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10.9 LAVER IV: BRIDGING CULTURES TO CREATE LEADING EDGE PRODUCTS Future products will be cross-disciplinary and involve synergy between mechanical, this confluence of different technolog

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, 0.1.1Maintaining a System Perspective between QA and

criti-In today's era of shrinking product cycles in many high-tech markets, therewards of being first to market are very high in terms of market share and profit.Furthermore, the latter provides the source for funds for the next generation oftechnology This often occurs when a producer such as Intel or Microsoft can makeorders of magnitude of improvement over earlier products and versions of thesame product If these performance improvements are highly valued by cus-tomers-such as high-speed computing for certain customers-some quality prob-lems will be overlooked Increasingly, this implicit bargain is institutionalized inbeta testing

The most dramatic example is Microsoft 2000, which had 500,000 prereleasecustomers participating in its beta testing This broader view of customer awarenessshows that if the right bargain is struck between supplier and consumer, then the bestpossible product can be delivered at the right time

10.8 LAYER III: AESTHETICS IN DESIGN

Engineers and technologists tend -to be a little disparaging toward discussions thatinvolve art and aesthetics But a question worth pondering is: if miniaturized elec-tronics are destined to be a part of our everyday life, much like clothing and housing,fine design?

One major way to maintain a competitive advantage over the next few yearswill be to acknowledge the importance of artistry and design aesthetics in con-sumer products This may seem a rash prediction; however, it is supported by anexamination of the following three companies that have pulled ahead of theirrespective competition by devoting more attention to the artistic aspects ofcommon products:

• Ford has reintroduced some of the excitement seen in its older designs to thenew car business Perhaps the Mustang is a good example The seminal Amer-ican sports car has returned to the sculpted look of the 1900s rather than theneeds of today's consumer markets with its Explorer

• Motorola and Nokia have continued to miniaturize and stylize the cellularphone The Nokia exchangeable face plate in different jazzy colors is aimed at

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fashion victims, the Motorola StarTAC can conveniently be worn under aGeorgia Armani suit and not ruin the line Even with jeans, Motorola productsaim to be worn with style and not just provide communication ability TheStarTAC's size and elegance appeal to the fashion sensibilities of Wall Streetinvestors and Silicon Valley computer programmers alike.

• Nike and, more recently, Hilfiger, continue to entice a huge number of people

to buy $10()+ running shoes because their designs have an "edge" that standsout "Edge" does not get measured by one obvious factor It is a combination

of shape, material, color, and feel, backed up by effective advertising andsports-hero endorsement Nevertheless it is a property that teenagers sensetapped into it and Levi's has lost it But again, things change quickly.These are intuitive issues that are best discussed informally in the classroom.For further reading, a charming monograph by Jim Adams called Conceptual Blockbusting (1974) is a good place to start In addition, most large cities have amuseum of modern art where inspirations for the shape of future products canoften be found

10.9 LAVER IV: BRIDGING CULTURES TO CREATE LEADING EDGE

PRODUCTS

Future products will be cross-disciplinary and involve synergy between mechanical,

this confluence of different technologies creates a spiral of increasing capability

tainly continue to be a central aspect of 21st century manufacturing

The reader is first invited to study Taniguchi's Table 10.1 grouped under theheadings of(m)mechanical,(e)electrical, and(0)optical

• Normal manufacturing delivers the precision needed for (m) automobile

man-ufacturing,(e)switches, and(0)camera bodies

• Precision manufacturing delivers the precision needed for (m) bearings and

gears,(e)electrical relays, and(0)optical connectors

• Ultraprecision manufacturing delivers the precision needs for (m)

u1trapreci-sianx-ytables,(e)VLSl manufacturing support, and(0)lenses, diffractiongratings, and video discs

The data emphasize that the precision at any level has been more easilyachieved as the last few decades have gone by The greatest benefit has probablycome from CNC control, where the axes of factory-floor machines have beendriven by servo-mechanisms consisting of appropriate transducers, servomotors,and amplifiers with increasing sophistication of control (Bollinger and Duffie,1988) This closed loop control of the machinery motions has probably bad the

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TABLE 10.1 Products Manufactured with Different levels of Precision tccurtesv of Taniguchi,1994).

