Operation Management

Product Planning and Design

WHAT
Product Design is..

·          Is the process of deciding on the unique characteristics and features of the company’s product.

·       The process of defining all of the product’s characteristics (such as it’s appearance, the materials it’s made of, it’s dimentions and tolerances, and it’s performance standards)

·    Continuous process : to remain competitive, companies must be innovative and bring out new products regularly.

New Product Introduction and Development Strategy

·           Market-Pull : make what you can sell

·           Technology Push : sell what you can make

·           Interfunctional

STEP IN THE PRODUCT DESIGN PROCESS

1.         Idea Development

            Source of idea :

-          Costumer

-          Competitors

-          Suppliers

2.         Product Screening

-   Evaluating of it’s likelihood of success by all major business fuctions (Operations, Marketing, and Finance)

3.         Preliminary Design and Testing

-          Translates general performance / function specifications into technical specifications

-          Prototypes are built, tested, change/revised cycle

-         For service companies this may entail testing of the offering on a small scale and working with costumers to refine the service offering.

4.       Final Design

-    Final product specifications are drawn up and then translated into specific processing instructions to manufacture the product.

FACTORS IMPACTING PRODUCT DESIGN

1.        Design for Manufacture (DFM) : a series of guidelines to follow in order to produce a product easily and profitably.

2.        Product Life Cycle : a series of stages that products pass through in their lifetime, characterized by changing product demands over time.

3.         Concurrent Engineering :

-        An approach that brings together multifunction teams in the early phase of product design in order to simultaneously design the product and the process.

-      Is to achieve a smooth transition from the design stage to actual production in a shorter amount of development time with improved quality results.

4.     Remanufacturing : the concept of using components of old product in the productions of new ones.

Session Summary - Operation Management
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