Page 63 - DMGT501_OPERATIONS_MANAGEMENT

Unit 2: Product and Service Design

2.16 Keywords Notes

CAD: Use of computer software to design and create 2D and 3D virtual models of goods and
products for the purposes of testing.

Commonality: Used to manufacture similar products.
Concurrent Engineering: Involves the parallel completion of product phases based on overlap
among different phases of business development.

Customization: Product is subject to the final configuration as and when the customers' specific
order is known.
Delayed Differentiation: Adding differentiating changes to the product close to the time of
purchase by the end use customer.
Design for Manufacturability: Process of designing a product for efficient production maintaining
highest level of quality.
Design for Reliability: It refers to the process of designing reliability into products.
Modular Design: System that allows pre-engineered sub-assemblies to meet a customer's need.
Product Architecture: Establishes functional capabilities of the product, its features and post sale
servicing needs.
Product Lifecycle: Simple representation of impact of changes in business environment on
products.
Recycling: Recovering of materials or components for future use.
Reliability: It serves as a measure of quality of the product and service design.
Standardization: Maintaining a standard quality and features for all designs.

Technology Lifecycle: It is used to forecast the way demand, production and competition will
change as product matures.

2.17 Self Assessment

State whether the following statements are true or false:

1. A particular product can be designed in a specific way just because the assembly line is fast
and reliable.
2. A particular ingredient design of any delicacy of a particular restaurant is protected under
the patent law.
3. There is a severe competition, in fact most severe during the growth stage of the product
or service.
4. Honda's I-VTec technology is a mature technology.
5. CAD was designed by GM and Microsoft.
6. Use of Benetton as classic example for postponement emerges out because it used to dye
its apparels after converting it from yarn to cloth.
7. Maruti Suzuki also offers customized products to the customers of its specific few brands
of cars.
8. While discussing Design for Manufacturing, less attention is given to quality.

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