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Case Study Case Study 1.1—Sebring County Instructions: Read the following case study. As you read, try to identify what decisions must be made by the emergency manager or other emergency management officials. Jot down your ideas before continuing. Background: Heavy rainstorms have hit, and counties across the entire State are faced with. Business Drivers Triggering This Business Case B. Scope of Business Case Analysis 1. Purpose of This Business Case 2. Options Evaluated 3. Decision Team Composition 4. Analysis Guidelines Received 5. Business Case Team Members 6. Business Case Analysis Process and Resources II. Executive Summary A. Recommendation B. Summary of Value Results 1.
DONNER COMPANY CASE Operations & Supply Chain Management SCM 820 Group 4: Erik Blume, Chase Anderson. As per the case study. Case: Donner Company EXECUTIVE SUMMARY The Donner Company is a manufacturer of printed circuit boards. They need to address several issues in their supply chain operations to improve their service level because net income in the month of September has drastically decreased. Operations Management Part Issues That Requires Investigation From the case study, Airbus continued with its production activities even when the company did not have orders leading to production of white tail jets. On the other hand, its rival company Boeing produced aircrafts according to confirmed orders. Considering this scenario Airbus is considering taking production approach similar to.
Donner Company - Operations AnalysisContents Objective 2 Business Context of Donner Company 2 Problem statement 2 Process Flow Diagram 2 Organization Structure 3 Situation analysis 4 Alternates before Donner 4 Recommendations 4 Exhibits 4
Objective
The objective of the assignment is to analyze the operations of Donner Company, to find out the problems faced by the company and give recommendations addressing these problems Business Context of Donner Company
* Donner Company, founded in 1985, manufactured printed circuit boards to the specifications of a variety of electronics manufacturers competing with approx. 750 printed circuit board manufacturers in the country. * President of Donner Company, Edward Plummer was concerned about productivity, quality and delivery problems as the current difficulties which the company faced.
Problem statement 1. Draw the process flow diagram for a normal order that goes through the production system at Donner. 2. What orders [by way of batch size] would you schedule on the CNC drill? On the CNC router? 3. What is the capacity of the Dry Film Photoresist area? How does capacity change with order size? 4. What is the standard labor time for an order of one board? 8 boards? 200 boards? 5. What are the problems faced by Donner? 6. What are your recommendations to address these problems?
Process Flow Diagram
Organization Structure
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Situation analysis
1. Production Bottlenecks at two places of flow diagram: a. Drilling operation b. Profiling operation 2. Decision between using Press punch or CNC router for fabrication. 3. Decision between using manual drill or CNC drill for image transfer. 4. Reducing REWORK by minimizing returns due to missed or incomplete operations
Alternates before Donner
*
Recommendations
*...
Autor: Maryam • November 14, 2017 • 2,762 Words (12 Pages) • 363 Views
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2.2 Layout problem
The shop floor layout was designed to efficiently utilize the space available. The plating processes which released large volumes of acid vapors had been located far from the machining operations to avoid the corrosion of the machine tools. Though this generated stellar results in the form of longer lifetime of the tools but it highly reduced the productivity of the plater. The plater had to simultaneously inspect panels as well as carry them to the plating tanks. The large distance between the operations consumed 15% of the plater’s time. She was also interrupted every 3 to 4 minutes to inspect the panels in the tanks. The productivity of the plater could be increased by decreasing the distance between inspection panel and the plating process. The two could be separated with highly insulating material to avoid the corrosion and increase machine life time along with plater’s productivity.
2.3 Operating problems
One major problem faced by the management was the shifting bottlenecks problem. This was caused due to varying order sizes and differences in circuit design.
25% of problems in job delay process were caused due to design problems encountered by engineers after placing the order. This once again led to bottlenecks as workers had to await further specifications of the new design. This shifts the bottlenecks to other operating procedures.
Also there was no quality specification for raw materials which may turn out to be defective. This may cause disruptions in the work of operators working on a specific project, they may require additional raw material (which takes about 1 – 2 days to locate, then a few additional days to be delivered to the company). Eventually there might be delay in the entire production cycle..
Donner promised a 4 day delivery to customers who placed rush orders. The company already suffered from bottlenecks on a daily basis but still promised a 4 day delivery system. Clearly this meant that, no matter what, rush orders were a priority (This was also due competitive pressures faced by Donner). If raw material was needed for rush orders, it was obtained from the existing inventory, which was originally bought to fulfil large orders. This causes shortages in inventory, which means that Donner’s purchasing has to locate and purchase additional material (which normally took 2 days). The result is possible stoppage of operation process until new raw material was obtained, which also meant down time for the operators (down time at one process, hence a bottleneck at a specific process).
2.4 Productivity problems
With so many operating problems, many productive problems were obviously expected. With frequent changes in orders size and designs, management noticed that machines were idle for many hours than was expected. In addition, standard labor time for each process was not accurate time as it did not include the time spent by workers on orders which required reworking. The management also faced a dilemma in using manual labor (for drilling and punch press) or the CNC machine for the same purpose. Evidently the management did not use the breakeven point to solve this issue.
2.5 Delivery problems
Since all the processes were interconnected, also there were high rates of re-works and customer returns (which increase from 1% to 3%), Donner failed to meet is delivery dates. However, rush orders remained unaffected causing bottlenecks as these orders were treated as special cases wherein raw materials, workers and other processes were fetched to fulfill these needs on a special basis.
Finally, the new sales manager for Donner stated his concerns that Donner’s sales may not be able to reach $2M in sales (in 1988) if it continued to have such productivity and delivery problems. So he believed Donner should continue bidding for low volume orders and improve their quality standards, so that sales reach $3M.
3. Standard Labor Time and Bottleneck
3.1 Break-even order size
As per the process described in the case, there are two options, viz. the process can be carried out either with CNC machine or without it. The break even size of order in terms of boards is calculated as follows:
Standard Production time
CNC
Punch press
Setup
150
50
Run
0.5*
1*
*Run time per circuit board
Let the number of circuit boards in 1 order be N. (N is the order size)
Total time setup= Setup Time + Run time
Using the Break-even analysis, it is the point at which time consumed by CNC router is equal to taken by Punch Press.
Therefore,
150+0.5*N = 50+1*N
100= 0.5N
N =200
Inference:
- If number of circuit boards ordered is more than 200, Donner Company should go for CNC drills.
- If number of circuit drills ordered is less than 200, then Punch press shall be used,
- If it’s exactly 200, then either of the two can be used.
3.2 Standard labor time
Standard labor time for order size 1, 8 and 200 is as follows (Exhibit 2)
Order Size
1
8
200
SLT (min)
396.55 = 6.61 hr.
799.4 = 13.23 hr.
Donner Company Case Study Pdfs Examples
11849 = 197.48 hr. or 8.22 days
As calculated in the table in Exhibit 2, the bottleneck is as follows:
- Operations without using CNC machine
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