GROUP 4

Velasco, Khristine B.
Labicasi, Annevan R.
Sultan, Jayson
Estrada, Von Jason
Tejana, MJ
HUMOR IN PRODUCT DESIGN

As the customer wanted it.

As the Marketing interpreted it.
As Operations made it.
As Engineering designed it.
PRODUCT COMPONENTS
 PRODUCT STRATEGY OPTIONS
Product Differentiation in economics and marketing,
is the process of distinguishing a product or service
from others, to make it more attractive to a particular
target market. This involves differentiating it from
competitors products as well as a firm's
own products.
Low Cost - one of the generic marketing strategies,
seeking to stimulate demand and market share.
Rapid Response - works when you combine the right
people with the right tools and right level of
commitment.
 GENERATION OF NEW PRODUCT
OPPORTUNITIES
ECONOMIC CHANGE structural changes that move countries
through the development process are often viewed in terms of
shifts from primary, to secondary and finally, to tertiary
production.
SOCIOLOGICAL & DEMOGRAPHIC CHANGE encompasses the
study of size, structure of populations, and how populations
change over time due to births, deaths, migration, and aging.
TECHNOLOGICAL/SOCIAL CHANGE is an increase in the
efficiency of a product or process that results in an increase in
output, without an increase in input.
POLITICAL/LEGAL CHANGE occurs when the rulers in a country
lose power or the type of governance in the country changes.
OTHERS
STAGES IN THE PRODUCT LIFE
CYCLE
PRODUCT LIFE CYCLE, SALES, COST,
AND PROFIT
PRODUCTS IN VARIOUS STAGES OF
LIFE CYCLE
 PRODUCT DEVELOPMENT STAGES
1. Idea Generation

2. Assessment of firms ability to carry out

3. Customer requirements

4. Functional Specification

5. Product Specifications

6. Design Review

7. Test Market

8. Introduction to Market

9. Evaluation
FEW SUCCESSES
 IDEA GENERATION STAGE
Provides basis for entry into market

Sources of ideas
Market needs (60-80%)
Engineering & Operations (20%)
Competitors
Inventions
Employees

Follows from marketing strategy

Identifies, defines, and selects best market opportunities
CUSTOMER REQUIREMENTS STAGE

Identify key product

benefits as stated in
Core Benefits
Proposition (CBP)
Identify detailed list of
product attributes
desired by customer
Focus groups or 1-on-1
interviews
 FUNCTIONAL SPECIFICATION STAGE

Defines product in terms on how the product would meet

desired customer attributes.

Identifies products functional characteristics

Rates products functional characteristics with that of the

competitors.
 PRODUCT SPECIFICATION STAGE

Determines how a product will be made.

Gives the products physical specifications: dimensions,

material, etc.
Done often on computer
Computer-Aided Design (CAD)

To better test product specifications, prototypes should be

made in certain products.
 ISSUES FOR PRODUCT DEVELOPMENT
Robust Design a concept of Dr. Genichi Taguchi, a Japanese guru, defines
as reducing variation in a product without eliminating the causes of
variation.
Modular Design/Modularity Design an approach that subdivides a
system into smaller parts called modules or skids, that can be
independently created and then used in different systems.
Computer-Aided Design (CAD) a software that is used by architects,
engineers, drafters, artists, and others to create precision drawings or
technical illustrations. Can also be used to create two dimensional (2D)
drawings or three dimensional (3D) models.
Concurrent Engineering also known as simultaneous engineering, a
method of designing and developing products, in which the different
stages run simultaneously, rather than consecutively. It decreases product
development time and also the time market, leading to improved
productivity and reduced costs.
Environmentally-Friendly Design are sustainability and marketing
terms referring to goods and services, laws, guidelines and policies that
claim reduced, minimal, or no harm upon ecosystems or the environment.
 TIME-BASED COMPETITION

Product life cycles are becoming shorter.

Faster developers of new products gain on slower

developers and obtain a competitive advantage.
SERVICE DESIGN
 SERVICE DESIGN
IMPROVING CUSTOMER RELATIONS AT A DRIVE-UP WINDOW:
Be especially discreet when talking with customer through the
microphone.
Provide written instructions for customers who must fill out
forms you provide.
Mark lines to be completed or attach a note with instructions.

Always say please and thank you

Establish eye contact with the customer if the distance allows it.

If the transaction requires that the customer park the car and
come into the lobby, apologize for the inconvenience.
 OPERATIONS STRATEGY ON
PRODUCT AND SERVICE DESIGN
Invest more in Research and Development (R&D).

Emphasize long-term performance than short-term

performance.

Work toward continual/gradual improvements rather

than using the big bang approach.

Work to shorten the product life cycle.