W8_U5_JO_BBA_S6 Operations Management PDF

Operations Management Unit – 05 Product Design and Development Semester-06 Bachelors of Business Administration  Operations Management...

Operations Management Unit – 05 Product Design and Development Semester-06 Bachelors of Business Administration  Operations Management JGI x UNIT Product Design and Development Names of Sub-Unit Product Design, Activities of Product Design, Product Development Process, Service Design Process, Value Analysis, Designing Products for Manufacture and Assembly (DFMA), Design for Logistics, Quality Function Deployment (QFD). Overview Product design encompasses the systematic process of creating products that meet consumer needs and market demands. It involves activities such as ideation, prototyping, and testing, within the broader context of the product development process. Additionally, considerations like value analysis, DFMA, and QFD contribute to optimizing product design and manufacturing. Learning Objectives  Understand the key activities involved in product design and the product development process.  Explore the principles and methodologies of service design and its application in creating positive user experiences.  Learn the importance of value analysis in optimizing product design for cost- effectiveness and value creation.  Gain insight into strategies for designing products for efficient manufacturing and assembly processes, logistics, and quality deployment. 2 UNIT 05: Product Design and Development Learning Outcomes Upon completing this course, participants will  Ability to analyze and apply various product design methodologies and principles.  Proficiency in developing and implementing service design strategies to meet customer needs and enhance user satisfaction.  Competence in conducting value analysis to identify opportunities for cost reduction and value enhancement in product design.  Profound understanding of designing products for manufacture and assembly, logistics, and quality deployment to optimize production processes and customer satisfaction. Pre-Unit Preparatory Material  "Product Design and Development" by Karl T. Ulrich and Steven D. Eppinger.  "Service Design: From Insight to Implementation" by Andy Polaine, Lavrans Løvlie, and Ben Reason. Table of topics 5.1 Product Design 5.2 Activities of Product Design 5.3 Product Development Process 5.4 Service Design Process 5.5 Value Analysis 5.6 Designing Products for Manufacture and Assembly (DFMA) 5.7 Design for Logistics 5.8 Quality Function Deployment (QFD) 5.9 Conclusion 3  Operations Management JGI 5.1 Product Design Product design is the process of creating and developing a product that meets the needs and desires of consumers while also considering various factors such as functionality, aesthetics, usability, and manufacturability. It involves the conceptualization, creation, and refinement of a product's appearance, features, and overall user experience. Importance of Product Design:  Customer satisfaction: Well-designed products are more likely to meet the needs and preferences of consumers, leading to higher levels of customer satisfaction.  Competitive advantage: Aesthetically pleasing and innovative product designs can differentiate a company's offerings from those of competitors, helping to attract and retain customers.  Brand identity: Product design plays a crucial role in shaping a company's brand identity and perception in the market.  Cost-effectiveness: Effective product design can help streamline manufacturing processes, reduce production costs, and minimize waste.  Market success: Products that are well-designed and address market needs are more likely to succeed in the marketplace, leading to increased sales and profitability. Factors Influencing Product Design Decisions:  Market research: Understanding customer needs, preferences, and market trends is essential for informing product design decisions.  Technological advancements: Advances in technology enable new design possibilities and influence the features and capabilities of products.  Legal and regulatory requirements: Product designers must comply with various regulations and standards related to safety, environmental impact, and intellectual property rights.  Manufacturing constraints: Considerations such as materials, production processes, and cost constraints can impact product design decisions.  Brand image and strategy: Product design should align with the company's brand image, values, and overall strategic objectives.  User feedback: Gathering feedback from users through usability testing and surveys helps identify areas for improvement and refinement in the design process. Goals and Objectives of Product Design: 4 UNIT 05: Product Design and Development  Functionality: The primary goal of product design is to create products that effectively perform their intended functions and meet the needs of users.  Usability: Products should be easy to use and intuitive, enhancing the overall user experience and satisfaction.  Aesthetics: Attention to aesthetics and visual appeal can enhance the desirability of a product and contribute to its success in the market.  Durability and reliability: Products should be designed to withstand regular use and maintain performance over time, minimizing the need for repairs or replacements.  Sustainability: Considerations for environmental impact and resource efficiency are increasingly important in product design, aiming to minimize waste and promote sustainability throughout the product lifecycle. 5.2 Activities of Product Design  Concept generation and ideation: This initial phase involves brainstorming and exploring different ideas for the product. Designers may conduct market research, gather user feedback, and collaborate with stakeholders to generate concepts that address user needs and market demands.  