Production Operations Management Product and Service Design U. Akinc Bus 241 1 Definitions Providing products and services is the means of achieving business objectives Design is critical for survival: – Ford’s Taurus – GM’s Saturn – Chrysler’s Minivan saved the US Auto industry in the 80s Bus 241 2 Product Design Product Design Specifies – Materials – Dimensions/tolerances – Appearance – Standards of Performance Bus 241 3 Service Design Service design specifies what – – – – Form Place Time Psychological utility will be offered to the customer Bus 241 4 Design and Competitive Priorities Product and Service design impacts all competitive priorities: Most notably – Quality of performance – Quality of conformance – Price – Customer service – Delivery speed Bus 241 5 Design Process An inter-functional activity cutting across departmental boundaries – – – – – Marketing Manufacturing Research and development Engineering post-it story Purchasing Bus 241 6 Sequential Design Process Customer: Product Concept Marketing: Performance Specifications Design Engineering: Design Specifications Manufacturing engineering: Mfg. specs and Process Design Bus 241 7 Concurrent Design Process A new approach to design that involves the simultaneous design of products and processes by inter-functional design teams. Essential members of the team: – Marketing – Manufacturing (operations) – Engineering Bus 241 8 Bus 241 9 Concurrent vs. Sequential Design Process Sequential Prod design design Process design Prototype/Ramp-up Concurrent Design Prod design Process design Prototype/Ramp-up Bus 241 10 Quality Function Deployment 1. Customer requirements 2. Competitive assessment 3. Technical requirements 4. Relationships 5. Trade-off matrix 6. Technical assessment/Design targets Bus 241 11 QFD Example Bus 241 12 Design for manufacture (DFM) Designing a product so it can be produced easily and economically Some guidelines: – – – – – minimum number of parts Modular Design Parts with multiple use Standard parts when possible avoid fasteners Bus 241 13 DFM Example Bus 241 14 Design Process Bus 241 15 Idea generation Customers (Sophisticated, exacting, demanding) Competitors – Benchmarking, – Reverse engineering R & D (Technology Driven) Marketing Bus 241 16 Feasibility Study Market analysis Economic Analysis Costs vs. expected revenues over the life cycle Technological and Strategic analysis – – – – New technology? Investments/Risks Competition with other company products Consistent with corporate strengths? Bus 241 17 Preliminary Design Performance Specs are translated into technical Specs Form design Functional design – Performance Standards – Reliability – Maintainability Bus 241 18 Final Design and Process Planning Final Drawings and specifications – Prototyping – Technical testing Convert designs into workable production steps, – Equipment – Tooling – Make or Buy decisions Bus 241 19 Product Variety Projects Identifiable Flow Pattern Job Shop Batch Assembly Line Continuous Process Bus 241 20