20 Product Design and Development

Unit 20
Product Design and Development
Unit 20-Product Design and Development 1 A Roadmap to Quality
CONTENTS
Unit summary
Learning tools
The RADAR Questions
The 6-Point Structure
Text
20.1
20.2
20.3
20.4
20.5
Set up the primary requirements for new product design and development.
Plan for the design and development of the new product
Implement the new design
Prepare for the development of the new product
Take a long-term perspective on design and development
Test
Relationship with ISO
Unit summary
Product design and development is the process of creating a new product to be sold by a business
to its customers. It is a process of identifying a market need, creating a product to meet this need,
and testing and improving this product until it is ready for production. It consists of a series of
activities: research, analysis, design, engineering, building prototypes; and then testing,
modifying, and re-testing until the design is perfect. Design and development is usually carried
out by a project team, with members from both outside and inside the company. This unit presents
detailed procedures for managing the process of product design and development:
20.1 Set up the primary requirements for new-product design and development.
To design and develop new products your company will need to:
a. Have a good understanding on the part of the CEO of what design and development
involves.
b. Prepare written rules and procedures for managing design and development.
c. Prepare a new-product development project sheet.
d. Establish a standard for testing new products.
e. Calculate the costs of development.
20.2 Plan for the design and development of the new product
To plan for the design and development of a new-product:
a. Set up a unit to carry out the design work.
b. Establish design standards that will cover all the design requirements.
c. Make clear the responsibility and authority of the designers.
d. Find out how many problems related to design and development arise each year.
e. Plan how corrective action should be taken when problems arise.
f. Establish procedures for changing the design standards when the need arises.
20.3 Implement the new design
To implement the design of a new product your company will need to:
a. Set up an organization to carry out the work on design.
b. Establish procedures for starting production of the new product.
c. Document the quality characteristics of the manufacturing processes.
d. Control the design and development budget.
20.4 Prepare for the development of the new product
To prepare for the development of the new product:
a. Set up a new-product development system and establish standards.
b. Establish evaluation standards and criteria for reviewing the design and testing the product.
c. Design parts that meet common standards.
d. Check the process capability: make sure that the production process has the capability to
produce products with the required quality characteristics.
e. Carry out design reviews based on customer claims.
20.5 Take a long-term perspective on design and development
The design and development of a new product is normally a big investment. To bring a good
return on this investment the new product must hold its position in the market well into the future.
You therefore need to take a long-term perspective. This text highlights several actions that are
especially important in ensuring a long-term perspective. Some have been presented in this unit
but they are emphasized again here. You should:
a. Ensure that you have a long-term development system.

b.
c.
d.
e.
Control the progress, quality and cost of design and development planning.
Make a continuous effort to reduce quality problems.
Base each phase of product planning on market research.
Take environmental trends into account.
Learning tools
The RADAR questions
As you read each text you will discuss how it could be applied in your company. The RADAR
questions will help you to focus this discussion:
R- Are these ideas relevant to my company?
A- How would I apply each of them in my company?
D- What difficulties might I meet and how would I overcome them?
A- Are there any additional actions that I might take that are not mentioned in the text?
R- What resources would be needed, what would these cost, and how could they be acquired?
There will of course be some discussion point where not all of these questions will be applicable.
The 6-Point Structure

After you have discussed the ideas in the text, you write an action plan in which you present
practical proposals for implementing the conclusions you have reached in your discussion. The 6Point structure will help you to write your action plan:
1.
Problems: Problems you have in your company in the area you have just discussed.
2.
Proposals: Your proposals for improvement.

a.
Be specific and concretes.
b.
Include an implementation plan, with a time schedule and minimum and optimal
implementation Targets.
c.
Refer to any forms, charts, tables etc. that you would use, and include samples in
an appendix.
3.
Obstacles: Obstacles to implementation in employee attitudes, company organization and

culture etc., and how these could be overcome.
4.
Resources:
a.
The resources required: funds, equipment, materials, man-hours, expertise etc.
b.
The resources available within the company.
c.
Any resources that would have to be found outside the company.
d.
Alternative that could be used to cover any shortfall in resources
5.
Assessment: Ways of assessing the results of implementing these proposals.
6.
Benefits: The benefits your proposals would bring.
20.1 Product
requirements
design
and
development:
the
primary
Introduction
1. To design and develop new products your company will need to:
a. Have a good understanding on the part of the CEO of what design and development
involves.
b. Prepare written rules and procedures for managing design and development.
c. Prepare a new-product development project sheet.
d. Establish a standard for testing new products.
e. Calculate the costs of development.
The CEOs understandings of design and development
2. The CEO should understand what is involved in product design and development, especially
what it requires in manpower, capital, equipment and time. He has full responsibility for
providing the minimum resources that are needed. He should also participate actively in
planning right from the beginning, and should have an understanding of the basic research.
3.
He should be aware that successful product development requires:

a. Sufficient time and expenditure on market research.
b. Well-qualified design and development personnel.
c. A substantial programmed of education and training.
d. An annual review of the level of investment in, and the cost-effectiveness of, the newproduct development project.
e. That development personnel participate in market research to get a good understanding of
what the market needs.
f. A recognition that basic research does not bring immediate benefits - it must be seen as
part of a long-term plan.
Figure 20.1a New-product Development Project
Prepare written rules and procedures for managing design and development
4. Different departments and staff must be able to work together in the design and development
of new products. This will require written rules and procedures. These should include the
work procedures, the conceptual criteria governing the design, and a checklist of anticipated
results.
a. Prepare manuals for basic design, design calculation, design control points and
methodology.
b. Establish a drawing standard, and a system of drawing control.
c. Establish standards for procurement and a range of standards for parts and materials.
d. Check that the rules and procedures are consistent with national safety and environment
standards.
5.
You should plan to use standardized parts in order to:

a. Reduce the number of total components.
b. Ensure that specific parts will perform identical function at all times no matter which
design personnel are working with them.
Figure 20.1b Control of New Design Product
Prepare a new-product development project sheet