Examples of Precision Manufactured Products

Tolerance

200j,l-m Normal domestic General purpose Camera, telescope,

appliances, electricalparts.e.g., binocular bodiesautomotive fittings, switches, motors, and

pressure elastic deflectiontransducers, thermal mirrors,monomodeprinter heads, thin optical fiber andfilm head discs connectorsO.OS",m Gauge blocks, ICmemories, Optical flats,diamond indentor top electronic video discs, precision Fresnelradius, microtome LSI lenses.opticalcutting edge radius, diffraction gratings,

X-Ytables

Ultraprecislon O.OO5Ilm Vl.Sf super-lattice Ultraprecision

Notes:

CCD charge couple device

IC-integratedcircuit

LSI-largescale integration

VLSI-very large scale integration

years (Figure 10.2) Important advances in machine tool stiffness have alsooccurred Advances in this field have especially been the focus of the researchwork by TIusty and colleagues (1999)

It is valuable to compare Figure 10.2 with Figure 10.3 In semiconductor facturing, the minimum line widths in today's semiconductor logic devices are typically

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a diagram of the projection printing technique used during lithography The UV lightsource is focused through a series of lenses Any distortions in these lenses mightcause aberrations in the lighting paths Furthermore, when the minimum feature size

is comparable with the wavelength of the light used in the exposure system, somefraction of the UV rays limits the attainable resolution.'The dilemma being faced isclear: designers are demanding smaller transistors andcircuits, butUV lithography

dif-is reaching its limits

The natural limit of UV-lithography semiconductor manufacturing today isgenerally cited to be line widths of 0.13 to 0.18micron (see Madden and Moore,1998) This has prompted major research programs in advanced lithography, spon-sored byalliances of semiconductor manufacturing companies (see Chapter 5) Intel,Lucent, and "IBM each have their own alliance, each with its own preferred solution

For reference: 0.35 down to 0.25 micron lines make use of UV systems witb wavelengths of 365

INormal

jmanufacturing

Precisionmanufactu

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Association <http://www.llemkbips.orp)

to the lithography challenge One example is the alliance between Intel, threenational laboratories, and semiconductor equipment suppliers (Peterson, 1997).Using extreme ultraviolet (EUV) lithography and magnetically levitated stages, theproject has the goal of achieving line widths below 0.1 micron, perhaps eventuallyreaching 0.03 micron While such technologies are not expected to be commercially

to be satisfied

In general, as might be expected, cost increases with desired accuracy and cision ForIewafer fabrication, the ion implantation devices cost $1 to $2 million.Step-and-repeat lithography systems are several million dollars The equipment forall aspects ofIemanufacturing is extraordinarily expensive, leading to the projected

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pre-costs of $2.5 billion fabs for the 3OO-mmwafers and 0.13 to 0.18 micron feature sizes.The fabrication of such machines in tum demands highly accurate machine tools andmetrology equipment Thus, while a standard Scaxis CNC milling machine might costonly $60,000 to $150,000 depending on size and performance, the machine tools for

an order of magnitude more, requiring air-conditioned rooms and frequent tion by skilled technicians

calibra-As mentioned in Chapter 2,Ayres and Miller (1983) provides the succinct inition of computer integrated manufacturing (CIM) as "the confluence of thesupply elements (such as new computer technologies) and the demand elements (theconsumer requirements of flexibility, quality, and variety)."

