PRODUCT DESIGN AND
DEVELOPMENT
Lecturer Shakir Hussain
“Product design and development” by karl T.ulrich
and Steven D.epenger.
Assessment system
Quiz-10-15%
Assignment-10-15%
OHT-25-30%
End semester-25-30%
Project 20%
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Class Policies
No late comers
Student coming more than 5 min late, after the start of the class
will be marked absent
Students absent during Quizzes
will get zero, OR
minimum score of the Quiz / student’s own average
Depending on the nature of absence
Late submission of Assignments
Maximum three days allowed for delayed submission @ deduction
of 10% marks per day.
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Course Breakdown
Theory of course
Introduction to product design and development
Development processes and organization
Product planning
Identifying customer needs
Product specifications
Concept generation
Concept selection
Concept testing
Product architecture
Industrial design
Design for manufacturing
Product development economics
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Introduction to Product design and
development
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Learning objective
Basic definitions of terms
Product development team
Product development process overview
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What is product?
A term used to describe all goods, services and
knowledge sold.
A product is something (physical or not) created
through a process that provides benefit to a market.
Something sold by an enterprise to its customers.
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Types of product
Market pull product:-
E.g. Furniture, different types of tools, food items etc
Technology push product:-
E.g. Cellular phones, Medical equipment, Medicines
etc
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Product design & development
Why do we require new products?
To solve existing or future customers problems.
Improve existing products.
Increase a company’s existing customer base.
Replace existing products.
Reduce product cost.
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Difference B/W Product Development
& Product Design
Product development :- (Creation of new products
from scratch)
It involves complete product development cycle from
idea generation to the end of the product life-cycle.
Product remains in development cycle during its
lifetime
Product development involves following activities:-
Idea generation
Market analysis : Business scope, Competition etc
Product specifications and target price finalization
Marketing
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Difference B/W Product Development
& Product Design
Concept Industrial design.
Detailed Design: Costing, Product Testing etc.
Manufacturing / Production.
Logistics.
Sales.
Customer Feedback and Product Improvements.
Aftermarket Services
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Difference B/W Product Development
& Product Design
Product Design :-
Product design is a part of product development
cycle.
Mostly technical people and area experts are involved
in theses activities.
Product Design involves following activities:-
Concept Design
User Experience
Architecture Design
Detailed Design: Mechanical / Electrical /Software
Design etc.
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Difference B/W Product Development
& Product Design
Product Integration.
Prototyping and Testing.
Product verification and validation.
Design Team ensures, product working as per design
specifications and within target cost.
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What is Product Development and
Product Design ?
Product Development:- New products and
services are created to fulfill customers existing and
future needs.
A product development is the entire set of
activities required to bring a new concept to a
state of market readiness.
Conversion of market need to a reality-based
solution
Creating the tangible from the intangible
Creation of new wealth
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What is Product Development and
Product Design ?
Product Design:-
A product design is the set of technical activities
within a product development process.
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Why is Product Development
Important
It is “big business of hundred billion dollars”
New value for customers
Improved society
Continued existence of the company
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Product Development Risks
Any new project development project faces risks from
two independent sources:-
Technical Feasibility
Is the product technically Feasible?
Can we make it in a reasonable time?
Commercial Feasibility
Will people buy it at a reasonable profit to us?
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“The economic success of
manufacturing firms depends on
their ability to identify the needs
of customers and to quickly
create products that meet these
needs and can be produced at
low cost ”
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Characteristics of Successful Product
Development
From the perspective of the investor in a profit
enterprise, successful product development results in
products that can be produced and sold profitably.
Following are the characteristics of successful product
development:
Product Quality – How good is the product resulting
from the development effort? Does it satisfy customer
needs? Is it robust & reliable?–The product quality is
reflected in the market share and the price that
customers are willing to pay.
Product Cost – What is Manufacturing cost? It
includes spending on capital equipment, tooling and
incremental cost of producing each unit of the
product. Product cost determines how much profit
accrues.