Sketching and prototyping: Once concepts are developed, designers often create rough sketches and basic prototypes to visualize and communicate their ideas. Sketching allows designers to quickly explore various design possibilities and refine their concepts. Prototyping involves creating physical or digital models of the product to test its form, functionality, and user interaction.  Computer-aided design (CAD) and modeling: CAD software is used to create detailed 2D and 3D digital models of the product. These models enable designers to refine the design, iterate on different iterations, and make precise adjustments to dimensions, materials, and components. CAD models also serve as the basis for generating manufacturing specifications and documentation.  Design validation and testing: In this phase, designers conduct thorough testing and validation to ensure that the product meets the desired requirements and standards. This may involve simulation, analysis, and physical testing to evaluate factors such as structural integrity, performance, usability, and safety. Feedback from testing is used to identify any issues or areas for improvement and refine the design accordingly. These activities are iterative and may overlap throughout the product design process. Designers continuously refine and iterate on their designs based on feedback, testing results, 5  Operations Management JGI and changing requirements, ultimately aiming to create a successful and well-designed product. 5.3 Product Development Process  Stage-Gate Process: a. Concept: In this stage, ideas for new products are generated and evaluated based on factors such as market demand, feasibility, and strategic fit with the company's objectives. b. Design: Once a concept is selected, detailed design work begins, including creating sketches, prototypes, and initial specifications for the product. c. Development: The product design is translated into a tangible prototype or working model. This stage involves engineering, manufacturing, and sourcing components and materials. d. Testing: The prototype undergoes rigorous testing to ensure that it meets performance, quality, and safety standards. This may include functional testing, usability testing, and regulatory compliance testing. e. Launch: After successful testing, the product is launched into the market. This stage involves production ramp-up, marketing, distribution, and customer support.  Iterative and Incremental Approaches:  Iterative: In iterative product development, the process involves repeating cycles of design, development, and testing to gradually refine and improve the product. Each iteration builds upon the previous one based on feedback and insights gained from testing.  Incremental: Incremental product development involves making small, incremental improvements or additions to an existing product over time. This approach allows for continuous enhancement and evolution of the product based on customer feedback and market trends.  Cross-Functional Collaboration in Product Development:  Product development often requires collaboration across various functional areas within an organization, including design, engineering, marketing, manufacturing, and quality assurance.  Cross-functional teams work together throughout the product development process to ensure that all aspects of the product, from design to production and launch, are aligned with the company's goals and objectives.  Collaboration helps to leverage the diverse expertise and perspectives of team members, resulting in more innovative and successful products. 6 UNIT 05: Product Design and Development  Effective communication and coordination among cross-functional teams are essential for ensuring that the product development process runs smoothly and that any issues or challenges are addressed promptly. These approaches and practices help organizations to effectively manage the complexity of product development, mitigate risks, and deliver high-quality products that meet customer needs and expectations. 5.4 Service Design Process  Understanding Service Design Principles:  Service design principles focus on creating meaningful and valuable experiences for users/customers while also meeting business objectives.  Principles may include user-centered design, co-creation with stakeholders, holistic thinking, and continuous iteration and improvement.  Service designers often consider factors such as empathy, inclusivity, sustainability, and feasibility when designing services.  Mapping Customer Journeys and Touchpoints:  Customer journey mapping involves visualizing and understanding the end- to-end experience of users/customers as they interact with a service.  This process identifies touchpoints, or points of interaction, between the customer and the service provider across various channels and stages of the journey.  Customer journey maps help service designers identify pain points, opportunities for improvement, and moments that matter most to users/customers.  Service Blueprinting and Process Design:  Service blueprinting is a tool used to visualize and design the internal processes and interactions that support the delivery of a service.  A service blueprint typically consists of multiple layers, including customer actions, front-stage interactions, backstage processes, and supporting systems.  By mapping out the service process in detail, service designers can identify potential bottlenecks, inefficiencies, and areas for innovation or optimization.  Integration of Technology in Service Design: 7  Operations Management JGI  Technology plays a crucial role in modern service design, enabling the delivery of more efficient, personalized, and innovative services.  