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INSE6411

ProductDesignTheoryandMethodology

Productplanning

AndreaSchiffauerova,PhD.

Lectureoutline

Introductiontothedesignproblems

ro uc p ann ng

Readingmaterial

Most

commonly

used

books: rd

. .

ProductDesignand Development(4th ed.)byKarlT.UlrichandStevenD.Eppinger

Courselecturenotes+yourownnotestakenduringtheclass

emes oryourpresen a ons Introductiontomechanicaldesignproblemsandthedesignprocess

Introductiontodesigntheoryandmethodologies Customerneedsandproductspecifications Desi nconce t eneration Designproblems,resolutionofdesignconflicts Designconceptevaluation Designconceptselection Designconcepttesting Productdesignandgeneration,productarchitecture Designevaluationforperformanceandtheeffectsofvariations,

ro us es gn DesignforX(cost,manufacture,assembly,etc.) Prototypingandproductlaunching,intellectualpropertyrights

Guestlectures

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Designproblem

All desi n roblems are illde ined

Ananalysisproblem Clearneed

Problemeasilyunderstood

Justfindcorrectformula

WhatsizeSAEgrade5boltshouldbeusedtofastentogether2ieces of 1045 sheet steel each 4 mm thick and 6 cm wide which

arelappedovereachotherandloadedwith100N?

Adesignproblem

Notenoughinformation Potentialsolutionsnotgiven

Constraintsareincomplete

,thickand6cmwide,whicharelappedovereachotherandloadedwith100N.

Designproblem

Designproblemshavemanysatisfactorysolutionsand.

Themoreyoulearnthelessfreedomyouhavetousewhat

youknow

Thegoalistolearnasmuchasearlyaspossibleinthedesign

process,becauselaterthechangeswillbemoreexpensive.

Typesofmechanicaldesignproblems

Selection

design

Selectionofone(ormore)itemsfromalistofsimilar

items

Example:

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Typesofmechanicaldesignproblems

Originaldesign

newprocess,assemblyorcomponent

Eachdesi n roblemre resentssomethin newand

unique

Typesofmechanicaldesignproblems

Redesign

Themodificationofanexistingproducttomeetnew

re uirements

Manyredesignproblemsareroutine

Maturedesignisadesignwhichhasremainedunchangedoverlongperiodoftime(examplesinclude

pencilsharpeners,staplers,holepunchers,etc.)

Maturedesign

Evenmaturedesignschange!

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Productdesignanddevelopment

Productdevelopmentisasetofactivitiesstartingwiththeperceptionofamarketopportunityandendingwiththesaleofaproduct

Productdesignisoneaspectofthedevelopmentprocess Engineering designspecifieshowthetechnicalsystemswill

work Industrialdesignspecifiestheaesthetics,ergonomics,and

userinterface

Otherdevelopmentactivitiesincludemarketingandmanufacturing Successoftheproducttypicallydependsonthesuccess

ofallthreedevelopmentactivities

Productdesignanddevelopment

Marketing (predesign)Identificationofmarketopportunities (predesign)Identificationofcustomerneeds (predesign)Identificationoftargetpricing (postdesign)Promotionofproduct

es gn Productquality Productcost(includesdevelopmentcost)

Developmentcapability

Manufacturing

Supplychain

xamp esGoodmarketresearchandbaddesign:

Archos 20GB

iPod

5GB

Arc os vs.App e

e ease cto er

350g,1.3thick

Filebasedorganizationsystem

184g,0.78thick

ID3basedorganizationsystem

re y n er ace

Productplanning

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Productplanning

Corporationstypicallyplanproductsmanyyearsin

Productplanningensuresthatproductssupport

overall business strate

Productplanning:

Establisheswhichmarketsegmentstotarget

DetermineswhichPDprojectswillbeundertaken

Decidesonthemixofnewproductsvs.upgrades

Determinesthetimingandsequenceoftheprojects

Theproductplanningprocess

Multiple Projects

vauae anPrioritizeProjects

oca eResources and

Plan TimingPortfolioof

Projects

ompeePre-ProjectPlanningProduct

PlanMission

Statements

ProductDevelopment

Process

IdentifyOpportunities

Portfolioofprojects

Productplan

Missionstatements

Identifyopportunities

Ideasourcesfornewproducts

Researchandtechnologydevelopmentorganizations

Current roduct develo ment teams

Manufacturingandoperationorganizations

Currentorpotentialcustomers

Thirdpartiessuchassuppliers,inventors,andbusiness

partners.

