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PRODUCT DESIGN

PROCESS SELECTION

- Manufacturing

Prof. Suhas Rane.


Structuring your operations

How do you structure your entire


Operations ?
– No of Plants / Facilities
– Plant/ Facility Sizes & their locations
– Capacity of Plants
– Choice of Equipment
– Process Design / Technology
– Work Force Measurement
Structuring Operations (Contd.)
• Process Planning forms the basis for
» Plant Layout.
» Selection of Equipment , M/Cs.

• Choice of Process Design decides Operation


Strategy
– e.g. Small Economic Batches, Make to order, Product
Flexibility.

• Process Design and Product Design are Mutually


compatible.
Factors affecting
Process Design Decision
1. Nature of Demand
» PV Relationship
2. Degree of Vertical Integration
» More integration  Risk of Capital
Expense
3. Flexibility
– Product Flexibility
– Volume Flexibility
(Multi Skills Labour, Quick change-over)

4. Degree of Automation.
Reasons For Product or Service
Design
• Market opportunities and threats
• Following changes gives rise to market opportunities
and threats
– Economic
– Social and demographic
– Political, liability, or legal
– Competitive
– Cost or availability
– Technological

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Strategic Importance
• Products & service offerings must support
the company’s business strategy by
satisfying the target customers’ needs &
preferences

• If not, the company will lose its customer


base and its market position will erode

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Product Idea Mortality Curve
PRODUCT DESIGN

• Product Design is a Team Exercise,


involving :
Marketing
Manufacturing
R&D, Finance
Sales, Purchase

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Sequential Design

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Phases in Product Design and
Development
1. Idea generation
2. Feasibility analysis
3. Product specifications
4. Process specifications
5. Prototype development
6. Design review
7. Market test
8. Product introduction
9. Follow-up evaluation

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Product Life Cycle

• Concurrent Engineering Approach


• Cross Functional Teams

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Stages in a Product’s Life Cycle
• Introduction- Sales begin, production and
marketing are developing, profits are negative.
• Growth - sales grow dramatically, marketing
efforts intensify, capacity is expanded, profits
begin.
• Maturity - production focuses on high-volume,
efficiency, low costs; marketing focuses on
competitive sales promotion; profits are at peak.
• Decline - declining sales and profit; product
might be dropped or replaced.
Stages of a Product’s Life Cycle

Automobile

Video Recorder
Cell Phone
Compact Disc Player
Color Laser Printer
Fax Machine
Color Copier B&W TV

Introduction Growth Maturity Decline


Injecting New Blood
Design Concepts
• Design for Manufacturing (DFM)
Product design & Process Design are the key product cost drivers
Hence, take mfg process into account during DESIGN stage only.

• Design for Logistics (DFL)


Product & Process Design approaches must help to control logistics
cost and increase customer service levels.

• How to make DFL ?


Economic Packaging & Transportation ( IKEA furniture – DIY )

Concurrent & Parallel Processing:


Components of Assy. Product to be physically separated for
manufacturing parallely
Standardization:
Better forecasts possible for product family (rather than style).
Hence standardize on product or process Design
How to shorten INTRODUCTION phase?

• Concurrent Engg. (CE)

• Cross Functional Teams (CFT)


- Simultaneously developing Market concept,
Product Design, Mfg. Process
& Product Support Structure.
The Learning Curve Effect

100
90
Cost/Time per repetition

Cost
80
70
60
50
40
30
20
10
0 20 40 60 80 100
Number of repetitions (Volume)
Types of Processes

• Conversion
Iron ore + coal etc  Steel
Ingredient  Tooth Paste

• Fabrication
Sheet metal  Component
Gold  Tooth Crown

• Assembly
Different components  Car

• Testing
Not a fundamental process,
But as a stand alone activity
IMP. DOCUMENTS IN
PRODUCT / PROCESS DESIGNS.

1. DRAWINGS & SPECS.

2. BILL OF MATERIAL (BOM)

3. PROCESS CHART
Operations Sequence

Sub- Final
Desig Fabricat Stock as Pack &
Procure assembl assembl Test
n e Inventory Ship
e e
Ma nufacturin g En vi ronme nts

» Make to Stock ( MTS )

» Assemble to Order ( ATO)

» Make to Order ( MTO )

» Engineered to Order ( ETO )


Make to Stock ( MTS ) Environment

Sub- Final Stock as


Design Procure Fabricate Test Pack & Ship
assemble assemble Inventory

L.T.

