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Operations Management
Lesson 3
Product Design and Process Development
What you will learn in this unit:
• Product Design
• New Product Development
• NPD Consideration
• Process Selection
• Types of Processes
• Measuring Process Performance
Product Design
Product design is the process of defining the
characteristics of the product; at times identify the
core features and the outlook of the end product.
The purpose of design is to satisfy
customers
• satisfy needs
• meet expectations
• are aesthetically pleasing
• perform well
• are reliable
• are easy to manufacture and deliver
Product designers will seek to create things that:-
Process designers also seeks to satisfy customers
Products and services
should be designed in such
a way that they can be
created effectively
Processes should be
designed in such a way that
they can create all products
and services which the
operation is likely to
introduce
Decisions taken during the design of the product or service will have an impact on
the decisions taken during the design of the process which produces the product
or service or vice versa
Designing the
Product or
Service
Designing the
Process which
Produces the
Product or
Service
The design of products/services and processes
are interrelated and should be treated together
Choice and
evaluation
"Screens"
Uncertainty
Regarding the
Final Design
Certainty
Regarding
the Final
Design
TIME
Large Number of
Design options
Design involves progressively reducing the number of
possibilities until the final design is reached
CONCEPT
FINAL DESIGN
SPECIFICATON
One Design
Idea
Screening
Conceptuali
zation
Product
Screening
Prototype
Testing
Market
Testing
Commerciali
zation
New Product Development Processes
Reid, D. R. & Sanders, N.R. 2005
Broad categories of evaluation criteria for
assessing design options
FEASIBILITY
How difficult
is it?
ACCEPTABILITY
How worthwhile
is it?
VULNERABILITY
What could
go wrong?
THE CRITERIA FOR ASSESSING
PROPOSED DESIGN OPTIONS
What INVESTMENT
both managerial and
financial will be
needed?
What RETURN
in terms of financial and
performance
improvement will it
give?
What RISKS
do we run if
things go wrong?
The product lifecycle (PLC)
Products need managing throughout their working lives.
This requires deciding:
• What products should be created.
• How to capitalise on a product’s strengths and iron out
any weaknesses.
• When an older product is past its prime and needs
modification or withdrawal from the market.
Process Design
Process: Is any part of an organization that takes inputs and transforms
them into outputs.
What is Process Design?
Process design is the selection of
inputs, operations, work flows and
methods for producing goods and
services.
HOW should we make our products or provide our services?
How to select Process?
• Process Selection
• Volume – Expected output
• Variety – Level of standardization
• Intermittent Operations
• Repetitive Operations
• Objective:
• Meet or exceed customer requirements.
• Achieve competitive advantage.
Variety
Process types in manufacturing
High
Low
Volume
Low High
Project
Jobbing
Batch
Mass
Continuous
The Design of processes – Process types
Each process type implies a different way of organizing operations activities
with different volume and variety characteristics.
Project processes
Project processes are those which deal with discrete,
usually highly customized products. Low volume and high
variety.
Examples of project processes include shipbuilding,
most construction companies, movie production
companies, drilling oil wells etc.,
Project Processes examples
Construction Company movie production
companies
Jobbing processes
Jobbing processes also deals with very high variety and
low volumes. Whereas in project processes each product
has resources devoted more or less exclusively to it, in
jobbing processes each product has to share the
operation’s resources with many others.
Examples for Jobbing processes include many
precision engineers such as specialist toolmakers,
furniture restorers, printers who produce tickets for
the local social event.

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UNIT - 3 CONTINUE PRODUCT DESIGN.ppt

  • 1. Operations Management Lesson 3 Product Design and Process Development
  • 2. What you will learn in this unit: • Product Design • New Product Development • NPD Consideration • Process Selection • Types of Processes • Measuring Process Performance
  • 3. Product Design Product design is the process of defining the characteristics of the product; at times identify the core features and the outlook of the end product.
  • 4. The purpose of design is to satisfy customers • satisfy needs • meet expectations • are aesthetically pleasing • perform well • are reliable • are easy to manufacture and deliver Product designers will seek to create things that:- Process designers also seeks to satisfy customers
  • 5. Products and services should be designed in such a way that they can be created effectively Processes should be designed in such a way that they can create all products and services which the operation is likely to introduce Decisions taken during the design of the product or service will have an impact on the decisions taken during the design of the process which produces the product or service or vice versa Designing the Product or Service Designing the Process which Produces the Product or Service The design of products/services and processes are interrelated and should be treated together
  • 6. Choice and evaluation "Screens" Uncertainty Regarding the Final Design Certainty Regarding the Final Design TIME Large Number of Design options Design involves progressively reducing the number of possibilities until the final design is reached CONCEPT FINAL DESIGN SPECIFICATON One Design
  • 8. Broad categories of evaluation criteria for assessing design options FEASIBILITY How difficult is it? ACCEPTABILITY How worthwhile is it? VULNERABILITY What could go wrong? THE CRITERIA FOR ASSESSING PROPOSED DESIGN OPTIONS What INVESTMENT both managerial and financial will be needed? What RETURN in terms of financial and performance improvement will it give? What RISKS do we run if things go wrong?
  • 9. The product lifecycle (PLC) Products need managing throughout their working lives. This requires deciding: • What products should be created. • How to capitalise on a product’s strengths and iron out any weaknesses. • When an older product is past its prime and needs modification or withdrawal from the market.
  • 10. Process Design Process: Is any part of an organization that takes inputs and transforms them into outputs. What is Process Design? Process design is the selection of inputs, operations, work flows and methods for producing goods and services. HOW should we make our products or provide our services?
  • 11. How to select Process? • Process Selection • Volume – Expected output • Variety – Level of standardization • Intermittent Operations • Repetitive Operations • Objective: • Meet or exceed customer requirements. • Achieve competitive advantage.
  • 12. Variety Process types in manufacturing High Low Volume Low High Project Jobbing Batch Mass Continuous
  • 13. The Design of processes – Process types Each process type implies a different way of organizing operations activities with different volume and variety characteristics. Project processes Project processes are those which deal with discrete, usually highly customized products. Low volume and high variety. Examples of project processes include shipbuilding, most construction companies, movie production companies, drilling oil wells etc.,
  • 14. Project Processes examples Construction Company movie production companies
  • 15. Jobbing processes Jobbing processes also deals with very high variety and low volumes. Whereas in project processes each product has resources devoted more or less exclusively to it, in jobbing processes each product has to share the operation’s resources with many others. Examples for Jobbing processes include many precision engineers such as specialist toolmakers, furniture restorers, printers who produce tickets for the local social event.