hang-out, inc.PRODUCT DESIGNPRODUCT DESIGN

And Concurrent Engineering EnvironmentAnd Concurrent Engineering EnvironmentMECH 528 - 001MECH 528 - 001

PROPOSAL TO SENIOR MANAGEMENT

Dec 2nd, 2003

hang-out, inc.PDT #7Andreea Luliana VladanSally WarnerNola VannasingRicardo Plancarte (Team Leader)Jahir Amezcua

hang-out, inc.

Concurrent Engineering Concurrent Engineering RolesRoles

• Team Leader (Project Manager)Team Leader (Project Manager)RicardoRicardo

• Marketing ManagerMarketing Manager NolaNola• Product ManagerProduct Manager SallySally• Project EngineerProject Engineer AndreeaAndreea• Manufacturing EngineerManufacturing Engineer JahirJahir• Supply Management RepresentativeSupply Management Representative

JahirJahir• Design EngineerDesign Engineer SallySally

hang-out, inc.

Presentation OverviewPresentation Overview

• Brief Product DescriptionBrief Product Description• Final product (Proof of concept)Final product (Proof of concept)• Manufacturing Process (problems Manufacturing Process (problems

encountered, encountered, product design, product design, material, schedule, etc..)material, schedule, etc..)

• Market and distribution channelsMarket and distribution channels• Financial AnalysisFinancial Analysis• Lessons learned (working within a Lessons learned (working within a

cross-functional team) cross-functional team)

hang-out, inc.

• Product Description Product Description – A convenient device that will allow A convenient device that will allow

purse carriers to hang them right at purse carriers to hang them right at the edge of the table where they are the edge of the table where they are seated.seated.

Mission StatementMission Statement

hang-out, inc.

Critical Customer NeedsCritical Customer Needs

• The PPH can adjust to different The PPH can adjust to different tablestables

• The PPH can hold a lot of weightThe PPH can hold a lot of weight• The PPH is small and compactThe PPH is small and compact• The PPH is lightweightThe PPH is lightweight

hang-out, inc.

Target SpecificationsTarget Specifications

• Table thickness:Table thickness: measured tables, measured tables, manufacturing standard table manufacturing standard table thicknessthickness

• Purse mass:Purse mass: weighed purses weighed purses• Device size and weight:Device size and weight: compared compared

to the size of other standard items to the size of other standard items that people carry in their purses that people carry in their purses such as cell phonessuch as cell phones

hang-out, inc.

Final product and Final product and detailed Designdetailed Design

hang-out, inc.

hang-out, inc.

hang-out, inc. Final product and detailed Final product and detailed DesignDesign

hang-out, inc. Final product and detailed Final product and detailed DesignDesign

hang-out, inc. Final product and detailed Final product and detailed DesignDesign

hang-out, inc. Final product and detailed Final product and detailed DesignDesign

hang-out, inc. Final product and detailed Final product and detailed DesignDesign

hang-out, inc. Final product and detailed Final product and detailed DesignDesign

hang-out, inc. Final product and detailed Final product and detailed DesignDesign

hang-out, inc. Final product and detailed Final product and detailed DesignDesign

hang-out, inc. Final product and detailed Final product and detailed DesignDesign

hang-out, inc. Final product and detailed Final product and detailed DesignDesign

hang-out, inc. Final product and detailed Final product and detailed DesignDesign

hang-out, inc.A

hang-out, inc.Software testing and Software testing and

prototypingprototyping• Piece was modeled in superdraw as a 2-D Piece was modeled in superdraw as a 2-D

beam with a support at the mid-section beam with a support at the mid-section • BC’s: - clamped at one end (part of device BC’s: - clamped at one end (part of device

pressing on the bottom of the pressing on the bottom of the table) table) -Free at the second -Free at the second end with applied loadend with applied load

• An automatic finite element mesh was An automatic finite element mesh was chosen in Algor and analyzedchosen in Algor and analyzed

• Results: for acceptable stresses the device Results: for acceptable stresses the device could sustain about 10.5 kg (target was could sustain about 10.5 kg (target was 5kg)5kg)

hang-out, inc.

Manufacturing ProcessManufacturing Process• Plastic Injection Plastic Injection

MoldingMolding

1988 80 Ton Engel Injection Mold Machine

hang-out, inc.

Manufacturing ProcessManufacturing Process

• Plastic Injection MoldingPlastic Injection Molding

– Raw Material: Raw Material: Plastic PelletsPlastic Pellets..– Pellets Pellets heatedheated and melted in a barrel. and melted in a barrel.– Molten plastic Molten plastic injectedinjected into the mold. into the mold.– SolidificationSolidification and extraction from mold. and extraction from mold.– Bonding of plastic and Bonding of plastic and rubberrubber (super (super

glue, epoxy)glue, epoxy)– InspectionInspection of the final product. of the final product. – PackagingPackaging and Shipping and Shipping

hang-out, inc.

