1. DESIGN OF PRODUCTION SYSTEMS
PART THREE
DESIGN OF PRODUCTION SYSTEMS
Chapter Four
Product and Service Design
Chapter Five
Process Selection and Capacity Planning
Chapter Six
Facilities Layout
Chapter Seven
Design of Work Systems
Chapter Eight
Location Analysis
MTSU Management 362

2. Product and Service Design
Chapter 4
Product and Service Design

3. Reasons for Product or Service Design
Be competitive through the introduction of new products
Business growth & profits
Alternative to downsizing through the development of new products
MTSU Management 362

4. Motivation for Product or Service Redesign
Customer complaints/feedback
Accidents and injuries
Excessive warranty claims
Low demand
Improve quality
Reduce labor or materials costs
MTSU Management 362

5. Trends in Product & Service Design
Increased emphasis on or attention to
customer satisfaction
reducing time to introduce new product or service
reducing time to produce product
the organization’s capabilities to produce or deliver the item
environmental concerns
designing products & services that are “user friendly”
designing products that use less material
MTSU Management 362

6. Objectives of Product & Service Design
Satisfy the customer while making a reasonable profit
Other considerations include
development time and cost
product or service cost
product or service quality
design for operations
MTSU Management 362

7. Operations capabilities Forecasts
The Design Process
Motivation
Customer
Ideas
marketing
research &development
competitors
Operations capabilities
Forecasts
MTSU Management 362

8. Identifying New Product Opportunities
Factors influencing market opportunities
economic change
sociological and demographic change
technological change
political change
Other sources of changes and opportunities
market practices
professional standards
suppliers
distributors
MTSU Management 362

9. Product Development Stages
Ideas
Market requirements
Functional specifications
Product specifications
Design review
Test market
Introduction
MTSU Management 362
Success? 8

10. Example of How to Use the Competition
Reverse engineering is the
dismantling and inspecting of a competitor’s product to discover product improvements
MTSU Management 362

11. Impact of Design on Operations
Manufacturability is the ease of fabrication and/or assembly which is important for
cost
productivity
quality
MTSU Management 362

12. Regulations & Legal Considerations
Government and/or Industry Regulations
Product Liability - A manufacturer is liable for any injuries or damages caused by a faulty product
Uniform Commercial Code - Implied warranty of merchantability and fitness
MTSU Management 362

13. 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 achieves commercial applications.
Development converts results of applied research into commercial applications.
MTSU Management 362

14. Approaches to Product Design
Product Life Cycles
Manufacturing Design
Remanufacturing
Robust Design
Concurrent (Simultaneous)Engineering
Computer-Aided Design
Standardization/Modular Design
MTSU Management 362

15. Life Cycles of Products or Services
Figure 4-2
Life Cycles of Products or Services
Saturation
Maturity
Decline
Demand
Growth
Incubation
Time
MTSU Management 362

16. Manufacturing Design Considerations (1 of 2)
Design for manufacturing (DMF)
design compatible with operations capabilities
manufacturability - ease of fabrication and/or assembly which impacts cost, productivity and quality
Design for assembly (DFA)
reduce the number of parts in an assembly
assembly method and sequence
Design for recycling (DFR)
allows for dis-assembly of used products to recover components and material for reuse
MTSU Management 362

17. Manufacturing Design Considerations (2 of 2)
Design for remanufacturing
Removing some components from an old product and reusing them in new products
Reasons for remanufacturing
can be sold at a much reduced price
requires mostly unskilled and semi-skilled workers
becoming a requirement
Design for dis-assembly (DFD)
product can be easily taken apart
use fewer parts and less material
MTSU Management 362

18. Product performs as designed over a broad range of conditions
Robust Design
Product performs as designed over a broad range of conditions
Less likely to fail due to a change in the environment
A similar approach can be used for manufacturing processes
Taguchi’s approach involves determining the specifications that will result in a robust design
MTSU Management 362

19. Traditional “Over the Wall” Approach
New
Product
Design
Manufacturing
MTSU Management 362

20. Traditional “Over the Wall” Approach
New
Product
Issues/
Questions
Design
Manufacturing
MTSU Management 362

21. Concurrent Engineering Approach (1 of 3)
Concurrent engineering is the bringing together of design, marketing, accounting, manufacturing and other relevant personnel early in the design phase
Allows certain design
and development activities
to go on simultaneously
MTSU Management 362