6. Formulate the medium-term and long-term plans in a new-product development project
sheet, in accordance with the procedures specified in the new-product development
standards. The project sheet should include:
a. The purpose of the development project.
b. The name/model of the new product, its purpose, its selling points, its working title, and
the related safety and environmental issues.
c. The state of the market: the forecast of demand, and information about what the
competitors are doing.
d. A complete description of the new product: its specifications, shape, and performance.
e. The development engineering that has to be carried out, the intellectual property
situation, the technology that will be used, and the reference standards and laws.
f. The evaluation items that have to be checked at each stage of development.
g. The target quality level, the target cost and the development schedule.
h. Approval by management.
Figure 20.1c New-product development project sheet
Establish a standard for testing new product

7. The new product will have to be tested to make sure that it complies with the product
development project sheet. This testing will include the basic design and the intermediate
prototype. You will therefore need to have a new-product testing standard to specify the
testing procedures. This standard should:
a. Ensure that the design parameters fully comply with the project sheet.
b. Clearly define the criteria for what is acceptable and what is not acceptable.
c. Make clear the major design characteristics (operation, storage and handling) that will
ensure that the product functions safely and properly.
d. Specify the inspection steps to be taken to verify the design, and the review of
inspection items by experts, including non-design personnel.
e. Specify that corrective action be taken for any abnormalities or non-conforming
products found in the verification results.
f. Specify the inspection equipment to be used.
Figure 20.4 New-product review standard and inspection report
Calculate the cost of development

8. The cost of development must be worked out carefully and in detail. To do this calculate the
time and cost of
a. The economic aspects:
i. Preparing the original plan.
ii. Training participants.
iii. Changing over from the previous product type.
iv. Research.
v. Labor.
b. The technical aspects:
i. Improving the companys own level of technology.
ii. Improving the process capability.
iii. Responding to external conditions.
iv. Anticipating predictable technological progress.
c. The administration aspects:

i. Organizing a system for product development.
ii. Establishing standards.
iii. Organizing education and training for engineers.
iv. Clarifying responsibility and authority.
v. Improving the administrative capability of the secretariat.
Be sure to implement cost control and budget allocation, and be prepared to make immediate
adjustments to the cost if there is any change in the overall situation.
Figure 201e Development cost calculation check sheet
DISCUSSION
The following questions ask you to think about your companys approach to the design and
development of new products, and how the ideas in the text could help to bring improvements.
Some of the ideas may not be relevant to you. Concentrate on what is relevant. Keep notes of
your conclusions - you will need them to prepare your Action Plan afterwards. Where appropriate
ask yourself the RADAR questions:
Note: Always include in your discussion any examples referred to in the text, if you feel these are
relevant to your company.
a. Parag. 2: Does the CEO in your company already take an active involvement in product
development? If so, how does he contribute to the success of this? If not, how could he
participate more actively, and what benefits would you expect this to bring?
b. Parag. 3 presents the important requirement of product development. Are these also
important in your company? Are there any others you would add to the list?
c. Parag. 4 describes the rules and procedures for managing design and development. Apply
the RADAR questions to these.
d. Parag. 5: Does your company always use standardised parts? Do you agree that they bring,
or should bring, the benefits mentioned here?
e. Parag. 6 specifies what a project sheet should include. Look also at Figure 20.1c. Take a
new product that your company is developing, or might possibly develop, and discuss what
you would include in a draft project sheet for this product.
f. Parag. 7 describes what a new-product testing standard should determine. Apply the
RADAR questions to establishing a testing standard for the product you have discussed in
the previous question.
g. Parag. 8 describes what to include in calculating the cost of development. How many of
these points would also apply in your company? Are there any others you would add? How
would you go about making these calculations?
ACTION PLAN
Take the ideas you have found useful in the text, and in your discussion, and present them in a
well-structured action plan for introducing improvements in your company. You might like to
follow the 6-Point Structure.
Introduction
1.
To plan for the design and development of a new-product:

a. Set up a unit to carryout the design work.
b. Establish design standards that will cover all the design requirements.
c. Make clear the responsibility and authority of the designers.
d. Find out how many problems related to design and development arise each year.
e. Plan how corrective action should be taken when problems arise.
f. Establish procedures for changing the design standards.
Set up a unit to carry out the design work

