Recap
Chapter 4 and Chapter 7
CHAPTER 4
What Does Product & Service Design
Do?
• Translate customer wants and needs into product
and service requirements
• Refine existing products and services
• Develop new products and services
• Formulate quality goals
• Formulate cost targets
• Construct and test prototypes
• Document specifications
• Translate product and service specifications into
process specifications
Idea Generation
• Supply chain-based
• Competitor-based
– Reverse engineering: Dismantling and inspecting a
competitor’s product to discover product
improvements
• Research-based
– Basic research
– Applied research
– Development
Design Considerations
• Legal Factors (Mandatory)
– Product liability: The responsibility a manufacturer has for any injuries or damages
caused by as faulty product
•
•
•
•
Ethics
Human Factors
Cultural Factors
Environmental Factors: sustainability
– 3R: reduce, reuse, recycle
• Life Stage
• Standardization
• Mass Customerization
– Delayed differentiation and Modular design
• Quality Function Deployment/The House of Quality
•
•
An approach that integrates the “voice of the customer” into both product
and service development
The purpose is to ensure that customer requirements are factored into every
aspect of the process
• Kano Model
– Basic quality
– Performance quality
– Excitement quality
Designing (products) for Production
1. Concurrent engineering
2. Computer-Assisted Design (CAD)
3. Production requirements
a. Design For Manufacturing (DFM)
b. Design For Assembly (DFA)
4. Component commonality
Reliability
• Reliability is expressed as a probability:
– (Single Component Reliability) The probability that
a part, or a single component works.
– The probability that the product or system will
function when activated
– The probability that the product or system will
function for a given length of time
What is this system’s reliability?
.85+(1-.85)*(.8+(1-.8)*.75)
.75
.80
.80
.70
.95
.85
.90
.95+(1-.95)*.8
1-((1-.75)*(1-.8)*(1-.85))
.99
.9925
.99*.9925*.97
.9531
.9+(1-.9)*.7
.97
Exponential Distribution
Exponential Distribution – Formula
P (no failure before T )  e T / MTBF
where
e  2.7183...
T  Length of service before failure
MTBF  Mean time between failures
Availability
• The fraction of time a piece of equipment is expected
to be available for operation
Availabili ty 
MTBF
MTBF  MTR
where
MTBF  Mean time between failures
MTR  Mean time to repair
CHAPTER 7
Quality of Work Life
• Important aspects of quality of work life:
– Working conditions
• Physical
• Psychological
– Compensation
• Time-based systems
• Output-based systems
– Incentive programs
• Knowledge-based systems
– Job Design
Behavioral Approaches to Job Design
• Job Enlargement
–
Giving a worker a larger portion of the total task
by horizontal loading
• Job Enrichment
–
Increasing responsibility for planning and
coordination tasks, by vertical loading
• Job Rotation
–
Workers periodically exchange jobs
Observed Time
x

OT 
i
n
where
OT  Observed time
x
i
 Sum of recorded times
n  Number of observatio ns
Normal Time

NT   x j  PR j

where
NT  Normal time
x j  Average time for element j
PR j  Performanc e rating for element j
Assumes that performance ratings are made on an elementby-element basis
Standard Time
ST  NT  AF
where
ST  Standard time
AF  Allowance factor
and
AFjob  1  A
AFday
1

1 A
A  Allowance percentage based on job time
A  Allowance percentage based on workday
• Suppose a worker can do k cycles per day.
ST
Example (from Problem Solving)
• Ahe worker’s time averaged 1.9 minutes per
cycle, and the worker was given a rating of
120 percent. Assuming an allowance factor of
12 percent of workday, determine the
standard time for this job.
• Solution:
ST = NT*AF=(1.9*120%)*(1/(1-12%))=2.59
RECALL FROM CHAPTER 1
Supply and Demand
Sales &
Marketing
Operations &
Supply Chains
Supply
>
Demand
Wasteful
Costly
Supply
<
Demand
Opportunity
Loss
Customer
Dissatisfaction
Supply
=
Demand
Ideal
4 Sources of Process Variation
• Variety of goods or services being offered
– The greater the variety of goods and services offered, the greater the
variation in production or service requirements.
• Structural variation in demand
– These are generally predictable (seasonal variation or seasonality, e.g.,
swimwear, warm clothes, Christmas, tourist seasons, school supplies).
– They are important for capacity planning
• Random variation
– Natural variation that is present in all processes (e.g., random demand
etc.). Generally, it cannot be influenced by managers.
• Assignable variation
– Variation that has identifiable sources. (e.g., defective inputs,
incorrect work methods, equipment etc.)
– This type of variation can be reduced, or eliminated, by analysis and
corrective action.
Case Study
• Apple Readies a Big Bet on Big-Screen Phones
• What design considerations have Apple put into their
new product?
–
–
–
–
–
Legal/ethical
Human factors
Cultural factors
Environmental factors
Standardization/Customerization
• How big is the bet?
– Quantity of the new products.