Peculiarities And Characteristics Of MTO Companies

Many companies and business entities achieve higher levels of market success through extensive supply chain management. Market success within these industries and companies is possible through implementation of mass customization strategy. Mass Customization represents an approach within the business entity that seeks to be innovative, enhance quality, minimize cycle time, improve agility, and generate consumers who want to only associate with the firm or organization. The main objective of the mass customization strategy rests on the provision of products and services to satisfy unique tastes and preferences at affordable prices that relate effectively with target groups. A visit to Lutron Organization generates clear indication of how mass customization applies in relation to its application in business entities. Lutron organization adopts the strategy of mass customization to meet the needs and expectation of the consumers. Mass Customization is also effective and efficient in developing competitive advantage over other entities within the same industry. The approach of maximizing revenue while expanding the market coverage by Lutron draws from new technologies and knowledge in relation to forces of consumers and company demands. The main aim of the strategy within Lutron is to enable consumers acquire any product or service they want, anytime, in any way, and anywhere while enhancing the profit levels.

The timing of capacity changes also needs to be taken into consideration to achieve maximum efficenty given that demands of their products varies with seasonal changes. The ability to react to market demand changes quickly will determine manufacturers flexibility in keeping up with these demands. Manufacturers needs facilities to produce, whether warehouses to store its raw materials or finished goods, or manufacturing plants to produce their products. Services facilities are needed by certain manufacturing industries such as consumer electronics to cater for returns. Distribution centres also determine the efficenty of production distribution and un-nesessary inventory holding will result in higher holding cost. Such facilities require large investments and are integral of the manufacturer’s supply chain strategy and thus proper planning is needed when making these decisions regardong the size, location which affect the overall operations. How manufacturers run their productions also determine how successful will they be in terms of productivity and quality levels. Different types of equipment and processes also affect the cost and output of the manufacturing plant. Information systems that flow both upstream and downstream affects the forecasting, planning, inventory and production levels, they must be robust to ensure the manufacturing firm is able to react accordingly to changing demands and variations. In addition to their internal environment,

The company can also use a unit within its own process, with exceptional performance levels, as a yardstick for other units. These types of practices can help the company formulate goals and targets for performance (Slack et al, 2008). It can also be achieved by methodically measuring internal services, products and processes against those employed by competitors. Thus, Custom Molds stands to learn a lot from other companies through benchmarking. It can also help the company identify key processes and bridge the disjunction between the company’s actual state and its expected state (Boxwell, 1994). It’s also an expert method for identifying the bottlenecks which have been plaguing Custom Molds. For instance, the company’s competitors might be able to get products to customers on time. If management were to investigate the flow of their own processes [Figure 1-Question 2], then they would realise that too much time is being wasted waiting on raw materials to be delivered before starting work. A possible solution might be to hold higher raw material inventory, so that preliminary processes can begin, while waiting for other materials to be delivered. This can help reduce lead time for orders. In this way, the benchmarking technique will present the company with new opportunities to evolve with the market. However, the process can be expensive and time consuming because it might

If the company has a good reputation among consumers and its products is a popular choice, the customers become interested in the company’s ability to maintain stability of manufacturing.

We prefer the EOQ/ ROP system as gains from reducing the order/ production size (gains in terms of less value of inventory being produced) which though lead to increase in setup cost far outweigh the gains from Blanchard’s current system (gains in terms of reduction of setup cost) while, costs are that of the value of inventory being produced.

Mass production: Mass production is used to produce very large quantity of product of same configuration. In this production parts produce continuously with short cycle time of production.

| Source:International Journal of Advanced Manufacturing Technology, May2010, Vol. 47 Issue 1-4, p381-393, 13p, 2 Diagrams, 10 Charts, 1 GraphChart; found on p384

On the other hand, we continue to invest in production capacity and automation for each product in order to create a sufficient amount of products to meet market demand. We also invest in total quality management and human resource to guaranty our goods can come up in time and with the great quality.

15. If a manufacturer is concerned with the breadth of the assortment its distributor can provide customers, the manufacturer is

There are several factors that influence Evo’s organizational structure. The business strategy is one of the factors which influenced the company’s organizational structure. The decentralization structure fits well with Evo’s non-formalization strategy because non-formalization is a high-cost strategy (Phillips &Gully, 2014). The external environment of the company is also an influence on the company’s organizational structure. The growth of the company calls for flexibility within the organizational structure. Given the fact that Evo’s sales increased and they experienced growth estimated at

Despite the fact that there are better manufacturing technologies to be found in today's modern world, it is still quite difficult for every Tom, Dick and Harry in business to manufacture their own products. This is because the cost of setting up a manufacturing plant is significantly high; in addition, one requires a team of professionals with a high level of expertise in various aspects of manufacturing in order to have everything up and running as smoothly as possible.

The product will be characterized by a series of elements, some of the more notable of them including:

In the early stages of manufacturing quality and cost went hand-in-hand, if one went down so did the other but now quality is maintained at an excellent standard and cost is going down; engineers are racing to the bottom in price. This is achieved by the engineers that have created a system of work that is the assembly line, allowing for more affordability and profitable, and leading to innovation. By implementing the assembly line system of work, it requires simple tasks to be accomplished by multiple people at a constant pace, which results in cost efficient production. This system allows more product to be produced in a smaller period of time to meet the demand of the people, as the price is cheaper. However, profit is not changed

Chan H (2001) states, “note here that the business drives the specification of the product and the consumer chooses whether or not to buy a prefabricated product. An example of this in the traditional commerce is purchasing suits of the rack”.

Consumer behaviour is complex and a company has to fit their product more closely and satisfy their customer needs more fully than the