The owner of Manipal Power Laundry asked his nephew, an MBA student, for advice on the business. The company’s operational inefficiencies had led to high operating costs over time. Coupled with regulatory price caps, the situation made the business unsustainable. The owner asked his nephew to provide a solution that would benefit the company both in the short term and over the long term. After observing the various processes, collecting data, and interviewing employees, the nephew decided to use process flow analysis to help the company optimize its operations.
The owner of Manipal Power Laundry asked his nephew, an MBA student, for advice on the business. The company's operational inefficiencies had led to high operating costs over time. Coupled with regulatory price caps, the situation made the business unsustainable. The owner asked his nephew to provide a solution that would benefit the company both in the short term and over the long term. After observing the various processes, collecting data, and interviewing employees, the nephew decided to use process flow analysis to help the company optimize its operations.
In March 2017, the director of operations at Namratha Oil Refineries Pvt. Ltd., a leading manufacturer and distributor of high-quality packaged coconut oil in southwest India, faced a challenge. Because of inefficiencies in the company’s packaging division, pouches, jars, and bottles were being overfilled with coconut oil, leading to an “oil giveaway” that had weakened the company’s bottom line. The director analyzed the current processes and discovered improper data recording, frequent breakdowns, poor allocation of the maintenance crew, and an improper inventory management system. His experience told him that the existing production facilities were sufficient to meet the company’s requirements, and therefore, the existing processes needed to be streamlined to ensure minimal or no loss of oil. What strategy should he recommend to reduce losses and restore the company’s profitability?
In March 2017, the director of operations at Namratha Oil Refineries Pvt. Ltd., a leading manufacturer and distributor of high-quality packaged coconut oil in southwest India, faced a challenge. Because of inefficiencies in the company's packaging division, pouches, jars, and bottles were being overfilled with coconut oil, leading to an "oil giveaway" that had weakened the company's bottom line. The director analyzed the current processes and discovered improper data recording, frequent breakdowns, poor allocation of the maintenance crew, and an improper inventory management system. His experience told him that the existing production facilities were sufficient to meet the company's requirements, and therefore, the existing processes needed to be streamlined to ensure minimal or no loss of oil. What strategy should he recommend to reduce losses and restore the company's profitability?
In 2016, the deputy general manager of operations at DVMS Power Electronics Private Limited (DVMS) in Gujarat, India, was faced with a problem at the company's transformer plant. In recent years, amidst growing demand, the company had experienced low manufacturing capacity and was often unable to fill customer orders. Various stakeholders expressed their concerns about failing service levels. The deputy general manager was considering additional capacity as an option, but simply adding such capacity might negatively affect DVMS' cost structure. He needed to consider the various short- and long-term options that would best benefit the company. He assigned the company's summer intern the task of collecting the required data regarding the manufacturing of transformers at DVMS: the specified number of machines and workers, the processing time, and the monthly demand data for transformers. He needed to prepare a report that identified weak areas and suggested possible ways to expand capacity.
In 2016, the deputy general manager of operations at DVMS Power Electronics Private Limited (DVMS) in Gujarat, India, was faced with a problem at the company’s transformer plant. In recent years, amidst growing demand, the company had experienced low manufacturing capacity and was often unable to fill customer orders. Various stakeholders expressed their concerns about failing service levels. The deputy general manager was considering additional capacity as an option, but simply adding such capacity might negatively affect DVMS’ cost structure. He needed to consider the various short- and long-term options that would best benefit the company. He assigned the company’s summer intern the task of collecting the required data regarding the manufacturing of transformers at DVMS: the specified number of machines and workers, the processing time, and the monthly demand data for transformers. He needed to prepare a report that identified weak areas and suggested possible ways to expand capacity.