Product and Service Design

1
Product and Service Design

• Selected Slides from Jacobs et al, 9th Edition
• Operations and Supply Management
• Chapter 4
• Edited, Annotated and Supplemented by
• Peter Jurkat

2
4-2
Generic Product Development Process
Which of the other functions should be
represented on the multi-functional design team?
3
4-3
Variants/sub-processes of Generic Development
Process
4
Economic Analysis of Project Development Costs

• Using measurable factors to help determine
• Operational design and development decisions
• Go/no-go milestones
• Building a Base-Case Financial Model
• A financial model consisting of major cash flows
• Sensitivity Analysis for what if questions

• Base-Case Cost Elements
• Development cost design, testing, refinement
• Production ramp-up
• Marketing and support
• Production
• Sales Revenue
• Yearly period spreadsheet below modify for
  quarterly periods

See Ch04_DevelopmentBaseCaseMPJ.xls
5
Designing for the Customer
4-5
House of Quality
Ideal Customer Product

• Uses
• Multi-functional teams from marketing, design
  engineering, and manufacturing
• Voice of the customer
• House of quality

6
Designing for the Customer The House of Quality
for a Car Door
4-6
Starts with wants/importance, then hows/correlatio
ns, then calculate importance, then all others
No details given on how the Importance weights
were developed see following slides
Can also get importance weights by multiplying
customer importance by scale weights and adding

• The McGraw-Hill Companies, Inc., 2004

7
Quality Function Deployment

• Identify customer wants
• Identify how the good/service will satisfy
  customer wants
• Relate customer wants to product hows
• Identify relationships between the firms hows
• Develop importance ratings
• Evaluate competing products
• Compare performance to desirable technical
  attributes

See http//www.qfdonline.com/
8
QFD House of Quality
4
2
6
1
3
5
7
8
May need to iterate through these several times
9
House of Quality Example
10
House of Quality Example
11
House of Quality Example
1
3
1
1
3
3
3
3
3
3
3
3
5
5
12
House of Quality Example
13
House of Quality Example
importance
relationship strength
1
1
3
1
3
3
3
3
3
3
3
3
5
5
Multiply importance X relationship strength and
add column products
14
House of Quality Example
G for Good, F for Fair, P for Poor
15
House of Quality Example
16
House of Quality Example
Completed House of Quality
Iterate until consensus is reached by panel.
Then make Hows the Wants in the next QFD
17
House of Quality Sequence
Deploying resources through the organization in
response to customer requirements
Figure 5.4
18
QFD Class Exercise

• Each team should have come with an idea for a new
  product or service design
• Pair with another team and interview them about
  What the customer wants from the product or
  service
• Complete QFDs House of Quality through two
  iterations
• Submit report in Session3 including
  considerations in the rest of this slide set

For further details and tools for QFD see QFD
Online
19
Designing for the Customer Value Analysis/Value
Engineering
4-19

• Achieve equivalent or better performance at a
  lower cost while maintaining all functional
  requirements defined by the customer
• Does the item have any design features that are
  not necessary?
• Can two or more parts be combined into one?
• How can we cut down the weight?
• Are there nonstandard parts that can be
  eliminated?

20
4-20
First Design
Value Engineered Design
21
Measuring Product Development Performance
4-21
Measures
Performance Dimension

• Freq. Of new products introduced
• Time to market introduction
• Number stated and number completed
• Actual versus plan
• Percentage of sales from new products

Time-to-market

• Engineering hours per project
• Cost of materials and tooling per project
• Actual versus plan

Productivity

• Conformance-reliability in use
• Design-performance and customer satisfaction
• Yield-factory and field

Quality