Stonehaven Analysis Essay

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MBA 513 Group Assignment 1 (Team I & II) Stonehaven Inc. Case Study (names of both group members) Group 2: Yunping Yao, A20249251 Background Information Stonehaven, Inc., headquartered near Boston, is a major manufacturer of popular brand name non-athletic shoes for adults. Most of its products are sold in the U.S. market. Mission To response to the uncertainty of shoe designs and growing uncertainty in each style, shorten the order-to-delivery lead times in the production process. Current Operating System Cutting Section | |Time Consumption (min/batch) |Cycle Time | |Machine 1. Cut shoe leather |41…show more content…
Batch Size Only in the stitching section there are inventories between different groups’ work. If the company still keeps each batch’s size as 100 pairs, the average work load for each worker in work group 1 now is 25 pairs, but in work group 2 is only 20 pairs which means that there will be 5 pairs of shoes as inventories from work shop 1 to work shop 2 in the stitching section. To shrink the batch size, there are also several advantages: ➢ Each section’s capacity is not affected: the stitching section is limited to 125 minutes. ➢ Reduction Influence: only to the calculation of numbers of batches. ➢ More flexibility: if the size of each batch could be reduced to 20 pairs per batch, more flexibility will be obtained to cope with the market demand uncertainty. Cutting Section: reduce the batch size from 100 pairs to 20 | |Time Consumption (min/batch) |Cycle Time | |Machine 1. Cut shoe leather |25 |Critical time for each batch’s completion| |Machine 2. Cut linings |24 | | |Machine 3. Cut insole |19.2 | | When we reduce the batch size from 100 to 20 pairs, the new results will be shown as follows:
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