DT HL (Topic 8 & 10)

Topic 8 - 8.1: Sustainable Development

Sustainable development is concerned with satisfying human needs for resources now and in the future without compromising the planet’s carrying capacity.

Sustainable Development

is a development approach that aims to meet the needs of the present without compromising the ability of future generations to meet their own needs.

Decoupling

refers to disconnecting economic growth from environmental impact so that neither depends on the other.

Sustainability Reporting

refers to a company report that focuses on 4 aspects of performance: social, environmental, economic, and governance

Product Stewardship

means everyone involved in the designing (designers), making (manufacturers), distributing (distributors), selling (retailers), using (consumers), and disposing (recyclers) of products takes responsibility for minimising its environmental impacts at all stages of its life cycle.

8 - 8.2: Sustainable Consumption

Sustainable Consumption focuses on reducing the use of resources of a product to minimise its environmental impact

Sustainable Consumption

The consumption of g.o.s that have minimal environmental impact, promote social equity and economically viable, whilst meeting basic human needs worldwide.

Consumer attitudes and behaviors towards sustainability

Eco-warriors: Individuals or groups that actively demonstrate on environmental issues

Eco-champions: … that champion environmental issues within their organisation

Eco-fans: … that enthusiastically adopt environmentally-friendly practices as consumers

Eco-phobes: … that actively resent talk on environmental protection

Eco-labelling

is the labelling of products or services to demonstrate that they are better for the environment than other products

Energy-labelling

is the labelling of products to show how energy efficient they are

Approaches to creating a market for sustainable products

1. Production of sustainable products

2. Pricing considerations

3. Stimulating demand for sustainable products: enable consumers to see and feel their benefits

4. Education: increase consumer awarness

Pressure groups

people who take action to promote positive change to meet their goals

Lifestyle consumerism

It is a social and economic order, ideology that encourages the acquisition of goods and services at an ever-greater amounts

Ethical consumerism

It is the practice of purchasing goods and services produced in a way that minimises social and environmental damage. While avoiding those that have a negative impact on society and the environment.

Take-back legislation

is a group of laws that require manufacturers to “take-back” their packaging and product at the end of use, requiring manufacturers to take responsibility for their disposal.

Topic 8 - 8.3: Sustainable Design

The philosophy of developing products that are in line with social, economic, and environmental principles

Datschefski’s five sustainable design principles

1. Cyclic: the product is made from organic material that is recyclable or compostable, or is made from minerals that are continuously recycled in a closed, continuous loop

2. Efficient: the product manufacture and use requires 90% less material, energy, and water than equivalent products did in 1990

3. Solar: the product uses solar energy or other forms of renewable energy that are cyclic and safe, both during use and manufacture

4. Safe: the product is non-toxic in use, disposal, and manufacture

5. Social: the product use and manufacture support basic human rights, and natural justice

Topic 8 - 8.4: Sustainable Innovation

Sustainable innovation facilitates the diffusion of sustainable products and solutions into the marketplace

Top-down strategy

The leadership level will determine the goals, and how the workforce will contribute to meeting those goals.

Bottom-up strategy

The leadership level will determine the goals, but the workforce will help in developing the mechanisms and ideas required to meet them

Government intervention in innovation

1. Regulation (legislation): setting rules to avoid e.i. caused by undesirable tech.

2. Education: to provide consumers with information and guidance in the choice of s.p.o.s.

3. Taxes: to penalize env. damaging technologies, and influence consumers’ choice of s.p.o.s.

4. Incentives: using eco. incentives to support s.i.

Macro-energy sustainability

large-scale energy generation from r.s. for large community use

Micro-energy sustainability

small-scale energy generation from renewable sources for small community use

Energy security

the uninterrupted availability of e.s. at an available price

Topic 10 - 10.1: Just in case (JIC)

a situation where a company keeps a stock of comp.or products, just in case of a rush order

Topic 10 - 10.1: Just in time (JIT)

A situation where a company does not allocate space to the storage of comp. or completed items, but orders or manufactures them when required. Large storage areas are not needed, and items that are not ordered are not made.

