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Production The Purpose of Manufacturing and Components Needed to Make It Work Concept to Distribution Identify Need Conceptualization Market Analysis Concurrent Engineering Research & Development Product and Process Development Production and Continuous Improvement Marketing and Distribution Conceptualization Brain/Eye The Conceptualization Paper Cycle Hand/Eye Conceptualization Specifications-the main task is to determine the design specifications or clarify the design requirements. Conceptualization Conceptualization Concurrent Engineering Concurrent engineering is a concept to reduce the design cycle and improve product value. Based on the integrated design of products and manufacturing and support processes. Manufacturability must be considered from the very start of product development and designed into the product as it is being conceived. All aspects of manufacturing from customer to marketing need to be involved throughout the process. Design for Manufacturability Function Safety Customization Cost Customers’ Needs Style Assembly Quality Time to Market Final Design Reliability Recycling Expansion Shipping Human Factors Pollution Serviceability Upgrading Future Designs Research & Development Research & Development Research & Development (R&D) is a process in which new products and new forms of old products are brought into being through technological innovation. The foundation of any innovation is an invention. The concept of research is as old as science; the relationship between research and subsequent development was not generally recognized until the 1950’s. Research & Development New products and new processes usually have their roots in research and have a path from laboratory idea, through prototype, to manufacturing and production, and finally to market introduction. Industrial research and development is commonly directed toward a generalized goal, which includes the steps necessary to bring a new or modified product or process into production. Research & Development History The first case of a laboratory that spent a significant part of its parent company's revenues was that of the Edison Electric Light Company, which employed a staff of 20 in 1878. The U.S. National Bureau of Standards was established in 1901, 31 years after its German counterpart. American companies started to take research seriously just before World War I. General Electric, DuPont, American Telephone & Telegraph, Westinghouse, Eastman Kodak, and Standard Oil set up laboratories for the first time during this period. Research & Development The pressure on industry created by the Great Depression in the 1930s, caused companies to seek savings in their research and development expenditure. It was not until World War II that research and development in the United States and Britain returned to previous levels. Brilliant achievements during WWII by research and development scientists and engineers had produced radar, the atomic bomb, and the V-2 rocket and had created a public awareness of the potential value of research that ensured it a major place in industry. Research & Development Research and Development Laboratory Laboratories fall into three clear categories: Research Laboratories Development Laboratories Test Laboratories Research Laboratory Research labs carry out both pure and applied research work. They usually support a company as a whole, rather than any one department. Research personnel report to the highest levels of corporate management. Research & Development Development Laboratory Development labs are specifically committed to support a particular process or product line. They are normally under the direct control of the department responsible for manufacturing and marketing. Development labs are used to solve problems by many sections of each company. They maintain close contacts with people in manufacturing, advertising, marketing, sales, and other departments who are responsible for products or processes. Research & Development Test Laboratory Test laboratories may serve a whole company or group of companies. They are responsible for monitoring the quality of output. Test laboratories often require chemical, physical, and metallurgical analyses of incoming materials, as well as checks at every stage of a process. These laboratories may be a part of a manufacturing organization, but many companies give materials and products to an independent contractor like Underwriters Laboratories. Market Analysis Early marketing economists examined industrial markets. This examination resulted in the development of three approaches to the analysis of marketing activity: the commodity, the institution, and the function. Commodity Analysis studies the ways in which a product or product group is brought to market. Institutional Analysis describes the types of businesses that play a prevalent role in marketing, such as wholesale or retail institutions. Functional Analysis examines the general tasks that marketing performs. Also, it ensures that the product is transported from the supplier to the customer. Market Analysis Marketing is the process by which a society organizes and distributes its resources to meet the material needs of its citizens. Large companies began to recognize the importance of market research, better product design, effective distribution, and sustained communication with consumers throughout the 20th century. It soon became apparent that organizations and individuals market not only goods and services but also ideas (social marketing), places (location marketing), personalities (celebrity marketing), and events (event marketing. Market Analysis Roles of Marketing Marketing is the way in which an organization determines its best opportunities in the marketplace, given its objectives and resources. The marketing process includes the "4 Ps": product, price, place (or distribution), and promotion. This process is followed by evaluating, controlling, and revising the marketing process to achieve the organization's objectives. Marketing includes selling, advertising, promotion, marketing, product development, packaging, pricing, distribution, and customer service. Market Analysis The marketing department may include brand and product managers, marketing researchers, sales representatives, advertising and promotion managers, pricing specialists, and customer service personnel. The strategic phase of marketing has three components: Segmentation, Targeting, and Positioning. The organization must distinguish among different groups of customers in the market (segmentation), choose which group(s) it can serve effectively (targeting), and communicate the central benefit it offers to that group (positioning). Market Analysis The philosophy of marketing puts central emphasis on customer satisfaction as the means for gaining and keeping loyal customers. Marketing’s role is to carefully and continually gauge target customers' expectations and to consistently meet or exceed these expectations. Marketing, consequently, is far too important to be done solely by the marketing department. Product & Process Development Products are made up of parts +/or components New or existing Commercially available vs. Inventing new parts Cost Qty required When are parts needed Product & Process Development Process How will the part/component be manufactured? First lay out the fabrication process What steps are required to build the product What rates will be required to meet demand? Can we use existing Mfg. lines? Do we need to build new facilities? Production Is the activity that takes your concept from an idea and produces a real, concrete product you can touch & feel… All material requirements are defined All material needs are ordered and delivered to the production line Production All Production needs come together The investment needed to produce product is finalized The investment in Man Machine Materials Mfg Facilities Key Terms JIT – Just – in – Time manufactiuring Real Time Inspection Total Quality Management CNC – Computer Numerical Controlled Flexible MFG Systems Marketing Defines Who the customer is Where the customer lives How much will that customer buy How often will that customer buy This info is supplied to MFG to determine capacity needs Distribution How will product get to market? Your own Fleet Post/UPS/ FEDEX Rail Truck Distribution How will the product be sold? Retail Wholesale Distributors MFG’s Reps Direct Sales – Internet or telesales eBay