Essay on Donner Company

1448 Words Apr 5th, 2005 6 Pages
Central Issues
When looking at the Donner Company in 1987, there are some initial concerns. The company as a whole does not have a true sense of how long it takes them to do what they do, and their process flow table is made up of "guesstimates", as throughput time at individual processes have not been formally taken. The company appears to be operating below capacity based on their need to rework their products often, find things for people to do, and meet deadlines that are based on fuzzy estimates, which only adds to the chaos. In short, there are three main issues facing the Donner Co.:
• iming and delivery discrepancies
• Lack of quality control
• Need for labor utilization improvements

The addition of a new building in
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Quality Control – Errors & Missed Processes
The highest of standards demanded should be set, and an additional inspection area should be added behind the most sensitive portion of the process, the Dry Film Photoresist(DFPR). This would allow items to be caught before the entire process has been completed. Additionally, upgrades in the air filtration systems of the company, and the amount of time spent cleaning the machines would likely aid in the reduction of production errors, such as the reported nicks and scratches found on reworked and returned items. Processes that run the potential of contaminating each other could also be further separated through the addition of barriers. For example, the tin striping process, which utilizes special corrosive chemicals, has the potential to contaminate the boards and should be performed in a separate room (see Exhibit XX) so that the air within that area is kept localized and filtered, and the corrosive materials in the air are removed.
Labor Utilization Improvements
The labor utilization rate is currently at 15.78%Q7 and could be improved dramatically by reassigning people to the various tasks mentioned in the examples above. Additionally, the lower cycle times would improve utilization, but a closer look at the overall process might indicate that not as many people are needed to work at any particular time. We question the need for 22 employees and feel that with a better understanding

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