Stickley Furniture
Brandy L. Spinks
Business 644
Dr. Snell
July 4, 2011

Stickley Furniture
One aspect of project management that used to receive quite a bit of attention in the 1950s and 1960s was the project organizational structures. A myriad of new organizational structures have appeared on the scene in the last couple of decades but they still lack many of the desirable qualities in the traditional methods. Ultimately, project management directors seek organizational methods that facilitate teamwork, can maximize the use of limited resources, efficiency and quality in the way a project is completed and how goals and objectives are achieved. This article will examine the three main traditional organizational structures for project management. These three structures are functional organization, project organization and matrix organization.
Project Organization Project Organization is a structure that is specifically designed for executing projects. It is specifically tailored to meet the demands of complex projects by isolating unique work and maintaining a strong focus on completing the project. Once the project is completed, this structure disbands. This structure is effective in maintaining dedicated resources throughout the life of the project.
The major criticism of this structure is that it is inefficient in transferring technology and the use of resources. Also, by the time the members actually begin acting as a cohesive team, the project is over and the organization dissolves. Since this project has dedicated resources throughout its life, major inefficiency ensues when there are underutilized employees during certain parts of the project.

Production and operations management involves managing the transformation to create products or services. This is important as it keeps the business fresh and allows for new products and services to be created. A production process transforms raw materials into valuable consumer goods with the use of labor. Business owners looking to measure their company's production process can use an internal or external audit. An audit is a third-party review that provides an objective opinion on the production departments. Companies can use internal staff for the audit or employ a public accounting firm or management consultant. An audit checklist helps auditors maintain their focus on the production audit and replicate the steps in future audits.
The production system of an organization is that part, which produces products of an organization. It is that activity whereby resources, flowing within a defined system, are combined and transformed in a controlled manner to add value in accordance with the policies communicated by management. The production system has the following characteristics. First the production is an organized activity, so every production system has an objective. Secondly, the system transforms the various inputs to useful outputs. It also does not operate in isolation from the other organization system. Lastly, there exists a feedback about the activities, which is essential to control and improve system performance.

Stickley Furniture History
The Stickley story began with an old Flemish craftsman’s phrase: Als Ik Kan – "to the best of my ability"(Stickley, n.d.). These three words have been the guiding principle of Stickley. Gustav Stickley marked his product with the phrase to let customers know that Stickley furniture was of the finest quality, every piece made with honor, integrity, and pride (Stickely, n.d.).
The Stickley brothers came on the scene into international prominence back in the early 20th century. They started with their Mission Oak designs. These designs were based on the belief that furniture should be “honest”—a reaction against the fake joinery, unnecessary gaudiness, and shoddy workmanship of many of the pieces created in the early days of industrial furniture making (Stickely, n.d). The Stickleys used solid construction, the what-you-see-is-what-you-get notion, and the highest quality woods. They also showed a talent for design, creating hundreds of new beautiful forms that were practical to use, exceedingly strong and long-lasting, and perfect for the new ways American families wanted to live. The furniture at Stickley was not the sort one would close up in formal parlors. This furniture was the sort to be used and loved by both the young and old. There was a lot of emphasis that was placed on letting the gorgeous, organic forms of quartersawn oak and other woods speak for themselves. The finishes were clear dyes that allowed the natural grain to sparkle.
The Stickleys devoted the same attention to design, the best workmanship, and enduring value to all of their designs. Leopold Stickley's colonial-inspired Cherry Valley Collection, introduced in the 1920s, honored the traditions of early American craftsmen, earning Leopold the title "Revered Dean of Cabinetmakers" in the process (Stickely, n.d.). Eventually the Stickley brothers passed away and respect for hand crafted furniture faded during the 1950s-1970s. This caused an uncertain future for Stickely Furniture. Shortly after the Audi family stepped in. At his Manhattan showroom, E.J. Audi had for years been the leading seller of Stickley’s unsurpassed furniture. His son Alfred, and Alfred’s wife Aminy, were unwilling to let Stickley become a relic of the past, and decided to purchase the Stickley factory when Leopold’s widow was on the brink of closing it. Alfred promised the couple of dozen employees then remaining that “If you stick with me, I'll stick with you, and we're going to make this place move" (Stickley, n.d.). Together, they rejuvenated the company. Alfred Audi passed away in the fall of 2007, but the Stickley legacy is being continued by his wife Aminy and son Edward. Enduring tradition, superior craftsmanship, an unshakeable philosophy of excellence—these are the bedrock of the Stickley ethic, and the reason that Stickley produces America’s premium hardwood furniture.