def-Many examples of this confluence are shown in Table 10.1 Improvements in

one technology can be the suppliers to the demands of another complementary

tech-nology In particular, the pressing demands of the semiconductor industry for rower line widths spur all sorts of innovations in the machining of magneticallylevitated tables (see Trumper et al., 1996), precision lenses, optical scales, and dif-fraction gratings shown on the bottom right of Table 10.1 Likewise, the complement

nar-is true: improved microprocessors have created vastly more precise factory-floorrobots and machine tools

In summary, the precision mechanical equipment allows the precision VLSIand optical equipment to be made, which in tum allows the mechanical equipment

to be better controlled and even more precise This is a spiral of increasing capabilitywhere all technologies drive each other to higher achievements

How might this spiral be extended to a broader set of disciplines, especiallybiotechnology? Predicting the future is a dangerous game, especially in a textbook,but some synergies might include the following topics:

• The use of computers to decode the human genome and participate inbiotechnology is a safe bet for an important area of synergy, where the "needs"

of genetic discovery make "demands" on the computer techniques

• Another safe bet for predicting important synergies is the creation of sors for monitoring and diagnosis Such sensors combine biology, IC design,and IC microfabrication technologies, with a biological element inside asensor Biosensors work via (1) a biological molecular recognition element and(2) physical detectors such as optical devices, quartz crystals, and electrodes

biosen-• Specifically, biosensors may well find their most successful applications in thesynergy between silicon-based chips and molecular devices Such a deviceembedded in the skin could monitor chromosome and cell health Then, ifsmall deleterious changes were detected, the sensor could essentially promptthe wearer to go to a doctor for some kind of health booster or medicine Tosome extent, the wristwatch-like devices that contain insulin and an epidermalpatch for penetration through the skin are examples of devices that are a syn-ergy between mechanical design, electronics, and biotech In principle, this syn-ergy is an extension of wearable computing to biological implants andmonitoring devices

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10.10 CONCLUSIONS TO THE LAYERING PRINCIPLE

1 In any company, sustained growth will depend on the day-to-day

implementa-tion of quality assurance, time-to- market, design aesthetics, and an awareness

of new cross-disciplinary opportunities

2 In idle moments, everyone dreams that he or she can invent and develop a tastically new product and become "filthy rich." Nevertheless, the story behindbefore the product becomes an apparent "overnight success.v'Ihe Palm Pilot issuch a story And even when a product is a clear market leader, such as Apple'soriginal iconic desktop for the Macintosh, there is no guarantee that theproduct can stay ahead without attention to all the issues listed here

fan-3 The principle of layering has thus been advocated in this book so that today'sstudents, destined to be the technology managers of the future, do not graduate

Cohen, S., and J Zysman 1987 Manufacturing matters: The myth of the post industrial economy. New York: Basic Books

Cole, R E 1991 Thequality revolution Production and Operations Management 1 (1):118-120

Cole, R E 1999 Managing quality fads Huw American business learned to play the quality game New York and Oxford:Oxford University Press

Curry, 1., and M Kenney 1999 Beating the clock: Corporate responses to rapid changes in the

PC industry.California Management Review 42 (I): 8-36.

Handfield, R B., G L Ragatz, K 1 Petersen, and R M Monczka 1999 Involving suppliers innew product development California Management Review 42 (1): 59-82

Koenig, D T 1997 Introducing new products Mechanical Engineering Magazine. August,70-72

Leachman, R C, and D.A Hodges 19% Benchmarking semiconductor manufacturing IEEE Transactions on Semiconductor ManUfacturing 9 (2): 158-169

Madden,A P., and G Moore.1998 The lawgiver-An interview with Gordon Moore Red

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Her-Peterson, I 1997 Pine lines for chips Science News 152 (November 8): 302-303.Plumb, J H.1905 England in the eighreenrh century Middlesex, UK.: Penguin Becks,Rosenberg, N.1967 Perspectives on technology. UK.:Cambridge, England: Cambridge Uni-versity Press.

