Solution
Amar answered on
Apr 29 2020
Running Header: BUS2220 – Operations Management – End of Term Project 1
BUS2220 – Operations Management – End of Term Project 13
BUS2220 – Operations Management – End of Term Project
BUS2220 – Operations Management – End of Term Project
Organization Background
The company identified for undertaking this report is a small scale setup with about fifty employees. The company’s business operations focusses on manufacturing pre cast components to construction sites. At present, the company caters to seven different clients and all of these are construction companies undertaking construction work in the same location as that of this company. The company undertakes both concrete as well as molds based pre cast components. The production facility enables the company to produce pre cast components of any specific size, shape or specification within the context of construction industry requirement. The company has two different facilities with one for concrete pre cast components and the other for mold components.
Part 1
Question 1
Part 2
Question 1
The process diagram for the organization’s production process is presented in the Figure 1 below –
Figure 1 – Production Process
Question 2
The overall process as described above in the Figure 1 can be
oadly classified into three sections of the pre-casting assessment stage, the casting process and the final post-casting activities. The initial pre-casting assessment stage comprises the order receipt, setup as well as the stress processes, checking machine / facility availability, etc. The next process of casting is the actual undertaking of the cast production and herein the divisions between concrete and mold sections take place as per the order requirements. Finally, the post casting process encompasses cutting and sawing off process, quality checks and testing, etc.
Question 3
The detailed assessment of the above process indicates that the individual handling of specific orders one at a time leads to time waits until the complete order is completed. The same represents inefficiency in the labor as well as capacity productivity of the facility. In this context, introducing a batch planning activity prior to the casting process stage can group orders of specific size such that instead of undertaking order specific casting process, a batch specific casting process can be undertaken. The same shall significantly enhance the labor as well as capacity productivity.
Part 3
Question 1
Question 1.1
As described earlier, the core limiting capacity as well as slack elements, that lead to inefficient order management as well as unstructured fluctuations in terms of peaks as well as valleys can be traced to the individual handling of specific orders one at a time leads to time waits until the complete order is completed. The same represents inefficiency in the labor as well as capacity productivity of the facility. The solution for the same shall be introducing a batch planning activity prior to the casting process stage can group orders of specific size such that instead of undertaking order specific casting process, a batch specific casting process can be undertaken. The same shall significantly enhance the labor as well as capacity productivity thereby address inefficient order management as well as unstructured fluctuations in terms of peaks as well as valleys
Question 1.2
The company MIS Manager who reports to the AVP in charge of pre-production & planning are in charge of demand / sales estimations, capacity management, other forecasts, etc. In this context, MIS Manager reviews the company’s past data, market details, annual operating plan, etc. and prepares monitors, and, reviews the demand estimations, actuals and forecasts. On the basis of these reporting, the AVP in charge of pre-production & planning makes key decisions with respect to capacity planning, demand / sales estimation management, etc. Any significant variances, challenges / issues, strategic decisions, etc. shall be handled on a case to case by the chief operating officer.
The details of the cu
ent MIS with respect to demand planning is presented in the Table 1 below –
Table 1 – Estimates / Forecast Sample
Particulars
Capacity per Month
Last Month Sales (Actual)s
Demand Estimate for Next Month
Sales Estimate for Next Month
Mold Pre Cast Components
50,000
38,000
100,000
44,000...