...SHIPPER MANUFACTURING COMPANY Teaching Notes Synopsis and Purpose Shipper Manufacturing Company is a manufacturer of electrical products, laminated materials, and specialty products. The Advanced Products Division (APD), which manufactures the specialty products, has reformulated its corporate strategy. As a result, its manufacturing strategy should also be revised. In the past, APD has manufactured custom products in low volume for its customers. The division plans to gradually add higher volume products for multiple customers. As a result, changes will be needed in manufacturing to effectively compete in the new environment. The purpose of the case is to expose the students to the concept of a manufacturing strategy and the changes in manufacturing which are associated with a change in strategy. The case provides an effective vehicle for teaching this and also for the concept of integrating all aspects of operations. Discussion Questions 1. What objectives should be adopted in manufacturing with respect to cost, delivery, quality, and flexibility? 2. How should the objectives in manufacturing be achieved though process, organization, equipment, work force, capacity, scheduling, quality management and production and inventory control systems? Analysis The impending change in business strategy implies a change in manufactur¬ing toward higher volume and lower cost products. Presently the products are custom-designed and costs are passed...
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...performance-to date and suggest how they can expand current manufacturing and distribution operations and the institutional challenges that lie ahead. I chose Caterpillar because they are an Illinois company that employs multiple family members of mine. I chose France because my wife is a French teacher and we have visited France multiple times. INTRODUCTION According to The World Factbook, France today is one of the most modern countries in the world and is a leader among European nations. It plays an influential global role as a permanent member of the United Nations Security Council, NATO, the G-8, the G-20, the EU and other multilateral organizations. France rejoined NATO's integrated military command structure in 2009, reversing DE GAULLE's 1966 decision to take French forces out of NATO. Since 1958, it has constructed a hybrid presidential-parliamentary governing system resistant to the instabilities experienced in earlier, more purely parliamentary administrations. In recent decades, its reconciliation and cooperation with Germany have proved central to the economic integration of Europe, including the introduction of a common currency, the euro, in January 1999. Caterpillar was first exposed to France between 100 years ago between 1914 and 1918 during World War I. Benjamin Holt, one of the founding fathers of Holt Manufacturing Company (later to merge with C.L. Best Tractor Company and start Caterpillar Tractor Company which later...
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...The story of caterpillar dates back to the late 19th century when Daniel Best and Benjamin Holt each were experimenting with ways to fulfil the promise steam tractors held for farming. Prior to the merger that formed Caterpillar Tractor Co. in 1925, The Hold Manufacturing Company and C.L. Best Tractor Co. had individually pioneered gasoline-powered track type tractors. The first Diesel Sixty Tractor was produced in 1931. By 1940, Caterpillar’s product line had expanded to include motor graders, blade graders, elevating graders and electric generator sets. During World War 1, Holt’s track-type tractors were in great demand by the Allies for pulling and supply wagons through harsh conditions. Troops in World War 2 also relied on Cat equipment, including track-type tractors, motor graders, generator sets and special diesel engines for M4 tanks. The post war period ushered in numerous new products and the company’s first foreign subsidiary. In 1950, the establishment of Caterpillar Tractor Co. Ltd. In Great Britain was the first of many overseas operations created to help manage foreign exchange shortages, tariffs and import controls, and to better serve customer needs around the world. For the same reasons, manufacturing...
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...CASE STUDY SUMMARY: MARKETING EXCELLENCE CATERPILLAR The steam tractors of the 1890s and early 1900s were extremely heavy, sometimes weighing 1,000 pounds (450 kg) per horsepower, and often sank into the rich, soft earth of the San Joaquin Valley Delta farmland surrounding Stockton, California. Benjamin Holt attempted to fix the problem by increasing the size and width of the wheels up to 7.5 feet (2.3 m) tall and 6 feet (1.8 m) wide, producing a tractor 46 feet (14 m) wide. But this also made the tractors increasingly complex, expensive and difficult to maintain. Caterpillar was founded in 1925 when two California based tractor companies merged. The name “Caterpillar” Company photographer Charles Clements was reported to have observed that the tractor crawled like a Caterpillar, and Holt seized on the metaphor. "Caterpillar it is. That's the name for it!" Some sources, though, attribute this name to British soldiers in July 1907. Two years later Holt sold his first steam-powered tractor crawlers for US$5,500, about US$128,000 today. Each side featured a track frame measured 30 inches (760 mm) high by 42 inches (1,100 mm) wide and was 9 feet (2.7 m) long. The tracks were 3 inches (76 mm) by 4 inches (100 mm) redwood slats. Holt received the first patent for a practical continuous track for use with a tractor on December 7, 1907 for his improved "Traction Engine" ("improvement in vehicles and especially of the traction engine class; and included endless traveling platform...