EvaluateandPrioritizeProjects

Afirmcancollect100soreven1000sof

.

Selectthemostpromisingprojectstopursue.

CompetitiveStrategy

Marketsegmentation

Technologicaltrajectories

Productplatforms

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CompetitiveStrategy

norgan za on scompe ves ra egy e nesa as c

approachtomarketsandproductswithrespecttocompetitors.

Technologyleadership Emphasisonbasisresearchanddevelopment

Costleadershi Focusonproductionefficiency(economiesofscale,manufacturing

methods,lowcostlabor,bettermanagement)

Customerfocus o owsc ose ycus omers nee san pre erences

Mayresultinabroadproductlinewithhighproductvariety

Imitative

Iftheirproductsaresuccessful,thefirmquicklylaunches itsimitations

MarketSegmentation

Dividingamarketintosegmentsallowsthefirmto

oftheexistingproductsofthefirmwithineachwell

defined rou ofcustomers.

65 ppm

$23k

65 ppmnetwork

$31k

Department

40 ppm

$16k

55 ppm

$20k

60 ppmnetwork

$35kLakesProject Lakes

Extensionsen

t

Workgroup40ppm30ppm

25 ppm

$10k

35 ppm

$15k

40 ppm

$20kLegend

Xeroxproduct

rketSeg

network

$20k

$10k

20 ppm

8k

25 ppm

9k

30 ppm

10k

competitorproduct

potentialcompetitor

HodakaProjectMa

Personal20 ppm

$7k

ProductsegmentmapforXerox

1998 19991997 2000 Year ofRelease

TechnologicalTrajectories

Intechnologyintensivebusinesses,akeyproduct

productline.

thinkaboutsuchdecisions.

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TechnologySCurvesTechnologySCurves

DigitalTechnology

rmance

pierPerfo

Light-LensTechnology

Co

me

Xeroxexpectedthatdigitalcopiertechnologieswerejustemerging

andthatitcoulddevelopafullfeatureddigitalcopierinthenear

future.

ProductPlatformPlanning

Aplatformdevelopmentproject

Involvesmajordevelopmenteffort

Extendanexistingproductplatformtobetteraddress

familiarmarkets

Maybeincludedintheinitialplatformdevelopment

effortorderivativeproductsmayfollowthereafter.

Research and

PlatformsversusDerivatives

TechnologyDevelopment

Platform BPlatformProduct

Development

Legend

Project

ProductRelease

Platform A

Derivative

time

Product

Development

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PlatformsversusDerivativesBalancingtheportfolio

Thefirmusuallybenefitsfromadiversesetof

Thechoiceofcompetitivestrategyshouldaffecttheshapeoftheproductdevelopmentportfolio

Manymethodsforbalancingtheportfolioofdevelopmentprojects

Plotstheportfolioofprojectsalongtwodimensions:

Achangeintheproductline

Achangeinproductionprocesses

ExtentofProductionProcessChanges

New Next Single Tuningand NoResearchandCore

ProcessGeneration

ProcessDepartment

UpgradeIncremental

ChangesProcessChange

New

Core

TechnologyDevelopment

Breakthrough

Development

Changes

NextGeneration

Product

PlatformDevelopment

Projects

fProduct

AdditiontoProduct

Family

LakesProject

Derivative

Extento

MinorProduct

Enhancement

ProductDevelopment

NoProductChange

CurrentProduct/Process

Support

Allocationofresourcesandtimeplanning

Afirmcannotinvestineveryproductdevelopment

Prioritizationoftheprojectsbasedonthelimited

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EstimationofthetimerequiredEstimationofthetimerequired

Basedofthecomplexityof theproductsfunction

Time = A*PC*D0.85where

Aconstantbasedonpastprojects:A=30 forasmallcompanyw t goo commun cat on, = ora argecompanywithaveragecommunication

Dproductdifficulty:D=1 ifnottoodifficult(usingwell

knowntechnologies),D=2 ifdifficult(somenewtechnologies),D=3 ifextremelydifficult(manynew

PCproductcomplexity

Estimationofthetimerequired

Thespaceshuttleaftfieldjointfunctionaldecomposition

Estimationofthetimerequired

Theproductcomplexityisestimatedby = FjPC * where

jthelevelinthefunctiondiagramj

Fortheexampleabove:PC=1*1+2*4+3*3=18

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Estimationofthetimerequired

Timeestimationisverydifficultandsubjecttoerror

srecommen e o ase ees ma onon

estimates

mmostlikelyestimate

ppessimisticestimate

6

4.

pmoestimateTime

++=

Foreachtaskitisessentialtoidentifyits predecessors(tasksdonebeforeit)anditssuccessors (tasksdoneafterit)

CPM(CriticalPathMethod) TheCriticalPathMethodisamathematicallybasedalgorithmfor

schedulin ro ect activities. It is a network anal sis techni ue.

