Present the following findings to your chief executive officer based on the scenario from the first two assignments.
Scenario
As the vice president of operations, you have noticed that your organization's current operations strategy is not supporting the challenges that the organization is presently facing. In order to maintain a competitive edge, you must address these challenges with your chief executive officer immediately.
Select an existing production organization. Analyze the organization's current vision, mission, business strategy, operation strategy, supply chain, total quality management, just-in-time philosophy, forecasting method, statistical technique, facility location, work design, project life cycle, and project management.
Instructions
Create a presentation in a common format (PowerPoint or a similar program) with a minimum of 20 slides and corresponding speaker notes in which you:
Determine which statistical technique you will employ to measure the quality characteristics of your organization. Provide examples to support the rationale.
Analyze the current facility location, then use the three-step procedure to determine a new location.
Analyze the key concepts related to capacity planning and facility location for the new location.
Examine the current work system design and determine your organization's selected feasibility in the job design (i.e., technical, economic, behavioral). Assess key elements of the rationale in the work design competitive advantage.
Using the method analysis described in the textbook, defend the new change implementation process and the rationale for the change of method.
Full Answer Section
1. Quality Control:
Current State: We primarily rely on visual inspections for quality control. This is inefficient and potentially unreliable.
Proposed Change: Implement a statistical process control (SPC) technique, such as control charts, to monitor and improve quality proactively.
Rationale: SPC provides objective data-driven insights into quality, enabling early identification and correction of defects. This can significantly reduce scrap rates, rework, and customer complaints, ultimately enhancing profitability.
Example: Monitoring the dimensions of manufactured parts using control charts allows us to detect variations before they become significant, preventing defects and ensuring consistent quality.
2. Facility Location:
Current Location: Our current facility is located in a high-rent district, experiencing traffic congestion and limited expansion potential.
Proposed Change: Relocate to a new facility with lower operating costs, better access to transportation networks, and potential for future expansion.
Three-Step Procedure:
- Identify Location Criteria: Define key factors like labor availability, proximity to suppliers and customers, and infrastructure needs.
- Evaluate Alternative Locations: Analyze potential sites based on established criteria, considering factors like land cost, zoning regulations, and environmental impact.
- Select Optimal Location: Choose the location that best optimizes cost, efficiency, and operational needs.
3. Capacity Planning and Facility Location:
Key Concepts:
- Demand Forecasting: Accurately predict future demand to ensure sufficient capacity and avoid overstocking or stockouts.
- Facility Layout: Design the facility layout for optimized flow of materials, equipment, and information.
- Material Handling: Implement efficient systems for transporting materials within the facility.
4. Work Design and Feasibility:
Current Design: Our current work design is highly specialized and repetitive, leading to employee boredom and potential fatigue.
Proposed Change: Implement a job enlargement or job enrichment strategy to increase skill variety and autonomy, enhancing employee satisfaction and productivity.
Feasibility Analysis:
- Technical: Assess the availability of equipment and training needed for the new job design.
- Economic: Evaluate the cost-benefits of implementing the new design, considering potential increases in productivity and reduced turnover.
- Behavioral: Consider the impact on employee morale and satisfaction, and implement training and support programs to ensure a smooth transition.
Rationale for Competitive Advantage:
A more engaging and challenging work environment can attract and retain top talent, leading to higher productivity, innovation, and overall organizational success.
5. Method Analysis and Change Implementation:
Proposed Change: Implement a phased approach to change implementation, incorporating employee feedback and addressing potential challenges.
Rationale: A gradual and well-communicated implementation process minimizes disruption and ensures successful adoption of the new methods.
Method Analysis:
- Define the current and proposed methods.
- Identify the differences between the two methods.
- Analyze the potential impacts of the change, both positive and negative.
- Develop a plan to address negative impacts and mitigate resistance to change.
- Implement the change in phases, monitoring progress and making adjustments as needed.
Conclusion:
Implementing these proposed changes requires commitment and investment, but the potential benefits are substantial. Improved quality, efficient operations, a motivated workforce, and a strategic location can significantly enhance our competitive advantage and ensure long-term success.
Next Steps:
- Conduct detailed feasibility studies for the proposed changes.
- Develop a comprehensive implementation plan with timelines and budgets.
- Secure necessary approvals and resources.
- Communicate the plan to all stakeholders and address concerns.
- Implement the changes in a phased and controlled manner.
- Monitor progress and make adjustments as needed.
Note: This presentation provides a high-level overview. Additional detailed information and supporting data should be incorporated based on the specific organization under consideration.