Chapter 3
Products and
Services
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Product Design
Specifies materials
Determines
dimensions &
tolerances
Defines appearance
Sets performance
standards
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Service Design
Specifies what the customer is
to experience
Physical items
Sensual benefits
Psychological
benefits
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An Effective Design
Process
Matches product/service
characteristics with customer needs
Meets customer requirements in
simplest, most cost-effective manner
Reduces time to market
Minimizes revisions
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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
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The Design Process
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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
Manufacturing
or delivery
specifications
Pilot run
and final tests
Figure 3.1
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Idea Generation
Suppliers, distributors, salespersons
Trade journals and other published
material
Warranty claims, customer
complaints, failures
Customer surveys, focus
groups, interviews
Field testing, trial users
Research and development
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More Idea Generators
Perceptual Maps
Visual comparison of
customer perceptions
Benchmarking
Comparing product/service
against best-in-class
Reverse engineering
Dismantling competitor’s product to improve
your own product
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Perceptual Map of
Breakfast Cereals
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Perceptual Map of
Breakfast Cereals
GOOD
TASTE
LOW
NUTRITION
Figure 3.2
HIGH
NUTRITION
BAD
TASTE
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Perceptual Map of
Breakfast Cereals
GOOD
TASTE
Cocoa Puffs
LOW
NUTRITION
HIGH
NUTRITION
Rice
Krispies
Cheerios
Wheaties
Shredded
Wheat
Figure 3.2
BAD
TASTE
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Feasibility Study
Market
Analysis
Economic
Analysis
Technical / Strategic Analysis
Performance Specifications
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Preliminary Design
Create form & functional design
Build prototype
Test prototype
Revise prototype
Retest
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Form Design
(How the Product Looks)
Cellular Personal
Safety Alarm
Personal Computer
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Functional Design
(How the Product Performs)
Reliability
Probability product performs intended
function for specified length of time
Maintainability
Ease and/or cost or
maintaining/repairing product
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Computing Reliability
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Computing Reliability
Components in series
0.90
0.90
0.90 x 0.90 = 0.81
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Computing Reliability
Components in series
0.90
0.90
0.90 x 0.90 = 0.81
Components in parallel
0.90
R2
0.95 + 0.90(1-0.95) = 0.995
0.95
R1
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System Availability
MTBF
System Availability, SA =
MTBF + MTTR
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System Availability
MTBF
System Availability, SA =
MTBF + MTTR
PROVIDER
MTBF (HR)
MTTR (HR)
A
B
C
60
36
24
4.0
2.0
1.0
Example 3.1
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System Availability
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%
Example 3.1
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System Availability
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%
Example 3.1
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Production Design
Part of the preliminary
design phase
Simplification
Standardization
Modularity
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Design Simplification
(a) The original design
Assembly using
common fasteners
Figure 3.3
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Design Simplification
(a) The original design
(b) Revised design
Assembly using
common fasteners
One-piece base &
elimination of
fasteners
Figure 3.3
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Design Simplification
(a) The original design
(b) Revised design
(c) Final design
Assembly using
common fasteners
One-piece base &
elimination of
fasteners
Design for
push-and-snap
assembly
Figure 3.3
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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
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Improving the Design
Process
Design teams
Concurrent design
Design for manufacture & assembly
Design to prevent failures and ensure value
Design for environment
Measure design quality
Utilize quality function deployment
Design for robustness
Engage in collaborative design
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Figure 3.4 Breaking Down Barriers
to Effective Design
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Design Teams
Marketing, manufacturing,
engineering
Suppliers, dealers,
customers
Lawyers, accountants,
insurance companies
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Concurrent Design
Improves quality of early design
decisions
Decentralized - suppliers complete
detailed design
Incorporates production process
Often uses a price-minus system
Scheduling and management can be
complex as tasks are done in parallel
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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
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Design for
Manufacture and Assembly
Design a product for easy
& economical production
Incorporate production
design early in the design phase
Improves quality and reduces costs
Shortens time to design and
manufacture
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DFM Guidelines
1. Minimize the number of parts, tools,
fasteners, and assemblies
2. Use standard parts and repeatable
processes
3. Modular design
4. Design for ease of assembly, minimal
handling
5. Allow for efficient testing and parts
replacement
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Design for Assembly
(DFA)
Procedure for reducing
number of parts
Evaluate methods for
assembly
Determine assembly
sequence
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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
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Figure 3.5 Fault Tree for
Potato Chips
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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
Table 3.1
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Value Analysis
(Value Engineering)
Ratio of value / cost
Assessment of value :
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?
