INTEGRATED PRODUCT AND PROCESS DEVELOPMENT

UNIT I
A. INTRODUCTION
1. Characteristics Of successful product development:

Product Quality
Product Cost
Development time
Development cost
Development capability

2. Who designs and develop products:

Marketing
Design
Manufacturing
3. Duration and cost of Product development:
4. The Challenges of Product development:
Trade-offs
Dynamics
Details
Time pressure
Economics
Other intrinsic attributes:
Creation
Satisfaction of societal and individual needs
Team diversity
Team sprit

5. Organizational Realities:

Lack of empowerment of the team

Functional allegiances transcending project goals
Inadequate recourses
Lack of cross- functional representation on the project
team

B. DEVELOPMENT PROCESSES AND ORGANIZATIONS:

1. A Generic Development Process:
A development process is useful for the following reasons:

Quality Assurance
Coordination
Planning
Management
Improvement

6. Six Phases of the generic Development process:

Phase
Phase
Phase
Phase
Phase
Phase

0: Planning
1: Concept Development
2: System level Design
3: Detail design
4: Testing and Refinement
5: Production Ramp- up

7. Concept Development: The front end process:

Activities
1.
2.
3.
4.
5.
6.
7.
8.
9.
10.

Identifying customer needs

Establishing target specification
Concept generation
Concept selection
Concept testing
Setting final Specifications
Project planning
Economic analysis
Benchmarking of competitive products
Modeling and Prototyping

8. Adapting the Generic product development process

a)
b)
c)
d)
e)
f)
g)

Technology- push products

platform products
process-Intensive products
customized products
High- Risk products
Quick- build products
complex systems

9. Product Development process Flows

Generic Product Development process
Spiral product Development process
Complex systems Development process
10.

The AMF Development process

---- Flow chart

11. Product development Organizations

Organizations are formed by establishing links among
individuals:
Reporting relationships
Financial arrangements
Physical layout
12.
Organizational links may be aligned with functions,
Project,
or Both:
Functional organization
Project organization
Matrix organization
1. Lightweight project organization
2. Heavyweight project organization
13.

Choosing an Organizational Structure

Questions help guide the choice of organizational structure:
How important is cross- functional integration?
How critical is cutting-edge functional expertise to
business success?
Can individuals from each functional be fully utilized
for most of the duration of a project?
How important is product development speed?

10. The AMF Organization

UNIT 2
A. PRODUCT PLANNING
1. The Product Planning Process:
The product plan identifies the portfolio of products to be
developed by the organizational and the timing of their
introduction to the market.
2. Four types of product development projects;
New product platforms
Derivatives of existing product platforms
Incremental improvements to existing products
Fundamentally new products
3. A five step process to develop product plan and mission
statements:
---------- Flow chart
Step 1: Identify opportunities
Step 2: Evaluate and prioritize projects
A. Competitive Strategy
Technology Leadership
Cost leadership
Customer focus
Imitative
B. Market Segmentation ------------ graph
C. Technological Trajectories-------- S curve
D. Product platform planning--------- Flow chart
E. Evaluating fundamentally new product opportunities
F. Balancing the portfolio

Step 3: Allocate resources and plan timing------Graph

A. Resource Allocation
B. Project timing
Timing of product introductions
Technology readiness
Market readiness
Competition
C. The product plan
Step 4: Complete Pre- project planning
Mission statements
Brief (one sentence) description of the product
Key business goals
Target markets) for the products
Assumptions and constrains that guide the
development effort
Stakeholders
Assumptions and constrains
Manufacturing
Service
Environment
Staffing and other pro- project planning Activities
Step 5: Reflect on the result and the process

B. IDENTIFYING CUTOMERS NEED

FIVE STEPS:
Step1: Gather raw data from customer----- Graph
1. Methods used:
Interviews
Focus groups
Observing the product in use
2. Choosing customers
3. Art of eliciting customer needs data
Some general hints for effective interaction with customer
Go with the flow.
Use visual stimuli and groups.
Suppress preconceived hypotheses about the product
technology.
Have the customer demonstrate the product and/or
typical tasks related to the product.
Be alert for surprise and the expression of latent needs.
Watch for nonverbal information.
4. Documenting interactions with customers
Audio recording
Notes
Video recording
Still photography

Step 2: Interpret raw data in terms of customer needs

Guidelines:
Express the need in terms of what the product has to do, not
in terms of how it might do it.
Express the need as specifically as the raw data
Use positive, not negative, phrasing.
Express the need as an attribute of the product
Avoid the word must and should.
Step 3: Organize the needs into hierarchy
Procedure:
1. Print or write each need statement on a separate card or selfstick note.
2. Eliminate redundant statements.
3. Group the cards according to the similarity of the needs they
express.
4. For each group, choose a label.
5. Consider creating super groups consisting of two to five
groups.
6. Review and edit the organized needs statements.
Step 4: Establish the relative importance of the needs.
Step 5: Reflect on the results and the process

UNIT 3
A. PRODUCT SPECIFICATIONS
What are specifications?
When are specifications established?
Target specifications
Final specifications
Establishing Target specifications
Four step process:
Step 1: Prepare the list of metrics.
Guidelines:
Metrics should be complete
Metrics should be dependent, not independent, variables
Metrics should be practical
Some needs cannot easily be translated into quantifiable
metrics
The metrics should include the popular criteria for
comparison in the marketplace.
Step 2: Collect competitive benchmarking information.
Step 3: Set ideal and marginally acceptable target values
Five ways to express the values of the metrics
At least X
At most X
Between X and Y
Exactly X
A set of discrete values
Step 4: Reflect on the results and the process

Setting the final specifications

Five step process:
Step 1: Develop technical models of the product- flow chart
Step 2: Develop a cost model of the product (bill of materials)
Step 3: Refine the specifications; making trade- offs where
necessary.
---Graph -------Step4: Flow down the specifications as appropriate.
Step 5: Reflect on the results and the process.

