportunities for long production runs and
automation
• Need for fewer parts justifies increased
expenditures on perfecting designs and
improving quality control procedures.
Disadvantages of Standardization
• Designs may be frozen with too many
imperfections remaining.
• High cost of design changes increases
resistance to improvements.
• Decreased variety results in less consumer
appeal.
3.3.3. Mass Customization
Mass customization: A strategy of
producing basically standardized goods or
services, but incorporating some degree of
customization by:
– Delayed differentiation
– Modular design
3.3.3.1. Delayed Differentiation
Delayed differentiation is a
postponement tactic
 Producing but not quite completing a
product or service until customer
preferences or specifications are
known
3.3.3.2. Modular Design
Modular design is a form of standardization in which
component parts are subdivided into modules that
are easily replaced or interchanged. It allows:
–
easier diagnosis and remedy of failures
–
easier repair and replacement
–
simplification of manufacturing and assembly
And it adds flexibility to both production and
marketing
Steps 4&5: Final Design &
Process Plans
 Produce detailed drawings &
specifications
 Create workable instructions for
manufacture
 Select tooling & equipment
 Prepare job descriptions
 Determine operation & assembly order
 Program automated machines
Improving the Design Process
 Design teams & concurrent design
 Design for manufacture & assembly
 Design for disassembly
 Design to prevent failures and ensure value
 Design for environment
 Measure design quality
 Utilize quality function deployment
 Utilize Computer Aided Design
 Design for robustness
 Engage in collaborative design
Organizing for Product
Development (1 of 2)
• Historically – distinct departments
– Duties and responsibilities are defined
– Difficult to foster forward thinking
• Today – team approach
– Representatives from all disciplines or
functions
– Concurrent engineering – cross functional
team
Organizing for Product
Development (2 of 2)
• Traditional Approach
– “We design it, you build it” or “Over the
wall”
• Concurrent Engineering
– “Let’s work together simultaneously”
“Over the Wall” Approach
New
Product
Mfg
Design
Breaking Down Barriers to Effective
Design
Design Teams
 Marketing, manufacturing,
engineering
 Suppliers, dealers, customers
 Lawyers, accountants,
insurance companies
Concurrent Engineering
Defined
Concurrent engineering is the bringing together of
personnel from various functions together early in the
design phase.
CE can be defined as the simultaneous development
of project design functions, with open and interactive
communication existing among all team members for
the purposes of reducing time to market, decreasing
cost, and improving quality and reliability
Time savings are created by performing activities in
parallel
Concurrent Design
 Improves quality of early design
decisions
 Scheduling and management can be
complex as tasks are done in parallel
General Performance
Specifications
Instructions to supplier:
 “Design a set of brakes that can stop a 2200
pound car from 60 miles per hour in 200 feet ten
times in succession without fading. The brakes
should fit into a space 6” x 8” x 10” at the end of
each axle and be delivered to the assembly plant
for $40 a set.”
Supplier submits design specifications
and prepares a prototype for testing
Design for
Manufacture and Assembly
 Design a product for easy
& economical production
 Incorporate production
design early in the design phase
 Taking into account the manufacturing capabilities of
the organization in designing goods
 The more general term “design for operations”
encompasses services as well as manufacturing
 Improves quality, productivity and reduces costs
 Shortens time to design and manufacture
DFM Guidelines
1. Simplify products by reducing the number of
separate parts
2. Minimize the number of parts, tools, fasteners,
and assemblies
3. Use standard parts and repeatable processes
4. Design parts for many uses
5. Incorporate modularity in design
6. Design for ease of assembly, minimal handling
7. Allow for efficient testing and parts replacement
Design for Manufacturing and
Assembly
Greatest improvements related to DFMA arise from
simplification of the product by reducing the
number of separate parts:
• During the operation of the product, does the
part move relative to all other parts already
assembled?
• Must the part be of a different material or be
isolated from other parts already assembled?
• Must the part be separate from all other parts to
allow the disassembly of the product for
adjustment or maintenance?
To Accompany Russell and Taylor, Operations Management, 4th Edition,  2003 Prentice-Hall, Inc. All rights reserved.
Design for Assembly (DFA)
 Procedure for reducing the
number of parts
 Evaluate methods for
assembly
 Determine the
sequence of assembly
operations
DFMA software focuses on the effect of design
upon assembly, allows designers to examine
the integration of product designs before the
product is manufactured.
To Accompany Russell and Taylor, Operations Management, 4th Edition,  2003 Prentice-Hall, Inc. All rights reserved.
