PRODUCT

SERVICE
AND DESIGN
 PRODUCT

an article or substance that is

manufactured or refined for
sale.
 SERVICE

A valuable action, deed, or

effort performed to satisfy a
need or to fulfill a demand.
 DESIGN
purpose, planning, or intention that
exists or is thought to exist behind an
action, fact, or material object.

a plan or drawing produced to show the

look and function or workings of a
building, garment, or other object
before it is built or made.
WHAT DOES IT DO?

TRANSLATE COSTUMER
WANTS & NEEDS INTO
PRODUCT AND SERVICE
REQUIREMENTS
 WHAT DOES IT DO?

REFINE EXISTING PRODUCTS

AND SERVICES
 WHAT DOES IT DO?

REFINE EXISTING PRODUCTS

& SERVICES
 WHAT DOES IT DO?

DEVELOP NEW PRODUCTS

AND/ OR SERVICE
 WHAT DOES IT DO?

FORMULATE QUALITY GOALS

 WHAT DOES IT DO?

FORMULATE QUALITY GOALS

WHAT DOES IT DO?

CONSTRUCT AND TEST

PROTOTYPES
 WHAT DOES IT DO?

DOCUMENT SPECIFICATIONS
WHAT DOES IT DO?

TRANSLATE PRODUCT &

SERVICE SPECIFICATIONS
INTO PROCESS
SPECIFICATIONS
Product and Service Design involves or
affects nearly every functional area of an
organization.

HOWEVER, marketing and operations

have major involvement
 THERE ARE TWO STANDPPOINTS:
THE BUYER’S AND THE ORGANIZATION’S.

For the Buyer’s perspective most purchasing decisions

entail two fundamental considerations:
COST & QULITY OR PERFORMANCE

From the Organization’s perspective, we get four

questions:
1. IS THERE A DEMAND FOR IT?

2. CAN WE DO IT?
 3. WHAT LEVEL OF QUALITY IS
APPROPRIATE?

4. DOES IT MAKE SENSE FROM AN

ECONOMIC STANDPOINT?
 What is the
IS THERE potential size of
the market?
A DEMAND
FOR IT? What is the
expected demand
profi le?
 Do we have the
necessary KNOWLEDGE,
SKILLS,
EQUIPEMENT
CAN WE DO CAPACITY,
IT? SUPPLY CHAIN
CAPABILITY?

Is outsourcing some or

all of the work an
option?
 What do costumers
WHAT LEVEL expect?

OF QUALITY IS What level of quality

APPROPRIATE? do competitors
provide for similar
items?

How would it fi t in
our current off erings
 What are the potential

DOES IT MAKE liability issues,

ethical considerations
SENSE FROM sustainability issues
costs
AN ECONOMIC profi ts?
STANDPOINT?
FOR NONPROFITS, is
the cost within
budget?
REASONS FOR PRODUCT & SERVICE
DESIGN OR REDESIGN
(SO BY NOW IT’S KNOW THAT THIS IS DONE BY
ORGANIZATIONS, BUT WHY? WHAT ARE THE
REASONS FOR P&SD or REDESIGN?)
ECONOMIC
SOCIAL AND DEMOGRAPHIC
POLITICAL, LIABILITY OR LRGAL
COMPETITIVE
COST OR AVAILABILITY
TECHNOLOGICAL
 TECHNOLOGICAL

New Technology can be used

DIRECTLY in a product or
service.

They can also INDIRECTLY

affect product and service
design.
 IDEA
GENERATION
 IDEA GENERATION

SOURCES FOR IDEAS IN NEW OR REDIGNED PRODUCTS

OR SERVICES:

 COSTUMERS
 Surveys
 Focus Groups
 Complaints
 Unsolicited Suggestions for Improvement

 THE SUPPLY CHAIN

 IDEA GENERATION

 COMPETITORS

 EMPLOYEES
 Interviews
 Direct or Indirect Suggestions
 Complaints
 RESEARCH
 Basic Research
 Applied Research
 Development
 FACTORS THAT
AFFECT
PRODUCT SERVICE
AND DESIGN
 LEGAL AND
ETHICAL
CONSIDERATION
S
 LEGAL AND ETHICAL
CONSIDERATIONS
 DESIGNERS MUST BE CAREFUL IN TAKING A WIDE
COLLECTION OF LEGAL AND ETHICAL
CONSIDERATIONS. THIS IS MANDATORY

 ISSUES SUCH THAT BECOME IMPORTANT ARE THE

POTENTIAL OF THE ORGANIZATION TO HARM THE
ENVIRONMENT.

 THERE ARE ENTITIES THAT REGUL ATE ORGANIZATIONS

AND THEIR MOVEMENTS. SOME EXAMPLES ARE:
 FOOD & DRUG ADMINISTRATION (FDA)
 OCCUPATIONAL HEALTH & SAFETY ADMINISTRATION
 ENVIRONMENTAL PROTECTION AGENCY
 & VARIOUS STATE AND LOCAL AGENCIES
 PRODUCT LIABILITY

 THE RESPONSIBILITY OF A MANUFACTURER FOR ANY

INJURIES OR DAMAGES CAUSED BY A FAULTY PRODUCT
DUE TO POOR WORKSMANSHIP OR DESIGN.

