Design of Goods and Services

Product strategy and the design of goods and services are very important in the success of a firm or business. Some companies see these factors as the basis for success of an organization. Some firms choose to focus on only a few products within their organization in order to maximize success. With a limited number of products to focus on, it gives firms the opportunity to better these products. Product life cycles and strategies are studied and implemented to achieve a competitive advantage. The product life cycle includes the introductory phase (research, product development, process modification and enhancement), the growth phase (effective forecasting of capacity requirements), the maturity phase (competitors are established, reduction in options, improved cost control), and the decline phase (dying products are rid of unless they are still contributing to the firm). (Heizer, Render 2011). In order for strategies to be successful the life cycle of products must be studied, and adjusted over time. In order to maximize success with product, and service design it is important to understand the different variables that go into them, and make them work. Variables such as: value analysis, aesthetics, generation of new products, service design, and even joint ventures are just a few of the many variables that determine the success of goods and services. The articles examined explain the effects of these subjects in various markets. Value analysis lists products in descending order by their individual dollar contribution to the firm, as well as the total annual dollar contribution of the product. This allows managers to focus on the critical few, and not on the trivial many. Value analysis is examined further in the article “Value Analysis as a decision support tool in cruise ship design” the authors explain that the cruise ship