The decision optimization of product development by considering the customer demand saturation

Abstract: The purpose of this paper is to analyze the impacts of over meeting customer demands on the product development process, which is on the basis of the quantitative model of customer demands, development cost and time. Then propose the corresponding product development optimization decision.
Design/methodology/approach: First of all, investigate to obtain the customer demand information, and then quantify customer demands weights by using variation coefficient method. Secondly, analyses the relationship between customer demands and product development time and cost based on the quality function deployment and establish corresponding mathematical model. On this basis, put forward the concept of customer demand saturation and optimization decision method of product development, and then apply it in the notebook development process of a company. Finally, when customer demand is saturated, it also needs to prove the consistency of strengthening satisfies customer demands and high attention degree customer demands, and the stability of customer demand saturation under different parameters.
Findings: The development cost and the time will rise sharply when over meeting the customer demand. On the basis of considering the customer demand saturation, the relationship between customer demand and development time cost is quantified and balanced. And also there is basically consistent between the sequence of meeting customer demands and customer demands survey results.
Originality/value: The paper proposes a model of customer demand saturation. It proves the correctness and effectiveness on the product development decision method.
Keywords: Customer demand, Development cost, Development time, Customer demand saturation
Author: Qing-song Xing, Cheng Pan, Xue-dong Liang
Journal Code: jptindustrigg150057

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