Meeting Increased Demand Smartly

914 Words Sep 30th, 2014 4 Pages
Meeting Increased Demand Smartly

ABSTRACT
BSE Veterinary Services specializes in performing testing and providing laboratory results on the status of bovine herds to farmer and meat industries thus eliminating potential contamination to the food source of the general populace. Currently the company is equipped to accomplish 12,000 tests per period and has just been requested to increase productivity by 50%. To accomplish this increased workload and still maintain a profit margin, the management staff will need to generate solutions to meet the growing demand.

Meeting Increased Demand Smartly BSE Veterinary Service current provides a specialty capability to the meat supplier
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In this particular situation, BSE has known expenses required such as materials, wages, and variable and fixed overhead. (Walker, 2009) Using the model they can factor in how to generate ideas and/or solutions on how to meet the increased demand. However, throughout the cycle the need to step back and evaluate the process will need to be continually assessed. One of the biggest concerns on implementation process will be, can they meet the demand with their current set-up or will they need to expand their operations. There are many avenues or traps that must be considered when making the plan and finally executing. One of the first things that must be considered is can the current team support the workload? A pitfall that could affect this is the overconfidence bias (Bauer, 2012). This occurs when the team or management overestimates their ability to meet the mission. With a fifty percent increase in production, if management doesn’t factor in the increased hours and materials required to perform the task, the company may fail due to lack of supplies and ultimately burning out their workforce. The next consideration that may factor in could be the escalation of commitment (Bauer, 2012). This trap focuses on continuing on down the road after information reveals it may not be the best option. Case in point, at first the employees may enjoy the increase of pay and entitlements based on the additional hours worked. However,
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