Dear Hugh,

Many thanks for another nice post from the good old times.
Was a nice morning reading.

I didn't know that the 5061B was rebuilt with removing odd parts in
mind, but it makes sense. Interesting system with Code 1 to Code 4.

Cheers,
Magnus

On 12/29/18 5:36 AM, Rice, Hugh (IPH Writing Systems) wrote:
> My “Test and Measurement” days with HP, from 1984 to 1992, were all in 
> manufacturing (a.k.a. production) engineering.   A major task was dealing 
> with the endless list of obsoleted components, since many of our products had 
> designs dating back 10 or 20 years, into the wild west early days of 
> semiconductors and integrated circuits.
> 
> In addition to Frequency and Time products (which we called “PFS” – Precision 
> Frequency Sources), HP’s Santa Clara Division (SCD) also had the frequency 
> counter product line.  I managed the production engineering team for counters 
> from 1988 to 1992; the job that I had to pass the R&D engineering new hire 
> interview to qualify for.   This technology was invented in the 1950s and 
> even with many new models and upgrades, we still were shipping “classics” 
> products from the early 1970s in low volume in about 1990. The 5340 microwave 
> counter and 5328 universal counters come to mind.   We kept raising the 
> prices, because we had newer, better, cheaper counters for sale.   But the 
> old ones kept selling because they were designed into some DOD test system, 
> and the hassle of designing in a new instrument was more expensive than 
> buying an new (but obsolete) counter for our customers.    The parade of 
> obsolete components seemed to never end on these old units.    I recall 
> talking to the marketing manager, Murli Thurmali (sp?) about obsoleting some 
> of these products, and he would wisely respond:  “Tell me how you are going 
> to replace the million dollars of lost revenue.”  The manufacturing manager, 
> Chuck Taubman, would likewise say:  “Our margins are well over 50% on these 
> products, that money pays overhead, which is our salaries.   Show me $500K in 
> cost savings before we obsolete them.”   Turns out that even though they were 
> a hassle, it was relatively easy money, so we kept building and selling them.
> 
> The PFS products were similar in this regard.  The product line had largely 
> been developed in the 1960s and 1970s, volumes were low, but prices and 
> margins were high.    Yeah, they took some effort to keep in production, but 
> the development was done, and it was good money.  HP was a business after 
> all, and if we didn’t make money, we didn’t have jobs.    The was a great 
> education for me, brand new to management, learning that HP may be a cool 
> technology company, but we only had jobs as long as the business was 
> profitable, and preferably growing.   Nothing was guaranteed.
> 
> HP instituted a system of “Codes” for parts, to measure how well we were 
> designing our products for long production lives and low materials management 
> overhead costs.   Code 1 was best.  Industry standard parts available from 
> many sources cheaply.    Code 2 were OK to use.   Code 3 was something really 
> special, and needed a good reason to include.   Code 4 brought the scorn of 
> procurement engineers, and brought significant management review.
> 
> The easy way out for production engineering to deal with obsoleted component 
> was a life time buy.   The Materials group hated this, because they had 
> hundreds of other parts already on life time buys.  What if they get lost or 
> damaged, or the last batch was defective, or the product lasted longer than 
> we expected?    A product like the 5061A, at ~200 build per year, was a 
> typical challenge.   10 more years of life?   Buy 2400 parts?   Perhaps 
> double it to 5000 parts.   The response from component buyers was easy to 
> predict:   “But VendorX wants $2.31 for this ancient transistor.  We’re not 
> tying up $10K in one part.    We have dozens of parts like this, we can’t 
> afford all this inventory.”    So we would try harder.  Maybe a 2N222A, or a 
> 2N3904 will work.   Procurements loves these parts.   We’d try them out, and 
> hope we didn’t miss something in the qualification.  New parts never had the 
> same specs at the old parts, and the original designer was long gone, and 
> design intent documentation non-existent.   I bet half the time the old 
> transistor just happened to be on the engineers bench back in 1969, worked 
> fine, and he just used it.     The Code 1,2,3,4 process was designed to 
> discourage this kind of design thinking.
> 
> When we upgraded the 5061A Cesium Standard to the 5061B in 1984-85, the 
> primary objective was to eliminate all the code 3 and code  4 parts.  
> Designing out all the old stuff wound up being a fantastic education in 
> component technologies, reading and interpreting data sheets, dealing with 
