The Industrial Process of Product Design and Development Essay

The Industrial Process of Product Design and Development - Essay Example This is basically done through developing innovative techniques which facilitate achieving cost reduction, optimum utilization of resources or improve the quality of the end product (Heizer, Render and Weiss, 2004). Lean manufacturing techniques have therefore evolved as an important aspect in product development processes which facilitates organizations to develop systems that makes optimal utilization of resources and develops a number of competitive advantages for the organization. Lean manufacturing principles are vastly adopted by organizations so that resources can be optimally utilized and value additions at every stage of production are more effective. In other words it can be explained that lean facilitates enhancing effectiveness in the product designing and manufacturing process. Engineers across the world try developing new and innovative concepts which leads to unique benefits for the company, the industry and the customers (Slack, Chambers and Johnston, 2009). The curre nt paper deals with understanding the important of lean manufacturing systems in modern day manufacturing process. It is basically seen that organizations which adopt the lean product development techniques are able to survive market competition and make their products more suitable in enhancing consumer satisfaction. Lean manufacturing system is mainly about achieving resource optimization and enhancing the quality of the end products. In most organization lean concepts are used to strategically counter competition and reduce wastages. One of the most important features of the lean system is that it aids in integrating the needs of customers into the production system (P. Coughlan and D. Coghlan, 2002). Since the prime objective of firms is to fulfil the needs of the consumers, it becomes essential that at every stage of manufacturing consumer needs are kept in mind and accordingly product attr4ibutes are formed. The development of an efficient product

Strategic Management Analysis Essay Example | Topics and Well Written Essays - 1250 words - 1

Strategic Management Analysis - Essay Example This kind of transformation has led to Better Place establishing a paradigm shift; whereby in the business model, sales are shifted from products to services. Mission and Vision The company’s mission is to reduce the social and environmental impacts in relying on petroleum by the transportation sector. The Better Place case highlights the automotive industry history in brief offers an overview of numerous automotive technologies such as hybrids and demonstrates consequences brought forth by its expansion (Romero, 2009: p.155-159). Industry Analysis The Better Place case highlights numerous aspects of the company, its shortcomings and advantages. It as well examines the rollout strategy of the company, which is an entrepreneurial that is trying to expand and grow globally at a quick pace. Its key challenges include a complex business model on the economy particularly on the wide upfront investments that are dispersed in various locations internationally, how infrastructure is c oordinated, how consumers can be convinced to switch to electric cars as well as ways of convincing automotive producers that EVs are a better option. Porter’s five Porter’s five looks at the five forces that act on Better Place Company and are the determinants of the company’s profitability. 1. Threats of new entrants This is a low threat in Better Place Company being in the automobile industry. ... 2. Bargaining power of buyers Buyers always bargain before buying cars, and so dealers gives out great deals to the buyers so as to move the industry. In this case, the buyers usually have a considerable bargaining power even if they purchase a single car at any given time which is a good factor that determines this force. 3. Threat of substitute products When buyers look at other products compared to those of Better Place, as well as competition, and are able to switch with ease, then the company can have a high threat of force. This is because the cost of switching can be high as one cannot sell a car for the sum paid for. In the differentiation of product, cars could be particularly similar in various ways but if choosing the amphibious cars, the threat of substitute products can be of low. 4. The bargaining power of suppliers This involves suppliers of electronics, parts, components and tires as well as the assembly workers. The auto unions are powerful in a tremendous way. On th e other hand, suppliers can be of small firms who often depend on carmakers and can have a single carmaker as a customer. Therefore, this force can be either low or high. 5. Competitive rivalry Better Place is a company that has a fierce competition in terms of price cut, product development and ad campaigns, which drives it to the profitability and innovation edge. This leads to low margins and a high pressure on rivals. However, if there is less pressure from rivals, the pressure on imports becomes high although there will be a difference in profitability because the business models will vary (Pickard, 2010.p.125). Sources and Capabilities SWOT Analysis of Better Place a. Strengths