The Manufacturing Manager of New Technology Company Is Concerned About

question 136

Essay

The manufacturing manager of New Technology Company is concerned about the company's newest plant.When the plant began operations three years ago it had the best of everything.It had modern equipment, well-trained employees, engineered work and assembly stations and a controlled environment.During the first two years the evaluation results were very good with almost all cost variances being favourable.However, recently things have turned negative.In recent months everything seems to be operating in a crisis management mode.Although most cost variances remain favourable, the plant's segment contribution is declining and customers are complaining about poor quality and slow delivery.Several customers have suggested that they may take their business elsewhere if things do not improve.The shop floor is in continual turmoil.In-process inventory is everywhere, production employees have difficulty finding jobs that need to be worked on, and scheduling has requested a larger computer to keep track of work-in-process.The vice president of sales does not know where to begin with solving the customers' problems.It seems that everyone is working very hard and the plant has the best facilities and trained employees in the industry.Required:
What is the nature of the plant's problems? What recommendation would you make to help improve the situation?

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Definitions:

Aging

A biological process involving the accumulation of changes in an organism over time, leading to a gradual decline in physiological functions and increased susceptibility to diseases.

Nephrons

The functional filtration units of the kidney, responsible for removing waste and excess substances from the blood.

Homeostasis

State of equilibrium in the body with respect to functions and composition of fluids and tissues.

Arcuate

Describing something as having a curved shape or structure, often used in biological and anatomical contexts.