> vendors, worrying about inventory control and so on.   Our attitude was 
> trying to make a product we could ship indefinitely, even though it was 
> already over 20 years old.    We had a history of selling PFS instruments for 
> decades, and we were preparing for decades more.
> 
> Bob kb8tq wrote:  “In the case of the 5071, I’d bet a pretty good brand of 
> six pack that nobody on the planet would have guessed 20 years ago that it 
> still would be in production today.”
> 
> Well, I can’t prove that Bob would lose this bet (Maybe Rick K could), and I 
> didn’t work on the 5071.  But for PFS products, in production engineering, we 
> had been building and selling these instruments for decades, with no end in 
> sight.   Volumes were low, so they didn’t get redesigned very often.   I’ll 
> bet the same six pack that the 5071 team felt it would be a VERY long time 
> before HP designed a replacement for the 5071.
> 
> Rick – any memories you can share?
> 
> Happy New Year,
> 
> Hugh Rice
> 
> 
> From: time-nuts <[email protected]> On Behalf Of Bob kb8tq
> Sent: Monday, December 24, 2018 9:35 AM
> To: Discussion of precise time and frequency measurement 
> <[email protected]>
> Subject: Re: [time-nuts] HP Cesium Standards in the International Atomic Time 
> Scale, the legend of Felix Lazarus, and the "top cover
> 
> Hi
> 
> Indeed back at Motorola, a lot of that stuff got transferred into the 
> engineering stock room
> after a while. Just how that worked out budget wise …. one wonders ….
> 
> Bob
> 
>> On Dec 24, 2018, at 11:53 AM, jimlux 
>> <[email protected]<mailto:[email protected]>> wrote:
>>
>> On 12/24/18 5:36 AM, Bob kb8tq wrote:
>>> Hi
>>> The gotcha is - if you have a very unique part in a device and it goes 
>>> away, how
>>> many years of stock do you buy on the “last chance” order?
>>> In the case of the 5071, I’d bet a pretty good brand of six pack that 
>>> nobody on the
>>> planet would have guessed 20 years ago that it still would be in production 
>>> today.
>>
>> EOL buys for a product line are plausible. But if you're building one-off 
>> (or limited quantity)- maybe not. At work (JPL) there's a whole aspect to 
>> sparing that's kind of subtle - you get funded per mission, and it has a 
>> cost cap at the proposal stage.
>>
>> Buying extra parts "just because" cuts into your budget - what do you give 
>> up because you bought extra parts, maybe some engineering hours? or test 
>> time? - it's easy to say "oh what's a few parts here and there", but pretty 
>> soon, it's getting to be a big part of your budget.
>>
>> So you buy enough parts to build what you're going to launch, plus enough 
>> maybe for an EM or breadboard, and then a few spares in case there's some 
>> assembly errors, or you need to scrap a board. If the problem happens early 
>> enough, you've got time to burn some reserves and order more.
>>
>> The other problem in the space business is that there is a lot of desire to 
>> re-use known good designs. That part may have been a long way from EOL when 
>> it was first used, but now, 5-10 years later, maybe it's EOL, and there's no 
>> obvious "drop in" replacement. Do you redesign, or do you buy the last 
>> remaining stock and hope for the best?
>>
>> This tends to be a cascading issue - mission A designs and uses part X, and 
>> has spares. Smaller Mission B uses the spares to build their widget using 
>> the Mission A design. They buy a few spares too. Smaller Mission C does the 
>> same thing. Now we're 10 years in, in some cases still using spare parts 
>> bought by original Mission A.
>>
>> I am still using spare connectors and such from Cassini (launched in 1997) 
>> in things like breadboards at work.
>>
>>
>>
>>>> On Dec 24, 2018, at 1:59 AM, Hal Murray 
>>>> <[email protected]<mailto:[email protected]>> wrote:
>>>>
>>>>
>>>> [email protected]<mailto:[email protected]> said:
>>>>> and the "market lifetime" of parts today is much shorter. There are lots 
>>>>> of
>>>>> parts from Hittite that were essentially "run on this line only", and when
>>>>> they moved geometries, they're never to be seen again.
>>>>
>>>> Most vendors make a lot of noise before they pull the plug on a part. The
>>>> usual deal is that they fill all orders placed by a specified date - 
>>>> lifetime
>>>> buy. Distributors typically send a note to anybody who has purchased them, 
>>>> or
>>>> maybe only purchased significant quantities.
>>>>
>>>> If a part isn't expensive, you can afford to buy extras beyond what you 
>>>> expect
>>>> to need to cover some what-ifs. That probably doesn't cover something like
>>>> the 5071 being in production for 30 years. But it could give you a few 
>>>> years
>>>> warning - maybe enough time to find a substitute and/or redesign that 
>>>> section.
>>>>
>>
>>
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