Design Review
 Failure Mode and Effects Analysis (FMEA)
A systematic approach for analyzing
causes & effects of failures
Prioritizes failures
Attempts to eliminate causes
 Fault Tree Analysis (FTA)
Study interrelationship between failures
 Value Analysis (VA)
Fault Tree for Potato Chips
FMEA for Potato Chips
FAILURE
MODE
CAUSE OF FAILURE
EFFECT OF FAILURE
CORRECTIVE ACTION
Stale
Low moisture
content, expired shelf
life, poor packaging
Tastes bad, won’t
crunch, thrown out,
lost sales
Add m cure longer,
better package seal,
shorter shelf life
Broken
Too thin, too brittle,
rough handling,
rough use, poor
packaging
Can’t dip, poor
display, injures
mouth, chocking,
perceived as old, lost
sales
Change recipe,
change process,
change packaging
Too Salty
Outdated receipt,
process not in
control, uneven
distribution of salt
Eat less, drink more,
health hazard, lost
sales
Experiment with
recipe, experiment
with process,
introduce low salt
version
Designing for the Customer:
Quality Function Deployment
(QFD)
 QFD is an approach that integrates the “voice of the
customer” into the product and service development
process. Translates customer preferences into
specific product characteristics
 Enables to design for the customer
 Cross functional teams are used
 Displays requirements in matrix diagrams
 First matrix called “house of quality”
 Series of connected houses
Quality Function Deployment
Process
Identify customer wants
Identify how the good/service will satisfy
customer wants
Relate customer wants to product hows
Identify relationships between the firm’s
hows
Develop importance ratings
Evaluate competing products
Importance
House of Quality
(1 of 6)
5
Correlation matrix
3
Design
requirements
1
4
2
Customer
requirements
Relationship
matrix
Competitive
assessment
6
Target values
House of Quality (2 of 6)
Competitive Assessment
Easy and
safe to use
Irons
well
Customer Requirements
1
2
3
B A
4
Presses quickly
9
Removes wrinkles
8
AB
X
Doesn’t stick to fabric
6
X
BA
Provides enough steam
8
AB
Doesn’t spot fabric
6
X AB
Doesn’t scorch fabric
9
A XB
Heats quickly
6
Automatic shut-off
3
Quick cool-down
3
X
Doesn’t break when dropped
5
AB
Doesn’t burn when touched
5
AB X
Not too heavy
8
X
X
5
X
B
X
A
ABX
A B
X
A
B
Irons
well
Presses quickly
-
Removes wrinkles
+
Doesn’t stick to fabric
-
Provides enough steam
+
+
+ +
-
-
+ - +
+
-
Automatic shut-off
+
Quick cool-down
Doesn’t break when dropped
-
- +
+ + +
Doesn’t burn when touched
Not too heavy
Automatic shutoff
+ +
+ + +
+ -
-
Protective cover for soleplate
+ + +
+
Heats quickly
Time to go from 450º to 100º
-
+
Doesn’t scorch fabric
Time required to reach 450º F
Flow of water from holes
Size of holes
Number of holes
- + + +
Doesn’t spot fabric
Easy and
safe to use
Material used in soleplate
Thickness of soleplate
Size of soleplate
Weight of iron
Customer Requirements
Energy needed to press
House of Quality (3 of 6)
+
+ -
-
- +
+
+
+ + +
-
Automatic shutoff
Protective cover for soleplate
Time to go from 450º to 100º
Time required to reach 450º
+
Flow of water from holes
-
Size of holes
-
Number of holes
Material used in soleplate
Thickness of soleplate
Size of soleplate
Weight of iron
Energy needed to press
House of Quality
(4 of 6)
+
+
Protective cover for soleplate
in.
cm
ty
ea
3
1.4
8x4
2
SS
27
15
0.5
45
500
N
Y
4
1.2
8x4
1
MG
27
15
0.3
35
350
N
Y
2
1.7
9x5
4
T
35
15
0.7
50
600
N
Y
3
4
4
4
5
4
3
2
5
5
3
0
3
3
3
3
4
3
3
3
4
4
5
2
1.2
8x5
3
SS
30
30
500
*
*
*
*
*
*
*
Automatic shutoff
Number of holes
Time to go from 450º to 100º
Material used in soleplate
Time required to reach 450º
Thickness of soleplate
lb
Flow of water from holes
Size of soleplate
ft-lb
Size of holes
Weight of iron
Objective
measures
Units of measure
Iron A
Iron B
Our Iron (X)
Estimated impact
Estimated cost
Targets
Design changes
(5 of 6)
Energy needed to press
House of Quality
mm oz/s sec sec Y/N Y/N
House of Quality (6 of 6)
To Accompany Russell and Taylor, Operations Management, 4th Edition,  2003 Prentice-Hall, Inc. All rights reserved.
House of Quality: Another Example
Correlation:
X
X
X
Water resistance
Accoust. Trans.
