Lecture #1 – Total Quality Development
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Global Economy
o Definition: The interconnected worldwide economic activities that take place
between multiple countries.
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Global Market
o Definition: The exchange of goods and services between different countries of the
world.
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The explosive growth of the online economy is forcing businesses of all
sizes to compete in a global market.
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Determinants of Market Share & Profitability of an Organization:
o Unit cost
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To remain competitive on the global market companies must deliver
products to customers at the minimum possible cost.
o Quality
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To remain competitive on the global market companies must deliver
products to customers with the best possible quality.
o Manufacturing lead time

To remain competitive on the global market companies must deliver
products to customers with the minimum lead time starting from the
product conception stage to final delivery.
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Total quality development
o Definition: The modern way of developing new products that will be competitive
in the global economy.
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It is a concurrent engineering strategy.
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It combines:
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The best engineering.
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The best management.
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The best teamwork.
The resulting improvements are:
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Greatly reduced development time.
Lecture #1 – Total Quality Development
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Reduction in all costs.
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Higher quality.
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Increased product variety.
Quality
o Definition: The overall level of product excellence
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Development
o Definition: The process of concept creation
o New technological concepts are created by combining:
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The knowledge of ENGINEERING SCIENCE
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The study of physics and materials
The TECHNOLOGICAL INSIGHTS
Engineering fundamentals that enable the creation of new technological concepts:
o Education: To be able to rearrange physics, chemistry and materials, a sound
grounding in the engineering sciences is required
o Experience: We cannot invent a new mechanism if we have never seen a
mechanism
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Examples:
o Steam Engine vs Internal Combustion Engine
o Fixed wing vs Rotary Wing vs Tiltrotor
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Incremental Innovation
o Small changes
o Short cycle time
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Disruptive Innovation
o Large changes
o Long cycle time
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Hierarchy of Imagination
o Imagination:
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Completely unrestrained
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Pure and unapplied
Lecture #1 – Total Quality Development
o Creativity:
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Rubbing together two good ideas
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Bounded applied imagination
o Problem Solving:
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Creativity that is constrained by reality
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“Street smarts”
o Reflex
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Instinctive and immediate reaction to environment
TQD Disciplines That Make the Difference Between Success and Failure Products
o The responsiveness to customer needs.
o The viability of the core concepts and the concept selection.
o The robustness of the functional quality.
o The producibility and maintainability of the design.
o The economical precision of their production.
o The success of integration into the total system
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Amazon, Apple, Google, Tesla
o The effective and beneficial reusability.
o Problem prevention.
o Teamwork.
o Good management.
o The strategic coherence and strategic impact.
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Weakness in product development
o Failures of Cooperation.
o Lack of awareness that the brilliant results are often answers to the wrong
questions.
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10 Cash Drains of Traditional Product Development
o Cash Drain 1: Technology Push, but Where is the Pull?
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Clever technology is developed that does not satisfy any significant
customer need
Lecture #1 – Total Quality Development
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Draining money into developing non-essential customer needs
There are strong customer needs for which technology generation
activities are lacking.
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Draining money by developing a new technology during the
concept design of a specific new product.
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Good concepts are developed for which there are clear customer needs,
but the new technological concepts are inadequately transferred into the
development of a specific product.
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Technology must be responsive to the customer and effectively
implemented in products.
o Cash Drain 2: Disregard for the Voice of the Customer
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Listening to the voices of corporate specialists, rather than the voice of the
customer.
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Wrong concept selection criteria often cause the voice of the customer to
be largely lost or distorted.
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High commitment to the voice of the customer is a key factor in product
success.
o Cash Drain 3: The EUREKA Concept
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Serious consideration is given to only one concept, initially considered to
be great.
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All too often it does not stand the test of time.
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Please Remember: Concepts should stand the test of competitive
evaluation before a company bets a new product on them.
o Cash Drain 4: Pretend Design
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Serious consideration is given to only one concept, initially considered to
be great.
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Pretend designs are:
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New and different, but not better
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Not production-intent designs.
Lecture #1 – Total Quality Development
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Its objective is the building of prototypes, rather than the achievement of
the best possible design that the factory can produce for the marketplace.
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Producibility and competitive superiority must be designed in from the
beginning.
o Cash Drain 5: Pampered Product
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To pamper the product to make it look good under some particular
operating condition.
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Buick Enclave had great mileage but the transmission suffered.
The product is not seriously challenged, but rather is pampered by special
tuning and tinkering so that it puts on a good demonstration. ??
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Lack of robust functionality.
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Good performance over a wide range of conditions.
A systematic optimization process is required to achieve robust
performance by finding the best values for the critical design parameters.
o Cash Drain 6: Hardware Swamps
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Prototype iterations are so numerous and overlapping in time that the
entire team becomes swamped by the chores of debugging and
maintaining the experimental hardware.
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The hardware swamp becomes so severe that no time remains to improve
the design.
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Early optimization of robust functionality avoids the excessive numbers of
prototypes and thus prevents the occurrence of hardware swamps.
o Cash Drain 7: Here is the Product. Where is the factory?
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The product has been developed to an almost final stage before anyone
looks at how it may be produced.
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It is not a design if we do not know how to make it
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The production capability and the product design must be developed
concurrently and in close coordination.
Lecture #1 – Total Quality Development
o Cash Drain 8: We’ve Always Made It This Way, And it Works!
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Has the production capability been optimized to achieve minimum cycle
time and maximum quality?
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The values of the process parameters in numerically controlled (NC)
production machine tools (speeds, depths of cuts, feed rates, pressures,
temperatures) have been fixed for a very long time.
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The critical processes must be permanently optimized to achieve customer
satisfaction, and to increase throughput.
o Cash Drain 9: Inspection
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Inspection is the factory means of sorting the good from the bad after the
completion of production.
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A poor process for most products.
Eliminate the need for inspection on a mass basis by building quality into
the product in the first place.
o Cash Drain 10: Give Me My Targets, Let Me Do My Thing
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Targets seem good. However, they tend to limit improvement.
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The allocation of targets down to a detailed level tends to destroy
teamwork.
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Writing “contracts” so that each person or group can work in isolation may
seem attractive. However, it leads to subsystems that cannot be integrated
and products that cannot be produced.
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Overspecialization has led to poor definitions of the many design tasks.
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Often the tasks are done very well according to the definition, but the
definitions are not compatible and are not sufficiently directed towards
customer satisfaction and the business needs of the corporation.
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Example: Steve Jobs seems to have brilliantly overcome these
weaknesses within Apple.
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Teamwork and better management practices are needed