Service designers may leverage various technologies, such as mobile apps, websites, artificial intelligence, and Internet of Things (IoT) devices, to enhance the customer experience and streamline service delivery.  However, technology should be thoughtfully integrated into the service design process, considering factors such as accessibility, usability, privacy, and security.  Service designers often use prototyping and testing to iteratively develop and refine digital interfaces and technological solutions as part of the service design process. The service design process involves a combination of user research, co-creation, visualization, and prototyping to create services that are user-friendly, efficient, and aligned with both user needs and business goals. 5.5 Value Analysis Definition and Principles: Value analysis is a systematic approach used to evaluate the function of products, services, or processes with the goal of identifying opportunities to improve value while reducing costs. It involves analyzing the various components and features of a product or service to determine whether they contribute to its overall value proposition. The principles of value analysis include:  Understanding customer needs and preferences.  Identifying and prioritizing the functions that are essential to meet those needs.  Evaluating alternative solutions or designs to optimize the value-cost relationship.  Continuously seeking opportunities for improvement and innovation. Techniques for Identifying and Eliminating Unnecessary Costs:  Function Analysis: Breaking down a product or service into its essential functions and evaluating each function's contribution to overall value.  Cost-Benefit Analysis: Assessing the costs associated with different design or process alternatives and comparing them against the expected benefits.  Value Stream Mapping: Visualizing the flow of materials and information through a process to identify inefficiencies, bottlenecks, and opportunities for cost reduction. 8 UNIT 05: Product Design and Development  Design for Manufacturability (DFM): Designing products with manufacturing considerations in mind to minimize production costs and improve efficiency.  Standardization and Simplification: Streamlining product designs, materials, and processes to reduce complexity and minimize costs.  Supplier Collaboration: Working closely with suppliers to identify cost-saving opportunities in the supply chain and procurement process.  Lifecycle Cost Analysis: Evaluating the total cost of ownership over the lifespan of a product or service, including acquisition, operation, maintenance, and disposal costs. Value Engineering and Value Management: Value engineering is a specific application of value analysis that focuses on improving the value-cost relationship of products, services, or processes through systematic analysis and creative problem-solving. It involves cross- functional teams of experts who collaborate to identify and implement cost-saving and value-enhancing measures. Value management is a broader concept that encompasses value analysis and value engineering within a project management framework. It involves integrating value-focused decision-making processes into all stages of a project, from planning and design to implementation and evaluation. Value management emphasizes stakeholder collaboration, risk management, and continuous improvement to optimize value delivery and achieve project objectives within budget constraints. 5.6 Designing Products for Manufacture and Assembly (DFMA) Design for Manufacturability (DFM) Principles:  Simplification: Simplifying product designs by minimizing the number of components and reducing complexity helps streamline manufacturing processes and lowers production costs.  Standardization: Using standardized components, materials, and processes wherever possible simplifies manufacturing operations, reduces inventory, and improves efficiency.  Modularity: Designing products with modular components that can be easily assembled and replaced simplifies manufacturing, maintenance, and repair processes.  Designing for Process Capability: Designing products within the capabilities of manufacturing processes and equipment helps ensure consistent quality and reduces the risk of defects and rework. 9  Operations Management JGI  Material Selection: Choosing materials that are readily available, cost-effective, and suitable for the intended application helps minimize manufacturing costs and complexities.  Designing for Lean Manufacturing: Incorporating principles of lean manufacturing, such as minimizing waste, reducing lead times, and optimizing workflow, helps improve efficiency and reduce costs throughout the manufacturing process. Design for Assembly (DFA) Techniques:  Minimizing Part Count: Reducing the number of components in a product design simplifies assembly processes, lowers production costs, and reduces the risk of errors.  Designing for Ease of Handling: Designing components with ergonomic features, such as easy-to-grip surfaces and clear labeling, helps assembly workers handle parts more efficiently and accurately.  Standardization of Fasteners: Using standardized fasteners and fastening techniques simplifies assembly operations, reduces inventory, and improves consistency and reliability.  Designing for Self-Alignment: Designing components with features that facilitate self- alignment during assembly reduces the need for manual adjustments and ensures proper fit and alignment.  Minimizing Assembly Time: Designing products with features that enable faster assembly, such as snap-fit connections or pre-assembled subcomponents, helps reduce labor costs and improve productivity.  