Window
Check force
on level
ground
Energy needed
to open door
Door seal
resistance
Customer
Requirements
Energy needed
to close door
Engineering
Characteristics
X
X
X
*
Strong positive
Positive
Negative
Strong negative
Competitive evaluation
X = Us
A = Comp. A
B = Comp. B
(5 is best)
1 2 3 4
Easy to close
7
X
Stays open on a hill
5
X AB
Easy to open
3
Doesn’t leak in rain
3
No road noise
Importance weighting
2
AB
XAB
A XB
X A
5
4
3
2
1
B
A
X
BA
X
B
A
X
B
X
A
BXA
3
Maintain
current level
2
Maintain
current level
9
Reduce energy
to 7.5 ft/lb.
6
Reduce force
to 9 lb.
6
Maintain
current level
Reduce energy
level to 7.5 ft/lb
10
Target values
Technical evaluation
(5 is best)
5
BA
X
Relationships:
Strong = 9
Medium = 3
Small = 1
B
Customer
requirements
information
forms the
basis for this
matrix, used
to translate
them into
operating or
engineering
goals.
Series of QFD Houses
Part
characteristics
Process
characteristics
A-2
Parts
deployment
Operations
A-3
Process
planning
Process
characteristics
House
of
quality
Part
characteristics
A-1
Product
characteristics
Customer
requirements
Product
characteristics
A-4
Operating
requirements
Benefits of QFD
 Promotes better understanding of customer
demands
 Promotes better understanding of design
interactions
 Involves manufacturing in the
design process
 Breaks down barriers between
functions and departments
 Provides documentation of
the design process
Technology in Design:
Computer Aided Design
(CAD)
• Designing products at
a computer terminal
or work station
– Design engineer
develops rough
sketch of product
– Uses computer to
draw product
• Often used with CAM
© 1995 Corel Corp.
Technology in Design
 CAD - Computer Aided Design
 Assists in creating and
modifying designs
 CAE - Computer Aided
Engineering
 Tests & analyzes designs
on computer screen
 CAM refers to the use of specialized
computer
programs to direct and control manufacturing
equipment
 CAD/CAM - Design & Manufacturing
 Automatically converts CAD data into processing
instructions for computer controlled equipment
Benefits of CAD









Produces better designs faster
Allows more time for designers to work on creative projects
Reduces costs and increases product quality
Builds database of designs and creates documentation to
support them
Shortens time to market
Reduces time to manufacture
Enlarges design possibilities
Enhances communication and promotes innovation in
design teams
Provides possibility of engineering and cost analysis on
proposed designs
Design for Robustness
 Product can fail due to poor design quality
 Products subjected to many conditions
 Robust Design results in products or services that can
function over a broad range of conditions
 A robust product is to be designed that is insensitive to
environmental factors either in manufacturing or in use
 Product is designed so that small variations in production
or assembly do not adversely affect the product
 Design products for consistent performance
 Robust design studies
• Controllable factors - under designer’s control
• Uncontrollable factors - from user or environment
 Central feature is parameter design
Consistency is Important
 Consistent errors are easier to correct
than random errors
 Parts within tolerances
may yield assemblies
which aren’t
 Consumers prefer
product characteristics
near their ideal values
Collaborative Product
Commerce
 Share and work on design files in real
time from physically separate locations,
typically over the internet
 Accelerates product development
 Helps resolve product launch issues
 Improves the quality of design
The Kano Model
Customer Satisfaction
Kano Model
Excitement
Expected
Must Have
Customer Needs
Metrics for Design Quality (1 of 2)
1. Percent of revenue from new products
or services
2. Percent of products capturing 50% or
more of the market
3. Percent of process initiatives yielding a
50% or more improvement in
effectiveness
4. Percent of suppliers engaged in
collaborative design
To Accompany Russell and Taylor, Operations Management, 4th Edition,  2003 Prentice-Hall, Inc. All rights reserved.
Metrics for Design Quality (2 of 2)
5. Percent of parts that can be recycled
6. Percent of parts used in multiple
products
7. Average number of components per
product
8. Percent of parts with no engineering
change orders
9. Things gone wrong
To Accompany Russell and Taylor, Operations Management, 4th Edition,  2003 Prentice-Hall, Inc. All rights reserved.
Global Product Design
Virtual teams
Uses combined efforts of a team of designers
working in different countries
Provides a range of comparative advantages
over traditional teams such as:
Engaging the best human resources around the world
Possibly operating on a 24-hr basis
Global customer needs assessment
Global design can increase marketability
Design Guidelines (1 of 2)
 Produce designs that are consistent with the goals
of the company
 Take into account the operations capabilities of the
organization in order to achieve designs that fit with
those capabilities
 Take into account the cultural differences related to
product design (for multinationals)
 Give customers the value they expect
 Make health and safety a primary concern
 Consider potential harm to the environment
Design Quidelines (2 of 2)
• Increased emphasis on components
commonality
• Package products and services
• Use multiple-use platforms
• Consider tactics for mass customization
• Look for continual improvement
• Shorten time to market