Advantages for JIT

1. Red. capital inv.

2. Inc. eff.

3. Fewer unsold items

4. Red. waste

Disadvantages for JIT

1. Risk of manuf. delay

2. Distr. and transport breakdown

3. Unable to adapt to rapid changes in demand

Advantages of JIC

1. Able to adapt to rapid changes in demand

2. Economies of scale

3. Stable workforce

Disadvantages for JIC

1. Increased capital investment

2. Decreased efficiency

3. Unsold items

Topic 10 - 10.2: Lean Production

Lean prd. aims to elim. waste and maximise the value of a product based on the perspective of the consumer. For example reducing lead time.

Principles and characteristics of lean production

1. Partnering with suppliers (JIT supplies)

2. Minimising inventory (Zero-inventory)

3. Empowering workers (Highly-trained, multi-skilled workforce)

4. Create a culture of continuous improvement (Kaizen)

5. Doing it right the first time (Zero-defects)

6. Eliminating waste (Zero-waste)

Value stream mapping (VSM)

is a lean production management tool used to analyse current processes and describe ideal or future processes from production to delivery to cons.

Workflow analysis

the review of all processes to identify potential imp.

Product family

a group of products with similar processing methods, or common parts or assemblies

Lead time

The time between the initiation and the execution of a process

The 5S

The formal approach to cleaning and organising the workplace involving 5 processes: Sort, Set in order, Shine, Standardise , Sustain

The 7 wastes:

1. Transp.

2. Inv.

3. Motion

4. Waiting

5. Over/inappropriate process

6. Overproduction (the worst of all these wastes)

7. Defects

Advantages of lean production

1. Inc. eff.

2. Red. waste

3. Red. capital inv.

Disadvantages of lean production

1. H.C. of impl.

2. Risk of man. delay

3. Lack of acc. by empl.

Topic 10 - 10.3: Computer integrated machines (CIM)

A comp. based-man. system able to auto. monitor and control the entire prod. process

Advantages of CIM

1. Inc. eff.

2. Red. labor

3. Red. lead time

4. Red. waste

Disadvantages of CIM

1. High setup cost

2. Requires cont. maint.

3. Loss of Jobs

Topic 10 - 10.4: Product management

Focuses on producing products of consistent required quality

Quality control (QC)

A set of activities aimed at detecting defects in the product

Quality assurance (QA)

A a set of activities aimed at ensuring quality

Statistic process control

A QC to ensure that the process operates at its highest efficiency and is producing products within acceptable levels of quality and tolerances

A comprehensive quality man. is key to

1. R.C

2. Inc. sales

3. Brand loyalty

4. PP

Topic 10 - 10.5: Economic viability

Designers must consider the economic viability of their designs to gain a place in the market

Cost effectiveness

The most eff. way of designing and producing a product from a manuf. pov

Value for money

The relationship between what a product is worth and its actual price

Fixed costs

Costs that must be paid out pre-production, and they do not vary with the level of production

Variable Costs (VC)

Costs that vary with the level of production

Total cost

The sum of FC and VC

Total revenue

The total income that the manufacturer receives from the sale of their p.o.s

Break-even

The point of balance between p&l, meaning there is neither p.o.l

Cost-analysis

A tool used to determine the potential risks and gains of producing a product

1) Retail price

The amount a cons. pays to acquire a product, typically set above the COG’s to ensure profitability

2) Cost-plus pricing

Adding a markup/percentage to the TC

3) Price minus strategy

The appropriate price for the product is determined by market analyses

4) Demand pricing

Pricing based on customers demand and the products percieved price

5) Competition based pricing

Pricing according to competitors' pricing levels

6) Product-line pricing

Pricing strategy for a number of products within one product line

Psychological pricing

A pricing strategy that considers the psychological effect of pricing on consumers different perceptions

Return on investment (ROI)

The amount of ROI relative to its cost