Designing for Error-Proofing: Incorporating features that prevent or detect assembly errors, such as foolproof connectors or visual cues, helps reduce rework and ensure product quality. Minimizing Manufacturing Costs and Complexities:  Early Collaboration: Involving manufacturing engineers and suppliers early in the product development process helps identify potential manufacturing challenges and cost-saving opportunities.  Design Optimization: Optimizing product designs for manufacturability and assembly helps minimize production costs, reduce lead times, and improve quality.  Supplier Collaboration: Collaborating closely with suppliers to optimize component designs, materials, and manufacturing processes helps reduce costs and improve supply chain efficiency. 10 UNIT 05: Product Design and Development  Value Analysis: Conducting value analysis to identify opportunities for cost reduction and value enhancement throughout the product lifecycle helps optimize manufacturing costs and improve competitiveness.  Continuous Improvement: Implementing continuous improvement initiatives, such as lean manufacturing principles and Six Sigma methodologies, helps identify and eliminate waste, improve efficiency, and reduce costs over time. 5.7 Design for Logistics Optimizing Product Design for Transportation and Storage:  Size and Weight Considerations: Designing products to be compact and lightweight reduces transportation costs and allows for more efficient use of storage space.  Stackability and Nesting: Designing products with features that enable stacking or nesting helps maximize space utilization during transportation and storage, reducing the need for additional packaging or storage facilities.  Disassembly and Flat Packing: Designing products that can be easily disassembled and flat packed reduces shipping volume and minimizes transportation costs, especially for bulky items.  Consideration of Fragility: Designing products with protective features, such as shock- absorbing materials or reinforced packaging, helps minimize damage during transportation and handling.  Compatibility with Handling Equipment: Designing products with features that are compatible with standard handling equipment, such as pallets or forklifts, facilitates loading, unloading, and transportation.  Environmental Impact: Considering the environmental impact of transportation, such as carbon emissions, encourages the design of products that minimize transportation distances or utilize eco-friendly transportation methods. Packaging Design Considerations:  Size and Material Efficiency: Designing packaging to be compact and lightweight reduces material usage, transportation costs, and environmental impact.  Protection and Durability: Designing packaging to provide adequate protection for the product during transportation and handling helps minimize damage and returns.  Branding and Marketing: Packaging design should align with the brand image and communicate product features and benefits effectively to consumers. 11  Operations Management JGI  Ease of Handling and Opening: Designing packaging with features that facilitate easy handling, opening, and disposal enhances the overall user experience.  Sustainability: Designing packaging with recyclable or biodegradable materials and minimizing excess packaging helps reduce environmental impact and waste.  Supply Chain Integration: Designing packaging that integrates seamlessly with the supply chain, such as standardized sizes and labeling requirements, improves efficiency and reduces logistics costs. Supply Chain Integration in Product Design:  Supplier Collaboration: Collaborating closely with suppliers during the product design phase helps optimize component designs, materials, and manufacturing processes to improve supply chain efficiency.  Just-in-Time Manufacturing: Designing products with a focus on just-in-time manufacturing principles helps minimize inventory holding costs and reduce lead times throughout the supply chain.  Vendor-Managed Inventory (VMI): Designing products with features that enable VMI arrangements, such as RFID tags or barcode labels, helps improve inventory management and streamline replenishment processes.  Modular Design: Designing products with modular components that can be easily assembled and replaced facilitates inventory management, reduces stock-keeping units (SKUs), and improves flexibility in responding to demand fluctuations.  Reverse Logistics: Designing products with features that facilitate recycling, refurbishment, or disposal helps optimize reverse logistics processes and reduce waste in the supply chain.  Risk Management: Designing products with built-in resilience to supply chain disruptions, such as alternative sourcing options or redundant suppliers, helps mitigate risks and ensure continuity of supply. 5.8 Quality Function Deployment (QFD) Understanding the QFD Process: QFD is a structured methodology used to translate customer requirements (known as "Voice of the Customer") into specific product or service features. It helps align the design and production processes with customer needs and preferences. The process typically involves several stages: 12 UNIT 05: Product Design and Development  Identification of Customer Requirements: Gathering and prioritizing customer needs, preferences, and expectations through market research, surveys, interviews, and feedback mechanisms.  Translation of Customer Requirements: Translating customer requirements into specific technical characteristics or attributes that can be measured and incorporated into the product or service design.  Deployment of Requirements: Mapping the relationship between customer requirements and design characteristics to ensure that customer needs are addressed at every stage of the product development process.  