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...money into stocks (which didn't help them in the long run) others put thier money towards the mills. One mill in Manchester, NH was one of these Gilded Age marvels. Through this era, there was a huge growth of different industries and a wave of immigrants marked this period in history (Morgan, 54). Because of the success of Western expansion, the gold rush in California and resources in Western North America, the demand for railroads led the way for the Gilded Age. The production of iron and steel rose dramatically because of improved technologies in factories and western resources like lumber, gold and silver increased the demand for improved transportation. There were mining operations that led to incredible profits and the owners of companies dealing with these were suddenly swimming in lots of money,many men used these new found riches to invest in the Mills that were in New England at the time. The Mill that is most interesting to me is the Merrimack River Mills in Manchester, NH. Growing up in Manchester only a mile from the mills has made me want to learn the history of this landmark and how the gilded age affected Manchester. In May 1807, Samuel Blodget completed a canal and lock system beside the Merrimack River at Derryfield. His enterprise allowed boats traveling between Concord and Nashua to bypass Amoskeag Falls, opening the region to development. Blodget envisioned here "the Manchester of America," a water-powered textile center comparable to the Industrial Reveloution...
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...Benjamin Holt attempted to fix the problem by increasing the size and width of the wheels up to 7.5 feet (2.3 m) tall and 6 feet (1.8 m) wide, producing a tractor 46 feet (14 m) wide. But this also made the tractors increasingly complex, expensive and difficult to maintain. Another solution considered was to lay a temporary plank road ahead of the steam tractor, but this was time-consuming, expensive, and interfered with earthmoving. Holt thought of wrapping the planks around the wheels. He replaced the wheels on a 40 horsepower (30 kW) Holt steamer, No. 77, with a set of wooden tracks bolted to chains. On Thanksgiving Day, November 24, 1904, he successfully tested the updated machine plowing the soggy delta land of Roberts Island.[10] Company photographer Charles Clements was reported to have observed that the tractor crawled like a caterpillar,[2] and Holt seized on the metaphor. "Caterpillar it is. That's the name for it!"[10] Some sources, though, attribute this name to British soldiers in July 1907.[11] Two years later Holt sold his first steam-powered tractor crawlers for US$5,500, about US$128,000 today. Each side featured a track frame measured 30 inches (760 mm) high by 42 inches (1,100 mm) wide and were 9 feet (2.7 m) long. The tracks were 3 inches (76 mm) by 4 inches (100 mm) redwood slats.[10] Holt received the first patent for a practical continuous track for use with a tractor on December 7, 1907 for his improved "Traction Engine" ("improvement in vehicles, and...
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...Guns Magazine: Loaded... ready... safe! Can your home-defense gun be loaded and quickl... Page 1 of 5 Return to article page This story was printed from LookSmart's FindArticles where you can search and read 3.5 million articles from over 700 publications. http://www.findarticles.com Loaded... ready... safe! Can your home-defense gun be loaded and quickly accessible, yet still be safe? Our handgun editor says "Yes!" and offers several proven strategies. Guns Magazine , Jan 1, 2002, by Massad Ayoob If you keep a gun in your home or workplace, it's only common sense that it be loaded and quickly accessible. The same common sense, however, also tells us the firearm should be inaccessible to children, incompetent adults and unlawful intruders. Having both at once is a tall order, but that doesn't make it impossible. Let's look at a broad spectrum of armed citizens and police officers in this country who have found that when it comes to this important matter -- you can have your cake and eat it too. In The Home John is a detective and gunfight winner who works for a large, West Coast jaw-enforcement agency that serves a very high-crime community. He has investigated a number of violent home invasions, many of which had tragically fatal results. Though most of these were "drug dealer invading and ripping off rival dealer" situations, a disturbing number involved innocent, law-abiding citizens who were helpless once their doors were kicked in. When John gets dressed for work in the...
