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Eastern Gear, Inc - Case Study Example

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This case study declares that large orders were processed. This delayed the processing of small orders. Consequently, delivery of many small orders was delayed. Location of the bottle necks is changing frequently. Production time of the gears has increased from two to four weeks…
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Eastern Gear, Inc
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1. What are the major problems being faced by Eastern Gear, Inc.? List each and write a one-paragraph explanation of the problem. Paraphrase and explain your perspective, do not quote the problem exactly from the case.
Large orders were processed. This delayed the processing of small orders. Consequently, delivery of many small orders was delayed. Location of the bottle necks is changing frequently. Production time of the gears has increased from two to four weeks.
Machines of similar type are grouped on the shop floor. This causes a jumbled flow of products. Quality of some products is poor. 6 per cent of the orders are returned to the company because of this (Schroeder, 2008, p. 436).
2. What action should Rhodes take to solve his problems?
There should be appropriate time division between the use of machines for processing the small and large orders. This would help avoid delays to one’s processing because of the other. The cost-benefit analysis of keeping bottle necks at the same location must be carried out. If the benefits outweigh the cost, measures should be taken to achieve this. Otherwise, a person should be assigned to track the bottle necks. There is not much need to shift the machines. However, there is need to gauge machines together in such a way that their use becomes maximal. Ideally, there should be separate processing systems for small and large orders. There should be a proper quality assurance/quality control (QA/QC) department. It will check all orders for deficiencies before shipping to the customers. On immediate basis, Matt Williams may be assigned this responsibility.
3. How can this case be related to operations strategy and process design concepts? Be specific. Demonstrate that you have read and understood the assigned reading. Include citations from your textbook in APA format.
This case relates to the operations strategy and process design concepts. It encapsulates many issues of operations strategy like scheduling the processing of orders of different sizes. Concepts of process design including organizational structure are also discussed. Analysis of the case revitalizes the concepts of operation strategy and process design.
Schroeder, R. (2008). Operations Management: Contemporary concepts and cases. Ed. 5.
Boston: McGraw-Hill Irwin. Read More
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