 THIS CAN BE A STRONG MOTIVATION FOR DESIGN

IMPROVEMENTS.

 MANY BUSINESS FIRMS FACED LAWSUITS RELATING TO

THEIR PRODUCTS.

 UNIFORM COMMERCIAL CODE

 INFORCED TO MANUFACTURERS THE IMPLIED WARRANTIES

CREATED BY STATE LAWS. STATING THAT PRODUCTS HAVE AN
IMPLICATION OF MERCHANTABILITY AND FITNESS.
 ETHICAL CONSIDERATIONS

 AN IMPORTANT THING FOR THE DESIGNERS IS TO BE

AWARE AND OF ETHICAL ISSUES THAT ARISE IN THE
DESIGN OF PRODUCTS AND SERVICES, & FOR THEM TO
ADHERE TO ETHICAL STANDARDS.

 DUE TO DESIGNERS BEING PRESSURED TO SPEED UP

THE DESIGN PROCESS AND TO CUT COSTS…
“VAPORWARE”
 GUIDELINES
TH AT OR GAN I ZATI O N S WA N T D E S I G N E R S TO A D H E R E
TO

 PRODUCT DESIGNS THAT ARE CONSISTENT WITH THE

GOALS OF THE ORGANIZATION.

 GIVE COSTUMERS THE VALUE THEY EXPECT

 MAKE HEALTH & SAFETY A PRIMARY CONCERN.

 HUMAN
FACTORS
 HUMAN FACTORS

 TWO CRITICAL ISSUES IN MANY INSTANCES THAT MUST

BE CAREFULLY CONSIDERED ARE SAFETY &
LIABILITY.
CULTURAL
FACTORS
 CULTURAL FACTORS

 CULTURAL DIFFERENCES MUST BE TAKEN INTO

ACCOUNT FROM DIFFERENT COUNTRIES OR REGIONS
REL ATED TO THE PRODUCT, THAT OPERATE GLOBALLY
BY PRODUCT DESIGNERS.

 RESULTING IN DIFFERENT DESIGNS FOR DIFFERENT

COUNTRIES OR REGIONS.
 GLOBAL
PRODUCT &
SERVICE DESIGN
GLOBAL PRODUCT & SERVICE
DESIGN

 TRADITIONALLY, PRODUCT DESIGN HAS BEEN

CONDUCTED BY GROUPS OF THE DESIGN TEAM WHO
ARE IN ONE FACILITY OR MAYBE, A FEW NEARBY
FACILITIES.
 GLOBAL PRODUCT & SERVICE
DESIGN

 NOW, THAT SOME ORGANIZATIONS WORK GLOBALLY

THERE HAS BEEN A SHIFT IN WHERE THEY ARE
LOCATED AND HOW THEY COMMUNICATE. DUE TO
THEM BEING IN DIFFERENT COUNTRIES, MAYBE EVEN,
DIFFERENT CONTINENTS THESE VIRTUAL TEAMS CAN
PROVIDE:
 A RANGE OF COMPARATIVE ADVANTAGES
 OPERATING IN A 24-HOUR BASIS, DECREASING THE TIME-TO-
MARKET.
 CAN INCREASE THE MARKETABILITY AND UTILITY OF A
PRODUCT
 LARGE RANGE OF DIVERSE IDEAS AND INFORMATION THAT
MAY BE BENEFICIAL TO THE COMPANY
ALTHOUGH, CARE MUST BE TAKEN IN MANAGING THE
DIVERSITY, BECAUSE CONFLICTS OR MISCOMMUNICATIONS
ENVIRONMENTA
L FACTORS:
SUSTAINABILITY
 ENVIRONMENTAL FACTORS:
SUSTAINABILITY
 PRODUCT AND SERVICE DESIGN: A FOCAL POINT IN THE
QUEST OF SUSTAINABILITY.

KEY ASPECTS TO INCLUDE:

 CRADLE-TO-GRAVE ASSESSMENT

 END-OF-LIFE PROGRAMS

 REDUCTION OF COSTS AND MATERIALS USED

 REUSE OF PARTS OF RETURNED PRODUCTS

 RECYCLING
 CRADLE-TO-
GRAVE
ASSESSMENT
 CRADLE-TO-GRAVE
ASSESSMENT
AKA LIFE CYCLE ANALYSIS

 THE ASSESSMENT OF THE ENVIRONMENTAL IMPACT OF A
PRODUCT OR SERVICE THROUGHOUUT ITS USEFUL LIFE.

 FOR PRODUCTS:
C-T- G ANALYSIS TAKES INTO ACCOUNT IMPACTS IN EVERY PHASE OF A
PRODUCT’S LIFE CYCLE.

