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Flashy Flashers

In: Business and Management

Submitted By bamaxwell08
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Flashy Flashers

Flashy Flashers is a medium-sized firm that produces a line of automotive electrical components. It employs about 900 people and was founded by Johnny Bennett, who started in his garage producing cable assemblies. It supplies Moonbird Silverstreak car dealers in the region, as well as, about 95 auto parts stores. The company’s two most profitable products are the automotive front sidelamp and the headlamp. Recently they had implemented a new MRP system, which has helped the business and seems to be working fairly well. I wanted to see if there was any room for improvement for the company. The recurring problem I found after speaking with several managers was that the MRP system did not include priority and capacity reports that would show updates on due dates for scheduled receipts. The production and inventory control manager suggested that this be included. The shop supervisor complained that the work was not level by any means, stating that some weeks his workers are struggling to find work to do, and others they have to work overtime because of all that is required. The purchase manager said that the buyers had no time for creative buying because they are spending so much time on orders that are needed almost immediately and are sometimes even late. He also stated that the planned lead times are realistic, but one week they are fine, and the next there is a rush order that needs to be placed.


After speaking with these managers, I completed a manual MRP explosion of the HL200E headlamp and the SL100E sidelamp to help with the analysis. It is very clear that in some weeks there are many items that are required and in other weeks, there is nothing. This is without any updates on planned order releases. There is possible indication that some items may have shortages and orders may need to be expedited in the following weeks to keep…...

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Flashy Flashers

...Johnny Bennett, President of Flashy Flashers, Inc. (FFI) produces automotive electrical components supplying an estimate of 95 stores that sell auto parts (Krajewski, L., Malhotra, M., & Ritzman, L., 2013). FFI has grown since initial existence, employing 125 administrative and managerial personnel as well as 900 staff. During FFI’s growth, two products have become the staple of firm due to increased demand, the headlamp and sidelamp. Due to the increased in sales, the decision was made to install an MRP system with the future goal of transferring to an ERP system. Although the MRP system was working, the decision was made to find a system that would exceed expectations. Analysis The analysis indicates that the MRP report shows a shortage. The shortages were resulting from having poor timing with the scheduled releases. By moving forward promptly, the scheduled receipt will document the information so that the imbalances can be corrected. There is no indication if the scheduled receipt could be pushed through quicker. FFI also has a concern as there is no formal plan is in place to ensure that the MRP is being used efficiently. There are also complaints from the shop supervisor that there is no certainty when it comes to scheduled receipts. As the concerns arise the MRP system was put in place to alleviate the problems in knowing that the system has more advantages. An advantage of the MRP system is that it allows scheduling the proper amount of staff......

Words: 466 - Pages: 2

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...To: Flashy Flashers Management From: David Oberlin Subject: MRP Explosion Date: 09/15/15 Flashy Flashers MRP Schedule Flashy Flashers is a manufacturing company that produces automotive electrical components. Founded by Johnny Bennett in his garage, Flashy Flashers has grown to supply about 95 auto part stores in the region. With Flashy Flashers success they understood they would have to do a better job at managing inventory levels and production. Kathryn Marley has instituted a Material Requirements Planning System (MRP) that has worked fairly well, but there are still several issues. Flashy Flashers is experiencing a shortage in multiple products causing bottlenecks, radical labor demand hours and wasted labor hours, which could reduce their profitability. This analysis will evaluate the current Master Production Schedule (MPS), identify certain action items, possible causes for concern, and recommend best practice moving forward. MRP Explosion I have completed a six week MRP Explosion for Flashy Flashers two most profitable products, the automotive front side lamp and the headlamp (Appendix A). During week 1 of production, we will need to place orders for 10 different components used to make these two products. One of the most critical orders is for the C310P Back Rubber Gasket, which is used in both products. A lot size of 180 would not be sufficient for the week 3 forecast demand. Therefore, we must order two lots totaling 360 units. Another critical......

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