TheCriticalPathMethod(CPM)enablestheprojectCriticalPathtobedetermined.Thisisasequenceofactivitiesthroughaprojectnetworkfromstarttofinish.

Allowstrackingofcriticalactivities

Providesavisualpresentationoftheproject

Developmentofthesequenceforthetasks

PERT(ProgramEvaluationandReviewTechnique)

VerysimilartoCPM,exceptthateveryactivityinaPERTnetworkalso.

Ganttchart Abarchartthatillustratestheprojectschedule

Developmentofthesequenceforthetasks

DSM(DesignStructureMatrix)

,

xx

x x

CandDarecoupledactivitiesx

x

x x

Veryusefulwhentheorderofthetasksisnotevident

s ou eexecu e a esame me

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Aggregateresourceplanning

Helpsanorganizationmakeefficientuseofits

becompletedwiththebudgetedresources

Aggregateresourceplanning. .

140%

100%

120%

ation

40%

60%

80%

Design

gineering

gEngineering

rmware

sign

Design

gineering

gEngineering

rmware

sign

Design

gineering

gEngineering

rmware

sign

cityUtiliz

0%

20%

Year 1 Year 2 Year 3

Mechanical

Electrica

lE

Manufact

uri

Software

/Fi

IndustrialD

Mechanical

Electrica

lE

Manufacturi

Software

/Fi

IndustrialD

Mechanical

Electrica

lE

Manufacturi

Software

/Fi

IndustrialD

Cap

Projecttiming

Factorstoconsider:

Thesoonerthebetter

Technologyreadiness

T ero ustnesso tec no ogiesiscritica !

Marketreadiness

These uenceof roductintroductions

Nottooquickly,nottooslowly

Competition

acceleratethetimingofdevelopmentprojetcs

Theproductplan

Theproductplanidentifiestheportfolioofprojects

thetimingoftheirintroduction

Newplatforms

Derivativesofexistingplatforms

Productimprovements

Fundamentallynewproducts

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Theproductplan

HodakaNew Legend

Lakes

H-Net

L-NetDerivatives

Project

ProductRelease

Astro

595 6010 392 393Improvements

Fundamentally New

1996 1997 1998 1999 2000

TheproductplanofXerox

Productmissionstatement

TheMissionStatementprovidesadetaileddefinitionoftheassumptionsunderwhichtheproductwillbe

Itincludes: Brief(onesentence)descriptionoftheproduct(avoid

Benefitproposition Keybusinessgoals(time,cost,quality)

Targetprice Assumptionandconstraintsthatguidethedevelopment

, , Stakeholders

Productmissionstatement

Exhibit310

Nextlecture

Customerneeds

ng neer ngspec ca ons

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DESIGNPROJECT

O ortunit Statement

Anopportunitystatementisa1 or2sentence

Shouldnotimplytheuseofanyparticular

technolo

Shouldnotimplyaspecificproductconcept

Example:

Createasimplebedsidedevicethatdisplaysinternet

weatherforecastssoyoucanseewhattheweather

willbewhenyouwakeupinthemorning.

DESIGNPROJECT

O ortunit Statement

HowtoIdentifyOpportunities

o en a sources:

Thinkaboutthefrustrationsandcomplaintsyour

friends have about existin roducts

Thinkaboutinefficienciesinyourdailyroutine

ScantheTableofContentofProc.IEEEforthepastfew

monthstogetanideaofemergingtrends

DESIGNPROJECT

O ortunit Statement duenextweek!

Eachshouldmakeaveryshortpresentation(max3

Explainproblem,need,ormotivation

Ex lain necessar elements in solution

Summarizewithopportunitystatement

Youneedtoemailmeyourpresentationsbeforenext

Thursday(Wednesdaymidnightisthedeadline)