Course Name: Production Management Course Code: F010302TA Programme BBA Academic Session 2022-2025 Instructor(s) Somanath Pandith No. of Sessions Prerequisite 45 Course Outcomes: • CO1 - To describe the basic concepts of the Production Management and its evolution and process. • CO2 - To identify the different tool and technique in forecasting. • CO3 - To develop the understanding of product design, development and selection • CO4 - To analyze and understand the nature of production planning & Control • C05 - To utilize the conceptual understanding of location planning and importance of quality Management Unit III : Product Selection; (10 lecture hours) • Topics index 1. Definitions of Product Design and Development: 2. Need for Product Design and Development, 3. Origin of the Product Idea and Selection from Various Alternatives, 4. Choosing among Alternative Products, 5. Modifying the Existing Products, 6. Sources of Product 1. Definitions of Product Design and Development: 2. Need for Product Design and Development • Product Design Departments are usually concerned with • fundamental redesign of existing products • generation of new products • optimisation of existing products and keeping product documents up-to-date (Modifying of existing products) • The two first above mentioned issues are triggered by e.g. • strategic considerations (gap analysis, product life cycle,...) • changes in competition (cost pressure, market price decline,...) • economic changes (increasing affluence, economic cycles,...) • technological changes • political/legal and social change 3. Origin of the Product Idea and Selection from Various Alternatives • The origin of product idea generally is generally from below sources: - Supply chain based – Customers, Suppliers, Distributors, Employees & product service teams. - Competetor based – National & International competetors in the existing markets - Research based – Research & Development function, Purchase of patented technology • Parameters for selecting a product : Strategic - Meeting critical customer requirements - Manufacturing cost in line with targets - Expected market demand in line with business plan - Profitability & Return of investment in line with the company policy - Patented manufacturing process / technology ensuring demand - Product in Introduction or Maturity phases of product life cycle - Favourable long term government policies • Selection from Various Alternatives : Functional Following methodologies are used in evaluating product design alternatives: - Design for manufacturing (DFM) – The designing of products that are compatible with an organization capabilities. - Design for assembly – (DFA) – Design that focuses on reducing the number of parts in a product and on assembly methods and sequence. - Design for service (DFS)– The after sales service is simple & easy, the product can be easily service with minimum effort, time & money. Service interval / requirements are automatically indicated. - Recycling – (DFR)Recovering materials for future use, applying to manufactured parts & also materials used during production. - Remanufacturing & Design for disassembly (DFD)– Refurbishing used products by replacing worn out or defective components. - Design so that the used products can be easily taken apart. - Component commonality (Standardization) : Company with multiple products or services & product families. - High degree of similarity of features and components 4. Choosing among Alternative Products • The producs are selected after evaluating the below parameters: Summary - Fulfils cutomer requirements - Minimum the number of parts needed to manufacture an item / no. of steps to provide a service. - Simplified assembly or service. - Maximum standardisation possible - Minimum development time (time to market) - Minimum development cost 4. Difference between Product and Service design 1. Products are generally tangible; services are generally intangible. 2. Due to this, service design often focuses more on intangible factors (e.g., peace of mind, ambiance, comfort & convenience) than does product design. 3. In many instances services are created and delivered at the same time (e.g., a haircut, a car wash, train journey, car ride & flight travel). In such instances there is less options in finding and correcting errors before the customer has a chance to discover them. Due to this the key focus on training, process design, and customer relations are particularly important. 4. Services cannot be inventoried. This poses restrictions on flexibility and makes capacity design very important. 5. Services are highly visible to consumers and must be designed with that in mind; this adds an extra dimension to process design, one that usually is not present in product design. 6. Some services have low barriers to entry and exit. This places additional pressures on service design to be innovative and cost-effective. 7. Location is often important to service design, with convenience as a major factor. Hence, design of services and choice of location are often closely linked.
