Jordan Steel Company Case Study

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Jordan steel company

JSC’s mission
Our mission is to provide our clients quality products. Moreover, we want to be the leading U.S steel manufacturer company. We concentrate on high quality, high carbon, and high margin steel wire. We also pioneer new types of wire. We promise to maintain our reputation for high quality products.

Production function mission:
We promise to maintain the quality of our in house design/construction of our own equipment and to produce high quality standards for our products to exceed our customer’s expectations.

This is an analysis of the strengths, weaknesses, opportunities and external threats: Strengths:
High quality product: that is what made them spread quickly throughout the country. •Good reputation: for their high quality, high carbon, high margin steel wires.

Large market share: the variety of their products ranging from music wires for music instruments to automakers and tire makers, wires for use in staples, nails, cables etc…. to electrical products and newly emerging aircraft industry.

The ability to make their own equipment: this is cost-efficient to make your own equipment.

Depending on one supplier: this is a major weakness and the supplier is selling higher in prices with the lowest quality.

No flexibility towards changes: no strategic planning, no alternative plan for anything that might happen. For example, the sudden fall in prices and strikes, new competitors, domestically and offshore competition.

They are disorganized in their company location and the layout is located randomly.

The dependency on one perspective, which is marketing/sales, while they lack having an operations department nor financial department, which is vital to every company.

The lack of development on machinery: they are behind technology; their machines are 50 years old and they did not catch up with new technology.

Going global: after flourishing within the state, they could have gone internationally to attract more customers and flourish throughout the world.• Maintain a large market share: with the army, the music instrument industry and the air crafting industry.

External Competitors: the Japanese who invaded the U.S market with their good prices, good quality and acceptable delivery time, which is considered a very dangerous threat. • Environmental changes: as mentioned previously, the sudden fall of prices and change in demands.

After determine the weakness of the organization I have decided to go through details and review the organization decisions in order to define the defected points within the organization.

OM decisions within the company starting with:

1-Product design: their products are well made and have a high quality, as well as high margin steel wire. The products are varied; ranging from music wire for instruments such as piano/violins; copper, tin and other coated wire, to high tensile-wire for newly emerging aircraft industry. 2-Quality management: Their main concern is to provide the best quality in all its products. 3-Process and capacity design: The process is called “process focus”, which is normal for such an industry to take such a process. 4-Location: This is one of their main problem; they spread out throughout the states randomly for no obvious reason. Their headquarters are in Pittsfield, Rhode Island with (500 employees), Akron, Ohio (100 employees) and los Anglos (16 employees). Spreading like that does not make sense. 5-Layout design: It is organized well and they convey an “in-house design/construction” of their own equipment 6-Human resources and job design: another defect the company has is the employment of a former sales manager as the president of the company whereas there is no obvious operation manager and not even a finance department manager. How can a company exist without these three departments?! Obviously because the...
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