Customer doesn’t have to wait


FG manufactured before Customer Order
He has a choice to select/ reject
Hence “ Pushing the Sale “ philosophy
Assemble to Order ( ATO ) Environment

Stock Assemble
Design Std. as per
Sub- Pack &
(Modular Procure Fabricate Modules Customer Test
assemble Ship
Product) as Selected
Inventory Modules

L. T.
Key components are planned & stocked in anticipation of Customer Order
CODP ignites the assembly of Customized Product
Make to Order ( MTO ) Environment

(Customer
Stock
design, if
component Pack
required) Sub- Final
Design Design & Fabricate Test &
Procedure assemble assemble
Standards Ship
(Componen
Parts
ts & RM)

L. T.

Goods & Services to be manufactured after receipt of customer order


Adv. – Customer gets more options , Manufacturer curtails inventory
Engineered to Order (ETO) Environment

Procure –
Unique Design Raw Mat, Sub- Final Pack &
or significant Fabricate Test
Std. Compnt assemble assemble Ship
customization)
etc.

L. T.

Highly customer focused environment requiring


Unique Design, Significant Customization
Types of Process Designs

1. Product focused

2. Process Focused

3. Group Technology /
Cellular Manufacture
1. Product Focused Design
Suitable for –
Exclusive product and high volume

• Discrete Unit Manufacture : TV, Fridge

• Process Industry: Cement, Paper, Steel.

 Features : Sp. Purpose M/cs


High initial investment,
but Low Unit Cost of production
2. Process focused Design
( Car Paint Shop, Fee Collection Centre)

• Suitable for small batches of variety of


products (flexibility)
• Mostly General Purpose facilities
• Requires more Skilled Labor
• Zig-Zag movement of product
1. Group Technology /
Cellular Manufacture

• Consists of Cells
• A Cell consists of dissimilar machines.
• Each cell produces -range of similar products.

e.g. Gear Shop within Machining Shop


Types of Productions

Intermittent Continuous

Project Job Batch Mass Process


Project
• Unique, Large-size.

• Fixed Position Layout

• Non-uniform requirement of resources.

• Definite beginning, Definite end.

• High “Cost Over-run”

• Interdependent Activities -PERT/CPM


( Road, Bridge, Dam,
New Business Set-up)
Job Work
• Small production run.

• GPMs, Highly skilled labor

• Large WIP

• Time limit.

• Every time fresh marketing, new set-up.

– e.g. Fabrication, Printing, Designing.


Batch Production
• Suitable for –
Standardized & Relatively stable products
( unlike Job-work)
Multiple products from one shop
Production capacity greater than demand
(Prod. Rt./week >> Dmd / week)

• Flexibility more important than efficiency.


• GPMs. – mostly General purpose M/Cs used.

• Disadvantages:
– Expensive – if volume is too large
– Planning & Control – Complex.
– Some idling of Resources, Large W.I.P.
Assembly Line
Most suitable for High Volume production

• Discrete part moving from Work-stn. to Work-stn.

• Constantly Moving Conveyor.

• Line Balancing, Low Skills, Low Unit Cost, High Cap. Invest.

• Managerial Control – Simple

• Maintenance - Difficult & Complex (due to SPMs) .


Assembly Line (Contd.)

• Disadvantages-

1. Repetitive/Monotonous.

2. If breakdown – Total stoppage of work.

3. Bottleneck operation determines capacity.

4. Obsolescence cost becomes heavy.


Mfg Processes at diff. Stages of PLC
Product
Focused
To Stock
Product (Continuous)
Focused
To stock
( Batch)

Process
focused
to Order
Process ( Batch)
focused
to Order
( job Shop)
Important Documents
to communicate “Process”

– DRAWINGS & SPECS.

– BILL OF MATERIAL (BOM)

– PROCESS CHART
Process Chart

Symbols used in Process Chart-


Transportation Operations

Inspection

Storage Delay D

Rule : Maximize Value Addition activities i.e. Operation


Minimize rest all non-value added activities
DFM, DFL, DFC
• DFM Minimize the no. of parts
Use Standardized parts
Simplify operations

• DFL To control logistics cost and increase


customer service level

• DFC Design for Customer – QFD


( House of Quality)
House of Quality

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Service Design
• Service is an act, created and delivered
simultaneously
• Service delivery system includes
– Facilities
– Processes
– Skills
• Many services are bundled with products

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