Lectureoutline INSE6411 ProductDesignTheoryandMethodology

Introductiontothedesignproblems Productplanning

Productplanning
Lecture2
AndreaSchiffauerova,PhD.

Th Themes f foryourpresentations t ti Readingmaterial

Mostcommonlyusedbooks:
TheMechanicalDesignProcess (3rd ed.) ed )byDavidG G.Ullman ProductDesignand Development(4th ed.)byKarlT.Ulrich andStevenD.Eppinger Courselecturenotes+yourownnotestakenduringtheclass sufficient!
Introductiontomechanicaldesignproblemsandthedesignprocess Designprojectdefinitionandplanning Introductiontodesigntheoryandmethodologies Customerneedsandproductspecifications g concept p g generation Design Designproblems,resolutionofdesignconflicts Designconceptevaluation Designconceptselection Designconcepttesting Productdesignandgeneration,productarchitecture Designevaluationforperformanceandtheeffectsofvariations, robustdesign DesignforX(cost,manufacture,assembly,etc.) Prototypingandproductlaunching,intellectualpropertyrights Designprojectmanagementandeconomics Guestlectures

Design g p problem
Alldesignproblemsareilldefined
Ananalysisproblem
Clearneed Problemeasilyunderstood Justfindcorrectformula x WhatsizeSAEgrade5boltshouldbeusedtofastentogether2 piecesof1045sheetsteel,each4mmthickand6cmwide,which arelappedovereachotherandloadedwith100N?

Designproblem
Designproblemshavemanysatisfactorysolutionsand noclearbestsolution solution.

Adesignproblem

Notenoughinformation Potentialsolutionsnotgiven Constraintsareincomplete x Design Designajointtofasten2piecesof1045sheetsteel steel,each4mm thickand6cmwide,whicharelappedovereachotherandloaded with100N.

Adesignparadox
Themoreyoulearnthelessfreedomyouhavetousewhat youknow

Typesofmechanicaldesignproblems
Selectiondesign
Simplestdesignproblem Selectionofone(ormore)itemsfromalistofsimilar items

Example:
Thegoalistolearnasmuchasearlyaspossibleinthedesign process,becauselaterthechangeswillbemoreexpensive.

Typesofmechanicaldesignproblems
Configurationdesign
Allthecomponentshavebeendesigned Howtoassemblethemintothecompletedproduct Somecomponentsmayneedtobealteredinsize, shapeorfunction

Components:

Typesofmechanicaldesignproblems
Possibleconfigurations:

Parametricdesign
Findingvaluesforthefeaturesthatcharacterizethe studiedobjects
x Design g acylindrical y storage g tankthatmusthold4m 3 of liquid.Thetankisdescribedbyparametersr,itsradius, andl,itslength. x Thevolumeisdeterminedby V = r 2 l x Givenavolumeequalto4m 3 r 2l = 1.273 x Aninfinitenumberofvaluesforr andl willsatisfythe equation

Typesofmechanicaldesignproblems
Originaldesign
Ifthedesignproblemrequiresthedevelopmentofa newprocess,assemblyorcomponent Eachdesign g p problemrepresents p something gnewand unique

Typesofmechanicaldesignproblems
Redesign
Mostdesignproblemssolvedinindustry Themodificationofanexistingproducttomeetnew requirements q Manyredesignproblemsareroutine Maturedesignisadesignwhichhasremained unchangedoverlongperiodoftime(examplesinclude pencilsharpeners,staplers,holepunchers,etc.)

Evenmaturedesignschange!

Maturedesign

Productdesignanddevelopment
Productdevelopmentisasetofactivitiesstartingwith theperceptionofamarketopportunityandendingwith thesaleofaproduct Productdesignisoneaspectofthedevelopmentprocess
Engineering designspecifieshowthetechnicalsystemswill work Industrialdesignspecifiestheaesthetics,ergonomics,and userinterface

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

Design D i

Otherdevelopmentactivitiesincludemarketingand manufacturing Successoftheproducttypicallydependsonthesuccess ofallthreedevelopmentactivities

Manufacturing

Productquality Productcost(includesdevelopmentcost) Developmenttime Developmentcapability

Productionsystem Supplychain

E Examples l
Goodmarketresearchandbaddesign: A h vs.Apple Archos A l

Productplanning

Archos 20GB
Released R l d O October b 2001 350g,1.3thick Filebasedorganizationsystem Uglyinterface

iPod5GB
ReleasedNovember2001 184g,0.78thick ID3basedorganizationsystem P tt i Pretty interface t f

Productplanning
Corporationstypicallyplanproductsmanyyearsin advance Productplanningensuresthatproductssupport overallbusinessstrategy Productplanning:
Establisheswhichmarketsegments g totarget g DetermineswhichPDprojectswillbeundertaken Decidesonthemixofnewproductsvs.upgrades Determinesthetimingandsequenceoftheprojects

Theproductplanningprocess
Multiple Projects Evaluate E l t and d Prioritize Projects All Allocate t Resources and Plan Timing C Complete l t Pre-Project Planning Identify Opportunities P d t Product Development Process

Portfolio of Projects

Product Plan

Mission Statements

Theoutcomesoftheproductplanningprocess:
Portfolioofprojects p Productplan Missionstatements

Identifyopportunities
Ideasourcesfornewproducts
Marketingandsalespersonnel Researchandtechnologydevelopmentorganizations Currentproductdevelopmentteams Manufacturingandoperationorganizations Currentorpotentialcustomers Thirdpartiessuchassuppliers,inventors,andbusiness partners.

