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4Productand

ServiceDesign4-2LearningObjectivesExplainthestrategicimportanceofproductandservicedesign.Listsomekeyreasonsfordesignorredesign.Identifythemainobjectivesofproductandservicedesign.Discusstheimportanceofstandardization.Discusstheimportanceoflegal,ethical,andenvironmentalissuesinproductandservicedesign.4-3LearningObjectivesBrieflydescribethephasesinproductdesignanddevelopment.Describesomeofthemainsourcesofdesignideas.Nameseveralkeyissuesinmanufacturingdesign.Nameseveralkeyissuesinservicedesign.Namethephasesinservicedesign.Listthecharacteristicsofwell-designedservicesystems.Namesomeofthechallengesofservicedesign.4-4MajorfactorsindesignstrategyCostQualityTime-to-marketCustomersatisfactionCompetitiveadvantageProductandServiceDesignProductandservicedesign—orredesign—shouldbecloselytiedtoanorganization’sstrategy4-5TranslatecustomerwantsandneedsintoproductandservicerequirementsRefineexistingproductsandservicesDevelopnewproductsandservicesFormulatequalitygoalsFormulatecosttargetsConstructandtestprototypesDocumentspecificationsProductorServiceDesignActivities4-6ReasonsforProductorServiceDesignEconomicSocialanddemographic1Political,liability2,orlegalCompetitiveCostoravailabilityTechnological4-7ObjectivesofProductandServiceDesignMainfocus1CustomersatisfactionUnderstandwhatthecustomerwantsSecondaryfocusFunctionofproduct/serviceCost/profitQualityAppearanceEaseofproduction/assemblyEaseofmaintenance/service4-8Takingintoaccountthecapabilitiesoftheorganizationindesigninggoodsandservices.Failuretotakethisintoaccountcan:ReduceproductivityReducequalityIncreasecostsDesigningForOperations4-9LegalAgri-FoodandVeterinaryAuthority,HealthSciencesAuthorityProductliabilityUniformcommercialcodeEthicalReleasingproductswithdefectsEnvironmentalEPALegal,Ethical,and

EnvironmentalIssues4-10RegulationsandLegalConsiderationsProductLiability:Amanufacturerisliableforanyinjuriesordamagescausedbyafaultyproduct.UniformCommercialCode:Productscarryanimplicationofmerchantabilityandfitness.4-11DesignersAdheretoGuidelinesProducedesignsthatareconsistentwiththegoalsofthecompanyGivecustomersthevaluetheyexpectMakehealthandsafetyaprimaryconcernConsiderpotentialharmtotheenvironment4-12OtherIssuesinProductandServiceDesignProduct/servicelifecyclesDegreeofstandardizationMasscustomizationProduct/servicereliabilityRobustnessofdesign1DegreeofnewnessCulturaldifferences4-13LifeCyclesofProductsorServicesTimeIntroductionGrowthMaturitySaturationDeclineDemandFigure4.14-14StandardizationStandardizationExtenttowhichthereisanabsenceofvarietyinaproduct,service,orprocessStandardizedproductsareimmediatelyavailabletocustomers4-15AdvantagesofStandardizationFewerpartstodealwithininventoryandmanufacturingDesigncostsaregenerallylowerReducedtrainingcostsandtimeMoreroutinepurchasing,handling,andinspectionproceduresQualityismoreconsistent4-16AdvantagesofStandardizationOrdersfillablefrominventoryOpportunitiesforlongproductionrunsandautomationNeedforfewerpartsjustifiesincreasedexpendituresonperfectingdesignsandimprovingqualitycontrolprocedures4-17DisadvantagesofStandardization

DesignsmaybefrozenwithtoomanyimperfectionsremainingHighcostofdesignchangesincreasesresistancetoimprovementsDecreasedvarietyresultsinlessconsumerappeal4-18Masscustomization:Astrategyofproducingstandardizedgoodsorservices,butincorporatingsomedegreeofcustomizationDelayeddifferentiationModulardesignMassCustomization4-19DelayeddifferentiationisapostponementtacticProducingbutnotquitecompletingaproductorserviceuntilcustomerpreferencesorspecificationsareknownDelayedDifferentiation4-20ModularDesignModulardesignisaformofstandardizationinwhichcomponentpartsaresubdividedintomodulesthatareeasilyreplacedorinterchanged.Itallows:easierdiagnosisandremedyoffailureseasierrepairandreplacementsimplificationofmanufacturingandassembly

