Ops/571 Week 6

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Process Design for Riordan Manufacturing OPS/571 Riordian Manufacturing, Inc. Hangzhou, China June 21, 2012 Motor, Inc. 1000 Last Class Flint, MI 900012 Dear CEO: At Riordan, the electric fan division has revised the process for supplying the electric fans. Part of Riordan’s operations planning, Riordan would implement aggregate operations. From Operations Management for Competitive Advantage (2006), “Aggregate operations planning involves translating annual and quarterly business plans into broad labor and output plans for the intermediate term of 6 to 18 months. Its objective is to minimize the cost of resources required to meet demand over that period.” Riordan would start to collect data starting…show more content…
The fan motors in inventory will create an efficient development process that does not overlap phases. “To improve the effectiveness of overlapping, the upstream activity should make solutions ‘downstream-friendly’, reducing meaningless changes, and quickening engineering cycles. The downstream should try to forecast upstream results. Knowing how to make time-risk trade-offs and quicken adjustment to unexpected changes”, (Clark & Fujimoto, 1991). With the use of outside manufacturing companies to assemble the electric fan motors, support the economical cost needed for the new process. Subsequently Riordan Manufacturing proposes to have higher levels of inventory that allows them in effectively forecasting models for inventory control, production, planning, improving supply chain, and guaranteeing deliveries of Riordan products. Creating a new process design essentially caters for the new supply and demand of Riordan products. Using lean production can help Riordan Manufacturing minimize waste from raw material toward the finished product. Because of the elevated demand for the product, production needs increase (Chase, Jacobs, & Aquilano 2006). Global Advantages and Opportunities Riordan Manufacturing operates their electric fans unit out of Hangzhou, China but sells them across the world, Apollo (2012). The company has been successful in using a method call make-to-stock operations. The flowchart will illustrate an innovative system

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