Shapiro,c.,and H R Varian 1999.tnformouon rules:Boston: Harvard Business School.Spear, S., and H K Bowen 1999 Decoding the DNA of the Toyota production system Har-

vard Business Review, September/October, 97-106

Symonds, M.1999 The Net imperative Economist, 26 June

Taniguchi,N.1994 Precision in manufacturing Precision Engineering 16 (1): 5-12.Tanzer,A Warehouses that fly Forbes October 18, 120-124

Taylor, F W 1911 Principles of scientific management. New York: Harper & Bros

Tlusty, G 1999 Manufacturing processes and equipment. Upper Saddle River, NJ: PrenticeHall

Trurnper.D, L., W Kim, and M E Williams 1996 Design and analysisframework for linearpermanent-magnet machines IEEE Transactions on Industry Applications 32 (2): 371-379Waldo, J 1999 The Jini architecture for network-centric computing Communication of the ACM 42 (7): 76-82.

Wang, F-C, B Richards, and P K Wright 1996 A multidisciplinary concurrent design ronment for consumer electronic product design Journal ofConcurrent Engineering: Research and Applications 4 (4): 347-359

envi-10.12 BIBLIOGRAPHY

Bessant.L 1991 MafUlging advanced manufacturing technology: The challenge of the fifth wave.

Manchester, UK.: NCC Blackwell

Betz, F 1993 Strategic technology management. New York: McGraw-Hill

Busby,1 S.1992 The value of advanced manufacturing technology: How to assess the worth of computers in industry Oxford, UK.: Butterworth-Heinemann

Chacko, G K 1988 Technology management: Applications to corporate markets and military missions, New York: Praeger

Compton,W D.1997 Engineering management. Upper Saddle River, NJ: Prentice Hall.Dussauge, P., D Hart, and B Ramanantsoa 1987 Strategic technology management. Chich-ester, UK.: John Wiley & Sons

Edosomwan, 1 A., ed 1989 People and product management in manufacturing. Amsterdam:Elsevier

Edosomwan, 1 A 1990 Integrating innovation and technology management. New York: JohnWlley&Sons

GaUiker,U E.1990 Technology management in organizations. Newbury Park, CA: Sage lications

Pub-Gattiker, U E., and L Larwood, eds 1998 Managing technological development: Strategic and human resource issues Berlin: Walter deGruyter.

Gaynor, G H 1991 Achieving the competitive edge through integrated technology ment New York: McGraw-Hili.

manage-Gerelle, E G R., and 1 Stark.1988 Integrated manufacturing: Strategy, planning, and

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imple-Lee, E A., and D G Messerschmitt 1999 A highesteducation in the year 2049.Proceedings

of the IEEE 87 (9): 1685-1691.

Martin, M 1 C 1994 MaTIQging innovation and entrepreneurship in technology-based firms.

New York: John Wiley & Sons

Monger, R F 1988 Mastering technology: A management framework for getting results New

York: Macmillan

Parsaei.H R.,andA Mital, eds.1992 Economics of advanced manufacturing systems London:

Chapman & Hall

Parsaei, H R., W G Sullivan, and T R Hanley, eds 1992 Economic and financial justification

of advanced manufacturing technologies. Amsterdam: Elsevier Science

Paterson, M L., and S Lightman 1993 Accelerating innovation: Improving the process of product development. New York: Van Nostrand Reinhold

Rubenstein,A H.1989 Managing technology in the decentralizedflrm. New York: John Wiley

Suzaki, K 1987 The new manufacturing challenge: Techniques for continuous improvement.

New York: Macmillan

Association

Szakonyi,R., ed 1992 Technology management: Case studies in innovation. Boston:Auerbach.Warner, M., W Wobbe, and P Bradner, eds 1990 New technology and manufacturing man- agement: Strategic choices for flexible production systems Chichester, UK.; John Wiley & Sons

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A.I WHO WANTS TO BE AN ENTREPRENEUR]

A.1.1 Essential Attitudes: The Creative and Strategic Sid.