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...Shipper Manufacturing Company 1. What objectives should be adopted in manufacturing with respect to cost, delivery, quality and flexibility? Given the facts, it is critical for the Shipper Manufacturing Company to have a vision to become the leader in the market or niche that the company is focusing its market focus on. Additionally, it may adopt a strategic goal to attain the Malcolm Baldridge Award or compliance with applicable International Organization for Standardization requirements within a defined period of time. specifications into the product engineering process by doing a 'House of Quality' exercise. Also, the company has a vertical organization that may add additional cycle time and lead to miscommunication of customer desires and corporate initiatives. They need a horizontal organization that can adapt quickly to the ever-changing demands of the customer and react immediately to change. The Shipper Manufacturing Company should hold a 'Voice of the Customer' exercise where both internal and external customer requirements and expectations are brainstormed and communicated. Additionally, the company should ensure customer satisfaction and incorporate customer In order for the Advanced Products division (ADP) of Shipper to match its new business strategy, the company will need to adopt new objectives. Shipper will gradually shift from a low-volume, custom designed product to a high-volume, continuous product. The current products are 100% customer designed...
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...Unit 2 Shipper Manufacture Company – Case study The Shipper Company was established in the 1960s based on aerospace business. It provides 12 aerostats every year to customers. However, the first business developed made the Echo weather satellites. Recently, Shipper was divided into three divisions (Figure 1) Figure 1 Divisions located based on James Wallace, general of the Advanced Products Division at Shipper (2007). The business of APD had problems after five years when both sales and profits went down, see figure 2. Figure 2 Shipper Company and APD financial charts (Wallace, 2007) At this time, James Wallace, general manager of the APD proved a new strategy for APD business with the missions: 1. Continuing to provide products and customization to individual customers. 2. Research and develop new products to special consumer applications. a. Providing products that have no competitor, but limited quantity. b. The customers will be investors for product development. c. Making a revolution in sales and profits. The operations objectives, according Wallace (2007), APD will focus on are cost, delivery, and quality. The price of new product must be reduced as much as possible by creating more select options to shortened storage times and fasten delivery process. While the cost becomes the main objective, the quality is still important. APD reduces all labor cost as much as possible and will not focus on individual product quality. The goal...
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...Introduction to Logistic industries Logistics is the management of the flow of resources, not only goods, between the point of origin and the point of destination in order to meet the requirements of customers or corporations. Logistics involves the integration of information, transportation, inventory, warehousing, material handling, and packaging, and often security. Today the complexity of production logistics can be modeled, analyzed, visualized and optimized by plant simulation software, but is constantly changing. This can involve anything from consumer goods such as food, to IT materials, to aerospace and defense equipment Origins and definition The term logistics comes from the Greek logos meaning "speech, reason, ratio, rationality, language, phrase", and more specifically from the Greek word logistiki meaning accounting and financial organization Logistics is considered to have originated in the military's need to supply themselves with arms, ammunition and rations as they moved from their base to a forward position. In ancient Greek, Roman and Byzantine empires, military officers with the title Logistikas were responsible for financial and supply distribution matters. The Oxford English Dictionary defines logistics as "the branch of military science relating to procuring, maintaining and transporting material, personnel and facilities." However, the New Oxford American Dictionary defines logistics as "the detailed coordination of a complex operation involving...
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...10, 2011 Herman Miller Inc started back in 1905, as a furniture company. The Star Furniture Company was a manufacturer of traditional-style bedroom suites in Zeeland, Michigan. It changed its name to Michigan Star Furniture Company, in 1909. Dirk Jan De Pree was hired as a clerk during that transition. D.J. De Pree became the president of the company 10 years later. He then renamed the company Herman Miller in honor of his father –in-law in recognition of his support for purchasing majority of share to save the company from failing (Shipper, Manz, Adams, Manz, 2010). Herman Miller Inc. became a leader in "modern" furniture in the 1930s and 1940s; developed lasting ties through the 1950s with legendary industrial designers who led us in new directions; transformed the office furniture industry with the first panel system in the 1960s; invented and refined ergonomic work seating in the 1970s, 1980s, and 1990s; reinvented the geometry of systems furniture in 2000, and is today the second largest office furniture company with customers and locations around the world (Dowdell,2008). Herman Miller Inc. is a global company with operations, sales offices, dealers, and licensees in more than 40 countries in North America, Asia/Pacific, Europe, Middle East, Africa, and Latin America. They serve customers virtually anywhere in the world. Their headquarters is in Zeeland, Michigan and have numerous manufacturing facilities located in the U.S., China, Italy, and the United Kingdom...
