Now, it is time for all production managers to begin the organizing process. Doing so requires that managers collect the people, resources, and capital to begin production in a way that will implement the short-term production goals and objectives set through planning. The deadline for production to begin is January 31, 2017. Christmas product shipping must start in July of 2017. The budget for each branch is $300,000 for the total production budget. Currently, the production staff includes a total of 124 employees per day shift and 91 at night per plant for a total of 215 employees. Most tasks are covered in both shifts. Current production and shipping personnel per task include:
|Positions||# of Day Shift
|# of Night Shift Workers|
|Assembly Line Staff||75||60|
|Production IT (computer machine)||1||1|
|Fork Lift Operators||10||10|
To complete the Moon Mission to Jupiter’s Europa 1 project, it is projected that additional personnel are needed: Two 3D printer operators for the day shift and two for the night shift. Additionally, instead of having an on-call position for production IT, a full-time night position is needed.
The design and engineering department has provided the product specifications including materials, sizes, and 3D printers and one person per shift to produce the product. Trained personnel are needed for operating the 3D printers. The cost of one complete Moon Mission to Jupiter’s Europa 1 product is set at $7.56, which includes packaging. The 3D printers will produce the completely assembled piece including electronics and packaging in 7.36 minutes and will cost $6100 per printer. Trained personnel are needed to operate the printers.
Required Elements for Part One:
- Assuming the role of Itza Yu, explain the role of a manager in the organizing phase of the POLC and identify and discuss five major issues that Itza Yu must address in organizing the production floor for both existing production and the new project.
- One of the areas of discussion that must be included in the organizing phase is that of aligning people to the task of production. Create an organizational chart that shows how Yu would organize the people and jobs on the production floor. Discuss why and how the organizational chart was created. This organizational chart will be used as the template for the other branches within the organization, so be sure the structure of the production floor aligns with the organization of the company.
- Once you have created the chart, identify the decision making authority for those individuals on the chart. Explain why the structure was chosen and how it best serves the decision making flow for the production floor and the company as a whole.
Part Two-Leading Motivation
During the course of production older line staff and machine workers began to see the speed and accuracy for which the 3D printers made its product. An obvious concern began to surface among the workers. The workers began to ask, “Will I still have a job next year?” Morale of plant workers began to suffer. Itza Yu knows that this concern must be addressed and morale needs to be improved. As the manager, Yu know that the business must innovate to keep growing. How can Yu improve morale?
Required Element for Part Two:
- Acting as Joyce Barnhart, what advice should she give to Yu? In discussing the advice, first identify the reasons for the morale problem and how they affect motivation. Be sure to address change and the worker’s reaction to implementing change.
- Discuss the actual ideas and the specific ways Yu should take to motivate his existing employees that will build morale and keep production levels on track for the current contracts and the new project.
The following chart displays the results of the first year’s production of MMTJE1. It was created from data supplied by all the company production department managed by Keith as a means of controlling production output. It is used by the VP in his evaluation of areas of improvement, change, or success to processes used by the production department in the production of MMTJE1. The chart describes the standard goal (identified as standard) set by the department and the result each branch obtained. A comparison of the standard to the results allows the reader to form conclusions about the success or failure of the production department to meet the goals envisioned by the company. It also allows the reader to recognize patterns from the data from which conclusions can be drawn as to the relationship between elements (e.g. cost expended vs time expended; those who spent more time had a higher cost).
|Quality Control Problem Ratio (per 500 units)||1||2.5||4||1.5||1.75||8.75|
|Training Time (per hour)||30||35||38||45||48||25|
|Shipping Problems/Damage (per 10,000 units)||1||0.333||0.222||0.133||0.178||0.4|
|3D Problems (per 10,000 units)||0.2||0.25||0.286||0.111||0.1||0.4|
|Total Number of Pieces Produced per year||400,000||500,000||500,000||650,000||700,000||450,000|
- Compare the standard specifications data set with the results from each of the results for the five branches.
- Interpret the results for the new product production chart above. Detail the areas that need improvement as well as those positive conclusions the data suggests.
- Define what “corrective action” means to the manager in the control function of the POLC.
- Do you suggest Keith take, if any, corrective action for this report?
The next meeting of the long term planning team for Galaxy Toys is scheduled for next week. All the VP’s will be there and a report must be given by all as to the viability of the “Moon Mission Jupiter’s Europa 1” toy roll out and the success or failure of the long term goals and objectives.
Keith reviewed his meeting notes with his branch managers when the production results came out. The managers seemed to all talk at once. Most all the managers seem to feel that the project was well worth the effort. It appears that many managers felt that training on the 3D printer in terms of repair and maintenance was the biggest problem. Mexico’s manager, Hernando Gonzalez, said that they lost their trained personnel to a software company and had difficulties finding replacements. The company who supplied the 3D printers provided initial training but follow up training thereafter proved a problem when personnel turnover increased. Gonzalez explained that there is a serious shortage of skilled IT personnel in Juarez. Consequently, finding qualified workers and keeping people without paying more than budget is a major problem. As a result, both the production and the IT departments are losing money. Getting a full time, IT night worker is impossible without a serious budget increase.
Prepare a report for Keith to present to the planning team. The following points must be addressed in the report:
- Using the conclusions drawn from the chart in part two as well as Keith’s notes from the meeting (noted above) with the branch managers on the production results, identify at least three conclusions that have potential concern for the long-term future of the project and or company.
- Explain why and how each of the factors chosen would affect the future long-term strategic planning. Examine the relationship between the control process and long term planning as part of the explanation
- Offer recommendations for solutions that might be introduced along with the issues to the planning committee to address the implications of the factors chosen.