OSCM Chapter 3: Product Design

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1

Product Design

is integral part of success of many companies and differs significantly depending on the industry.

2

Core competency

is one thing that a firm can do better than its competitors. The goal is to have a core competency that yields a long-term competitive advantage to the company.

3

contract manufacturer

an organization that performs manufacturing and/or purchasing needed to produce a product or device not for itself but as a service to another firm.

4

product development process

some firms define and follow a precise and detailed development process, while other may not even be able to describe their processes.

the same organization may follow different processes for different product groups.

5

6 steps of product development process

phase 0: Planning

phase 1: concept development

phase 2: system-level design

phase 3: detail design

phase 4: testing and refinement

phase 5: production ramp-up

6

Technology-push products:

a firm begins with a new proprietary technology and looks for an appropriate market in which to apply this technology. (the technology pushes development)

7

Process-intensive products:

for these products, the production process has an impact on properties of the product so that product design cannot be separated from the production process design. (process-intensive products are produced at very high volumes and are bulk)

8

Platform Products:

Built around a preexisting technological subsystem (a technology platform)

9

Customized Products

slight variation of standard configurations and are typically developed in response to a specific order by a customer.

developing these products consists primarily of setting values of design variables such as physical dimensions and materials