Case Study U.S. Strollers

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Introduction As the leader producer and seller of baby strollers, U.S. Stroller has been known for carrying a very high-quality baby stroller. The company is known for innovation designs and its good distribution system. The President of U.S. Stroller Judy Hawkins is the sister of the director of manufacturing Clem Hawkins. Judy has suggested to Clem that a Just-in-time system is what the company needs to reduce the high inventory cost, cycle time, improve quality and eventually cost the company is carrying. Clem decided he would solicit the help of Joan Hankins who had recently graduated from UCLA with an M.B.A; she was a whiz at analyzing. Below is a list of the facts about the company: 1. 2000 different sites in the United…show more content…
These gains come at the cost of more tightly coordinated manufacturing processes—both inside a company and with supplier firms that produce under JIT" (Vollmann, 2005). Manufacturing Cells Manufacturing Cells production is organized in groupings of all the different types of equipment used to make a given product. Materials move from one machine to another, and various operations are performed in sequence, minimizing materials-handling costs. Workers are also hired and trained to multitasked performing a variety of activities. Defects in the process are aggressively eliminated; this is due to the tight links in between workstations. Setup time is another aspect of U.S. Strollers that can be reduced using manufacturing cells concept. The production of a product, its cycle time until it's completed is reduced significantly. Reducing setup time and costs make production in smaller batches economical, which in turn reduces inventory levels Pull System Pull systems otherwise called demand-pull, “a manufacturing system that manufactures each component in a production line as soon as, and only when, needed by the next step in the production line” (Horngren, Datar, and Rajan). With the JIT production, the demand is pull through by the demand from the other workstation.
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