Case Analysis of Donner Company and Eiic
The Donner Company manufactured printed circuit boards to specificaiton of a variety of electronics manufactures. It produces and sells goods to its customers. While EIIC is an insurance company which focus mainly on engineering insurance. It produces and sells service to customers.
Problems for Donner Company:
1. For operation problem, there is a production bottleneck exist in company’s operation, the shifting bottleneck. The shifting of process changed frequently from one to another in the manufacturing system. Every individual orders of different customers always change details because variable request or unqualified items. That will definitely bring our workers and workload a lot of trouble. At the same time, we have the pattern of four-day rush orders. This item will delay the process as it sometimes needs rework at one or two operations. It is due to workers are shifted from one operation to another one as demand’s changing so that some workstations are overloaded. But this situation only happened during bulk orders, while in short orders such as less than 8 circuit boards, Arthur Dief can finish it solo and perfect. Also, when the customer’s engineers have design problems, they are permitted to make a call to operation part which can interrupt normal production. That can be one problem which bothered the process. There is a policy that the shipment should be finished before end of a month, which directly lead to the big amount of shipment at the end of the month. This will not only bring big pressure to transportation office, but also has a bad effect on sales. At the same time, workers are hurrying up for finishing shipment, they would not care more about products’ quality. Also, standards of order keep changing frequently will also bring us the same result.
2. Plummer found that some machines are idle very often, which definitely low down our output. This is related to the frequently moving. Because, the time workers wasted on moving from one station
Problems for Donner Company:
1. For operation problem, there is a production bottleneck exist in company’s operation, the shifting bottleneck. The shifting of process changed frequently from one to another in the manufacturing system. Every individual orders of different customers always change details because variable request or unqualified items. That will definitely bring our workers and workload a lot of trouble. At the same time, we have the pattern of four-day rush orders. This item will delay the process as it sometimes needs rework at one or two operations. It is due to workers are shifted from one operation to another one as demand’s changing so that some workstations are overloaded. But this situation only happened during bulk orders, while in short orders such as less than 8 circuit boards, Arthur Dief can finish it solo and perfect. Also, when the customer’s engineers have design problems, they are permitted to make a call to operation part which can interrupt normal production. That can be one problem which bothered the process. There is a policy that the shipment should be finished before end of a month, which directly lead to the big amount of shipment at the end of the month. This will not only bring big pressure to transportation office, but also has a bad effect on sales. At the same time, workers are hurrying up for finishing shipment, they would not care more about products’ quality. Also, standards of order keep changing frequently will also bring us the same result.
2. Plummer found that some machines are idle very often, which definitely low down our output. This is related to the frequently moving. Because, the time workers wasted on moving from one station