SLIDE 1

Computer-Aid Design
the application of computer-based software to design processes

They are factors to consider in the production of a requirement which

includes:
1. Design for Manufacturing (DFM)
2. Design for Assembly (DFA)
3. Manufacturability

SLIDE 2

Service Design
There are many resemblances between product and service design. Despite the fact that
there are similarities, there are some important differences as well, because of the nature of
services.

Service design such as:

*Service
*Service delivery system
*Product bundle
*Service package

SLIDE 3

Overview of Service Design

Service design arises with the selection of a service strategy, which regulates the nature
and focus of the service, and the target market.

Difference between Service Design and Product Design

1. Products are generally tangible; services are generally intangible,

Therefore, service design often emphases more on intangible factors (e.g., peace of mind,
ambiance) than does product design
2. In many occurrences services are created and delivered at the same
time ( e.g., haircut, a car wash). In such instances there is less leeway in discovering and
amending errors before the customer has a chance to discover them. Thus, training process
design, and customer relations are predominantly important.
3. Services cannot be inventoried. This poses limitations on flexibility and makes capacity
issues very vital.
4.Services are highly noticeable to consumers and must be designed with that in mind, this
adds an extra measurement to process design, one that frequently is not present in product
design.
5. Some services have low barriers to entry and exit. This places supplementary pressures on
service design to be innovative and cost-effective.
6. Location is often imperative to service design, with accessibility as a factor. Hence, design of
services and choice of location are often closely linked.
7.Service systems range from those with little or no customer contact to those that have a very
high degree of customer contact. Here are some examples of those different types: Insulated
technical core; little or no customer contact (e.g., software development). Production line; little or
no customer contact (e.g., automatic car wash). Personalized service (e.g. haircut, medical
service). Consumer participation (e.g., diet program, dance lessons). Self service (e.g.,
supermarket). If there is little or no customer contact, service system design is like product
system design.
8. Demand inconsistency alternately creates waiting lines or idle service resources

SLIDE 4

The major steps in blueprinting service are as follows:

1. Establishing boundaries for the service and deciding the level details that are needed.
2. Identify the sequence of customer and service action and interactions. Flowcharting is an
important tool for this step.
3. Developing time estimation for each phase of the process and delivery of the service.
4. Identifying potential failure points and identifying how to minimize or mitigate it.
Characteristics of a Well-Designed Service Systems
1. Consistency of the Service Design into the Organization Mission
2. Service Design should be user-friendly
3. Vigorous if inconsistency is a factory
4. Easily to sustain
5. Cost-efficiency
6. Customer perceived value
7. Having an effective linkage between the back-office operation and
the front office operation.
8. Single and unified theme of the service
9. Reliability and High Quality

SLIDE 5
Guidelines for Successful Service Design
1. Define the service package in detail.
2. Focus on the operation from the customers' perspective.
3. Considering the image of service package
4.Recognizing the designers' familiarity with the system
5.Making sure that manager is involved in the system design and its implementation
6. Defining quality for both tangibles and intangibles.
7. Make sure the recruiting, training as well as reward policies are consistent with the service
expectations.
8.Establishing procedure for both fortunate and unfortunate events.
9.Establishment monitoring and control, improvement of the service.

SLIDE 6
Operations Strategy for Product and Service Design
1. Packaging products and supplementary services to increase sales.
2. Using multiple-use platforms
3. Implementing tactics that will ensure high volume of demand while satisfying customers
wants and needs.
4. Continue to monitor product and service for improvements.
5. Shorten the time in order to take new or redesign products and services.
7.Using technology in designing new or redesign exciting products and services.
6.Using standardized components in creating new and redesigned products and services.
8. Concurrent engineering and shorten engineering time.
SLIDE 7
Capacity Planning for Products and Services
Capacity planning is one of the key strategies in designing a system. It involves many
basic decisions with long-range impact on the organization.

1. What kind of capacity is needed?

2. How much is needed to match the demand?
3. When will it be needed?

In deciding what kind of capacity and how much is needed to match the demand it
should also consider the following:
1. Cost
2. Expected Return
3. Benefits and Risks
4. Sustainability Issues
5. Supply Chain requirements

SLIDE 8
Capacity Decisions are Strategic
For numerous reasons capacity decisions are considered as strategic for the company, in
fact it is critical for the company to have decisions to have a good capacity

1. Capacity decisions have a real impact on the organizations' ability to meet the demand in the
future for products and service.
2. Capacity decisions affect costs, at it may implies to losses if not manage correctly.
3. Capacity is initially the basis of initial costing.
4. Capacity decisions normally involve long-range commitment to resources, and will definitely
affect the organization if there are mishandling or failed decision making. It will incur a major
cost for the organization.
5. Capacity decisions can directly impact the competitiveness of the organization.
6. Capacity affects the ease in management.
7. Globalization has increased the importance of capacity decisions.
8. Capacity planning normally involves financial resources; the decisions should come in
advance.Defining and Measuring Capacity
Design Capacity - the maximum output rate or service capacity an operation process, or facility
is designed for.
Effective Capacity - design capacity minus allowances and personal time, as well as
maintenance.
SLIDE 9
These are the following measurement capacities in terms of efficiency and utilization:

Actual Output
Efficiency=___________________ *100%
Effective capacity

Actual Output
Utilization=___________________ *100%
Design capacity

Example:
Design Capacity= 100 bags of tapioca per day
Efficiency = 80 bags of tapioca per day
Actual Output = 75 bags of tapioca per day

75
Efficiency= ____*100% = 93.75%
80
75
Utilization= _____ *100% = 75%
100

SLIDE 10
Determinant of Effective Capacity

1. Facility - the key for effective capacity is the size and provision for expansion of the facility.
Further, location, transportation cost and how far the facility is in the market, energy sources
and labor forces are also important.

2. Product and Service Factors - product and service design has greatly
affecting capacity planning. The ability to produce the item is important. For instance, in a
restaurant that has a limited menu, the possibility to deliver the service is much faster than
those who have numerous items in the menu. Further, if the dimension or the size of a particular
product or output is the same, it is easier to standardize the process, methods and materials.

3. Process Factors - the quantity capacity of a process is an apparent factor of capacity. Another
determinant is the quality of output.Process improvement can help to increase quality as well as
its quality

4 Human Factors - it includes the tasks, training skill of the manpower as well as their
experiences. Absenteeism, compensation and turnover rate will also affect the operation and
impact capacity planning.
5. Policy Factors - management policy has greatly impact capacity planning by allowing or not
allowing overtime and shifting schedules.

6. Operational Factors - Scheduling, equipment capabilities as well as inventory stocking

decision affects the capacity planning,

7. Supply Chain Factors - Changes in suppliers, warehousing, transportation and distribution will
then affect the capacity planning.

8. External factors - Regulations of the government, product standards, safety regulations, as

well as Unions and environmental standards can also be considered in capacity planning.

Strategy Formulation
Generally, organizations base their capacity strategy with the following factors:
1. Long term demand pattern
2. Technology changes
3. Behavior of the competitors