1. Which type of production processing-job shop, batch, repetitive, or continuous --- is the primary mode of operation at Stickley Furniture? Why? What other type of processing is used to a lesser extent? Explain.
The primary mode of operation at Stickley Furniture is Batch processing. Batch production is defined by American Production and Inventory Control Society (APICS) “as a form of manufacturing in which the job passes through the functional departments in lots or batches and each lot may have a different routing” (APICS, n.d.). It is characterized by the manufacture of limited number of products produced at regular intervals and stocked awaiting sales. The batch method of processing divides the work into different operations. Often, batches produce many work-in-progress inventory where parts still idle till the time they are ready to go to the next step. For Stickley Furniture, the job moves in batches from cutting to pre-planned pieces.
Batch production system is usually used under the following situation. When there is shorter production runs or when plant and machinery are flexible. Batch processing is used when plant and machinery set up is used for the production of item in a batch and change of set up is required for processing the next batch. It is also used when manufacturing lead time and cost are lower as compared to job order production.
Other type of processing that is used to a lesser extent is Repetitive processing. This is known from the fact that a "white inventory" is maintained to meet the seasonal fluctuations in the demand. Since repetitive processing requires a sufficient time for planning, Stickley Furniture maintains a schedule of up to 10 weeks. Manufacture of discrete parts or assemblies using a continuous process are called mass production. This production system is justified by very large volume of production. The machines are arranged in a line or product layout. Product and process standardization exists and all outputs follow the same path.
Repetitive processing is generally used during the following circumstances. These include standardization of product and process sequence. It also includes dedicated special purpose machines having higher production capacities and output rates. This form of production is used when there are a large volume of products, shorter cycle time of production and lower in process inventory. There should also be perfectly balanced production line and a flow of materials, components and parts is continuous and without any back tracking. The production planning and control is easy and material handling can be completely automatic.
Job shop production is characterized by manufacturing of few or less quantity of products designed and produced as per the specification of customers within prefixed time and cost (Stevenson, n.d.). The distinguishing feature of this is low volume and high variety of products. A job shop comprises of general purpose machines arranged into different departments. Each job demands unique technological requirements, demands processing on machines in a certain sequence. Continuous production was not chosen because production facilities are arranged as per the sequence of production operations from the first operations to the finished product.
The items are made to flow through the sequence of operations through material handling devices such as conveyors, transfer devices, etc. Continuous production is used under the following circumstances: dedicated plant and equipment with zero flexibility. The material handling is fully automated and process follows a predetermined sequence of operations. Component materials cannot be readily identified with final product and planning and scheduling is a routine action.

2. How does management keep track of job status and location during production?
Job status tracking maintains and tracks the status of work in process from job creation through actual production of a product to receipt of the finished item. Job tracking refers to tracking of job status, budget allocation, resources and tracking the progress of jobs. Each job is accompanied by a set of bar codes that identify the job and the operation. As each operation is completed, the operator removed a bar code sticker and delivers it to the scheduling office where it is scanned into the computer, thereby enabling production control to keep track of progress on a job, and to know its location in the shop.

3. Suppose the company has just received an order for 40 mission oak dining room sets. Briefly list the kinds of information the company will need to plan, schedule, and process this job.
Strategic Planning is a comprehensive process for determining what a business should become and how it can best achieve that goal. It appraises the full potential of a business and explicitly links the business's objectives to the actions and resources required to achieve them. Strategic Planning offers a systematic process to ask and answer the most critical questions confronting a management team—especially large, irrevocable resource commitment decisions (Porter, 1996).
From the order of 40 mission oak dining room sets, the production staff would need to find out whether all of these are of the same specification or different. The next step would be to how many parts can be obtained from the "white inventory" or from the completed inventory stock. The number of pieces that need to assemble the furniture can thus be obtained. The next step is to start production of additional pieces required through batching.

4. Benefits, and what problems, would you expect, given the company's level production policy?
The company, through its level production policy is able to retain all the workers, unlike other producers who hire during peak season and lay-off during low lying season. This allows them to utilize full capacity to continuously produce items to build up the inventory. On the other hand, the problem of this policy is that the physical inventory carries a cost of handling.

5. Can you suggest any changes that might be beneficial to the company? What are they?
The company can adopt recent methodologies in manufacturing, like Just-in-Time, which would result in zero inventories. The company would be able to save cost of handling excessive inventory by adopting this technique. Stickley Furniture could also use the TQM process. TQM is a set of management practices throughout the organization, geared to ensure the organization consistently meets or exceeds customer requirements. Total quality management places strong focus on process measurement and controls as means of continuous improvement (Stevenson, 2009). Total Quality Management (TQM) is an approach that organizations use to improve their internal processes and increase customer satisfaction (George & Weimerskirch, 1995). When it is properly implemented, this style of management can lead to decreased costs related to corrective or preventative maintenance, better overall performance, and an increased number of happy and loyal customers.
TQM consist of continuously improving the business processes and making them more efficient by making constant changes. The company can also consider re-engineering if their processes need to be modified or completely changed and also if the existing processes present a threat to the company at some point in time. The scheduling of tasks and jobs to ensure that the needed capacity is achieved is another responsibility the operations manager will need to take on. They will also manage the inventory by deciding what to order, when to order it and how much to order. The movement of the products will also be important in this role. Product management is also important because those in question will be aware of what is needed, by whom it is needed and how to market the product. They will also know what market the items should be focused on. Workers need a plan to make them aware what is needed, and when it is needed, and this is another role of the production management team. Although a product manager must oversee the entire lifecycle of a particular product, they must also recognize that their main focus should be on driving forward new product development.

Reference

APICS. (n.d.) The association of operations management. Retrieved on July 2, 2011 from http://www.apics.org/default.htm
George, S. & Weimerskirch, A. (1995). Total quality management. 2nd Edition. John Riley & Sons. pp. 244-245.
Porter, Michael E. (1996). What is strategy? Harvard Business Review, November/December. pp. 61-78.
Stickley (n.d). Official website of l. & j.g. stickley. Retrieved on July 3, 2011 from http://www.stickley.com/OurStickleyStory.cfm?SubPgName=Main&BodyTxt=On
Stevenson, W.J. (2009). Production/operations management. New York: McGraw Hill/Irwin.