2. Set up a unit to ensure that the design work is carried out as planned:
a. Set up the unit.
b. Decide who will hold the key positions in this unit.
c. Decide how roles should be assigned and work shared: assignments should be made by
the person in charge, and should be based on ability.
d. Require the person in charge of the unit to check the state of progress periodically.
e. Train design personnel to raise their skills to the necessary level.
3.
Keep the following points in mind:

a. Design staff are fully responsible for the follow-up on design work.
b. If the work cannot be carried out as planned, they should find out why before deciding
what action to take.
c. They should be prepared to respond immediately to any design changes requested by the
customer and properly authorized.
Figure 20.2a Chart for role and share of design work (air conditioning equipment design dept.)
Establish design standards

4. Establish design standards covering all the design requirements. These standards will enable
you to:
a. Reduce any inconsistency in the requirements in the design drawings held by the
different departments.
b. Take recurrence prevention measures if and when any customer complaints arise.
5.
To establish these design standards:
a. Specify which departments should be involved, both in-house and in affiliated

companies.
b. Classify the technical standards and technical documents, and their titles, contents and
characteristics.
c. Specify the relationship of any reference standards contained in external standards
(including international, national, and corporate standards) to your in-house standards.
d. Identify all the procedures that are to be followed from establishing the standards to
issuing them, and then to reviewing them.
e. Fix the standard format.
f. Specify the numbering system of the standards.
g. Specify the procedures for classifying the standards.
6.
In preparing these standards you should take into account the opinions not only of design
personnel but also of personnel from other sections: production, sales, after sales service, etc.
Finally, the standards should be:
a. Approved by the senior design manager or his immediate deputy.
b. Reviewed periodically and upgraded if necessary.
c. Kept in their latest version in all the departments that are involved.
Figure 20.2b. Constitutive elements for design standards and procedures for allocating those
elements
Figure 20.2c. Table Standard system
Make clear the responsibility and authority of the designers

7. Prepare planning sheets which clearly define the responsibility and authority of the design
and development personnel, and of any other participants in the project. These sheets should
be approved by the appropriate people in the design and development department, and copies
sent to the various workshops. The staff assigned to design and development should, of
course, have suitable qualifications, whether national, in-house, or other.
Figure 20.2d. Design system and Qualified personnel list
Find out how many problems related to design and development arise each year
8. The design and development department should maintain data, on an annual basis, on the
problems for which it is responsible. Such problems may emerge in complaints from
customers, or they may be defects found in the manufacturing process or in the materials or
parts supplied by sub-contractors. To get a clear annual picture of these problems, both
inside and outside the company, take the following actions:
a. For customer complaints, get the number of major complaints and calculate the cost of
countermeasures.
b. For manufacturing defects, get
i. The total percentage of defects: the total rate of defective and reworked units in
relation to the volume of products shipped.
ii. The line-direct rate: the rate of units shipped without being reworked in relation to
the volume going through the manufacturing lines).
c. For subcontracted items, get the percentage of defects: the rejection rate per inspection
lot, and the extent that they are behind with deliveries.
d. Find out the number of defects among supplied service parts.
e. Find out the number of design changes made to correct design defects during the first
flow of products after the commencement of mass-production.
f. Analyze each problem by item and classify it.
9.
In taking these actions:

a. Classify in-house problems and customer complaints separately by product and by
model.
b. Clarify who is responsible for collecting information on problems, and make sure that
they send the different departments the information they need.
c. Clarify who is responsible for checking problems.
d. Monitor how efficiently the procedures for dealing with problems are working.
Figure 20.2e Pareto diagram
14
Plan for corrective action when problems arise

10. The design and development department should of course be informed at once of any
problems that emerge, so that they can make appropriate design changes. Put procedures in
place to:
a. Establish the cause of the problem.
b. Carry out both temporary and permanent countermeasures.
c. Make changes to design specifications and drawings.
Always carry out complete quality checks after changes to specifications and drawings.
Establish procedures for changing the design standards
11. Whenever changes are made in the design of a product, the design standards will have to be
changed. Put procedures in place for changing these standards. You should:
a. Establish and document procedures:
i.
For changing design standards, drawings and specifications.
ii.
For issuing a design change notice.
iii.
For keeping a record of the changes.
iv.
For ensuring that old drawings are collected before the new ones are distributed.
b. Have the procedures approved by authorized personnel before they are implemented.
Figure 20.2f Quality information feedback system
Figure 20.2g Procedures for establishment and review
Figure 20.2h Design change notice
DISCUSSION
The following questions ask you to think about how the ideas in the text could be applied in your
company. Some of the ideas may not be relevant to you. Concentrate on those that are relevant.
Keep notes of your conclusions - you will need them to prepare your Action Plan afterwards.
Where appropriate ask yourself the RADAR questions:
a. Does your company already plan new-product design and development? If it does, where
do you feel there are shortcomings, and how might these be improved?
b. Parag. 1 lists five main actions that should be taken in planning the development of new
products. Which of these actions does your company already take?
c. Parag. 2 and 3: Apply the RADAR questions to these guidelines.
d. Parag 4. gives two reasons for having design standards. Would each of these also be true
of your company? Can you give one or two examples of things that have gone wrong, or
could go wrong in these areas, if there were no design standards?
e. Parag. 5: lists the procedures for establishing design standards. Apply the RADAR
questions to these.
f. Parag. 6: mentions three actions to take in preparing design standards. Apply the RADAR
questions to these.
g. Parag. 7: What problems can arise if the responsibility and authority of the designers are
not clearly defined and documented?
h. Parag. 8: Can you give some examples of problems that have arisen in the development
of new products in your company?
i. Parag. 8. suggests a number of actions to take to get a good grasp of such problems.
Apply the RADAR questions to these.
j. Parag. 9 suggests several further actions to take in relation to such problems. Again apply
the RADAR questions.
k. Parag 10: Apply the RADAR questions to the suggestions in this paragraph.
l. Parag 11 presents the procedures for changing the design standards. Give one or two
examples of when your company has had to change the design standards. Then apply the
RADAR questions to these proposed procedures.
ACTION PLAN
well-structured plan for introducing improvements in your company. You might like to use the 6Point Structure,