EvaluateandPrioritizeProjects
Afirmcancollect100soreven1000sof opportunitiesduringayear. year Selectthemostpromisingprojectstopursue. Fourusefulperspectivestoprioritize:
CompetitiveStrategy g Marketsegmentation Technologicaltrajectories Productplatforms

CompetitiveStrategy
Anorganizationscompetitivestrategydefinesabasic approachtomarketsandproductswithrespectto competitors. Possiblecompetitivestrategies:
Technologyleadership Costleadership p
x Emphasisonbasisresearchanddevelopment x Focusonproductionefficiency(economiesofscale,manufacturing methods,lowcostlabor,bettermanagement) x Follows F ll closely l l customers t needs d and dpreferences f x Mayresultinabroadproductlinewithhighproductvariety x Allowscompetitorstoexploretheproducts x Iftheirproductsaresuccessful,thefirmquicklylaunchesits imitations

MarketSegmentation
Dividingamarketintosegmentsallowsthefirmto considertheactionsofcompetitorsandthestrength oftheexistingproductsofthefirmwithineachwell definedg group pofcustomers.

Customerfocus Imitative

MarketSegmentation
65 ppm $23k 55 ppm $20k 40 ppm $16k 25 ppm $10k 35 ppm $15k 40 ppm $20k 65 ppm network $31k 60 ppm network $35k

TechnologicalTrajectories
Lakes Extensions Legend
Xerox product

Department

MarketSegm ment

Lakes Project

Workgroup
30ppm 30ppm $10k 40 ppm 40ppm network $20k

competitor product potential competitor

HodakaProject
20ppm $8k 25 ppm $9k 30 ppm $10k

Intechnologyintensivebusinesses,akeyproduct decisioniswhentoadoptanewtechnologyina productline. TechnologyScurvesareconceptualtooltohelpto thinkaboutsuchdecisions.

Personal
20ppm $7k

1997

1998

1999

2000

Year of Release

ProductsegmentmapforXerox

TechnologySCurves

TechnologySCurves
Cop pier Perfor rmance Digital Technology

Light-Lens Technology Time Ti

Xeroxexpectedthatdigitalcopiertechnologieswerejustemerging andthatitcoulddevelopafullfeatureddigitalcopierinthenear future.

PlatformsversusDerivatives

ProductPlatformPlanning
Aplatformdevelopmentproject
Createsthearchitectureforafamilyofproducts Involvesmajordevelopmenteffort

Research and Technology Development

DerivativeProducts
Extendanexistingproductplatformtobetteraddress familiarmarkets Maybeincludedintheinitialplatformdevelopment effortorderivativeproductsmayfollowthereafter.

Platform Product Development

Platform A

Platform B

Legend Project Product Release

Derivative Product Development time

PlatformsversusDerivatives

Balancingtheportfolio
Thefirmusuallybenefitsfromadiversesetof projects Thechoiceofcompetitivestrategyshouldaffectthe shapeoftheproductdevelopmentportfolio Manymethodsforbalancingtheportfolioof developmentprojects Productprocesschangematrix
Plotstheportfolioofprojectsalongtwodimensions:
x Achangeintheproductline x Achangeinproductionprocesses

ProductProcessChangeMatrix
ExtentofProductionProcessChanges
Researchand Technology h l Development New Core Product Next Generation Product Addition toProduct Family Minor Product Enhancement No Product Change New Core Process Next Generation G i Process Breakthrough Development Projects Platform Development Projects Lakes k Project Derivative Product d Development Single Department Upgrade Tuningand Incremental l Changes No Process Change

Allocationofresourcesandtimeplanning
Afirmcannotinvestineveryproductdevelopment opportunity Prioritizationoftheprojectsbasedonthelimited resources(budgetandtime)

Extentof fProductChanges

Current Product/Process Support

Estimationofthetimerequired

Estimationofthetimerequired
Basedofthecomplexityoftheproductsfunction Time=A A*PC*D PC D0.85 where Aconstantbasedonpastprojects:A=30 forasmall companywith ithgood dcommunication, i ti A=150 A 150 for f al large companywithaveragecommunication Dproduct p difficulty: y D=1 ifnottoodifficult( (using gwell knowntechnologies),D=2 ifdifficult(somenew technologies),D=3 ifextremelydifficult(manynew technologies) PCproductcomplexity

Estimationof fthe h timerequired d

PCisbasedonthefunctionsoftheproduct

Estimationof fthe h timerequired d

Thespaceshuttleaftfieldjointfunctionaldecomposition

Theproductcomplexityisestimatedby PC = j * F j where jthelevelinthefunctiondiagram Fjthe thenumberoffunctionsatthatlevel Fortheexampleabove:PC=1*1+2*4+3*3=18

