Group 11: Curtis Pierce, James Powell, Matt Porter MEEG 301 Tom Pepe, Barry Pollock Design Project

Identify the Design Problem -There is a need for a machine that will give you the same workout as running.

Customers and Their Wants and Constraints Design a low cost, long life mechanism for facilitating human running or walking that is attractive in the market place. Either in place exercise or as a means of self propelled transportation is being asked for. Constraints include making a profit of 5 million dollars over the span of five years, and ensuring the safety of its users.

Benchmarking *There are currently 39 million stationary bikes *In 1983 treadmills accounted for 42 million dollars worth of revenue. This number has increased drastically since then and is now an astounding 757 million. - 19.7 million Americans have treadmills (8.6% of the U.S. population) http://www.bodytrends.com/treadbuy.htm 10/11 *Most similar to our design concept is the elliptical trainers. In 1997 3.8 million elliptical trainers had been sold. Due to popularity this number has increased to 6.2 million today. *Elliptical trainers are closest to our design, so we did price comparison of those types of exercise equipment. *From the comparison of flywheel sizes and price of elliptical trainers we realized that the flywheels size had a large impact on cost of machine. www.smoothfitness.com/products/ellipticalarticle.htm 10/11

Team's mission [goal statement] -To create a device to exercise the muscles in the legs to the extent of running

Performance specifications -Performance specifications are metrics with appropriate target values and how those are used to decide between various concept ideas. * In place exercise * Self Powered Locomotion * Safety must be considered * No less then $5 Million NPV over a 5 year period *Simulate human running motion *low cost

Societal Impact Our design differs from competition already on the market. It offers several safety features like a safety belt to make sure the rider stays safely in place during the exercise, and the machine will be capable of supporting up to 350 lbs. In a workout perspective, it is much easier on the joints of the hips, knees, and ankles, due to the reduced impact, but still provides just as good if not a better workout than other elliptical or swing trainers. Injury caused by elliptical trainers is either from the runner falling off of the machine or getting used to a predefined path that differs from the running motion. Since our design is the closest to the running motion on the market, in terms of trainers, there will be less injury, because you will be using the same muscles and your body is naturally made for the running motion. 2004 2005 2006 2007 2008 2009 VALUE SYNTHESIS YEAR> 0 1 2 3 4 5 UNIT SALES # 4000 7000 10000 8000 6000 $ In UNIT PRICE $ 750 750 725 725 700 REVENUE $m 3000 5250 7250 5800 4200 MARGIN % 50 60 65 55 45 OPN COSTS $m 1500 2100 2538 2610 2310 UNIT COST $ 375 300 254 326 385 $ Out DES/DEV COST $m 100 100 CAP COST $m 500 TOT COST $m 100 2100 2100 2538 2610 2310 DEPR OF CAP 10%/yr) $m 50 50 50 50 50 BT EARNINGS $m -100 900 3150 4713 3190 1890 Valu AT EARNINGS $m -60 560 1910 2848 1934 1154 e DISCOUNTED EARNINGS $m -60 519 1638 2260 1422 785 NPV $mm 6.56 Discount Factor* 1.000 0.926 0.857 0.794 0.735 0.681 Cost of Capital 0.08

Input Calculated from input * 1/(1+CoC)yr Given

The design of our exercise machine is based on a flywheel functioning. Based on benchmarking, flywheels can be quite expensive but effective. The price we choose to sell our exercise machine was based on competitors’ price. Our competition had sale prices of $1000 or more. We decided to use a smaller flywheel to lower the cost of producing our machine. The number of unit sales was a low estimate considering the number of elliptical machines sold per year.