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Characteristics of Successful Product
Development
Development Time – How quickly did the team
completes the product development effort?
Development time determines response of the firm
and how quickly the firm receives the economic
returns.
Development Cost – How much did the firm
have to spend to develop the product?
Research and development cost
Market and customer surveys
Life cycle cost analysis, also include product
cost
20 Characteristics of Successful Product Development
Continued
Development Capability – Are the team and
the firm better able to develop the future
products as a result of the experience with a
product development project?
Development capability is an asset, the firm can
use to develop products more effectively and
economically in future.
A firm needs to gauge this asset all the time
21 Characteristics of Successful Product Development
Product development process
Product development is an interdisciplinary activity and requires
inputs from all functions of a firm; however 3 functions are
always central to a product development project:
Marketing
Communication between the firm and its customers.
Marketing often facilitates the identification of product opportunities, the
defining of market segments and identification of customer needs.
Sets target prices, and oversees the launch and promotion of the
product.
Design
Includes engineering and industrial designs
Manufacturing
Designing and operating the manufacturing system
Its also includes purchasing, distribution and installation ie Supply
Chain
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Product development process
Design
The design function plays the lead role in defining
the physical form of the product to best meet
customer needs.
It Includes engineering design (Mechanical,
electrical and software) and industrial designs
(Aesthetics, user interfaces).
Manufacturing
The manufacturing function is primarily responsible
for designing, operating and coordinating the
production systems in order to produce the
product.
Its also includes purchasing, distribution and
installation , sometime called Supply Chain
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Product Development Triad
• Identify Market
Marketing • Set Pricing
SOLUTION
• Environmental
• Mechanical
• Electrical • Ensures Quality
• Software • Ensures Output
• Structural • Controls Cost
Design Manufacturing
Project Team
The collection of individuals developing a
product forms the project team.
Core Team – usually remain small enough to
meet in conference room
Extended Team – may include dozens,
hundreds or even thousands of other members
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Product Development Team
The Product Development Process
Attributes of Five Products and Associated
Development Efforts
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Challenges of Product development
Developing great product is difficult task. Some of the
characteristics that make product development
challenging are:-
Trade-offs
As an engineering product designer, one of the hardest things
is to justify the decisions and manage trade-offs during the
design stage. E.g, a car can be made to look like the BMW
concept car. An airplane can be made lighter, but this action
will probably increase manifesting cost.
Successful product trade-off Weight / durability, cost /
performance, etc
Dynamics
Variability in customer needs, technology improve, shifts
/emerge, competitors introduce new products and
macroeconomic environment.
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Challenges of Product development
Details
Developing a product of even modest complexity may require
thousands of decisions like the choice B/W using of screws or
snap-fits (parts’ interlocking) on the enclosure of a computer.
Time pressure
Product development decisions must be made quickly and
without complete information.
Meet Deadlines smartly.
Economics
Developing, producing and marketing a new product requires
a large investment.
To earn reasonable profit on investment, the resulting product
must be appealing to customer and relatively inexpensive to
produce.
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Attributes of Product development
Creation
Journey from an idea to physical form
Satisfaction of societal and individual needs
Personnel satisfaction
Team diversity
Variety of team members
Team spirit
High level of motivation
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Characteristics Leading to
Dysfunctional Product Dev Teams
Lack of empowerment of the team
Functional allegiances transcending project
goals
Inadequate resources
Lack of cross-functional representation on the
project team
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Duration and Cost of Product Development
Very few products can be developed in less than 1
year, many require 3 to 5 years, and some take as
long as 10 years.
The cost of product development is roughly
proportional to the number of people on the project
team and to the duration of the project.
Fixed and variable cost
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Summary
Basic definitions of terms
Product
Development
Team
Successful product development
Product development team and development
process overview
Challenges & Attributes of Product development
process which make it interesting
Characteristics leading to dysfunctional Product Dev
Teams
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Q&A
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