Premium Essay

Gg Toys

In: Business and Management

Submitted By mrsosa55
Words 760
Pages 4
Short Cycle

| Short Cycle process | Who | Audrey Hausner, G.G.’s controller, David Morehouse, G.G.’s manufacturing manager and Robert Parker, President G.G. Toys. | What | Increase the margins of the Geoffrey Doll. | Why | The decline in margins on the Geoffrey Doll has become intolerable. | When | ASAP. | | | Case Difficulty | Analytische | Conceptuele | Presentatie | Problem ? Yes | Theory? | Structured?
Yes, 7 pages | Solution?
No | | | |

Long Cycle

Define the problem
The decline of the margin on the Geoffrey Doll has become intolerable. The margin has to stop decreasing and should go up. They need to consider drastically shifting their production towards specialty dolls.

Importance / Urgency | Low | High | Low | | Increase the margin on the Geoffrey Doll. | High | | Stop the decrease of the margin on the Geoffrey Doll. |

Analyse the case
We analysed the information of exhibit 1, 2, 3 and 4.

Alternatives * Reduce the manufacturing costs * Produce the Romaine Doll * ABC-method for the Geoffrey Doll * Do nothing

Criteria * Costs * Profit * Implementation time

Asses the alternatives

Alternatives | Decision Criteria | | | | | | Qualitative | | Quantitative | | | | Implementation time | | Costs | Margin | | 1. | | | | | | 2. | | | | | | 3. | | | | | |

Select the best alternative
We think that

Develop an implementation plan

| Develop an implemanation plan | Who | Robert Parker, President G.G. Toys. | What | | Where | At the Chicago plant of G.G. Toys. | When | ASAP. | How | Robert should schedul a meeting with Audrey Hausner, G.G.’s controller and David Morehouse, G.G.’s manufacturing manager | Contingency plan | |

Questions

1. Do you recommend that G.G. Toys change its existing cost system in the...

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