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...to match the competitor’s price. Supply Chain Logistics A supply chain is a network of retailers, distributors, transporters, storage facilities, and suppliers that participate in the production, delivery, and sale of a product to the consumer. Therefore, both companies focus on three key parts: which include supply, manufacture and distribution. In reference to supply, there is a focus on the raw materials supplied to manufacturing at the site location. Referring to manufacture, make sure that all activities and processes converting raw materials into finished goods are being well managed. These also include the machines and equipment use in the product manufacture. In terms of distribution, focus on ensuring these products reach the consumers through an organized network of distributors, warehouses, and retailers. In this case, our company supplies the raw material from nearby manufactures since our manufacturing plant is located in the same industrial park in Thailand. This may represent strength of the company in conditions of shipping cost. Our company’s shipping cost will be relatively low since the company received the supply from the same manufacturing site. In the production process, the company focuses on every detail in the finished goods process and ensures that everything must run in a full capacity and efficiently which includes software application, updating machinery and equipment, maintaining lean inventories;...
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...One year to go through the turbulent Vietnam's economy, including logistics industry, although imports and exports reached 202 billion dollars, and foreign trade continued to grow higher in conditions of crisis financial world has not recovered and hovering euro crisis, debt . In 2013, Vietnam faced with the highest inflation in the region, causing many to affect prices, materials, services, special additives are higher freight, sea freight market, aviation world is in a recession accompanied by shipping companies, airlines Vietnam in a similar situation. Despite these difficulties, more optimism about the prospects for Vietnam's economy in 2012 and expectations for the long-term potential of the economy, a "new stage for increased competitive growth". In the positive changes to improve the business environment of Vietnam, areas most clearly observed in the change in 2011 as administrative procedures and infrastructure, telecommunications ... this is the point light paved the way for 2012, and as noted above, Vietnam's logistics industry needs to look more optimistic contributed significantly to bringing Vietnam import-export turnover to a new stage production and servicing, consumer domestic to large fluctuations occur. The optimism of the logistics industry in Vietnam in 2012 through the following presentation: Take a look at the indicators optimistic about Vietnam's logistics industry, it is also the most stable signals: Vietnam's logistics industry has matured...
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...Labor issues at Long Beach and Los Angeles ports are causing major headaches for supply chain managers. Again. A volatile labor environment, record-setting volumes, and ever-larger containerships are delaying ocean freight, especially at our already strained West Coast ports. Shippers may have sighed in relief when the February 2015 ILW slowdown/lockout issue was resolved, but who thought we would be facing the same issue again just two months later? Last Friday, April 24th, a Teamsters-affiliated group, Justice for Port Truck Drivers, called for a strike vote over the weekend, with results to be announced on the following Monday, April 27th. Drivers ratified the strike, launching a job action that may restrict flows at the nation's two largest ports for the second time in 2015. Concentration of demand All this trouble comes back to one fundamental issue, and that is the concept of specialization. We have chosen to concentrate our shipping through Long Beach and Los Angeles because LA provides some of the very best, lowest-cost, and most convenient alternatives for shippers importing cargo from the Far East. Today, LA-area ports handle 60% of US West Coast container volume and over 33% of all US container volume. Vessels calling at these two ports disgorge over 15 million TEU (twenty-foot equivalent unit) a year into the greater LA area, filling trains, and trucks with hundreds of billions of dollars in cargo. These loads move eastward through the U.S. logistics...
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...INCOTERMS Language is one of the most complex and important tools of International Trade. As in any complex and sophisticated business, small changes in wording can have a major impact on all aspects of a business agreement. Word definitions often differ from industry to industry. This is especially true of global trade. Where such fundamental phrases as "delivery" can have a far different meaning in the business than in the rest of the world. For business terminology to be effective, phrases must mean the same thing throughout the industry. That is why the International Chamber of Commerce created "INCOTERMS" in 1936. INCOTERMS are designed to create a bridge between different members of the industry by acting as a uniform language they can use. Each INCOTERM refers to a type of agreement for the purchase and shipping of goods internationally. There are 11 different terms, each of which helps users deal with different situations involving the movement of goods. For example, the term FCA is often used with shipments involving Ro/Ro or container transport. INCOTERMS also deal with the documentation required for global trade, specifying which parties are responsible for which documents. Determining the paperwork required to move a shipment is an important job, since requirements vary so much between countries. Two items, however, are standard: the commercial invoice and the packing list. INCOTERMS were created primarily for people inside the world of global trade. Outsiders...
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