PUTRI AMANDHARI- 64 INT A PRODUCT DESIGN s to develop and implement a product strategy that meets the demands of the marketplace with a competitive advante he objective: PRODUCT LIFE CYCLES The selection, definition, and design of product. The four phase of product life cycle are Introduction, Growth, Maturity, PRODUCT-BY-VALUE Analysis A list of products, in descending order of their individual dollar contribution to the firm, as well as the total annual dollar contribution of the product. External development strategies include (a) purchase the technology or expertise by PRODUCT Decline. Internal development strategies inclu (a) new internally developed products acquiring the developer DEVELOPMENT (2) enhancements to existing product: (2) establish joint ventures (3) develop alliances. To form a decision tree need to L Include all possible alternative and states of nature 2 Enter payoffs at the end of the appropriate branch CONTINUM_ ® migrations of existing products. APPLICATION OF DECISION 3, Determine the expected value of each course of action by starting TREES at the end of the tress and working toward the beginning, calculat- ing values at each step and “pruning” inferior alternatives, GENERATING NEW PRODUCTS Understanding the customer Economic change Sociological and demographic change . Technological change Political and legal change Other change: market practice, professional standard, suppliers and distributors. TO PRODUCT DESIGN SERVICE DESIGN Process-chain-network (PCN) analysis - a way to design processes to optimize interac- tion between firms and their customers. Pro- cess chain- a sequence of steps that provide value to process participants. To enhance ser- vice efficiency, companies needs to : Limit option, Delay customization, Modularize, Automate, Design for the “Moment of Truth”, HOUSE OF QUALITY PRODUCT DEVELOPMEN™ a part of quality function deployment process that utilize a planning matrix to relate customer wants to how the firm is going to meet those wants PRODUCT DEVELOPMENT TEAMS Team charged with moving from market requirements for a product to achieving product success. CONCURRENT ENGINEERING Use of participating teams in design and engineering activities MANUFACTURABILITY AND VALUE ENGINEERING Activities that help improve a product's design, production, maintainability andPUTRI AMANDHARI _ 64 INT A QUALITY AND STRATEGY Managing quality helps build successful strategies of differentiation, low cist and response. Two ways that quality improves profitability are:sales gains via improved response, price flexibility, increased market share, and/or improved reputation. - Reduced costs via increased productivity, lower rework and scrap costs, and/or lower warranty costs. QUALITY : An operations manager's objective is to build a total quality manage- ment system that identifies and satisfies customer needs, Quality the ability of a product or services to meet customer needs. ISO 9000 : aset of quality standards de- veloped by the International Organization for Standardization (ISO) . is the only qual- ity standard with international recognition. todo the business globally, being listed in the ISO directory is critical COST OF QUALITY: the cost of doing things wrong; that is, the price of non- conformance. TQM IN SERVICES Determinants of service quality reliability, responsiveness, competence, access, cour- tesy, communication, credibility, credibility, security, understanding/knowing the cus- tomer, and tangibles, Service Recovery training and empowering frontline workers to solve a problem immediately. QUALITY CIRCLE a group of employees meeting regularly with a fa- cilitator to solve work related problems in their work area. BENCHMARKING selecting a dem- onstrated standard of performance that represents the very best performance for a process or an activ- ity. QUALITY ROBUST products that are consis- tently built to meet customer needs, in spite of ad- verse conditions in the production process. QUAL- ITY LOSS FUNTION (QLF) a mathematical func- tion that identifies all costs connected with poor quality and shows how these costs increase as prod- uct quality moves from what the consumer wants, L=D2C. G8 TOTAL QUALITY MANAGEMENT Management of entire organization so that it excels in all aspects of products and services that are important to the customer. Seven concepts for an effective TQM pro- gram are: 1.Continuous Improvement 2.Six Sigma a program to save time, improve quality, and lower costs 3.Employee Empowerment enlarging employee jobs so that the added responsibility and authority are moved to the lowest level possible in the organization. 4.Benchmarking 5,Just-In-Time (JIT) 6:Taguchi Concept 7.Knowledge Of TQM Tools THE ROLE INSPECTION INSPECTION a means of ensuring that an operation is producing at the quality level expected. SOURCE INSPECTION: controlling or monitoring at the point of production or purchase; at the source. POKA-YOKE: a technique that ensure the production of a good unit every time. CHECKLIST; a type of pokeyoke that lists the steps needed to ‘ensure consistency and completeness in a task ATTRIBUTES INSPECTION: an inspection that classifies items as being either good or defective. VARIABLE INSPECTIO: classification of inspected items as falling ona continuum scale, such as dimension, size or strength, TARGET-ORIENTED QUALITY A philosophy of continuous improvements to bring the product exactly on target. TOOLS OF TQM: tools that generate ideas include the check sheet (organized method of recording data), scatter diagram (graph of the value of one variable vs. another variable), and ~cause-effect- diagram. tools for organizing the data are the Pareto chart and flowchart. Tools for identifying problems are the histogram (distribution showing frequency of occurrences of a variable) and statistical process control chart. Cause- and-effect diagram : a schematic technique used to dis- cover possible locations of quality problems. (Also called an Ishikawa diagram or a fish-bone chart). Pareto chart :a graphic that identifies the few critical items as opposed to many less important ones. Flow- chart : a block diagram that graphically describes a processor system. Statistical process control (SPC) : a process used to monitor standards, make measure- ments, and take corrective action as a products or ser- vice is being produced. Control chart a graphic presentation of process data over time, with needetermined cantral limite