Introduction
1. To implement the design of a new product your company will need to:
a. Establish procedures for starting production of the new product.
b. Prepare a flowchart with the quality characteristics of the manufacturing processes.
c. Control the design and development budget.
d. Regulate the design and development processes.
Establish the procedures for starting production
2. To make sure that production gets off to a smooth start, set up procedures for starting
production, in cooperation with related departments:
a. Check that the design and development phase is completed.
b. Carry out a trial production run, remove any problems and improve the design of the
production site.
c. Decide on the standard of quality required for production.
d. Decide on the quality characteristics required for each manufacturing process and specify
these in a standard for the operating procedure. (The quality characteristics are key
features of a product that can be examined to evaluate if it has the right level of quality.)
e. Enter the required quality characteristics in the records.
f. Specify the role of the related departments in the operating procedure standard.
g. Get the related departments to carry out a production conversion review.
h. Be sure to explain everything fully to the related departments and operators before
starting production.
i. Check the procedures and schedule for production conversion.
Figure 20.3a Design review report
Prepare a flowchart showing the quality characteristics of the manufacturing processes

3. To enable personnel from related departments to check the quality characteristics of the
manufacturing processes, prepare a flow chart of these processes. This flow chart should:
a. Specify the quality characteristics required in these processes.
b. Specify how the quality characteristics are to be checked.
c. Keep records of the quality characteristics.
4.
Take the following steps:

a. Review the system for checking and recording quality characteristics - and see if the
recording can be done automatically.
b. Review the statistical quality records used to determine the acceptability of lots.
c. Clarify the procedure for identifying quality characteristics.
d. If possible have an automatic system for checking the quality characteristics.
Figure 20.2b Quality assurance process drawing
Control the design and development budget

5. To control the budget for design and development:
a. Make a list of the items required for design and development.
b. Estimate the cost of each item.
c. Draw up a budget application form. The person in charge of budgeting should check
previous records for similar products before submitting the application.
d. Explain the contents of the budget to related personnel, and then ask them to follow it
strictly.
e. Periodically check expenditure against the budget.
f. If there is a big cost over-run, the person in charge should hold an emergency meeting
with all the members of the department, to decide on an appropriate course of action.
g. If the cost over-run is caused by specification changes required by the customer, negotiate
with the customer through the sales department.
h. Keep expenditure not provided for in the budget as low as possible.
Figure 20.3d Budget application form
Regulate the design and development processes

6. To regulate the design and development processes:.
a. Get a good understanding of what the market needs.
b. Review these needs from both medium and long-term perspectives.
c. Get a good idea of what technology will be required.
d. Prepare a development project sheet.
e. Acquire the necessary resources (employees, materials and cost).

f. Systematize the development processes.
g. Clarify who has responsibility and authority.
Figure 20.3d Standard for each individual product development step.
DISCUSSION
The following questions ask you to think about how the ideas in the text could be applied in your
company. Some of the ideas may not be relevant to you. Concentrate on those that are relevant.
Keep notes of your conclusions - you will need them to prepare your Action Plan afterwards.
Where appropriate ask yourself the RADAR questions:
a. What is your companys experience of implementing the design of a new product? Where
do you feel are the main shortcomings, if any, in your companys way of doing this?
b. Parag 1 lists five primary actions that a company will need to take to implement the
design. Which of these actions does your company already take?
c. Parags. 2 describes the procedures for starting production. Apply the RADAR questions to these.
d. Parags. 3: What problems can arise if the quality characteristics of the production process are not
documented? What are the benefits of documenting them?
e. Parag. 3 describes what to include in a flow chart of the manufacturing processes. Apply the
RADAR questions in relation to a new product that you have started work on, or may start work
on.
f. Parag. 4. suggests some additional steps to take. Again apply the RADAR questions to these.
g. Parag. 5: How successful is your company in controlling its design and development budget ?
What shortcomings, if any, do you think there are?
h. Parag. 5 presents a list of actions to take to control the budget. Apply the RADAR questions to
these?
i. Parag. 6: Apply the RADAR questions to these suggestions for regulating the design and
development processes.
ACTION PLAN
well-structured plan for introducing improvements in your company. You might like to use the 6Point Structure.
20.4 Prepare a new-product development system

1.
To prepare for the development of the new product:

a. Set up a new-product development system and establish standards.
b. Establish evaluation standards and criteria for reviewing the design and testing the
product.
c. Design parts that meet common standards.
d. Check the process capability: make sure that the production process has the capability to
produce products with the required quality characteristics.
e. Carry out design reviews based on customer claims.
Set up a new-product development system

