MFD consists of five major steps. It starts with quality function deployment (QFD) analysis to establish customer requirements and to identify important design requirements with a special emphasis on modularity. The functional requirements on the product are analysed and technical solutions are selected. This is followed by systematic generation and selection of modular concepts, in which the module indication matrix (MIM) is used to identify possible modules by examining the interrelationships between ”module drivers” and technical solutions. MIM also provides a mechanism for investigating opportunities of integrating multiple functions into single modules. The expected effects of the redesign can be estimated and an evaluation can be carried out for each modular concept. The MIM is then re-used to identify opportunities for further improvements to the single modules.
Gunnar Erixon: "Modular Function Deployment – A Method for Product Modularisation", Ph.D. Thesis , The Royal Institute of Technology, Stockholm, 1998. TRITA-MSM R-98-1, ISSN 1104-2141, ISRN KTH/MSM/R-98/1-SE.
Application of the Modular Function Deployment Tool on a pressure regulator, Gilles Clemen / Rotarex Automotive S.A., Lintgen/Luxembourg 
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