From the limited information in the scenario/case study, along with your answers to the unit three written assignment, identify at least three direct and specific long-term and three direct and specific short term operations changes that Albatross Anchor must make to gain a clear and sustainable competitive advantage (provide detailed information to validate and support each recommended change) Long-Term Operational Changes 101) Capacity and facilities changes are a much needed long term goal that needs to be set. The plant is outdated, dirty and is no longer up to US safety standards.
The design of the plant is unrecognized and does not flow easily. With the way things are et-up now, it may actually cost them more to run the plant then if they were to update the plant to run more efficiently. The flow of the design is important in efficiency and in lowering everyday costs; they could raise the scale of operations. 102) New equipment and updated technology is another long term goal that needs to be set. Outdated equipment actually costs money, because it works slower and does not function properly causing costly repairs.
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Only having a limited amount of equipment would leave them in a huge bind if the equipment were to fail. Plus they re changing over one machine to produce both anchors that is both very inefficient and time consuming. 103) Sharing of one machine for both anchors also needs to be a long term goal. There is a 36 switch over rate and that means for 36 hours they are not producing, that is a huge problem tort a business. Each anchor needs to nave its own machine for manufacturing and both need to be brought up to date with the most current technology to make it more efficient on operations costs.
Short-Term Operational Changes 101) The Administration offices are a huge problem that needs to be resolved immediately, so that should be a short term goal. They need to have a separate building for the administration personal and they need new equipment and major organization. When the office is run inefficiently it causes concern for customers and in turn affects the business. Customers want to know that they are in good hands and not going to be lost in a pile of paperwork because the office is not organized correctly. 02) The schedules for shipping and receiving needs to be fixed right away, so that Mould be another short term goal. When you have new products coming in and reduces going out, things can get confusing for the employees and then mistakes are more likely to happen. There should be a set date of the week for the international shipping and one day for domestic orders, as they are shipped differently. Then receiving should have its own day as well as to avoid any confusion. 103) Getting the plant up to code needs to be a short term goal, as they could be shut down since they are not up to US safety and environmental standards.
The company cannot afford a shut down or huge fines for not being in compliance. The EPA offers any services that can help the company to get in compliance and to help the company stay in compliance also and the company needs to seek their help to ensure they are meeting the standards. Question Two From the list of ten operational issues in the Unit 6 assignment instructions select four operational issues. For each of the four operational issues explain in detail that operational issue will help Albatross Anchor improve; 1) Job retention, 2) employee morale, and 3) employee dedication.
Operational Issue One: Cross training, would be number one. Cross training would alp to prevent Job burnout, since the employee could change the Job that he is doing often. It is also very beneficial to the company to have cross trained employees, as when an employee is sick or injured; another would know how to do the Job. This could also save on costs as there would be no need for temporary workers to fill Jobs. Operational Issue Two: Worker analysis would be number 2. Matching employees to the right Job is not only beneficial to the company; it is beneficial to employee retention.
When are in a Job that fits them, they will be happier in their Job and more keel to stay around. Operational Issue Three: Gain sharing and profit sharing would also be a great incentive in Job retention, employee morale and employee dedication. When done correctly it can be a great attraction to current and new employees, as it can be used for a retirement plan. In this uncertain world the need to have a retirement plan is much needed. Plus the gain sharing can make an employee feel that is their company also and that drives them to do better within their Job and to help other employees.
Operational Issue Four: Ergonomics would be the fourth one that would increase all three factors within the company. It would correct the hazards that are in the plant and would benefit the employees greatly. When we go to work in a hazardous place our morale tends to go down and we may not want to stay with that Job very long, as it could be dangerous. Plus having faulty equipment makes the work even harder for the employees and that can lead to a desire to leave. So by redesigning the plant and getting newer equipment that would help the employees feel safer and better about their Jobs.
Conclusion In conclusion Albatross needs to set three very important long term goals, expansion of the plant, new updated equipment and separate machines for each anchor. They need to set three short term goals, to move and reorganize the administration offices, new schedules for shipping and receiving and getting up to the EPA standards. They need to incorporate four important new operational issues to help Job retention, employee morale and employee dedication. These would include cross training, gain sharing and profit sharing, worker analysis and ergonomics.