Frugal Engineering Seminar Topics
Frugal Engineering – Achieving More with Fewer Resources
Frugal innovation or frugal engineering is the process of reducing the complexity and cost of a good and its production. Usually this refers to removing nonessential features from a durable good, such as a car or phone, in order to sell it in developing countries. Designing products for such countries may also call for an increase in durability and selling them, reliance on unconventional distributions channels. Sold to so-called "overlooked consumers", firms hope volume will offset razor-thin profit margins.Globalization and rising incomes in developing countries may also drive frugal innovation. Such services and products need not be of inferior quality but must be provided cheaply Carlos Ghosn is the chief executive of the Franco-Japanese alliance of Renault SA and Nissan Motor Co. On a visit to India in early 2007 to do a deal with Mahindra and Mahindra Ltd (M&M), he coined the term "frugal engineering".“Frugal engineering is achieving more with fewer resources. The cost of developing a product in the West is high since engineers there use more expensive tools. In India, they achieve a lot more with fewer resources”.Researchers says Robustness,Portability,Defeaturing,Leapfrog technology,Megascale production,Service Ecosystems are six underlying principles or pillars on which such frugal engineering efforts often seem to rest.The concept of frugality has been misunderstood by a lot of companies as being miserly. Consider this news story seen in a prominent newspaper, “techies would need to carry tissue paper, toilet paper and bottles of Hand wash to office”.Cost cutting and having a systemized approach to saving costs are two different things
A systemized approach to cost saving is actually understanding the very work which is needed to be carried out and then after a careful analysis of all options choosing the most appropriate manner of going about doing it. The “Best” need not be the most appropriate. That can be ascertained only by a correct need analysis. Similarly miserliness can be counterproductive. (Reference Links: http://sunilmohal.blogspot.in/2008/07/frugality-at-work.html , http://en.wikipedia.org/wiki/Frugal_innovation , http://chandranrn.blogspot.in/2008/05/frugal-engineering-ghosn-has-it-wrong.html ) Take the case of the IT Company stopping the issue of toilet paper. While it may save a small percentage of direct cost, the indirect cost could be huge. Such examples tend to frighten employees into beginning job searches in the thought process that their company is sinking. This reduces their effectiveness and lowers productivity. For each employee lost it costs up to 50% of the gross annual salary of that employee in replacement costs, training, reduced productivity etc.
The sentiment that frugal engineering is about engineering with less is wrong. Successful products including frugally engineered products always start with the customer. The customers in the developing world are demanding useful features that benefit them in improving their quality of life. If the Nano succeeds as many people expect, then it is because the Nano meets the needs of the customer within their budgetary constraints.The danger from Ghosn’s interpretation is that companies will only look to designing or engineering products cheaper. This will lead to short term gains but will not address the challenges they will face in business from emerging markets.Frugality needs to be an idea which needs to be part of the ethos of a company with a complete buy-in from the stakeholders, not an idea which can be enforced. It should not be a knee jerk reaction but a carefully induced concept.Frugality needs to be a way of life.
Frugal engineering is achieving more with fewer resources. The cost of developing a product in the West is high since engineers there use more expensive tools. In India, they achieve a lot more with fewer resources”.Researchers says Robustness,Portability,Defeaturing,Leapfrog technology,Megascale production,Service Ecosystems are six underlying principles or pillars on which such frugal engineering efforts often seem to rest
Also Read on Engineers Day
Engineers Day SMS (Message you must sent to your Engineering Friends on this day)
Engineers Day Quotes (Favourite Quotes related to Engineering & Engineers Day)
Engineers Day Speech Samples (Speech you must prepare on Engineers Day)
How to Celebrate Engineers Day in India?
111 Branches of Engineering in India with Seminar Topics