1. Introduction to Product design and development
1. Introduction to Product design and development
and
Development
INTRODUCTIO
N
What is a product?
Created by an enterprise
for customers to fulfil the
required needs quickly
and at low cost
What is product
development?
Set of activities beginning
with the perception of market
opportunity and ending in the
production, sale and delivery
of the product
Are all products successful?
Price - $1500
Social
acceptance
Design and UX
Are all products successful?
Objective of PDD
Provides a collection of methods
intended to enhance the abilities of
cross-functional teams to work
together to develop complex products
Presents in a clear detailed way a set
of product development methods
aimed at bringing together the
marketing, design and manufacturing
functions of the enterprise
Characteristics of a
Successful Product
1. Product quality
Does it satisfy customer needs?
Is it robust and reliable?
How much hold the product has in the market share and the price the
customers are willing to pay?
2. Product cost
What is the manufacturing cost?
Cost includes spending on capital equipment and on tooling
Incremental cost of producing each unit of the product
3. Development cost
How much did the firm have to spend to develop the product?
Usually a significant fraction of the investment required to achieve the profits
Characteristics of a
Successful Product
4. Development time
How quickly did the team complete the product development
effort?
How responsive the firm is to the competitive market and to
technological developments
5. Development capability
Are the team and the firm better able to develop future
products as a result of their experience with a product
development project?
It is an asset a firm can use to develop products more
effectively and economically in the future
Who Designs and
Develops Product?
Product development is an inter-
disciplinary activity requiring
contributions from nearly all
functions of a firm; however three
functions are almost always central
to a product development project
Who Designs and
Develops
1.Marketing
Product?
It mediates interactions between the firm
and its customers
Facilitates the identification of product
opportunities, the definition of market
segments and identification of customer
needs
Arranges for communication between the
firm and its customers, sets target prices;
Who Designs and
Develops
2. Design
Product?
It plays the lead role in defining the
physical form of the product to best
meet customer requirements
It includes Engineering design
(Mechanical, Electrical, Software) and
Industrial design (Aesthetics,
Ergonomics and User Interface)
Who Designs and
Develops Product?
3. Manufacturing
It is primarily responsible for
designing, operating and/or
coordinating the production
system in order to produce the
product
Duration Cost of Product
Development
• Very few product can be developed in
less than a year
• Many require 3 to 5 years
• Some take as long as 10 years
• Cost of product development is roughly
proportional to no. of people on project
team and to duration of project
Challenges of Product
Development
1. Trade-offs:
An airplane can be made lighter, but this action will
probably increase manufacturing cost
2. Dynamics:
Technologies improve, customer preferences evolve,
competitors introduce new products
Decision making in an environment of constant change
is a formidable task
Challenges of Product
3. Details:
Development
The choice between using screw or snap fits on a enclosure of
a computer can have economic implications of millions of
dollars
4. Time pressure:
Above difficulties can be managed if plenty of time is used,
but product development decisions must usually be made
quickly and without complete information
5. Economics:
Developing, producing and marketing a new product requires
a large investment
To earn a reasonable return on this investment, the resulting
product must be both appealing and relatively inexpensive to
produce
Approach of this course
Will not be discussing core
functions such as how to perform
stress analysis which are
disciplinary skills
Methods discussed are intended
to facilitate problem solving and
decision making among people
with different disciplinary