Developmentofthesequenceforthetasks

Estimationofthetimerequired
Timeestimationisverydifficultandsubjecttoerror Itisrecommendedtobasetheestimationon3 estimates
oan anoptimisticestimate mmostlikelyestimate ppessimisticestimate
Time .estimate = o + 4m + p 6

Foreachtaskitisessentialtoidentifyits predecessors(tasksdone beforeit)anditssuccessors (tasksdoneafterit) CPM(CriticalPathMethod)

TheCriticalPathMethodisamathematicallybasedalgorithmfor schedulingprojectactivities.Itisanetworkanalysistechnique. TheCriticalPathMethod(CPM)enablestheprojectCriticalPathtobe determined.Thisisasequenceofactivitiesthroughaprojectnetwork fromstarttofinish. x Determinesthetimetocompletetheprojectandkeymilestones x Allowstrackingofcriticalactivities x Providesavisualpresentationoftheproject

Developmentofthesequenceforthetasks
PERT(ProgramEvaluationandReviewTechnique)

Developmentofthesequenceforthetasks
DSM(DesignStructureMatrix) Acompact compact,matrixrepresentationofasystemorproject

VerysimilartoCPM,exceptthateveryactivityinaPERTnetworkalso hasavarianceassociatedwithitscompletiontime. time

Abarchartthatillustratestheprojectschedule

Ganttchart

x x x x x x x

CandDarecoupledactivities (shouldbeexecutedatthesametime)

Veryusefulwhentheorderofthetasksisnotevident

..

Aggregateresourceplanning
Helpsanorganizationmakeefficientuseofits resourcesbypursuingonlythoseprojectswhichcan becompletedwiththebudgetedresources

Aggregateresourceplanning
140% 120%

Capa acity Utiliza ation

100%
Manufacturin ng Engineering Manufacturin ng Engineering Manufacturin ng Engineering 80% ngineering Electrical En 60% 40% 20% 0%

Electrical En ngineering

Electrical En ngineering

Software/ Fir rmware

Software/ Fir rmware

Mechanical D Design

Mechanical D Design

Industrial De esign

Industrial De esign

Software/ Fir rmware

Mechanical Design

Year 1

Year 2

Year 3

Projecttiming
Factorstoconsider:
Timingofproductintroductions
x Thesoonerthebetter

Theproductplan
Theproductplanidentifiestheportfolioofprojects tobepursuedbythedevelopmentorganizationand thetimingoftheirintroduction Theplanmaydivideprojectsinto4categories:
Newplatforms Derivativesofexistingplatforms Productimprovements Fundamentallynewproducts

Technologyreadiness
x The h robustness b of ftechnologies h l iscritical! l

Marketreadiness
x Thesequence q ofproduct p introductions x Nottooquickly,nottooslowly

Competition
x Theanticipatedreleaseofcompetingproductsmay acceleratethetimingofdevelopmentprojetcs

Industrial De esign

Theproductplan
New Platforms Hodaka Lakes H-Net L-Net L Net Improvements y New Fundamentally 1996 1997 595 6010 Astro 1998 1999 2000 392 393 Legend Project Product Release

Productmissionstatement
TheMissionStatementprovidesadetaileddefinitionof theassumptionsunderwhichtheproductwillbe developed Itincludes:
Brief(onesentence)descriptionoftheproduct(avoid implyingaspecificproductconcept) Benefitproposition Keybusinessgoals(time,cost,quality) Targetmarket(s)fortheproduct Targetprice Assumptionandconstraintsthatguidethedevelopment effort(manufacturing,service,environment) Stakeholders

Derivatives

TheproductplanofXerox

Productmissionstatement
Exhibit310

Nextlecture
Customerneeds Engineeringspecifications Presentationsofopportunitystatements

DESIGNPROJECT pp yStatement Opportunity

Anopportunitystatementisa1 or2sentence descriptionofaproductormarketopportunity Shouldnotimplytheuseofanyparticular technology Shouldnotimplyaspecificproductconcept Example: p
Createasimplebedsidedevicethatdisplaysinternet weatherforecastssoyoucanseewhattheweather willbewhenyouwakeupinthemorning.

DESIGNPROJECT pp yStatement Opportunity

HowtoIdentifyOpportunities Potentialsources:
Thinkaboutthefrustrationsandcomplaintsyour friendshaveaboutexistingproducts Thinkaboutinefficienciesinyourdailyroutine ScantheTableofContentofProc.IEEEforthepastfew monthstogetanideaofemergingtrends

DESIGNPROJECT pp yStatement duenextweek! Opportunity

Eachshouldmakeaveryshortpresentation(max3 slides):
Explainproblem,need,ormotivation Explainnecessaryelementsinsolution Summarizewithopportunitystatement Youneedtoemailmeyourpresentationsbeforenext Thursday(Wednesdaymidnightisthedeadline)