Introduction

Production and supply-chain considerations are essential requirements that must be examined during the conceptual level and turned into definitive approaches during the operational level. The choices are dependent on the new-product development (NPD) situation. While the trend is toward best practices and “world-class manufacturing,” the downstream activities of actually producing the product(s) or providing the service have to be determined through inputs from the entire NPD team as the new-product opportunity makes the transition from concept to commercialization. Once the initial design for a new product is complete, manufacturing capability is typically required to bring the product to market. Whether using in-house manufacturing resources, buying the product entirely from a supplier, or using a combination of these two approaches, the enterprise must produce the new product in larger quantities. Frequently, a product previously made only in small quantities in a controlled laboratory environment must be made in large quantities on the more “uncontrolled” factory floor.

This chapter describes important production strategies, methods, and applications; the use of supply networks and outsourcing; and the techniques for improving designs to make products easier to produce, and more appealing to customers. Production and operations strategies for new products combine flexible production with an easy to manufacture and assemble design, resulting in products that consistently meet or exceed customer expectations. By designing and establishing the most efficient and appropriate production system for a given product, manufacturing can be a strategic weapon and a competitive advantage, thus minimizing vulnerabilities to competitors.