February 13, 2012
Riordan Manufacturing
Learning Team C has completed the analysis of Riordan Manufacturing’s electric fan design process and has developed a proposal outlining the changes that need to be implemented. The team is proposing to focus on total quality management (TQM); this will allow Riordan to remain focused and efficient in areas of opportunity, and to excel in all aspects of the electric fans that are important to customers. The team’s recommendation is to use quality at the source that will address the following scenarios: proper training for employees, holding employees accountable, and incentives to help motivate employees. TQM will also be implemented within the supply chain including suppliers and transportation; this will decrease costs and improve on-time delivery to customers, which will increase sales.
With the new process transitioning to the just-in-time (JIT) method, the technology portion of the organization will need to be upgraded to a system that monitors from the point of order to the point of delivery. …show more content…
CURRENTLY, THE PRODUCT IS PACKED ONTO A TRUCK AND DRIVEN TO THE PORT ON THE QIANTANG RIVER WHERE IT IS LOADED INTO SHIPPING CONTAINERS, WHICH ARE LOADED ONTO BARGES. THESE BARGES THEN GO TO THE PORT IN SHANGHAI WHERE THE CONTAINERS ARE OFFLOADED AND TRUCKED TO ANOTHER AREA OF THE PORT WHERE THEY ARE AGAIN LOADED ONTO SHIPS TO THEIR DESTINATION. BY CHANGING THE LOGISTICS OF HOW THE PRODUCTS ARE DELIVERED, DELIVERY TIME CAN INCREASE BY 25%. THE SHORT-TERM SOLUTION WOULD BE TO TRANSPORT THE PRODUCTS BY TRUCK TO SHANGHAI WHERE THEY ARE LOADED INTO THE CONTAINERS AND PUT DIRECTLY ONTO THE SHIP TO THE FINAL DESTINATION. ALTHOUGH COSTS MAY REMAIN COMPARABLE, THE TIME FACTOR WILL IMPROVE. A LONG-TERM GOAL INCLUDES MOVING THE ENTIRE PLANT TO SHANGHAI WHERE THE PRODUCT COULD BE PUT DIRECTLY ONTO THE