Space Age Furniture Company Essays

3121 Words13 Pages
Space Age Furniture Company
Operations Management BUS 644
Dr. O'Leary
June 08, 2013

Space Age Furniture Company

The Space Age Furniture Company manufactures tables and cabinets to hold microwave ovens and portable televisions. In this paper, I will explore ways that the company can be more efficient in the time to manufacture these parts and the overtime hours involved. To accomplish this, I will look at the type of operation, trade-off between the costs of overtime and inventory, ways that management can track job status and offer any suggestions regarding these issues.
Most of the products follow the same production and assembly operations. However, two of these product – the Saturn microwave stand and the Gemini TV stand –
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In order for Carol to address this problem, she will need to compare the master schedule with the actual orders to determine the demand for both the Gemini and Saturn stands that are being produced. The first issue that is seen is that the master schedule for week 1 is less than the actual orders due in week 1. In week 1, an order for 1,000 of subassembly 435 is due to be received and also there is an order for 1,000 of subassembly 257.
A question that could be asked in this case is whether or not reducing the minimum quantity if subassemblies would help with the issue at hand. By decreasing the minimum quantity, this would decrease the number of part 3079 that are necessary to complete each subassembly. However, by decreasing any of these items would create a stock out due to customer orders that are already received.
As Coral reviews the master schedule and the pending orders, she can see that given the current plan, they will not process enough subassemblies to cover the upcoming orders. The master schedule is a statement of exactly what will be produced. It must simultaneously satisfy the needs of sales and marketing and be feasible in terms of operations. Developing a master schedule that is close to the aggregate plan, yet still satisfies marketing and operations, is not an easy task. The aggregate plan was developed based on a strategy that maintained acceptable inventory and workforce
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