Thekey characteristics of a successful entrepreneur include:

• An ability to read market trends and consumers' wants, needs, or desires

• A blend of creativity in both product design and business operation

• The willingness to take financial risks while remaining emotionally balanced

• A passion for success combined with an overwhelming drive to succeed

• The desire to "change the world" rather than-in a blatant sense-"get rich"A.1.2 Essential Attitudes: The Mundane Side

Also, there are mundane, day-to-day activities that any entrepreneur should consider:

• Mission statements

• Retreats that build communication and integrity while instilling a sense ofurgency to satisfy the mission statement

• Performance parameters that are clear to all personnel

• Display boards to keep the organization focused on the mission and sales record

• Daily meetings as a "learning organization" to track deadlines

• Interactions between subproject groups via time lines and formal PERT charts

• Market scanning methods to track competitors

• The ability to circulate and share ideas without criticism

• Rewards for theknow-how andproblem-solving ability of people, edging that no amount of expensive equipment and software can substitute forcreativity

acknowl-• Integrating knowledge on "downstream" manufacturing (internal and outsourced)

• Openness to outside ideas and emerging technologies

•••

A "WORKBOOK" OF IDEAS FOR PROJECTS, TOURS,

MHO B"S1t'p'-;pLANS

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manufacturing

This combination of creative leaps and the mundane issues is the key to initial cess and long-term growth

suc-A.2 PROJECTS ON PROTOTYPING AND BUSINESS

This appendix is a "workbook" for exploring and practicing entrepreneurship within

an engineering context A semester-long project on CAD, prototyping, and grated manufacturing is discussed first Engineers get excited when they are chal-lenged to build "wild gizmos." Quite simply it is fun, and it involves both left-brainanalysis and right-brain creativity However,itis more instructive to include a morebusinesslike analysis of the potential market for the devices being built These proj-ects give a flavor of how to be entrepreneurial in a small start-up company Also inlarge companies, people might well start off in careers withan engineering job title,but after unly a few years, all sorts uf management positions are likely to open up.Recall that a structured approach to product development was presented in thepreface and in Chapter 2 The"clock face" diagram is intended as the "glue" thatholds together the widevariety of processes presented in Chapters 3 through 10 Forthis reason it is reproduced again here as FIgure A.1 Another view of concurrent

inte-\Start»>,Next Technicalproduct inventionPotential new synergies

Who is thecustomer?

Businessplans

Conceptualdesignphase

Detaileddesignphase

/ Rapid prototypingand design changes

Process planningfor manufacturingand setup

of machines

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Present the challenge:The starting point

F1gure A.2 The GE (1999) model of "discover, develop, and deliver" for a newproduct

engineering and manufacturing is from the GE handbook (1999); it shows a linearoverlapping time line These also mention the outsourcing steps to subsuppliers(Figure A.2)

A.3 PROJECT STEPS AND MAKING PROGRESS'

These project-based case studies have progressed over a number of years As mightway Therefore, some of the factors that seem to make this semester-long projectwork the best are shared in the following section

A.3.1Forming the Design Team

Working in groups of four to six: Modern products are hybrid combinations of all

contain a mix of engineers and businesspeople At the same time, however, there is anatural tendency to team up with friends or people from the same research lab These

'These generic steps can be used to guide a semester-long class project They also approximate thesteps needed in industry to produce a design, a prototype, and a business plan The business plan will be

Reetheearch)Conceptualize

opportunity a strategy

-Product-goals Irequirements

Prooose Integrate potential Prototype

a design rnanufactunng problems and test

-Product designs

R~f~_ and ) v~~~~:s ) St~fs~e) r~~s~t ) Pilot ) req~~mV:nts,d~si1Z.e design first make production chec~ reliability,

gn tools parts corrections submit to agencies

-Product release-e-manufacturing in place

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associations are encouraged because some very creative concepts that are well cuted seem to come out of groups that have a natural flow or "chernisrry.t'whateverthe group makeup, there is a benefit from understanding the sociology of developinggroup dynamics and dealing with the unstructured product development environ-ments that seem totypify today's businesses.

