1. Products and Services
To Accompany Russell and Taylor, Operations Management, 4th Edition,  2003 Prentice-Hall, Inc. All rights reserved.

2. Design of Products

3. Humor in Product Design
As the customer wanted it.
© T/Maker Co.
As Marketing interpreted it.
© T/Maker Co.
As Operations made it.
© T/Maker Co.
As Engineering designed it.
© T/Maker Co.

4. 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
This slide provides an opportunity to introduce the complex nature of a product.
There are a number of examples one can discuss here: McDonald’s/ Burger King/Wendys (their product is more than hamburgers); your particular college or university; Microsoft; auto manufacturers.

5. 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

6. 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

7. 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

8. 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)
Ask students to identify products or companies which rely on each of these strategies.

9. 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?

10. 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

11. 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.

12. 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

13. 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

14. 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.

15. 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

16. 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

17. 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

18. Cost Reduction of a Bracket via Value Engineering (4 of 4)

19. 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.

20. 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

21. Recycle
Recycling: Reclaiming parts of unusable products for recycling (recovering materials for future use)
Reasons for recycling:
Cost savings
Environmental concerns
Environmental regulations

22. 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

23. 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

24. “Green Manufacturing”
Make products recyclable
Use recycled materials
Use less harmful ingredients
Use lighter components
Use less energy
Use less material

25. Benefits of Environmentally Friendly Designs
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

26. Design for Environment

27. Product Life Cycle, Sales, Cost, and Profit
Cost of
Development
& Manufacture
Sales Revenue
Sales, Cost & Profit .
Profit
Previous slides have related the product life cycle to various management issues. This is the first to relate it to cash flow.
Ask students for suggestions as to how one might eliminate the loss occurring toward the end of the product’s life cycle.
Cash flow
Loss
Time
Introduction
Growth
Maturity
Decline

28. 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

29. Product Life Cycle Growth
Product design begins to stabilize
Effective forecasting of capacity requirements becomes necessary
Adding or enhancing capacity may be necessary

30. 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

31. Product Life Cycle Decline
Overcapacity
Unless product makes a special contribution, must plan to terminate offering

32. Products in Various Stages of Life Cycle
Sales
Growth
Maturity
Decline
CD-ROM
Internet
Introduction
Jet Ski, fax machines
Boeing 727
3 ½ Floppy disks
Flat-screen monitors
Time

33. Product-by-Value Analysis
Lists products in descending order of their individual dollar contribution to the firm.
Helps management evaluate alternative strategies.

34. 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

35. Degree of Newness of a Product/Service
Modification of an existing product/service
Expansion of an existing product/service
Clone of a competitor’s product/service
New product/service

36. Degree of Design Change Newness of the organization
Type of Design Change
Newness of the organization
Newness to the market
Modification
Low
Expansion
Clone
High
New

37. Percent of Sales From New Product

38. Product Design Specifies materials Determines dimensions & tolerances
Defines appearance
Sets performance standards

39. Service Design Specifies what the customer is to experience
Physical items
Sensual benefits
Psychological benefits

40. 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

41. 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

42. 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

43. 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

44. 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

45. Few Successes 2000 1500 1000 500 Development Stage 1000 500 100
Number of
Ideas
1750
2000
Design review,
Testing, Introduction
Market requirement
1500
1000
Functional specifications
1000
500
Product specification
500
One success!
100 25
Development Stage

46. Stages in the Design Process
Idea Generation — Product Concept
Feasibility Study — Performance Specifications
Preliminary Design — Prototype
Final Design — Final Design Specifications
Process Planning — Manufacturing Specifications

47. New product or service launch Revising and testing prototypes
The Design Process
Pilot run
and final tests
New product or service launch
Final design
& process plans
Idea
generation
Feasibility
study
Product or service concept
Performance specifications
Functional
design
Form design
Production design
Revising and testing prototypes
Design specifications
Manufacturing or delivery specifications
Suppliers
R&D
Customers
Marketing
Competitors

48. 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

49. Reverse Engineering
Reverse engineering is the dismantling and inspecting of a competitor’s product to discover product improvements.

50. 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.