2. To organize a new-product development system and establish standards:
a. Draw up a product development mid-term plan.
b. Draw up an engineering development mid-term plan.
c. Draw up a development plan for the technology and equipment your company will
require.
d. Get a good understanding of market needs.
e. Plan product development for the current term.
f. Verify the product concept and the technology capacity required to design and develop it.
g. Prepare a new-product development project schedule.
h. Hold a product planning conference.
i. Carry out trial manufacture and development.
j. Check the results of this trial.
k. Review the design.
l. Prepare a final project report to be approved by the project manager.
m. Hold a check and review meeting with the relate section.
Review this system periodically, and get the opinions of those involved in it.
Figure 20.4a New-product development system
Establish evaluation standards and criteria for design review and product testing
3. To establish evaluation standards and criteria for reviewing the design and testing the
product:
a. Decide on the design review procedures.
b. Decide on the test procedures for certification.
c. Decide on the prototype-testing standard.
d. Clarify the evaluation criteria.
Experts from other departments should participate in design review if necessary. The purpose
of this review is, of course, to ensure that the product meets users requirements.
Figure 20.4b New-product evaluation criteria
Design parts that meet common standards

4. To design parts that meet common standards:
a. Design bolts and nuts in accordance with the standard products.
b. Use standard parts made by a specialized manufacturer.
c. Specify your own approved parts in accordance with the design objectives, in-house
standards and process procedures.
d. List and register standard parts and use items from these lists as required.
Figure 20.4c Parts standardization procedures.
Check the process capability

5. Make sure that the production process can produce products with the required quality
characteristics (the quality features that are of particular importance to customers). This is
known as the process capability (CP, CPK), To check it:
a. Determine the scope of the process (type, lot, process, characteristic).
b. Decide on the equipment to be used to measure it, the unit of measurement, and the person who
will do the measuring.
c.
d.
e.
f.
g.
h.
Review the measurement results systematically.

Calculate the process capability index.
Judge whether the process conditions are acceptable or not.
Take immediate corrective action if an abnormality occurs.
Upgrade technicians skill when the processes are stabilized.
Specify the related statistical techniques.
(See Unit 11.1. for a more detailed description of carrying out a process capability study.)
Figure 20.4d Process capability research records.
Carry out design reviews

6. Carry out design reviews at appropriate intervals, based on customer claims:
a. Collect information on customer claims.
b. Research the possible causes of these claims.

c. Take both corrective and preventive action for each cause.
d. Check that the corrective action decided on in the design review is adequate; carry out a followup check for each product.
e. Carry out a design review from product planning through to product design as required.
f. Be thorough in considering the outcomes of the customer claims, their causes, and
corrective and preventive actions.
g. Train specialists to make sure that the design review is carried out correctly.
h. Have specialists from other departments participate in the design review.
i. Always be sure to carry out customer claim research for products that are being introduced for
the first time.
Figure 20.4e Quality assurance system chart
DISCUSSION
The following questions ask you to reflect on your companys approach to preparing a new
product development system, and how the ideas in the text could be applied in your company.
Some of the ideas may not be relevant to you. Concentrate on those that are relevant. Keep notes
of your conclusions - you will need them to prepare your Action Plan afterwards. Where
appropriate ask yourself the RADAR questions:
a. Does your company already have a new product development system? In what ways do
you think it needs to be improved?
b. Parag 1 lists five primary actions to be taken to prepare a new-product development
system. Which of these actions does your company already take?
c. Parag. 2 presents a number of actions to take to organize the new-product development system.
Apply the RADAR questions to these.
d. Why is it important to have evaluation criteria for design review and product testing?
e. Parag. 3 presents a procedure for establishing evaluation criteria. Apply the RADAR questions.
f. Why is it important to design parts that meet common standards? To what extent does your
company do this? Could it do more?
g. Parag. 4: Apply the RADAR questions to these.
h. Give one or two examples of important quality characteristics in new products that your
company has developed, or might develop.
i. Parag. 5 suggests actions to take to make sure that the production process can deliver products
with the required quality characteristics. Apply the RADAR questions.
j. Does your company carry out design reviews often enough? How important do you think it is to
do so?
k. Parag. 6 describes what needs to be done to carry out design reviews. Apply the RADAR
questions.
ACTION PLAN
well-structured plan for introducing improvements in your company. You might like to use the 6Point Structure.
20.5 Take a long-term perspective on design and development