exe-Choosing a project with "edge appeal": Perhaps the most impressive observation

over the years has been that group members blossom under challenge At the control a radio-based electromechanical product with an unusual application How-ever, by the end of the semester, remarkable working prototypes get built Ulti-mately, it is best to build a device that exhibits that undefinable modern quality called

begin-edge Such products get students to think creatively during design and to act

ener-getically during the manufacturing operations The final device can also be shown off

to a friend or a potential employer with pride of ownership

Providing a modest budget: A fixed budget allows the groups to go out and buy

supplies at a local model shop or electronics store The maximum that has beenused is $500 per group for projects involving radios and cameras An amount aslow as $100 per group works fine for projects with less electronics A fixed budgethas the benefit of constraining the scope of the project and is of course a lessonfor life

Crossing the chasm (see Moore,1995): To understand the critical aspects of the

product development process, it is best to focus on the beginning of the modified market adoption curve shown in Figure 2.3 Predicting the first market niche for a

product helps to sharpen the design intent and the manufactured complexity.A.3.2 Conceptual Design

Creating a conceptual design: The groups develop best by producing, in the first few

pencil sketches This serves as the front end of the project and its associated businessventure It might seem that the pencil-and-paper sketch is old-fashioned at first.but

it is the only way to be really creative and to get buy-in from all group members.A.3.3Detail Design

Using any preferred CAD environment: In the middle part of the semester, the groups focus in the best by executing a detailed design and presenting a preliminary,

though brief, business plan This business plan can be a short version of the oneturned into" STL" files and sent to the local SFF machines Alternatively, prepara-tions for milling and assembly should be made

A.3.4Prototyping

Fabricating a real device: Becoming competent in some basic SFF and other

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fabrica-A.3.5Trade Show

Explaining the device to others: At the end of the semester, the groups enjoy

pre-senting posters and demos in a "trade show environment," where the complete classand visitors can mill around and ask questions It also gives practice in delivering the

"25·wordpunchy explanation" of what the device does and how it might be sold

A.3.6 Business Plan

Analyzing mass-production methods and the potential market: In the end, the longer

business plan, not as detailed as in a standardMBA program but a plan that is sonable from a mass-production price point A key aspect is trying to estimate thebatch run needed to amortize the costs of plastic injection dies and special chips orprinted circuit boards Further details are in the next main section

rea-A.4 OUTLINE OF A SHORT BUSINESS PLAN

A.4.1Cover Page

• Name of the product and group members

• Mission statement (a succinct statement less than 25 words)

• A scenario of how the product will be used

• The "head bowling pin," or first market niche (Moore, 1995)

• How much it will cost when sold at Radio Shack/Sharper Image (10 words)

• How much this means for the final cost immediately after manufacturing (10words)(Typically it is at least a 1 to 4 ratio between manufacture and retail.)A.4.2 Additional 10Pages

1 Description of the product and how it works (two pages)

2 Intended market: who will use it, and where will it be used (two pages)?

3 How much has the product cost so far to get it to the prototype (two pages)?

a Material cost=

b Prototype cost=

c Person-hours of work assuming 80K annual salaries x 4 or 5 in group=

II.Overhead costs assuming a 1,OOO-square-foot office space at rent of $2.50per square foot, electricity, phone, and so forth

e Three NT workstations, networking, CAD license, printer, and otherperipherals

4 How much will it cost for first-year operations (two pages)?

a Start-up costs and advertising

b Equipment, legal fees, accounting services, patents, and the like

c Payroll

5 How will the company work (two pages)?

a WiU it need inexpensive overseas manufacturing?

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