Competitive advantage by adjusting design characteristics to satisfy cost targets

A cost-design parameter method that optimizes cost and design characteristics simultaneously during product development is presented. The method is based on quality function deployment, which relates desired product attributes to design characteristics. The method works at three levels: strategic, tactical and operational. At the strategic level, goals are established for each customer desired, product attribute. At the tactical level, design characteristics are determined using a goal programming technique. Finally, at the operational level, product design characteristics are chosen to improve products while remaining within cost targets. This model is validated through the use of an example, where customer satisfaction versus new expenditure on the product is calculated.