Introduction
1. The design and development of a new product is normally a big investment. To bring a good return
on this investment the new product must hold its position in the market well into the future. You
therefore need to take a long-term perspective. This text highlights several actions that are
especially important in taking a long-term approach. Some have already been presented earlier in
this unit but they are emphasized again here. You should:
a. Ensure that you have a long-term development system.
b. Control the progress, quality and cost of design and development planning.
c. Make a continuous effort to reduce quality problems.
d. Base each phase of product planning on market research.
e. Take environmental trends into account.
Ensure that you have a long-term development system
2. To ensure that you have a long-term development system, the following actions are especially
important:
a. Gain a good understanding of market needs.
b. Check what high-level technology your companys needs.
c. Ensure that there are adequate resources of employees, materials, and money.
d. Determine a long-term development policy. (This is a CEO function.)
e. Establish two forms of planning: planning that can be completed in the short-term and
planning that can respond flexibly to changes in the business situation of the company.
f. Make sure to have planning approved by the technical management.
g. Involve team members from outside the company.
h. Reserve the necessary funds on a long-term budget.
Control the progress of design and development planning
3. A long-term perspective also requires that you control the progress, quality and cost of design and
development planning.
a. Clarify the development policy (including investment intentions) in the medium-term business
plan.
b. Prepare a plan to collect market information.
c. Prepare a detailed schedule for quality and cost control at each design and development phase,
and be sure to control quality and cost from the beginning of development planning.
d. Record the results and planning at each design and development phase and be sure to follow up
on these.
e. If there is any change in design planning, have related personnel hold an action meeting and
share information about the changes.
f. If design and development are changed, verify the reliability of the products.
g. Ensure that there is regular communication between the design and development personnel and
those in charge of related departments so that everyone is kept up to date.
Figure 20.5a Product development procedures.
Figure 20.5b Table for design and development progress control.
Make a continuous effort to reduce quality problems

4. Quality related problems will keep arising. Reducing them requires a continuous effort:
a. Get a good understanding of critical items that affect quality.
b. Hold regular quality verification meetings, and decide on the targets for reducing quality
problems.
c. Investigate the possible causes of each problem, and take recurrence prevention measures.
d. Wherever appropriate use statistical methods to identify problems.
e. Establish a communication system for managing claims.
f. Keep employees informed of the cost of quality problems so that they will become more
sensitive to them.
g. Communicate regularly with major customers about quality issues.
Base product planning on market research
5. If your new product is to establish itself successfully as a market leader, in both domestic and world
markets, its development must be based on thorough market research. The table in Figure 20.5c
shows how closely new-product development should be related to the market:
Create ideas
Evaluate and select
ideas.
Review the marketing

strategy.
Decide on the marketing target, and how to proceed marketing.
Carry out a business

review.
Decide on the product
specifications.
Carry out a review of profitability (cost-volume-profit) based on the
Do a field test.
Set up production
facilities.
Introduce the new
product on the market.
product concept.
Decide on the specifications of the product, and then repeat trial
manufacture and decide on the detailed specifications. Review
detailed specifications for engineering and production points of view.
Carry out a field test, including the quality and shipping conditions.
Set up production facilities that correspond to market demand, keeping
the capital investment in mind.
Carry out a market trial, and prepare instruction manuals and sales
promotion materials.
Market
introduction
Product
development
Strategy
review
Decide on a product
concept.
Gather all the information you can from both inside and outside the
company: information about consumers, competitive products and
sales dealers.
Evaluate and select ideas: take into account the development period,
development cost, price and production profit with reference to the
target market, and the competitive edge you want to achieve.
Make a comparative evaluation of consumers response, and decide
on the scale of production, and the sales method.
Figure 20.5c Product planning and market research

Take environmental issues into account in designing a new product
6. In taking a long-term perspective it is essential that you allow for trends in environmental
protection (e.g. pollution control, energy efficiency) without reducing performance:
a. Use less resources and materials, use recycled materials and design the product to have a
long lifetime.
b. Develop a design that does not consume excessive energy.
c. Improve both the recovery and the recycling of products that are no longer in use.
d. Provide for the easy dismantling of products that are no longer in use, and for their easy
final disposal without causing any pollution.
Figure 20.5d Check sheet for environmental matching design)
DISCUSSION
The following questions ask you to reflect on your companys approach to long-term design and
development, and how the ideas in the text could help to bring improvements. Some of the ideas
may not be relevant to you. Concentrate on those that are relevant. Keep notes of your
conclusions - you will need them to prepare your Action Plan afterwards. Where appropriate ask
yourself the RADAR questions:
a. Do you think that your company take a sufficiently long-term approach to design and
development.
b. Parag 1 lists five primary actions that a company should take form a longer-term
perspective. Which of these actions does your company already take?
c. Parag. 2 describes how to organize a long-term development system. Apply the RADAR
questions.
d. Parag. 3: How successful is your company in controlling the progress, quality and cost of
design and development planning? What, if any, are the main shortcomings?
e. Parag. 3 suggests ways of controlling these. Apply the RADAR questions.
f. Parag. 4: What priority does your company give to reducing quality problems? How
successful is it?
g. Parag. 4 presents ways to reduce quality problems. Apply the RADAR questions.
h. Parag. 5: To what extent does your company base its product planning on market
research? How important is this?
i. Parag. 5 outlines the steps of product planning based on market research. Which of these
steps does your company already take? Should your company take all of them? Are there
any other steps you would add to this list?
j. To what extent does your company take environmental issues into account in designing a
new product? What more could it do? What risk is there of reducing performance by
giving attentions to environmental issues?
k. Parag. 6 suggests several ways to take trends in environmental protection into
consideration in designing a new product. Apply the RADAR questions to these.
ACTION PLAN
well-structured plan for introducing improvements in your company. You might like to use the 6Point Structure. Alternatively you may wish to incorporate them in one of your earlier action
plans.
Test
Answer these questions using only information given in the text. For each question one, two or
all three answers may be correct. Tick the answer or answers you think are correct for each
question. Each question carries 3 points you get one point for each correct answer that you tick,
and one point for each wrong answer that you do not tick.
20.1 Set up the primary requirements for new-product design and development
1. The CEO has full authority for providing needed for product
development.
a. All the resources.
b. The minimum resources.
c. The optimum resources.
2. The CEO should be aware that successful product development requires that
development personnel participate in
a. Financial planning.
b. Purchase of technical equipment.
c. Market research.
3. The rules and procedures for managing design and development should be documented in
order to:
a. Reduce the costs of materials.
b. Ensure that the different departments and staff can work effectively together.
c. Improve the drawing methods.
4. The new-product development project sheet should include:
a. A complete description of the new product.
b. An estimate of sales volume.
c. The target quality level.
5. The new product testing standard should:
a. Ensure that the design parameters fully comply with the product-testing standard.
b. Clearly define the criteria for what is acceptable.
c. Make clear the design characteristics that ensure that the product is safe.
6. To work out the cost of development, calculate the time and cost of:
a. Changing over from the previous product type.
b. Improving the process capability.
c. Preparing a brochure for the sales team.
7. The assignment of roles for the design work should be base on
a. The seniority of each person.
b. The qualification of each person.
c. The ability of each person.
8. The follow-up design work is the responsibility of:
a. The design staff.
b. The production staff.
c. The customer service staff.
9. Design standards should be established in order to:
a. Allow recurrence prevention measures to be taken when there are customer
complaints.
b. Encourage designers to be creative in producing new designs.
10.
11.
12.
13.
14.
c. Reduce any inconsistency in the requirements specified in the design drawings

