Outsource manufacturing of goods and services, especially overseas, is a growing trend in manufacturing. Products are now commonly designed in the first world, but manufactured in second and third world countries, only to be shipped / sold in first world markets by the company that designed them. In addition, value engineering of existing products often leads to supplier replacement, material replacement, and product re-designs that result in diminished quality, loss of Producer-Supplier quality assurance history, decreased product performance, and higher product liability risk.
Well-written specifications are an integral part of risk control for any business and any product, whether being procured for internal use, or sold as a product on the open market. Moneys spent on specifications return many fold to the corporation / producer / designer over the life of the product. Specifications play key roles in future business planning, manufacturing flexibility, risk control, and product liability transference. Whatever the product, from simple consumer products to structural buildings, from software to fail-safe control systems, from warehousing operations to compliance standards, specifications are written documents that go with the design drawings and describe the function, the system, the physical attributes, materials, fabrication, installation methods, required maintenance, etc. for any product. They also prescribe the quality standards expected. Failing to write a specification is the single largest unnecessary risk taken in any product development project as it can lead to liability law suit, injury or loss, failed systems, missed deadlines, etc.
There is an excellent treatise published on the web by the Victoria, Australia, government that describes the need for, and details of, specifications for any product or system. (1) The following is excerpted from this document as a concise argument for writing specifications:
A specification can be defined as, "a document, primarily for use in procurement, which clearly and accurately describes the essential requirements for goods, products or services". A specification is the basis of all [bids for products or services], and therefore the foundation for a contract. When the contract is in place, the specification becomes an essential contract management document that is used to ensure the chosen supplier provides what is specified. It must therefore be clear and complete, and accurately define what is expected from a supplier: the outputs (for services) or the functional and performance requirements (for goods).
Technical specifications translate operational requirements into more technical language that tells the supplier:
What the producer / designer will consider an acceptable product, and
How the producer / designer will determine if the product is acceptable.
Writing a specification is the best opportunity to do the most critical part of risk engineering, the part that anticipates and avoids hazards, or reduced hazards to an acceptable level. A specification is an engineering tool, a communication tool, a legal tool, and a sales tool. Besides describing the equipment or services to be purchased, it must identify the needs of the producer / designer and the end user as they relate to that equipment or service. (2)
