1. Fast Concept Development for Products and Services
Prof. Dr. Utz Dornberger
HCMC, 2012

2. Methodology for products
Step
Guiding Question
Tools 1
In which product and for which customer you want to innovate?
Portfolio Analisis
Customer Profile /Personas 2
In which part/element of the product you want to innovate
Quality Function Deployment
Product Clinic 3
How you want to innovate?
Creativity Techniques
Idea Evaluation and Selection 4
How is the concept of the new product?
Kano Model
Functional Analisis
Target Costing

3. The concept of Product Clinic
The concept of Product Clinic is based upon an analysis of own and competitive products and the utilization of the gained findings for innovations.
Within the Product Clinic, finished products or well-elaborated prototypes will be compared among each other and with competitive solutions. In a small user group a comparative evaluation and practical test of the different products will be carried out.
The teams of the Product Clinics are composed in a manner that the complete process chain from product determination and construction over service up to recycling will be covered.

4. Procedure of a Product Clinic
Experts
Competitor A
Product
new
products
Synthesis
for a
system
optimum
Identification of
best-solutions on
component-level
and sub-function
level
Competitor B
Products
new
processes
Systematic
analysis
Competitor C
Products
new
structures
Competitor D
Products
new
supplier
Top clients

5. Summary - Product Clinic
The Product Clinic can be seen as a concept for a institutionalized learning place, providing the following aspects:
Analysis of products
Synthesis of best-solutions of single characteristics and/or functions to new
products
Learning on the concrete products in a workshop environment
Development of a new product design on the basis of competitor learning
Increase of customer benefits through specific improvement measures for
new products

6. What is QFD? QFD helps answering following questions:
Quality function deployment (QFD) is a flexible and comprehensive technique for assuring quality and customer satisfaction, especially in the development of new products and services
QFD helps answering following questions:
What are the qualities that our customer expects?
What functions must our product/service provide?
In which way do we have to deploy our resources, so that we can provide our customers what they want?

7. Focus of QFD
The focus of QFD remains on critical characteristics of products and services (both new and existent ones)
Different viewpoints are taken independently into account:
Costumers (Voice of the Costumer)
Market information
Inner organization
Technological development needs
Results are structured in graphs and matrices, which bring transparency and visibility to the development of future products and services
This technique is also ideal for identifying differentiating competitive advantages, which are the pre-stage of every marketing strategy

8. QFD How does QFD work? Input Output Prioritized development targets
Quality function deployment (QFD) translates a set of consumer requirements, market research and technical benchmarking data into an appropriate number of prioritized engineering targets to be met by a new product/service.
Input
Consumer requirements
Output
Market
research
Prioritized development targets
QFD
Technical
benchmarking
Internal
discussion

9. QFD Process Client’s identification Client’s requirements
Requirements’ prioritization
Product
Specifications
Matching the client’s
requirements with the
service specifications
Bench-
marking
Prioritization and goals of the new service characteristics
to be developed 9

10. How can these technical attributes be granted?
“House of quality”
The “house of quality” links
Customer requirements (What)
Technical product specification (How)
Target values (Why)
Competitive Performance (How Much)
How can these technical attributes be granted?
Conflicts?
What does the customer want/expect?
Why are certain technical attributes necessary?
How much technical attributes are necessary?

12. Methodology for service processes
Step
Guiding Question
Tools 1
In which service process and for which customer you want to innovate?
Portfolio Analisis
Customer Profile /Personas 2
In which part/step of the service process you want to innovate
Service Blueprinting
Failure Mode and Effect Analsis 3
How you want to innovate?
Creativity Techniques
Idea Evaluation and Selection 4
How is the concept of the new service?
Process Modelling & Simulation
Resource Model

13. Process model
Service Blueprinting
It is used both in the planning and in the improvement procedures of services
It allows to define the different contact points between the service provider and the client
It allows to identify which process are visible for the client and which do not
The process diagram of a service provision must be represented in a continuous way (“service production line”)
Employees from all departments must be taken into account
Caso de micro empresas el dueño conoce muz bien proceso de prestación del servicio

14. Structure: Service Blueprinting
Process model
Structure: Service Blueprinting
Client
Processes that are done by the client
Interaction line
Service
Processes that are done by the service provider with the intervention of the client
Visibility Line
Processes that are done by the service provider, which are invisible to the client