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Design for Environment
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
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Figure 3.6 Design for Environment
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Metrics for Design Quality
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
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Metrics for Design Quality
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
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Quality Function
Deployment (QFD)
Translates the “voice of the
customer” into technical design
requirements
Displays requirements in matrix
diagrams
First matrix called “house of quality”
Series of connected houses
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House of Quality
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Importance
House of Quality
5
Trade-off matrix
3
Design
characteristics
1
4
2
Customer
requirements
Relationship
matrix
Competitive
assessment
6
Target values
Figure 3.7
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House of Quality
Figure 3.8
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
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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
Customer Requirements
Weight of iron
Figure 3.9
Energy needed to press
House of Quality
+
+ -
-
- +
+
+
+ + +
-
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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
Figure 3.10
+
+
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Protective cover for soleplate
Time to go from 450º to 100º
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 required to reach 450º
Material used in soleplate
lb
Flow of water from holes
Thickness of soleplate
ft-lb
Size of holes
Size of soleplate
Objective
measures
Units of measure
Iron A
Iron B
Our Iron (X)
Estimated impact
Estimated cost
Targets
Design changes
Weight of iron
Figure 3.11
Energy needed to press
House of Quality
mm oz/s sec sec Y/N Y/N
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House of Quality
Figure 3.12
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Series of QFD Houses
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Series of QFD Houses
Part
characteristics
Process
characteristics
A-2
Parts
deployment
Process
planning
Figure 3.13
Operations
A-3
Process
characteristics
House
of
quality
Part
characteristics
A-1
Product
characteristics
Customer
requirements
Product
characteristics
A-4
Operating
requirements
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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
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Design for Robustness
Product can fail due to poor design
quality
Products subjected to many conditions
Robust design studies
Controllable factors - under designer’s
control
Uncontrollable factors - from user or
environment
Designs products for consistent
performance
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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
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Technology in Design
CAD - Computer Aided Design
Assists in creating and
modifying designs
CAE - Computer Aided
Engineering
Tests & analyzes designs
on computer screen
CAD/CAM - Design & Manufacturing
Automatically converts CAD data into
processing instructions for computer
controlled equipment
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Benefits of CAD
Produces better designs faster
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
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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
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Characteristics of Services
1.
2.
3.
4.
5.
6.
Services are intangible
Service output is variable
Service have higher customer contact
Services are perishable
Service inseparable from delivery
Tend to be decentralized and
dispersed
7. Consumed more often than products
8. Services can be easily emulated
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A Well-Designed
Service System is
Consistent with firm’s strategic focus
User friendly
FedEx
Robust
Easy to sustain
Effectively linked
between front & back office
Cost effective
Visible to customer
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The Service Design Process
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The Service Design Process
Desired service
experience
Service Concept
Service Package
Targeted
customer
Physical
items
Sensual
benefits
Psychological
benefits
Performance Specifications
Customer
requirements
Customer
expectations
Design Specifications
Customer
Activities
Facility
Provider
skills
Service
Provider
Cost and time
estimates
Delivery Specifications
Schedule
Figure 3.14
Deliverables
Location
Service
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Figure 3.15 Blueprint for an Installment Lending Operation
Loan
application
Branch
Officer
30 min. – 1 hr.
Pay book
W
W
Line of visibility
Receive
payment
Notify
customer
Decline
Deny
Final
payment
Issue
check
Confirm
Print
payment
book
Delinquent
F
F
Verify
income
data
Credit
check
F
Employer
2 days
Credit
bureau
Close
account
F
3 days
Confirm
1 day
Initial
screening
Accept
Verify
payor
Branch
records
F
Bank
accounts
Accounting
Data base
records
F
Fail point
W
Customer wait
Employee decision
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Design for High-Contact
Services
DESIGN DECISION
HIGH-CONTACT SERVICE
LOW-CONTACT SERVICE
Facility location
Convenient to customer
Near labor or
transportation
Facility layout
Must look presentable,
accommodate customer
needs, and facilitate
interaction with customer
Designed for efficiency
Quality control
More variable since customer
is involved in process;
customer expectations and
perceptions of quality may
differ; customer present when
defects occur
Measured against
established standards;
testing and rework
possible to correct defects
Capacity
Excess capacity required to
handle peaks in demand
Planned for average
demand
Table 3.2
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Design for High-Contact
Services
DESIGN DECISION
HIGH-CONTACT SERVICE
LOW-CONTACT SERVICE
Worker skills
Must be able to interact well
with customers and use
judgment in decision making
Technical skills
Scheduling
Must accommodate customer
schedule
Customer concerned only
with completion date
Service process
Mostly front-room activities;
service may change during
delivery in response to
customer
Mostly back-room
activities; planned and
executed with minimal
interference
Service package
Varies with customer; includes Fixed, less extensive
environment as well as actual
service
Table 3.2
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