PRODUCT AND

SERVICE DESIGN
GROUP 3
Cariaga, Julious B.
Cartabio, Bianca S.
Catague, Vannesa Shella Mae J.
Cornejo, Krysha Faye P.
Dalisay, Angeline C.
INTRODUCTION
What does Product and Service Design do?

 Translate customer wants and needs into product

and service requirements
 Refine existing products and services
 Develop new products and/or services
 Formulate quality goals
 Formulate cost targets
 Construct and test prototype
 Determine specification
01 Economic

02 Social and Demographic

Reasons for
03 Political, Liability, or Legal Product &
Service
04 Competitive
Design/
05 Cost or Availability
Redesign

06 Technological
 VALUE ANALYSIS
Refers to an examination of the function of parts and materials in an
effort to reduce the cost and/or improve the performance of a produc
t.
 A
1.Select an item that has a high annual dollar value. N
This can be material, a purchased item or a V
service. A
2.Identify the function of the item. A
3.Obtain answers to this kind of questions: L
a)Is the item necessary; does it have value; can it L
be eliminated? Y
b)Are there alternative sources for the item? U
c)Can the item be provided internally? S
E
I
S
 A
d) What are the advantages of the present arrangement? N
e) What are the disadvantages of the present V
arrangement?
A
f) Could another materisl, part, or service be use
A
instead?
L
g) Can specificationsbe less stringent to save cost or
L
time?
Y
h) Can two or more parts be combined?
U
i) Can more/less processing be done on the item to save
S
cost or time?
j) Do suppliers/providers have suggestions for E
improvements? I
S
 A
N
V
j) Do employees have suggestions for A
improvements? A
k) Can packaging be improved or made less L
costly? L
4. Analyze the answers obtained as well as answers to Y
other questions that arise, and make U
recommendations. S
E
I
S
Objectives of Product and Service Design
• Main focus Customer satisfaction

• Primary source Marketing

• Profit- not only the overall measure of design effectiveness

1. Quality- enough for the product to standout
2. Designing for operations- capabilities of the organization
in order to achieve designs that fit the capabilities.
 Legal, Ethical, and
Environmental Issues
 Product Merchantability
liability and fitness

Responsibility of a An implication that

manufacturer for any a product must
damages and carry
injuries
Product must be
usable for its
intended purpose
Organizations generally want designers to adhere to
guidelines such as the following:

01 Produce designs that are consistent with the goals of the

organization.

02 Give customers the value they expect.

03 Make health and safety a primary concern.

04 Consider potential to harm the

environment.
Other Issues in Product
and Service Design
 LIFE CYCLE

Saturation

Maturity
Demand

Decline
Growth

Introduction

Time
 STANDARDIZATION
Extent to which there is an absence of variety in a
product, service or process
 Mass Customization
A strategy of producing standardized goods or services,
but incorporating some degree of customization
 Several tactics make this possible

Delayed Modular Design

Differentiation
Form of standardization
The process of producing, in which component
but not quite completing a parts are subdivided
product or service until into modules that are
customer preferences are easily replaced or
known. interchanged.
RELIABILITY NORMAL
FAILURE OPERATING
CONDITIONS
The ability of
the product,
part, or
system to Situation in
perform its which a
intended
The set of
product, conditions
function
under a part, or under which
prescribed system an item's
set of does not reliability is
conditions. perform as specified
intended
 Potential ways to improve reliability

01 Improve component design

Improve preventive
04 mainte-nance procedures
Improve production and/or
02 assembly techniques
05 Improve user education
03 Improve testing

06 Improve system design

04 Use backups
 ROBUST DESIGN
Design that results in products or services that can
function over a broad range of conditions.

GENICHI TAGUCHI'S APPROACH

Based on the concept of Robust design
It is often easier to design a product that is sensitive to environmental factors,
either in manufacturing or in use, than to control the environmental factors.
 The Degree of Newness
Product or service design change can range from:

01 Modification of an existing product or service.

02 Expansion of an existing product line or

service offering.

03 Clone of a competitor's product or service.

04 New product or service.

 Cultural Differences
Product designers in companies that operate globally also must take into
account any cultural differences of different countries or regions related to th
e product. This can result in different designs for different countries or region
s.
 ORIGINAL ORIGINAL ORIGINAL BRAND
EQUIPMENT DESIGN MANUFACTURER
MANUFACTURER MANUFACTURER (OBM)
(OEM) (ODM)

Company that Company Company

designs and designs and which sells an
builds product manufactures entire product
based on its a product or component
own according to that is
specifica- the manufactured
tions, then purchaser's by a second
sell it to specifications company
another and brand. under its own
company for brand label.
branding and
distribution.
 Phases in Product
Design & Development
 Phases in Product Design & Development
01 Idea generation

02 Feasibility Analysis

03 Product Specifications

04 Process Specifications

05 Prototype Development

06 Design Review
 Phases in Product Design & Development

07 Market Test

08 Product Introduction

Follow-up Evaluation
09
Idea can come from a variety of sources. They can be:

1. Supply-chain based
2. Competitive based
3. Research based
 REVERSE ENGINEERING
Some companies purchasde a competitor's product and carefully dismantle an
d inspect it, searching for ways to improve their own product
 RESEARCH AND DEVELOPMENT
(R&D)
Refers to organized efforts that are directed toward increasing scientific
knowledge and product or process innovation.
Designing for
Manufacturing
 Concurrent Engineering
Bringing engineering design and manufacturing personnel tog
ether early in the design phase to simultaneously develop the
product and the processes for creating the product.
 Computer-Aided Design
It uses computer graphics for product design.
 Production Requirements
Helps in choosing design that match the capabilities.

• Design for Manufacturing (DFM)- designing of products that are

compatible with an organization's capabilities.
• Design for Assembly (DFA)- design that focuses on reducing the number of
parts in a product and on assembly methods and sequence.
• Manufacturability- ease of fabrication and/or assembly.
 RECYCLING
Recovering materials for future use.

Companies recycle for a variety of reasons:

1. Cost Savings
2. Environmental Concerns
3. Environmental Regulations

Design For Recycling (DFR)

Product design that takes into account the ability to disassemble a
used product to recover the recyclable parts.
 REMANUFACTURING
Refurbishing used products by replacing worn-out of defective components
and reselling the products.

Can be done by the original manufacturer or other company.

Design For Disassembly (DFD)

Design so that used products can be easily taken apart.
QUALITY FUNCTION
DEPLOYMENT
 QUALITY FUNCTION DEPLOYMENT
(QFD)
An approach that integrates the “voice of the customer” into both product
and service development.
System Design
THE KANO MODEL
SERVICE DESIGN
 Service
Something that is done to for a customer.

It is provided by a service delivery system, which includes the facilitie

s, processes and skills needed to provide the service.

Many services are not pure services, but part of:

Product bundle
Combination of goods and services provided to a customer.
 Service Package

01 The physical resources needed.

The accompanying goods that are purchased or consumed by the

02 customer, or provided with the service.

03 Explicit services

04 Implicit services
• Two key issues in service design:
1. The degree of variation in service requirements.
2. The degree of customer contact and customer
involvement in the delivery system.
 Difference between Service Design
and Product Design
01 Products are generally tangible; service are generally intangible.

02 Services are created and delivered at the same time.

03 Services cannot be inventoried.

04 Services are highly visible to consumers

 Difference between Service Design
and Product Design
05 Some services have low barriers to entry and exit.

Location is often important to service design, with convenience as a

06 major factor.

Service system range from those with little or no customer contact to

07 those that have a very high degree of customer contact.

Demand variability alternately creates waiting lines or idle service

08 resources.
 Service Design Approach
1. Cost and efficiency perspective
-Essentially a “product design approach” to service design.
-Customer participation makes both quality and demand variability more
difficult to manage, designers tend to limit the customer
participation in the process.
 Risk of negatively altering the
customers’ perception of quality
01 Reducing consumer choices make service more efficient but it also
be both frustrating and irritating for the customer.

02 Standardizing or simplifying certain elements of service.

03 Incorporating flexibility in capacity management.

 Service Design Approach
2. Customer perspective
-This requires the understanding of the customer experience and
focusing on how to maintain control over service delivery to achieve
customer satisfaction.
-It also involves determining consumer wants and needs in order to
understand relationship between service delivery and perceived quality.
 Phases in Service Design Process

1. Conceptualized Idea generation

Assessment of customers needs and wants
Assessment of demand potential

2. Identify service package components needed

3. Determined performance specifications

4. Translate performance specifications into design

specifications
5. Translate design specifications into delivery
specifications
 Service Blueprinting
1. It is a method used in service design to describe and analyze a propose service
.
2. Useful tool for conceptualizing a service delivery system.
3. Method for describing and analyzing a service process.
4. Like an architectural drawing but instead of showing building dimensions it
shows the basic customer and service actions involved in service operations.
 Major steps in service blueprinting

2 4
1 3

Establish Identify and Develop time Identify potential

boundaries for the determined the estimates for each failure points.
service and sequence of phase of the
decide on the customer and process, as well
level of the detail service actions as time variability.
needed. and interaction.
Characteristics of Well- Designed Service Systems
01 Being consistent with the organization mission.

02 Being user friendly.

03 Being robust if variability is a factor.

04 Being easy to sustain.

05 Being cost- effective.

06 Having value that is obvious to customers.

Characteristics of Well- Designed Service Systems

07 Having effective linkage between back and front of the house.

08 Having a single unifying theme, such as convenience or speed.

Having design features and checks that will ensure service that is
09 reliable and of high quality.
 Challenges of Services Design

01 There are variable requirements.

02 Services can be difficult to describe.

03 Customer contact is usually much higher in services.

04 Service design must take into account the service-customer encounter.

 Guidelines for Successful Service Design
01 Define the service package in detail.

02 Focus on the operation for the customer perspective

Consider the image that the service package will present both customers
03 and prospective customer.

04 Recognize the designer familiarity with the system.

05 Make that the managers are involved.

06 Define quality for both tangibles and intangibles.

 Guidelines for Successful Service Design

07 Make sure that recruitment, trainings and reward policies are

consistent in service expectations.

08 Establish procedures to handle both predictable and unpredictable

events.

09 Establish systems to monitor, maintain, and improve service.

OPERATIONS
STRATEGY
Product and service design is a fertile area for achieving competutive
advantage and/or increasing customer satisfaction.

1. Increasing emphasis on component commonality.

2. Packaging prodicts and ancillary service to increase sales
3. Using multiple-use platforms
4. Implementing tactics that will achieve the benefits of high volume
while satisfying customer needs for variety such as mass
communications
5. Continually monitoring products and services for small improvements
rather than the “big bang” approach.
6. Shortening the time it takes to get new or redesigned goods and
services to the market
A key competitive advantage of some companies is their ability
to bring new products to the market more quickly than their
competitors.
Companies using this “first-to-market” approach are able to
enter markets ahead of their competitors allowing them to set
higher selling prices than otherwise due to absence of
competition
 Such strategy is also a defense against competition from
cheaper “clones” because the competitors always have to play
“catch up”
From a design standpoint, reducing the time to market involves

1. Using standardized components to create new but reliable products

2. Using technology such as computer-aided design equipment to
rapidly design new or modified products
3. Concurrent engineering to shorten engineering time
Thank you