15. Example Client Service
Process model
Example
Client No
Client calls the technician
New contact with the client
The End No
Client describes the problem
Machine working?
Reparation desired by the client
Yes No
Client approves new appointment
Client describes the problem
Client
at home?
Yes
Yes
Service
New appointment
Technician arrives to new appointment
Technician arrives to the clients
Technician defines an appointment
Problem Identification
Reparation’s budget
Possible to repair? No
Technician describes the problem
Technician checks the machine
Technician repairs the machine
Technician prepares invoice
Si simplemente se hace la cita impide que el reparador vaya preparado
Yes
Preparation and order of the parts
File

16. Service Quality Is a goal of 99.9% good enough?
1 hour of unsafe drinking water every month
2 unsafe plane landings per day at O’Hare Airport in Chicago
16,000 pieces of mail lost by the U.S. Post Office every hour.

17. Failure Mode and Effect Analysis - FMEA
FMEA is a prevention technique ensuring that failures are unlikely to occur
Identify potential or known failure modes
Helps to identify the most critical and likely failures in a new or existing process
Determine “Effects” of The Failure Mode
Severity Rating
Develop and
Drive
Action Plan
Determine Process Functions
Determine Failure Modes of Function
Determine “Causes” of the Failure Mode
Occurrence Rating
Determine
“Controls”
Detection Rating
Calculate &
Assess Risk

18. Potential Failure Mode Potential Failure Effects
The FMEA Worksheet
Process Step/Input
Potential Failure Mode
Potential Failure Effects
SEV
Potential Causes
OCC
Current Controls
DET
RPN
Actions Recommended
Resp.
What is the process step/ Input under investigation?
In what ways does the key input go wrong?
What is the impact on the key output variables (customer requirements) or internal requirements?
How severe is the effect to the customer?
What causes the key input to go wrong?
How often does cause or failure mode occur?
What are the existing controls that prevent either the cause or the failure mode?
How well can you detect the cause/failure before next step?
What are the actions for reducing the RPN.
Who is responsible for the recommended action?

19. FMEA Scoring - Severity
Severity of Effect
Rating
Extreme
May endanger machine or worker. Hazardous without warning 10
May endanger machine or worker. Hazardous with warning 9
High
Major disruption to service process. Loss of primary function. 8
Reduced primary function performance. Service requires correction or major Variance. 7
Moderate
Medium disruption of service process. Possible scrap. Loss of secondary function performance. Requires repair or Minor Variance. 6
Minor disruption of service process. Product must be repaired. Reduced secondary function performance. 5
Minor defect, product repaired or "Use-As-Is" disposition. 4
Low
Fit & Finish item. Minor defect, may be reprocessed on-line. 3
Minor Nonconformance, may be reprocessed on-line. 2
None
No effect 1

20. FMEA Scoring - Occurrence
Failure
Rate
Capability
Likelihood of Occurrence
Rating
(Cpk)
Very
High
1 in 2
< .33 10
Failure is almost inevitable
1 in 3
> .33 9
Process is not in statistical control.
1 in 8
> .51 8
High
Similar processes have experienced problems.
1 in 20
> .67 7
1 in 80
> .83 6
Process is in statistical control but with isolated failures.
Moderate
Previous processes have experienced occasional
1 in 400
> 1.00 5
failures or out-of-control conditions.
1 in 2000
> 1.17 4
Process is in statistical control.
1 in 15k
> 1.33 3
Low
Process is in statistical control. Only isolated
1 in 150k
> 1.50 2
failures associated with almost identical processes.
Failure is unlikely. No known failures associated
Remote
1 in 1.5M
> 1.67 1
with almost identical processes.

21. FMEA Scoring - Detection
Likelihood that control will detect failure
Rating
Very low
No known control(s) available to detect failure mode. 10
Low
Controls have a remote chance of detecting the failure. 9 8
Moderate
Controls may detect the existence of a failure 7 6 5
High
Controls have a good chance of detecting the existence of a failure 4 3
Very High
The process automatically detects failure. Controls will almost certainly detect the existence of a failure 2 1

22. FMEA Scoring - RPN or Risk Priority Number
Severity x Occurrence x Detection= RPN (Risk Priority Number)

23. International SEPT Program
Office: Beethovenstrasse 15,
D Leipzig
Germany
Web: