Product Design and Development | Importance | Process | Advantages

Product Design and Development:

Table of Content:
  • Product Design and Development
  • Importance of Product Design and Development
  • Advantages and Disadvantages
  • What does Product Design and Development do?
  • Phases involved in Product Design and Development


Product Design and Development

What Does Product and Service Design Do?

  • Multiply more customer because of the product or services according to the customer’s exact desire or need.
  • Improve existing products or services to provide better customer satisfaction.
  • May discover unique products or services to create a monopoly.
  • Expand marketing territory that is untouched yet.
  • Reduces manufacturing cost due to the uses of new technologies.
  • Construct an enhanced version of the product or services.
  • Increase the specifications of a product due to innovation.
Reasons for Product Design or Redesign and Development:
  • For Economic Reason: In any organisation sometimes demand of any product gradually decrease gradually in the market and sometimes excessive warranty is claimed. In those cases, product design or redesign and development become essential to improve demand and reduce excessive warranty claims. This also helps in reducing product costs.
  • Social and demographic Reason: Sometimes there is a population shift in the territory or the customers who use the product are getting old and thus demand of the product will decrease. Therefore to make a suitable product as per the consumer’s need product design or redesign and development is the only option to sustain sales of product or services.
  • Political, liability, or legal Reason: Sometimes due to change of Government body in different states of a country new rules and regulations are imposed or because of any safety issue with the product. In this case, the company is bound to change or redesign or redevelopment of the product.
  • Competitive Reason: Due to the launch of a similar or superior product or services from other companies or some change in the advertisement/ promotions strategies product design or redesign and development becomes mandatory to provide the better product or services to compete in the market.  
  • Cost or availability Reason: Due to the increased cost of raw materials, components or labour it is necessary to change product design or reduce packing size to ensure productivity.
  • Technological Reason:  Technology is the major factor behind product design and development because everyday new technology is coming to improve the convenience of the customers. Hence to sustain in the market product or services design and development is very important.


Product Design and Development


Objectives of Product and Service Design:
To increase profit to the organization is the overall objective of product design and development effectiveness. 
Legal, Ethical and Environmental Issues in Product Design and Development:

Product liability:

  • Produce designs that are appropriate for the goals of the organization. For example, if the company has a goal of a high-quality product, do not be a miser to save cost, even in areas where it won’t be apparent to the customer.
  • Improve customer satisfaction and compliance because the product or services are designed to meet the customer’s needs.
  • Health and safety must be the primary concern of the product or services design and development because the person who will manufacture goods or who will transport or the consumers who will use the product or services might be harmed by the products.
  • Consider the potential to harm the environment.


In Standardization of product, there are some advantages and disadvantages which are given below.

Advantages of Product Design and Development:

    • Less area to deal with in inventory and in manufacturing.
    • Reduced training costs and time.
    • Increases daily purchase and sales volume of the product because of the better product or services according to customer’s need and desire.
    • Orders fillable from inventory.
    • Opportunities for long production runs and automation.
    • Improve customer compliance and save time due to the use of new technologies in the service industry.
    • Uses of new technologies in the manufacturing process reduce product cost and improve the quality of the product, hence increases sales and profit to the organisation. 


  • Designs may be impacted with too many imperfections remaining.
  • The high cost of design may affect improvements.
  • Decreased variety of results in less consumer appeal.
Improve Reliability:
Below are potential ways to improve reliability.
  • Improve component design.
  • Improve production technique.
  • Improve testing.
  • Use backups.
  • Improve user education.
  • Improve system design.
Phases in Product Design and Development:
Idea generation:
The first phase in Product design or development is idea generation and ideas can come from different sources or due to market sift or demand of the consumers or invention of new technology. Following are the detail discussion on this topic.

Feasibility analysis:

Feasibility analysis is detailed research on market analysis, economic analysis and technical analysis. In other words, one has to analyze the demand of the product, manufacturing cost, manufacturing capacity, labour cost and profit potential for the product.  

Also, it is very important to know that the proposed idea on Product design or development of the existing product has sufficient potential to generate profit to the organisation or not. This analysis is done with the help of marketing, finance, accounting, engineering, and operations departments.

Product specifications:

Product specification is the most important phase in the Product design or development process. On the basis of the consumer’s desire and need, product specifications are evaluated. This is done with the help of the marketing team and market survey. This is also mandatory to keep in mind the legal side of the product or services because of the Central or State Government which requires the collaboration of legal and operation department.

Process specifications:

Once product specifications are finished, process specification comes into the picture and attention turns to the process of manufacturing the product. According to the market demand, consumer behaviour and other company’s product specifications a detailed comparison must be conducted with the collaboration between accounting and operations in terms of cost, availability of resources, profit potential, and quality.

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