Executive Summary : The Heavy Equipment Manufacturing Industry

The large initial capital investment needed for new entrants is another major barrier. The cost of machinery and manufacturing is expensive. It is hugely important and costly to have a global presence in manufacturing as it is extremely expensive to ship machinery to clients around the globe.

Standard & Poor lists Pall in the, “Industrial Machinery”, industry. Industrial Machinery companies have been taking advantage of the economic recovery and have been growing with year end improvements following the 2007 to 2009 economic recession. The growth, though, has been slowed down due to increasing concerns about global economic health and rising commodity prices. However, the low growth environment may prove advantageous for this industry in the next 12 to 18 months as consumer confidence increases and there are improvements in orders.This is indicated by the fact that the Purchasing Managers’ Index (PMI) (from the Institute for Supply Management), which shows the economic health of the manufacturing

In 1994, Beaver built a new plant with capacity of 1,000,000 units per year outside Vancouver, British Columbia. Costs in this plant were relatively high due to high wages and taxes, and below-average labour productivity. In 2007, the company introduced new technology into this plant that made the plant more efficient, but did not increase its capacity. This technology increased labour productivity by about 20% and reduced labour costs per unit by about $1.25 (16.7%). For a plant with capacity of 1,000,000 units, the technology costs $3,000,000 to introduce. This is the first use in the industry of this new technology, which has attracted considerable interest in the industry.

started to plummet as the economy has begun this recession. It may seem as if the country that

In 1984 Harnischfeger Corporation was a leading producer of construction equipment. During the decade of the 1970s the company experienced tremendous growth. Annual sales grew from $150 million in 1970 to $646 million in 1981. However the company began to experience financial trouble in 1979. This was caused by a variety of factors: the company wasted a large amount of resources on an unsuccessful merger, the government of Iran defaulted on a $20 million order of equipment after the fall of the Shah, and the U.S. economy was in a period of recession with double digit rates of inflation. The company posted an operating loss in 1979 for the first time since 1938. The company's financial difficulties

Emerging economies like China, India and Thailand are rapidly expanding their vehicle and automotive component production. At the same time, these and other emerging economies, apply various tariff and non-tariff barriers which serve as a hindrance on

Until 2009, Nucor operated in an industry which experienced significant output declines during recent decades. The U.S. steel industry was operating at capacity levels of less than 50 percent and had lost more than 50,000 jobs since 2000. Growth of the Chinese steel industry posed a serious threat for domestic steel producers (Scott, 2009). Since that time, however, the U.S. steel industry has picked up momentum in response to soaring demand by the automobile and construction industries. Steel is the preferred material by the construction industry because of its performance, strength, reliability and versatility. In addition to construction, the automobile, energy and container industries have all been responsible for increasing steel consumption (Market Research.com, 2011).

Long the pride of Peoria, Illinois, Caterpillar, Inc. has established itself as a premier global manufacturing powerhouse whose commercial construction, transportation and engine solutions have come to symbolize durability, quality, and economic progress. This project paper examines the operational and financial numbers resulting from the company’s global sales reach. This paper reviews the publically available corporate financial results for the last decade. This financial data review will be expanded to incorporate how operating and investing activities and results have also impact the Caterpillar bottom line. The paper will conclude with a short summary analysis providing team conclusions to whether the Caterpillar

Although agricultural equipment is still the main revenue generator for John Deere, they are also a major producer of forestry, construction, commercial and

Massey’s product line consisted of tractors, combine harvesters, balers, forage harvesters, agriculture implements, farmstead equipments and other equipment for agricultural use. Industrial line consisted of Industrial tractors, loaders, rough terrain forklifts, skid steer loaders,

Automobile industry of japan witnessed an awesome accomplishment with the growth of Toyota. It became the biggest maker in the worldwide business. Toyoda kiichiro was hesitant to invest in automobile sector. In the year 1933 the company started its production. In order to have cost efficiency they adopted the mass production technology.

Automotive Builders, Inc. (ABI) is a company that consistently changed its production lines and strategic goals relative to the needs of the times, starting out producing diesel engine parts for tractors in the 1940’s, switching over to the production of parts for military vehicles during World War II, and then, after the war, settling into its current placement in both the automobile and tractor industry. Due to the downturn in the economy and stiff and superior competition in both quality and price rising up from the Japanese who had recently entered into the industry, ABI is trying to find productive and innovative ways to improve sales and guarantee placement as the number one company in its

Toyota Motor Manufacturing, U.S.A. (TMM) is deviating from the standard assembly line principle of jidoka in an attempt to avoid expenses incurred from stopping the production line for seat quality defects. This deviation has contributed to the inability to identify the root cause of the problem, which has led to decreased run ratios on the line and an excess of defective automobiles in the overflow lot for multiple days. If this problem isn’t fixed quickly, an increased amount of waste will continue to be incurred and customer value will be threatened.

Toyota today is one of the leading lean example in today’s manufacturing market. Starting back in the 1930’s with the idea of Just-in-Time to cut down cost in waste from overstocked storage rooms to a better efficient assembly lines who produced what was needed at a certain time. The Kanban system is one of the most used methods that the Japanese found during the 1950’s during a trip to United States in a super market.

U.S demand for tractors had stagnated due to a recession in the farming industry. Because of lower demand for its big, high-performance machines, USAT has weathered the recession better than had some of its larger competitors. However, during the past year, the order backlog had been completed considering export opportunities, and Mary had been asked to