held by the different departments.
The design standards should be approved by:
a. The CEO.
b. The senior design manager.
c. The senior production manager.
The sheets specifying the responsibility and authority of the design and development
personnel should be approved by:
a. The CEO.
b. The senior design manager.
c. The appropriate people in the design and development department.
To find the number of manufacturing defects each year, get the total rate of defective and
reworked units in relation to:
a. The volume of products shipped.
b. The number of products manufactured.
c. The number of products inspected.
To ensure that corrective action is taken as soon as problems arise:
a. Pass the information on quickly to the customer services department so that they
can act to prevent recurrence of the problem.
b. Implement and confirm design changes.
c. Establish the cause of the problem.
The procedures for changing the design standards, drawings and specifications include:
a. Have the changes approved by the authorized personnel before they are
implemented.
b. Be sure to collect old drawings as soon as possible after the new ones are
distributed.
c. Issue a design change notice.

15. The procedures for starting production in cooperation with related departments include
a. Specify the related departments and their role in the standard for the operating
procedure.
b. Decide on the quality characteristics required for each manufacturing process.
c. Explain everything fully to the related departments and operators as soon as
possible after starting production.
16. The manufacturing processes should be documented so that personnel from related
departments can check:
a. The quality characteristics of the processes.
b. The records of the processes.
c. The success of the processes.
17. If there is a big cost over-run in design and development expenditure, the person in
charge should hold an emergency meeting with:
a. All the members of the department.
b. The CEO.
c. The senior design manager.
18. To regulate the design and development processes:
a. Get a good understanding of what the market needs.
b. Review the design standards.
c. Get a good idea of what technology will be required.
20.4 Prepare for the development of the new product
19. To set up a new-product development system:

a. Draw up a plan to increase your companys market share.
b. Draw up a development plan for the technology and equipment your company
will require.
c. Carry out trial manufacture and development.
20. To establish evaluation standards and criteria for design review and product testing:
a. Determine the design review procedures.
b. Determine the prototype-testing standard.
c. Determine the market testing procedures.
21. Parts should be designed that meet:
a. Company standards.
b. Business standards.
c. Common standards.
22. To make sure that the production process can produce products with the required quality
characteristics:
a. Decide on the unit of measurement.
b. Decide on the measuring equipment.
c. Determine the scope of the process (type, lot, process, capability).
23. To carry out design reviews:
a. Collect information on customer claims.
b. Carry out a design review from product planning through to product shipping.
c. Train specialists to make sure that the design review is carried out correctly.
20. 5 Take a long-term perspective on design and development
24. To organize a long-term new-product development system:
a. Gain a good understanding of market needs.
b. Ensure that there are adequate resources of employees, materials and money.
c. Invest in the latest technology.
25. To control the progress, quality and cost of design and development planning:
a. Clarify the development policy in the medium-term business plan.
b. Prepare a detailed schedule for quality and cost control at each design and
development phase.
c. Ensure that there is regular communication between the design and development
personnel and those in charge of related departments.
26. To reduce quality problems:
a. Transfer those who cause problems out of the design department.
b. Get a good understanding of critical elements that affect quality.
c. Take recurrence prevention measures.
27. Keep employees informed of quality problems so that:
a. Future savings can be estimated.
b. Employees will become sensitive to them.
c. The design and development budget can be adjusted.
28. The development of a new product must be based first of all on:
a. Market research.
b. The business strategy.
c. The product specifications.
29. To take environmental issues into account:
a. Design the product to have a short lifetime.
b. Improve the recovery and recycling of products that are no longer in use.
c. Use less resources and materials.
Relation with ISO