Manufacturing ProcessManufacturing Process

• Mold Design ConsiderationsMold Design Considerations– Key Process VariablesKey Process Variables

• MoldMold Temperature (43- 65 Temperature (43- 65C)C)

• MaterialMaterial Temperature (204-260 Temperature (204-260C)C)

• Injection Injection Filling TimeFilling Time (110 seg) (110 seg)

• Injection Injection Flow RateFlow Rate (55 g/min) (55 g/min)

hang-out, inc.

Manufacturing ProcessManufacturing Process

• Mold Design ConsiderationsMold Design Considerations– Key Process VariablesKey Process Variables

• Draft AngleDraft Angle: Facilitates the: Facilitates the part extraction part extraction of the of the mold.mold. (1 (1) )

• Radii: Radii: Prevents Prevents stress concentration. (1.5 mm)stress concentration. (1.5 mm)

• Location of theLocation of the ingate. ingate.

• Minimize number of Minimize number of bends bends that causesthat causes turbulence turbulence in in flowflow..

hang-out, inc.

Manufacturing ProcessManufacturing Process

• Estimating Costs for Molding ProcessEstimating Costs for Molding Process– Total Cost = Material + Setup + Molding + Total Cost = Material + Setup + Molding +

LaborLabor

• Material Cost: Material Cost: Volume (cmVolume (cm33) * Density (g/cm) * Density (g/cm33) * ABS Price ) * ABS Price ($/g)($/g)

• Setup Cost: Setup Cost: Setup time (hr) * Cost per hr ($/hr) / Total Parts Setup time (hr) * Cost per hr ($/hr) / Total Parts (PPH)(PPH)

• Molding Cost: Molding Cost: Machine rate ($/hr) * Cycle time (hr/cycle) / Machine rate ($/hr) * Cycle time (hr/cycle) / Parts per cycle (PPH/cycle)Parts per cycle (PPH/cycle)

• Labor Cost: Labor Cost: Operator rate ($/hr) * Cycle time (hr/cycle) / Operator rate ($/hr) * Cycle time (hr/cycle) / Parts per cycle (PPH/cycle)Parts per cycle (PPH/cycle)

hang-out, inc.

Manufacturing ProcessManufacturing Process

• Estimating Costs for Molding ProcessEstimating Costs for Molding Process

– Initial Production: Initial Production: 1000 PPH1000 PPH

– PPH Volume = PPH Volume = 70 cm70 cm33

– Total Unit Cost = Total Unit Cost = $1.15 per PPH$1.15 per PPH

– Production Time = Production Time = 18 hours18 hours

hang-out, inc.

MarketMarket

• Primary MarketPrimary Market– People carrying pursesPeople carrying purses– Downtown CoreDowntown Core– Students and ProfessionalsStudents and Professionals– Outgoing and Active lifestyleOutgoing and Active lifestyle– Ages: 18-55Ages: 18-55

• Secondary MarketSecondary Market– Coffee ShopsCoffee Shops– RestaurantsRestaurants– Public PlacesPublic Places– Brand Name BagBrand Name Bag

hang-out, inc.

MarketMarket

• Time to MarketTime to Market– Promotional incentives to bag retailersPromotional incentives to bag retailers– On Shelf before ChristmasOn Shelf before Christmas

• AdvertisingAdvertising– Posters in StoresPosters in Stores– Pamphlets next to cash registersPamphlets next to cash registers– Ad in Metro NewspaperAd in Metro Newspaper

hang-out, inc.

MarketMarket• Distribution ChannelsDistribution Channels

Hang-Out Inc.

Bag Retailers Customers

ConsumersFood service

(Indigo, restaurants)Bag Company

(KS18, Rudsak)

hang-out, inc.

MarketMarket

• PricingPricing

ManufacturingManufacturing

Hanging Out Inc.Hanging Out Inc.Unit production Unit production priceprice

$1.15$1.15

Mark-upMark-up 45%45%

Selling PriceSelling Price $1.67$1.67

RetailersRetailers COGSCOGS $1.67$1.67

Mark-upMark-up 20%20%

Selling PriceSelling Price $2.00$2.00

hang-out, inc. Financial Financial AnalysisAnalysis

*Profitability reached in 2*Profitability reached in 2ndnd Quarter of Quarter of Operations)Operations)

Initial Initial investment investment

cost: cost: $1,500.00$1,500.00

MarketingMarketingRamp-Up CostRamp-Up Cost

hang-out, inc.

Lessons LearnedLessons Learned

• Time restrictions can be very dangerousTime restrictions can be very dangerous• Concurrent Engineering is one of the best Concurrent Engineering is one of the best

options to develop great ideasoptions to develop great ideas• Communication plays a major role in Communication plays a major role in

effectively running cross-functional teamseffectively running cross-functional teams• Team member Availability can be a big Team member Availability can be a big

issue when scheduling meetingsissue when scheduling meetings• The cost of having 5 people at a meeting The cost of having 5 people at a meeting

is 5 times more expensive than the cost of is 5 times more expensive than the cost of 1, but the rewards can outweigh the costs 1, but the rewards can outweigh the costs if effectively conductedif effectively conducted

hang-out, inc.

THANK YOU THANK YOU

QUESTIONS..????QUESTIONS..????