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Timely article: How to
avoid most shortages now
AND design new products for unlimited Scalability
see revised article at: http://design4manufacturability.com/scalability.htm
If
you don't know who
your customers are going to be
or what they will want, you must Build-to-Order.
see: www.build-to-order-consulting.com
If you don't have enough resources to
develop good products fast,
make that twice as efficient as possible* and don't "take all
orders."
* see:
http://www.design4manufacturability.com/concurrent-engineering.htm
Timely Article on The Case against Orrshoring:
http://www.design4manufacturability.com/offshoring.htm
Companion article on this site on hidden offshorIng costs
Pivotal Article How to Design Half-Cost Products
The age shows nine categories of cost
reduction ranging from 1/2 cost to 1/10 of the previous costs
. Each cost category has one to two hyper-links that present the principles.
New Article on strategy: http://www.design4manufacturability.com/strategy.htm
Alphabetical listing to to 26 Articles Site locator to 50 pages on this site
Feature articles: Commercialization and Half-Cost Solar
New
2020 Secomd Edition book: "Design
for Manufacturability: How to Use Concurrent Engineering
to Rapidly Develop Low-Cost, High-Quality Products for Lean Production"
Also, the most thorough book ever written on Build-to-Order & Mass Customization
Cost reduction can result in significant product cost saving, manufacturing cost saving, and life cycle cost saving when companies interested in cutting cost implement all 8 the elements of the following cost reduction strategy:
article on HALF COST PRODUCTS
Cost Reduction Opportunities:
The Results:
How to Reduce Product Cost by Design:
Activities Supportive to Low Cost Product Development:
Cost Reduction Opportunities:
The Results:
How to Reduce Manufacturing Cost:
Activities Supportive to Lean Production:
See New
article on "How to Build-to-Order Product
Families"
and
DFM and Build-to-Order for high-mix/low-volume
environments at
http://www.design4manufacturability.com/low-volume-high-mix.htm
April
& Sept. webinars on
Design for Lean & Build-to-Order
2-day webinar: April 19-22 and Sept 20-23 from 1-5 PM EST
Complete description at : https://qualitysupportgroup.com/design-for-lean-manufacturing/
See published article on how to implement Mass Customization in the April 2011 issue of Mechanical Engineering, published by ASME
Cost Reduction Opportunities:
The Results:
How to Reduce Overhead Cost:
Activities Supportive to Build-to-Order & Mass Customization:
Cost Reduction Opportunities:
The Results:
How to Reduce Cost with Standardization:
Activities Supportive to Standardization:
Cost Reduction Opportunities:
The Results:
How to Reduce Cost with Product Line Rationalization:
Activities Supportive to Product Line Rationalization:
Cost Reduction Opportunities:
The Results:
How to Reduce Cost in Supply Chain Management:
Activities Supportive to Supply Chain Cost Reduction:
Cost Reduction Opportunities:
The Results:
How to Reduce the Cost of Quality:
Activities Supportive to Quality Cost Reduction:
Cost Reduction Opportunities:
The Results:
How to Reduce Cost with Total Cost Measurements:
Activities Supportive to Total Cost Measurements:
OTHER VALUABLE ARTICLES:
New 2021 article: Design
to scale up millions When Needed
without supply shortages or production bottle-necks
If busy, go to: http://design4manufacturability.com/scalability.htm
If busy, go to http://www.build-to-order-consulting.com/scslsbility.htm
Don't try to remove cost after the product is designed because cost is designed into the product and hard to remove later; see article on How Not to Lower Cost. See new article on Seven Resons why "cost reduction" after design doesn't work at http://www.design4manufacturability.com/cost_reduction.htm
Don't use low-bidding, which only appears to save one category of cost, but can substantially raise many less-obvious costs and compromise other important goals like quality, delivery, and missing out on the major contributions that vendor/partners can make when they help product development teams design products; see article on Low-Bidding.
Don't offshore manufacturing for cost, which will not result in a net cost savings because of hidden overhead costs and because it inhibits, compromises, or thwarts 6 out of the 8 cost reduction strategies (presented on the home page) due to the following reasons:
Offshoring manufacturing separates manufacturing from engineering and thus thwarts Concurrent Engineering and compromises the 80% of the cost determined by the design. Further, transferring, supporting, and dealing with quality and delivery problems of remote manufacturing absorbs many resources in engineering (in one case, 75%), manufacturing, and purchasing whose time would be better spent developing low-cost products. See Cost Reduction by Design summary and the article Design for Manufacturability
Offshoring manufacturing to distant contract manufacturers increases the delivery time, which makes it hard to pull parts just-in-time and makes build-to-order impossible. Further, parts may be batched for shipping, which is opposed to the one piece flow aspects of Lean Production. Finally, offshoring manufacturing removes production from the control of the OEM manufacturer. All of these effects conspire to:
Compromise Lean Production; see Lean Production Cost Reduction summary and the article on Lean Manufacturing
Make if impossible to implement Build-to-Order and Mass Customization; see Overhead Cost Reduction summary and the Build-to-Order article and Mass Customization article.
Make it hard to implement standardization because contract manufacturers' preferred parts probably won't correspond to your standard parts, so, in order to realize the production benefits of standardization, part numbers may have to be changed, which may increase a company's part proliferation.
Make it hard to optimize supply chains; see Supply Chain Management Cost Reduction summary and details in the article on offshoring.
Make if hard to maximize quality and implement Six Sigma without data and control over manufacturing; see Quality Cost Reduction summary and the article Designing in Quality.
If all 8 cost reduction strategies are implemented, the cost
savings will be much greater than appeared possible through offshoring.
For more, see read the article on offshore
manufacture.
Don't take prototypes into production without
commercialization; Also see
article on
"How not to commercialize products"
Correcting counterproductive policies may be a prerequisite to designing Half-Cost Products.
Don't try to save cost with
unethical business practices. See the
article: Good Ethics is Good
Business.
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Free BTO book, signed by the author, for US callers. Just call Dr. Anderson at 805-924-0100 (after 8:30 am Pacific) for a free assessment of how much these methodologies can help your company
Call Dr. Anderson at 1-805-924-0100 to discuss
implementing these techniques or e-mail him at
anderson@build-to-order-consulting.com with your
name, title, company, phone, types of products, and needs/opportunities. Web site on Design for Manufacturability (DFM) and Concurrent engineering: http://www.design4manufacturability.com/ Web site on Build-to-Order & Mass Customization: http://www.build-to-order-consulting.com/ |
Copyright 2021 by David M. Anderson
For more information call or
e-mail:
Dr. David M. Anderson, P.E., fASME, CMC
www.HalfCostProducts.com
phone: 1-805-924-0100
fax: 1-805-924-0200
e-mail:
anderson@build-to-order-consulting.com
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