4-21ReliabilityReliability:Theabilityofaproduct,part,orsystemtoperformitsintendedfunctionunderaprescribedsetofconditionsFailure:Situationinwhichaproduct,part,orsystemdoesnotperformasintendedNormaloperatingconditions:Thesetofconditionsunderwhichanitem’sreliabilityisspecified4-22ImprovingReliabilityComponentdesignProduction/assemblytechniquesTestingRedundancy/backupPreventivemaintenanceproceduresUsereducationSystemdesign4-23ProductDesignProductlifecyclesRobustdesignConcurrentengineeringComputer-aideddesignModulardesign4-24

Robustdesign:DesignthatresultsinproductsorservicesthatcanfunctionoverabroadrangeofconditionsRobustDesign4-25Taguchi’sApproachDesignarobustproductInsensitivetoenvironmentalfactorseitherinmanufacturingorinuse.CentralfeatureisParameterDesign.Determines:factorsthatarecontrollableandthosenotcontrollabletheiroptimallevelsrelativetomajorproductadvances4-26DegreeofNewnessModificationofanexistingproduct/serviceExpansionofanexistingproduct/serviceCloneofacompetitor’sproduct/serviceNewproduct/service4-27CulturalDifferencesMultinationalcompaniesmusttakeintoaccountculturaldifferencesrelatedtotheproductdesign.4-28GlobalProductDesignVirtualteamsUsescombinedeffortsofateamofdesignersworkingindifferentcountriesProvidesarangeofcomparativeadvantagesovertraditionalteamssuchas:EngagingthebesthumanresourcesaroundtheworldPossiblyoperatingona24-hrbasisGlobalcustomerneedsassessmentGlobaldesigncanincreasemarketability4-29GlobalProductDesignOriginalEquipmentManufacturer(OEM)DesignsandmanufacturesaproductbasedonitsownspecificationsandsellstoanothercompanyforbrandinganddistributionOriginalDesignManufacturer(ODM)Designsandmanufacturesaproductaccordingtopurchaser’sspecificationsOriginalBrandManufacturer(OBM)Sellsanentireproductthatismanufacturedbyasecondcompanyunderitsownbrand4-30PhasesinProduct

DevelopmentProcessIdeagenerationFeasibilityanalysisProductspecificationsProcessspecificationsPrototypedevelopmentDesignreviewMarkettestProductintroductionFollow-upevaluation4-31IdeaGenerationIdeasCompetitorbasedSupply-chainbasedResearchbased4-32ReverseEngineeringReverseengineeringisthedismantlingandinspecting

ofacompetitor’sproducttodiscoverproductimprovements.4-33Research&Development(R&D)Organizedeffortstoincreasescientificknowledgeorproductinnovation,andmayinvolve:BasicResearch:advancesknowledgeaboutasubjectwithoutnear-termexpectationsofcommercialapplications.AppliedResearch:achievescommercialapplications.Development:convertsresultsofappliedresearchintocommercialapplications.4-34ManufacturabilityManufacturabilityistheeaseoffabricationand/orassembly,whichisimportantfor:CostProductivityQuality4-35DesigningforManufacturingBeyondtheoverallobjectivetoachievecustomersatisfactionwhilemakingareasonableprofitis:DesignforManufacturing(DFM)

Thedesigners’considerationoftheorganization’smanufacturingcapabilitieswhendesigningaproduct.Themoregeneraltermdesignforoperations

