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POM4
POM4
McGraw-Hill/Irwin Copyright © 2009 by The McGraw-Hill Companies, Inc. All Rights Reserved.
Chapter 4: Learning Objectives
• You should be able to:
– Explain the strategic importance of product and service design
– List some key reasons for design or redesign
– Identify the key questions of product and service design
– Discuss the importance of standardization
– Discuss the importance of legal, ethical, and sustainability
considerations in product and service design
– Explain the purpose and goal of life cycle assessment
– Explain the phrase “the 3 Rs”
– Briefly describe the phases in product design and development
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Chapter 4: Learning Objectives (contd.)
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Strategic Product and Service Design
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What Does Product & Service Design Do?
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Ethical Considerations
• Designers are often under pressure to
– Speed up the design process
– Cut costs
• These pressures force trade-off decisions
– What if a product has bugs?
• Release the product and risk damage to your reputation
• Work out the bugs and forego revenue
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Product or service life stages
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Life Stage Strategies
• Introduction
– Weigh trade-offs between eliminating ‘bugs’ and getting the product or
service to the market at an advantageous time
– Accurate demand forecasts are important to ensuring adequate capacity
availability
• Growth
– Demand forecasts are important to ensuring a continued adequate capacity
availability
– Design improvements
– Emphasis on improved product or service reliability and lower cost
• Maturity
– Relatively few design changes
– Emphasis is on high productivity and low cost
• Decline
– Continue or discontinue product or service
– Identify alternative uses for product or service
– Continued emphasis on high productivity and low cost
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Reliability
• Reliability
– The ability of a product, part, or system to perform its
intended function under a prescribed set of conditions
– Failure
• Situation in which a product, part, or system does not
perform as intended
– Normal operating conditions
• The set of conditions under which an item’s reliability is
specified
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Phases in Design & 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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Designing for Production
• Concurrent engineering
• Computer-assisted design
• Designing for assembly and disassembly
• Component commonality
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Quality Function Deployment (QFD)
• QFD
– An approach that integrates the “voice of the
customer” into both product and service development
– Also known as the “house of quality” because of its
appearance
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Service Blueprint
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The Well-Designed Service System
• Characteristics
– Being consistent with the organization mission
– Being user-friendly
– Being robust if variability is a factor
– Being easy to sustain
– Being cost-effective
– Having value that is obvious to the customer
– Having effective linkages between back- and front-of-the-house
operations
– Having a single, unifying theme
– Having design features and checks that will ensure service that
is reliable and of high quality
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Operations Strategy
• Effective product and service design can help the
organization achieve competitive advantage:
– Increasing emphasis on component commonality
– Packaging products and ancillary services to increase sales
– Using multiple-use platforms
– Implementing tactics that will achieve the benefits of high volume
while satisfying customer needs for variety
– Continually monitoring products and services for small
improvement opportunities
– Reducing the time it takes to get a new or redesigned product or
service to the market
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