51. More Idea Generators Perceptual Maps Benchmarking Reverse engineering
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

52. Perceptual Map of Breakfast Cereals (1 of 2)
HIGH NUTRITION
LOW NUTRITION
GOOD TASTE
BAD TASTE

53. Perceptual Map of Breakfast Cereals (2 of 2)
HIGH NUTRITION
LOW NUTRITION
GOOD TASTE
Cocoa Puffs
BAD TASTE
Rice
Krispies
Wheaties
Cheerios
Shredded
Wheat

54. Step 2: Feasibility Study
Market Analysis
Economic Analysis
Technical / Strategic Analysis
Performance Specifications are written for product concepts that pass the feasibility study

55. Step 3: Preliminary Design
Create form & functional design
Build prototype
Test prototype
Revise prototype
Retest

56. 3.1. Form Design (How the Product Looks)
Cellular Personal Safety Alarm
Personal Computer

57. 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

58. Computing Reliability (1 of 4)
Components in series
0.90
0.90 x 0.90 = 0.81

59. Computing Reliability (2 of 4)
Components in series
0.90
0.90 x 0.90 = 0.81
Components in parallel
0.95
0.90 R2 R1
(1-0.95) = 0.995

60. Computing Reliability (3 of 4)
Determine the reliability of the system shown
.98
.90
.92
.95

61. Computing Reliability (4 of 4)
The system can be reduced to a series of three components
.98
(1-.90)
(1-.95)
.98 x .99 x .996 = .966

62. How to improve Reliability
Component design
Production/assembly techniques
Testing
Redundancy/backup
Preventive maintenance procedures
User education
System design

63. System Availability (1 of 4)
System Availability, SA =
MTBF
MTBF + MTTR

64. System Availability (2 of 4)
System Availability, SA =
MTBF
MTBF + MTTR
PROVIDER MTBF (HR) MTTR (HR) A B C

65. System Availability (3 of 4)
System Availability, SA =
MTBF
MTBF + MTTR
PROVIDER MTBF (HR) MTTR (HR) A B C
SAA = 60 / (60 + 4) = or 93.75%
SAB = 36 / (36 + 2) = or 97.26%
SAC = 24 / (24 + 1) = or 94.73%

66. System Availability (4 of 4)
System Availability, SA =
MTBF
MTBF + MTTR
PROVIDER MTBF (HR) MTTR (HR) A B C
SAA = 60 / (60 + 4) = or 93.75%
SAB = 36 / (36 + 2) = or 97.26%
SAC = 24 / (24 + 1) = or 94.73%

67. 3.3. Production Design Part of the preliminary design phase
Simplification
Standardization
Mass customization

68. 3.3.1. Design Simplification (1 of 3)
(a) The original design
Assembly using
common fasteners

69. 3.3.1. Design Simplification (2 of 3)
(b) Revised design
One-piece base & elimination of fasteners
(a) The original design
Assembly using
common fasteners

70. 3.3.1. Design Simplification (3 of 3)
(a) The original design
(b) Revised design
One-piece base & elimination of fasteners
(c) Final design
Design for push-and-snap
assembly
Assembly using
common fasteners

71. 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

72. 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

73. 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.

74. 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.

75. Mass Customization
Mass customization: A strategy of producing basically standardized goods or services, but incorporating some degree of customization by:
Delayed differentiation
Modular design

76. 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

77. 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

78. 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

79. 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

80. 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

81. 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”

82. “Over the Wall” Approach
Design
Mfg
New
Product

83. Breaking Down Barriers to Effective Design

84. Design Teams Marketing, manufacturing, engineering
Suppliers, dealers, customers
Lawyers, accountants, insurance companies

85. 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

86. Concurrent Design Improves quality of early design decisions
Scheduling and management can be complex as tasks are done in parallel

87. 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

88. 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

89. DFM Guidelines
Simplify products by reducing the number of separate parts
Minimize the number of parts, tools, fasteners, and assemblies
Use standard parts and repeatable processes
Design parts for many uses
Incorporate modularity in design
Design for ease of assembly, minimal handling
Allow for efficient testing and parts replacement

90. 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?

91. Design for Assembly (DFA)
Procedure for reducing the number of parts
Evaluate methods for assembly
Determine the sequence of assembly operations

92. DFMA software focuses on the effect of design upon assembly, allows designers to examine the integration of product designs before the product is manufactured.