Iterative Improvement: Continuously refining and improving the design based on feedback from customers, stakeholders, and the performance of the product in the market. Translating Customer Requirements into Product Features: QFD uses a structured approach to translate customer requirements into product features or technical characteristics. This involves identifying the "what" (customer requirements) and the "how" (product features) through various tools and techniques such as:  Customer surveys and interviews  Quality function deployment (QFD) matrices  Decision matrices  Benchmarking against competitors or industry standards  Brainstorming sessions with cross-functional teams House of Quality (HOQ) Matrix and Its Application: The House of Quality (HOQ) is a key tool used in QFD to visually represent the relationships between customer requirements and product features. It typically consists of a grid or matrix that identifies customer requirements along one axis and design characteristics along the other axis. The intersection of these axes contains numerical or qualitative assessments of the importance of each customer requirement, as well as the degree to which each design characteristic satisfies those requirements. The HOQ matrix serves several purposes:  Prioritizing Customer Requirements: It helps prioritize customer requirements based on their importance and relevance to the product or service.  Identifying Design Characteristics: It identifies the key design characteristics or features that are necessary to meet customer requirements. 13  Operations Management JGI  Relationship Mapping: It visually maps the relationships between customer requirements and design characteristics, highlighting areas where improvements or trade-offs may be necessary.  Decision Support: It provides a structured framework for decision-making during the product development process, guiding the allocation of resources and prioritization of design efforts. Continuous Improvement through QFD Implementation: QFD is not a one-time activity but rather an ongoing process that supports continuous improvement and innovation. By systematically capturing and integrating customer feedback into the product development process, organizations can identify areas for improvement and refine their products or services to better meet customer needs and expectations. QFD also fosters collaboration and cross-functional teamwork, allowing organizations to leverage diverse perspectives and expertise to drive innovation and quality improvement. 5.9 Conclusion: In conclusion, the holistic approach of product design encompasses various activities, including ideation, prototyping, and testing, within both the product development and service design processes. Through methodologies such as value analysis, DFMA, design for logistics, and QFD, organizations strive to optimize products for functionality, manufacturability, and customer satisfaction. These processes emphasize continuous improvement and integration with supply chain and customer needs, driving innovation and quality in product design and development. 5.10 Glossary:  Product Design: The process of creating and developing a product to meet the needs and desires of consumers.  Activities of Product Design: Various tasks and stages involved in designing a product, such as ideation, prototyping, and testing.  Product Development Process: The systematic approach to bringing a new product from concept to market, often involving stages like concept, design, development, testing, and launch.  Service Design Process: The process of designing and improving services to meet customer needs and deliver a positive user experience. 14 UNIT 05: Product Design and Development  Value Analysis: A systematic approach to evaluating the function of products or services to identify opportunities for improvement and cost reduction while maintaining or enhancing value.  Designing Products for Manufacture and Assembly (DFMA): The process of optimizing product designs to streamline manufacturing and assembly processes, reduce costs, and improve efficiency.  Design for Logistics: Designing products with considerations for transportation, storage, and distribution logistics to minimize costs and maximize efficiency.  Quality Function Deployment (QFD): A methodology used to translate customer requirements into specific product features and design characteristics.  Customer Requirements: The needs, preferences, and expectations of customers regarding a product or service.  Design Characteristics: The specific features, attributes, or specifications of a product that are determined during the design process. Descriptive Questions: 1. How does the implementation of Quality Function Deployment (QFD) contribute to customer satisfaction and product innovation? 2. What are the key considerations when designing products for efficient manufacturing and assembly processes? 3. How can service design principles be applied to enhance the overall customer experience and differentiate offerings in the market? 4. What role does value analysis play in optimizing product designs for cost- effectiveness and value creation? 5. How do logistics considerations impact the design and distribution of products in global supply chains? Post Unit Reading Material  "Design for Manufacturability (DFM) and Assembly (DFA)" - www.designnews.com/design-hardware-software/design-manufacturability-dfm- and-assembly-dfa  "Quality Function Deployment (QFD) in Product Development" - www.asq.org/quality-resources/quality-function-deployment 15  Operations Management JGI Topics for Discussion forum  The impact of sustainable design practices on product development and consumer behavior.  Strategies for integrating customer feedback and market research into the product design process to enhance competitiveness and innovation. 16 UNIT 05: Product Design and Development 17