B. CONCEPT GENERATION
A FIVE STEP METHOD
------------- Flow chart
Step 1: Clarify the problem
Decompose a complex problem into simpler sub problem
Decomposition by sequence of user actions
Decomposition by key customer needs
Focus initial efforts on the critical sub problems.

Step 2: Search externally

Interview lead users

Consult experts
Search patents
Search published literature
Benchmark related products

Step3: Search internally

Guidelines
1. Suspend judgment.
2. Generate a lot of ideas
3. Welcome ideas that may seem infeasible.
4. Use graphical and physical media.
Both individual and group sessions can be useful.
Hints for generating solution concepts.
1.
2.
3.
4.
5.
6.

Make analogies
Wish and wonder
Use related stimuli
Use unrelated stimuli
Set quantitative goals
Use the gallery method

Step 4: Expose systematically

Concept classification tree
Concept combination table

Concept classification tree--------Flow chart

Four important benefits:
1. Pruning of less promising branches
2. identification of independent approaches to the problem
3. Exposure of inappropriate emphasis on certain branch
4. Refinement of the problem decomposition for a particular
branch.
Concept combination table---------- Table
Managing the exploration process
Step 5: Reflect on the results and the process

UNIT 4
A. CONCEPT SELECTION
CONCEPT SELECTION:
Concept selection is the process of evaluating concepts with
respect to customer needs and other criteria, comparing the relative
strengths and weaknesses of the concepts, and selecting one or
more concepts for further investigation, testing, or development.
Methods used for choosing a concept----------- Diagram

External decision
Product champion
Intuition
Multivoting
Pros and cons
Prototype and test
Decision matrices

Potential benefits of structured concept selection method:

A customer- focused product

A competitive design
Better product- process coordination
Reduced time to product introduction
Effective group decision making
Documentation of the decision process

Two stage concept selection methodology:

1. Concept screening
2. Concept scoring

Six step process in concept selection activity.

(For both concept screening and concept scoring)
1.
2.
3.
4.
5.
6.

Prepare the selection matrix

Rate the concepts
Rank the concepts
Combine and improve the concepts
Select one or more concepts
Reflect on the results and the process

Caveats:
Decomposition of concept quality
Subjective criteria
To facilitate improvement of concepts
Where to include cost
Selecting elements of aggregate concepts
Applying concept selection throughout the development
process.

B. CONCEPT TESTING
Seven step method for testing product concepts:
1. Define the purpose of the concept test
2. Choose a survey population
Factors favoring a smaller sample size
Factors favoring a larger sample size
3. Choose a survey format
Formats commonly used in concept testing
Face to- face interaction
Telephone
Postal mail
Electronic mail
internet

4. Communicate the concept

Ways of communication
Verbal description
Sketch
Photos and renderings
Storyboard
Video
Simulation
Interactive multimedia
Physical appearance models
Working prototypes
Issues in communicating the concept
5. Measure customer response
----purchase intent
Five response categories of the most commonly used
purchase intent:
1. definitely would buy
2. probably would buy
3. might or might not buy
4. probably would not buy
5. definitely would not buy

6. Interpret the results

The quantity of product expected to be sold during a
time period (Q)
Q=NxAxP
N = number of potential customers expected to make
purchases during the time period.
A = fraction of these potential customers or purchases
for which the product is available and the customer is
aware of the product.
P = probability that the product is purchased if available
and if the customer is aware of it.
P =(C

definitely

xF

definitely

) + (C

probably

7. Reflect on the results and the process

x F probably)

UNIT 5
PRODUCT ARCHITECTURE
1. DEFINITION:
The architecture of a product is the scheme by which the
functional elements of the product are arranged into physical
chunks and by which the chunks interact.

----- Physical elements

----- Functional elements
2. CHUNKS:
The physical elements of a product are typically organized into
several major physical building blocks called as chunks.
3. MODULAR ARCHITECTURE
4. INTEGRAL ARCHITECTURE
5. TYPES OF MODULARITY:
1. Slot Modular Architecture
2. Bus - Modular Architecture
3. Sectional - Modular Architecture
6. IMPLICATIONS OF THE ARCHITECTURE
a. Product change
Motives for product change
Upgrade
Add-ons
Adaptation
Wear
Consumption
Flexibility in use
Reuse

b. Product variety
c. Component standardization
d. Product performance
e. Manufacturability
f. Product development management
7. ESTABLISHING THE ARCHITECTURE:
Steps:
1. Create a schematic of the product
2. Cluster the elements of the schematic
Geometric integration and precision
Function sharing
Capabilities of vendors
Similarity of design or production technology
Localization of change
Accommodating variety
Enabling standardization
Portability of the interfaces
3. Create a rough geometric layout
4. Identify the fundamental and incidental interactions
8. DELAYED DIFFRENTIATON
Two design principles are necessary conditions for
postponement.
The differentiating elements of the product must be
concentrated in one or a few chunks
The product and production process must be designed so
that the differentiating chunk(s) can be added to the
product near the end of the supply chain.
9. PLATEFORM PLANNING
Differentiation plan
Commonality plan

10. MANAGING THE TRADE- OFF BETWEEN DIFFERENTIATION

AND COMMONALITY.
Guidelines:
Platform planning decisions should be informed by quantitative
estimates of cost and revenue implications
Iteration is beneficial
The product architecture dictates the nature of the trade
off between differentiation and commonality.
11. RELATED SYSTEM LEVEL DESIGN ISSUES
Defining secondary systems
Establishing the architecture of the chunks
Creating detailed interface specifications