Publisher's Synopsis
Excerpt from Does Product Design Really Determine: 80% Of Manufacturing Cost?
The belief that design determines 80% of the manufacturing cost of a product has become part of the folklore of product design and development research and practice (we use 80% for convenience, although the quoted figure varies from 70% to The belief is intuitive, compelling, and is an irresistible introduction to a paper or talk. The belief, if true, has profound implications for manufacturers. It suggests that product design is a much bigger lever on manufacturing cost than other factors, such as plant location or operations management practices.
Consider, however, what design determines 80% of manufacturing cost might really mean.
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