22. Concurrent Engineering Approach (2 of 3)
Advantages
manufacturing able to identify operations capabilities and capacities
early opportunities to procure critical resources with long lead times
early consideration of technical feasibility of the design
emphasis on problem resolution, not conflict resolution
MTSU Management 362

23. Concurrent Engineering Approach (3 of 3)
Difficulties
long-standing existing boundaries can be difficult to overcome
there must be extra communication and flexibility
MTSU Management 362

24. Computer-Aided Design
Computer-Aided Design (CAD) is product design using computer graphics.
increases productivity of designers, 3 to 10 times
creates a database for manufacturing information on product specifications
provides possibility of engineering and cost analysis on proposed designs
MTSU Management 362

25. Standardization/Modular Design
Standardization is the extent to which there is absence of variety in a product, service, or process
Modular design is a form of standardization in which component parts are subdivided into modules that are easily replaced or interchanged
MTSU Management 362

26. Advantages of Standardization (1 of 2)
Fewer parts to deal with in inventory & manufacturing
Reduced training costs and time
More routine purchasing, handling, and inspection procedures
MTSU Management 362

27. 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.
MTSU Management 362

28. 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.
MTSU Management 362

29. Advantages of Modular Design
Allows
easier diagnosis and remedy of failures
easier repair and replacement
simplification of manufacturing and assembly
MTSU Management 362

30. Quality Function Deployment
A structured approach for integrating the “voice of the customer” into the product or service development process
Ensure that customer requirements are translated into technical terms related to the product or service
Based on a set of matrices
main QFD matrix
house of quality
MTSU Management 362

31. The Main QFD Matrix Technical requirements Customer requirements
Importance to
customer
Customer
requirements
Relationship
matrix
MTSU Management 362

32. The House of Quality Figure 4-7 Relationship matrix Correlation matrix
Design
requirements
Customer
require-
ments
Relationship
matrix
Competitive
assessment
Specifications or
target values
MTSU Management 362

33. House of Quality 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
MTSU Management 362

34. May be a criterion for the buyer May be a determinant of price
Reliability
A measure of the ability of a product to perform its intended function under a prescribed set of conditions (normal operating conditions)
May be a criterion for the buyer
May be a determinant of price
MTSU Management 362

35. Improving Product Reliability
Component design
Testing
Redundancy
Preventive maintenance procedures
User education
System design
MTSU Management 362

36. Differences between service design and product design
Overview of service design
Design guidelines
Service blueprinting
MTSU Management 362

37. Differences Between Service Design and Product Design
Products tangible; services intangible
Services created and delivered at the same time
Services cannot be inventoried
Services highly visible to customer
Some services have low barriers to entry and exit
Location often important to service design
MTSU Management 362

38. Goods-service spectrum
Figure 4-3
Steel production Automobile fabrication
House building Road construction
Dressmaking
Farming
Auto Repair
Appliance repair
Maid Service
Manual car wash
Teaching
Lawn mowing
Low service content
High goods content
High service content
Low goods content
Increasing
goods content
service content
Goods-service spectrum
MTSU Management 362

39. Service Variability & Customer Influence Service Design
Figure 4-4
Service Variability & Customer Influence Service Design
High
Moderate
Low
None
Telephone Purchase
Dept. Store Purchase
Customized Clothing
Internet Purchase
Variability
in Service
Requirements
Degree of Contact with Customer
MTSU Management 362

40. Have a single, unifying theme
Design Guidelines
Have a single, unifying theme
Make sure the system has capability to handle variability in demand
Include design features to ensure quality
Design system to be user friendly
MTSU Management 362

41. Establish boundaries for the and decide level of detail
Service Blueprinting
Establish boundaries for the and decide level of detail
Identify the steps involved and describe them
Prepare a flowchart of major steps
Identify potential failure points
Establish timeframe for execution, and an estimate of variability in processing time requirements
Analyze profitability
MTSU Management 362

42. Robodog Great Idea?
MTSU Management 362