20.1
Set up the primary requirements for new product design and development
The CEOs understandings of design and development
5
Management responsibility
6.1
Provision of resources
6.2
Human resources
6.2.2 Competence, awareness and training
6.3
Infrastructure
Prepare written rules and procedures for managing design and development
4.2
Documentation requirements
4.2.1 General
4.2.2 Quality manual
7.3
Design and development
Prepare a new-product development project sheet
7.3.1 Design and development planning
Establish a standard for testing new product
7.3.4 Design and development review
Calculate the cost of development
6.2.2 Competence, awareness and training
5
Management responsibility
7.3.5 Design and development verification
7.3.6 Design and development validation
20.2
Plan for the design and development of the new product
Set up a unit to carry out the design work
5.5.1 Responsibility and authority
6
Resource management
Establish design standards
4.2.3
Control of documents
5.5.1 Responsibility and authority
Make clear the responsibility and authority of the designers
Find out how many problems related to design and development arise each year
8.2.1 Customer satisfaction
8.2.4 Monitoring and measurement of product
8.4
Analysis of data
Plan for corrective action when problems arise
8.5.2 Corrective action
Establish procedures for changing the design standards
7.3.7 Control of design and development changes
20.3
Implement the new design
Establish the procedures for starting production
7.1
Planning of product realization
Prepare a flowchart showing the quality characteristics of the manufacturing processes
7.1
Planning of product realization
7.3.5
Design and development validation
7.5.1 Control of production and service provision
Control the design and development budget
5.1
Management commitment
Regulate the design and development processes
7.2.1 Determination of requirements related to the product
7.2.2 Review of requirements related to the product
20.4
Prepare for the development of the new product
Set up a new-product development system
Establish evaluation standards and criteria for design review and product testing
7.3.5 Design and development verification
7.3.6 Design and development validation
Design parts that meet common standards
7.2.2
Review of requirements related to the product
7.3.2 Design and development inputs
7.3.3 Design and development outputs
Check the process capability
7.1
Planning and product realization
7.2.2 Review of requirements related to the product
8.2.3 Monitoring and measurement of processes
Carry out design reviews

7.3.4
Design and development review
20.5
Take a long-term perspective on design and development
Ensure that you have a long-term development system
5.1
Management commitment
Control the progress of design and development planning
Make a continuous effort to reduce quality problems
8.5
Improvement
Base product planning on market research
5.2
Customer focus
7.2
Customer-related processes
Take environmental issues into account in designing a new product
6.3 Infrastructure
6.4 Work environment

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Unit 20

Product Design and Development

Unit 20-Product Design and Development 1 A Roadmap to Quality

Unit 20-Product Design and Development 2 A Roadmap to Quality

Unit 20-Product Design and Development 3 A Roadmap to Quality

a. Ensure that you have a long-term development system.

Unit 20-Product Design and Development 4 A Roadmap to Quality

The 6-Point Structure

Proposals: Your proposals for improvement.

Be specific and concretes.

Obstacles: Obstacles to implementation in employee attitudes, company organization and

The resources required: funds, equipment, materials, man-hours, expertise etc.

The resources available within the company.

Any resources that would have to be found outside the company.

Alternative that could be used to cover any shortfall in resources

Assessment: Ways of assessing the results of implementing these proposals.

Benefits: The benefits your proposals would bring.

Unit 20-Product Design and Development 5 A Roadmap to Quality

He should be aware that successful product development requires:

Unit 20-Product Design and Development 6 A Roadmap to Quality

Figure 20.1a New-product Development Project

Unit 20-Product Design and Development 7 A Roadmap to Quality

You should plan to use standardized parts in order to:

Unit 20-Product Design and Development 8 A Roadmap to Quality

Figure 20.1b Control of New Design Product

Unit 20-Product Design and Development 9 A Roadmap to Quality

Prepare a new-product development project sheet

Establish a standard for testing new product

Unit 20-Product Design and Development 10 A Roadmap to Quality

Figure 20.4 New-product review standard and inspection report

Calculate the cost of development

Unit 20-Product Design and Development 11 A Roadmap to Quality

c. The administration aspects:

Unit 20-Product Design and Development 12 A Roadmap to Quality

Unit 20-Product Design and Development 13 A Roadmap to Quality

To plan for the design and development of a new-product:

Set up a unit to carry out the design work

Keep the following points in mind:

Unit 20-Product Design and Development 14 A Roadmap to Quality

Establish design standards

To establish these design standards:

Unit 20-Product Design and Development 15 A Roadmap to Quality

a. Specify which departments should be involved, both in-house and in affiliated

Unit 20-Product Design and Development 16 A Roadmap to Quality

Figure 20.2c. Table Standard system

Make clear the responsibility and authority of the designers

Unit 20-Product Design and Development 17 A Roadmap to Quality

Figure 20.2d. Design system and Qualified personnel list

Unit 20-Product Design and Development 18 A Roadmap to Quality

In taking these actions:

Unit 20-Product Design and Development 19 A Roadmap to Quality

Figure 20.2e Pareto diagram

Unit 20-Product Design and Development 20 A Roadmap to Quality

Plan for corrective action when problems arise

Unit 20-Product Design and Development 21 A Roadmap to Quality

Figure 20.2f Quality information feedback system

Unit 20-Product Design and Development 22 A Roadmap to Quality

Figure 20.2g Procedures for establishment and review

Unit 20-Product Design and Development 23 A Roadmap to Quality