93. 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)

94. Fault Tree for Potato Chips

95. FMEA for Potato Chips Stale
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

96. 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

97. 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

98. House of Quality (1 of 6) Correlation matrix Design requirements
Customer requirements
Target values
Relationship matrix
Competitive assessment
Importance 1 2 3 4 5 6

99. Competitive Assessment
House of Quality (2 of 6)
Irons well
Easy and safe to use
Competitive Assessment
Customer Requirements
Presses quickly 9 B A X
Removes wrinkles 8 AB X
Doesn’t stick to fabric 6 X BA
Provides enough steam AB X
Doesn’t spot fabric 6 X AB
Doesn’t scorch fabric 9 A XB
Heats quickly 6 X B A
Automatic shut-off ABX
Quick cool-down 3 X A B
Doesn’t break when dropped 5 AB X
Doesn’t burn when touched 5 AB X
Not too heavy 8 X A B

100. House of Quality (3 of 6) Customer Requirements
Time required to reach 450º F
Time to go from 450º to 100º
Protective cover for soleplate
Material used in soleplate
Flow of water from holes
Energy needed to press
Thickness of soleplate
Automatic shutoff
Size of soleplate
Number of holes
Weight of iron
Size of holes
Customer Requirements
Presses quickly
Removes wrinkles
Doesn’t stick to fabric
Provides enough steam
Doesn’t spot fabric
Doesn’t scorch fabric
Heats quickly
Automatic shut-off
Quick cool-down
Doesn’t break when dropped
Doesn’t burn when touched
Not too heavy
Irons well
Easy and safe to use

101. House of Quality (4 of 6) + - Protective cover for soleplate
Time to go from 450º to 100º
Time required to reach 450º
Material used in soleplate
Flow of water from holes
Energy needed to press
Thickness of soleplate
Automatic shutoff
Size of soleplate
Number of holes
Weight of iron
Size of holes - +

102. House of Quality (5 of 6)
Protective cover for soleplate
Time to go from 450º to 100º
Time required to reach 450º
Material used in soleplate
Flow of water from holes
Energy needed to press
Thickness of soleplate
Automatic shutoff
Size of soleplate
Number of holes
Weight of iron
Size of holes
Units of measure ft-lb lb in. cm ty ea mm oz/s sec sec Y/N Y/N
Iron A x4 2 SS N Y
Iron B x4 1 MG N Y
Our Iron (X) x5 4 T N Y
Estimated impact
Estimated cost
Targets x5 3 SS
Design changes * * * * * * *
Objective measures

103. House of Quality (6 of 6)

104. House of Quality: Another Example
Customer
Requirements
Importance to Cust.
Easy to close
Stays open on a hill
Easy to open
Doesn’t leak in rain
No road noise
Importance weighting
Engineering Characteristics
Energy needed
to close door
Check force on level ground
to open door
Water resistance 10 6 9 2 3 7 5 X
Correlation:
Strong positive
Positive
Negative
Strong negative *
Competitive evaluation
X = Us
A = Comp. A
B = Comp. B
(5 is best) AB
X AB
XAB
A X B
X A B
Relationships:
Strong = 9
Medium = 3
Small = 1
Target values
Reduce energy
level to 7.5 ft/lb
Reduce force
to 9 lb.
to 7.5 ft/lb.
current level
Maintain
Technical evaluation 4 1 A BA
BXA
Door seal
resistance
Accoust. Trans.
Window
Customer requirements information forms the basis for this matrix, used to translate them into operating or engineering goals.

105. Series of QFD Houses A-1 A-2 A-3 A-4 House of quality Parts deployment
Customer requirements
House of quality
Product characteristics
A-1
Parts deployment
Part characteristics
A-2
Process planning
Process characteristics
A-3
Operating requirements
Operations
A-4

106. 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

107. 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.

108. 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

109. 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

110. 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

111. 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

112. 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

113. The Kano Model

114. Metrics for Design Quality (1 of 2)
Percent of revenue from new products or services
Percent of products capturing 50% or more of the market
Percent of process initiatives yielding a 50% or more improvement in effectiveness
Percent of suppliers engaged in collaborative design

115. Metrics for Design Quality (2 of 2)
Percent of parts that can be recycled
Percent of parts used in multiple products
Average number of components per product
Percent of parts with no engineering change orders
Things gone wrong

116. 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

117. 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

118. 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