 RAW MATERIAL EXTRACTION FROM THE EARTH/ GROWING AND

HARVESTING OF PLANT MATERIALS
 TO
 FABRICATION OF PARTS AND ASSEMBLY OPERATIONS/ OTHER PROCESSES
USED TO CREATE RODUCTS
 TO
 USE/ CONSUMPTION OF THE PRODUCT
 FINALLY
 DISPOSAL AT THE END OF THE PRODUCT’S USEFUL LIFE
 CRADLE-TO-GRAVE
ASSESSMENT
C-T-G A. ALSO CONSIDERS:

 ENERGY CONSUMPTION

 POLLUTION AND WASTE

 TRANSPORTATION IN ALL PHASES

 CRADLE-TO-GRAVE
ASSESSMENT
GOAL:

 TO CHOOSE PRODUCTS AND SERVICES THAT HAVE THE

LEAST ENVIRONMENTAL IMPACT WHILE STILL TAKING INTO
ACCOUNT ECONOMIC CONSIDERATIONS.
END-OF-LIFE
PROGRAMS
END-OF-LIFE PROGRAMS(EOL)

DEALS WITH PRODUCTS THAT HAVE REACHED THE END OF

THEIR USEFUL LIVES.
BOTH CONSUMER PRODUCTS AND BUSINESS EQUIPEMENT
ARE INCLUDED.

PURPOSE:
 TO REDUCE THE DUMPING OF PRODUCTS,PARTICULARLY
ELECTRONIC EQUIPEMENT
THE THREE R’S
REDUCE

REUSE

RECYCLE
 THE THREE R’S

 REFLECTION TOWARDS THREE KEY ASPECTS OF

POTENTIAL COST SAVING AND REDUCING
ENVIRONMETAL IMPACT ARE DONE BY DESIGNERS.

 IN REDUCING THE USE OF MATERIALS THROUGH VALUE

ANALYSIS

 REFURBUSHING AND THEN RESELLING (REMANUFACTURING)

 RECLAIMING PARTS OF UNUSABLE PRODUCTS FOR

RECYCLING.
REDUCE:
VALUE
ANALYSIS
 REDUCE: VALUE ANALYSIS

VA LU E A N A LY S I S:
 AN EXAMNATION OF THE FUNCTION OF PARTS AND MATERIALS IN AN EFFORT TO
REDUCE THE COST AND/ OR IMPROVE THE PERFORMANCE OF A PRODUCT

QUESTIONS TYPICALLY ASKED AS PART OF THE ANALYSIS:

 COULD A CHEAPER PART OR MATERIAL BE USED?

 IS THE FUNCTION NECESSARY?

 CAN THE FUNCTION OF TWO OR MORE PARTS OR COMPPONENTS BE PERFORMED

BY PART OF A LOWER COST?

 CAN A PART BE SIMPLIFIED?

 COULD PRODUCT SPECIFICATIONS BE RELAXED, AND WOULD THIS RESULT IN A

LOWER PRICE?

 COULD STANDARD PARTS BE SUBSTITUTED FOR NONSTANDARD PARTS?

 REUSE:
REMANUFACT
URING
 REUSE: REMANUFACTURING

 IN MANUFACTURING THERE IS AN EMERGING CONCEPT:

THE REMANUFACTURING OF PRODUCTS.

THIS REFERS TO THE REFURBUSHING OF PRODUCTS BY

REPL ACING WORN- OUT OR DEFECTIVE COMPONENTS
AND RESELLING THE PRODUCTS.

FOR EXAMPLE; AUTOMOBILES, PRINTERS, CAMERAS AND

COMPUTERS.
 REUSE: REMANUFACTURING
 THERE ARE MULTIPLE REASONS THAT ARE IMPORTANT
FOR DOING THIS:
 A REMANUFACTURED PRODUCT CAN BE SOLD FOR ABOUT
50% OF THE COST OF THE NEW PRODUCT.

 THE PRODUCT REQUIRES MOSTLY, UNSKILLED AND

SEMISKILLED WORKERS.

 IN THE GLOBAL MARKET, EUROPEAN LAWMAKERS ARE

INCREASINGLY REQUIRING MANUFACTURERS TO TAKE USED
PRODUCTS BECAUSE…
 DESIGN FOR DISSASSEMBLY
(DFD)

 DESIGNING PRODUCTS SO THEY CAN BE MORE EASILY

TAKEN APART HAS BROUGHT FORTH THIS DESIGN
CONSEDERATIION
RECYCLE
 RECYCLE

 MEANS: RECOVERING MATERIALS FOR FUTURE USE.

APPLYING NOT ONLY TO MANUFACTURED PARTS BUT
ALSO TO MATERIALS USED DURING PRODUCTION.

 (LUBRICATION AND SOLVENTS.

RECL AIMED METAL OR PL ASTIC PARTS MELTED AND
USED ON OTHER PRODUCTS.)

 SOMETIMES AN IMPORTANT CONSIDERATION FOR

DESIGNERS.
 RECYCLE
REASONS FOR RECYCLING:

 COST SAVINGS

 ENVIRONMENTAL CONCERNS

 ENVIRONMENTAL REGULATIONS