C H A P T E R
Product Design and Process Selection
3
B e f o r e s t u d y i n g t h i s c h a p t e r y o u s h o u l d k n o w o r, i f n e c e s s a r y, r e v i e w
1. Differences between manufacturing and service organizations, Chapter 1, pp. 4 – 6.
2. Differences between strategic and tactical decisions, Chapter 1, pp. 6 – 8.
3. Competitive priorities, Chapter 2, pp. 28 – 33.
LEARNING OBJECTIVES
After completing this chapter you should be able to
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2
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4
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Define product design and explain its strategic impact on the organization.
Describe the steps used to develop a product design.
Use break-even analysis as a tool in deciding between alternative products.
Identify different types of production processes and explain their characteristics.
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Describe the steps used in process design and selection.
Understand how to use a process flowchart.
Understand current technological advancements and how they impact process design.
Understand issues of designing service operations.
CHAPTER OUTLINE
Product Design 42
Steps in Product Design 44
Links to Practice: IBM Corporation 45
Factors to Consider in Product Design 48
Process Selection 52
Relationship between Product Design and Process
Selection 59
Links to Practice: Babcock & Wilcox Company 60
Manufacturing Technology Decisions 62
Links to Practice: Performing Robotic
Surgery 65
Designing Services 66
OM Across the Organization 70
OM Is Everywhere 71
Case: Biddy’s Bakery (BB) 74
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Have you ever been with a group of friends on a Friday night and decide to order pizzas? One person wants pizza from Pizza Hut because he likes the taste of stuffed-crust pizza made with cheese in the crust.
Someone else wants Donato’s pizza because she likes the unique crispy-thin crust. A third wants pizza from
Spagio’s because of the wood-grilled-oven
Bibliography: Science, 45, 6, 1999, 824–842. D’Souza, D.E. and Williams, F.P., “Toward a Taxonomy of Manufacturing Flexibility Dimensions,” Journal of Operations Management, 18, 2000, 577–593. Flynn, B.B., Schroeder, R.G., and Flynn, E.J., “WCM: An Investigation of Hayes and Wheelwright’s Foundation,” Journal of Operations Management, 17, 1999, 249–269. Golden, W., and Powell, P. “Toward a Definition of Flexibility: In Search of the Holy Grail?” 28, Omega, 2000, 373–384. Hill, Terry. Manufacturing Strategy: Text and Cases. 3rd ed New York: McGraw-Hill, 2000. Klassen, R.D., and Whybark, D.C., “Environmental Management in Operations: The Selection of Environmental Technologies,” Decision Sciences, 30, 3, 1999, 601–631. 1990’s,” Journal of Operations Management, 18, 1999, 95–112. Journal of Operations Management, 18, 2000, 509–529. Ward, P.C., McCreery, T.K., Ritzman, L.P. and Sharma, D., “Competitive Priorities in Operations Management,” Decision Science, 29, 4, 1998, 1035–1046.