encompassesservicesaswellasmanufacturing.4-36ConcurrentEngineering

Concurrentengineering

isthebringingtogether

ofengineeringdesignandmanufacturingpersonnel

earlyinthedesignphase.4-37Computer-AidedDesignComputer-aideddesign(CAD)isproductdesignusingcomputergraphics.increasesproductivityofdesigners3to10timescreatesadatabaseformanufacturinginformationonproductspecificationsprovidespossibilityofengineeringandcostanalysisonproposeddesigns4-38Designformanufacturing(DFM)Designforassembly(DFA)Designforrecycling(DFR)RemanufacturingDesignfordisassembly(DFD)RobustdesignProductDesign4-39Recycling:recoveringmaterialsforfutureuseRecyclingreasonsCostsavingsEnvironmentconcernsEnvironmentregulationsRecycling4-40RemanufacturingRemanufacturing:Refurbishingusedproductsbyreplacingworn-outordefectivecomponents.Remanufacturedproductscanbesoldfor50%ofthecostofanewproducerRemanufacturingcanuseunskilledlaborSomegovernmentsrequiremanufacturerstotakebackusedproductsDesignforDisassembly(DFD):Designingproductssothattheycanbeeasilytakenapart.4-41ComponentCommonalityMultipleproductsorproductfamiliesthathaveahighdegreeofsimilaritycansharecomponentsAutomakersusinginternalpartsEnginesandtransmissionsWaterpumpsEtc.OtherbenefitsReducedtrainingforassembleandinstallationReducedrepairtimeandcosts4-42QualityFunctionDeploymentVoiceofthecustomerHouseofqualityQualityFunctionDeploymentQFD: Anapproachthatintegratesthe“voiceofthecustomer”intotheproductandservicedevelopmentprocess.4-43TheHouseofQualityCorrelationmatrixDesignrequirementsCustomerrequire-mentsCompetitiveassessmentRelationshipmatrixSpecificationsortargetvaluesFigure4.3CustomerRequirementsImportancetoCust.EasytocloseStaysopenonahillEasytoopenDoesn’tleakinrainNoroadnoiseImportanceweightingEngineeringCharacteristicsEnergyneededtoclosedoorCheckforceonlevelgroundEnergyneededtoopendoorWaterresistance106692375332XXXXXCorrelation:StrongpositivePositiveNegativeStrongnegativeX*CompetitiveevaluationX=UsA=Comp.AB=Comp.B(5isbest)12345XABXABXABAXBXABRelationships:Strong=9Medium=3Small=1TargetvaluesReduceenergylevelto7.5ft/lbReduceforceto9lb.Reduceenergyto7.5ft/lb.MaintaincurrentlevelTechnicalevaluation(5isbest)54321BAXBAXBAXBXABXABAXDoorsealresistanceAccoust.Trans.WindowMaintaincurrentlevelMaintaincurrentlevelHouseofQualityExampleFigure4.4TheKanoModelFigure4.64-46ServiceDesignServiceisanactServicedeliverysystemFacilitiesProcessesSkillsManyservicesarebundledwithproducts4-47ServiceDesignServicedesigninvolvesThephysicalresourcesneededThegoodsthatarepurchasedorconsumedbythecustomer,orprovidedwiththeserviceExplicitservicesImplicitservices4-48ServiceDesignServiceSomethingthatisdonetoorforacustomerServicedeliverysystemThefacilities,processes,andskillsneededtoprovideaserviceProductbundleThecombinationofgoodsandservicesprovidedtoacustomerServicepackageThephysicalresourcesneededtoperformtheservice4-49Tangible–intangibleServicescreatedanddeliveredatthesametimeServicescannotbeinventoriedServiceshighlyvisibletocustomersServiceshavelowbarriertoentryandexitLocationisimportanttoservicedesignRangeofservicesystemsDemandvariabilityDifferencesBetweenProduct

andServiceDesign4-50ServiceSystemsServicesystemsrangefromthosewithlittleornocustomercontacttoveryhighdegreeofcustomercontactsuchas:Insulatedtechnicalcore(softwaredevelopment)Productionline(automaticcarwash)Personalizedservice(haircut,medicalservice)Consumerparticipation(dietprogram)Self-service(supermarket)4-51ServiceDemandVariabilityDemandvariabilitycreateswaitinglinesandidleserviceresourcesServicedesignperspectives:CostandefficiencyperspectiveCustomerperspectiveCustomerparticipationmakesqualityanddemandvariabilityhardtomanageAttemptstoachievehighefficiencymaydepersonalizeserviceandchangecustomer’sperceptionofquality4-52PhasesinServiceDesignConceptualizeIdentifyservicepackagecomponentsDetermineperformancespecificationsTranslateperformancespecificationsintodesignspecificationsTranslatedesignspecificationsintodeliveryspecifications4-53ServiceBlueprintingServiceblueprintingAmethodusedinservicedesigntodescribeandanalyzeaproposedserviceAusefultoolforconceptualizingaservicedeliv

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