Meditech Surgical Case Paper
Meditech Surgical Case Paper
ISCOM/476
Jesus Orozco
University of Phoenix
Kathryn Kendall
April 18, 2011
.
Introduction In order to identify possible issues that are interfering with Meditech’s ability to remain a leader in the endoscopic market, to understand clearly an analysis will be conducted to identify meditech’s problems in the introduction of new products, concerns in manufacturing, and all its products. The analysis will also observe how problems occur both systemically and organizationally, and the reason why the customer service manager pays quick attention to such problems. Furthermore, suggestions will be made in order to improve Meditech’s position and remain relative in the medical industry.
Issues in new products, manufacturing of all products Some issues that have resulted from the introduction of new products have been issues with supply and customer service. Although finished goods seemed high, the level of service was very low. Another issue meditech is experiencing is panic ordering which has allowed dealers and affiliates uncertain if a product will be delivered on time to increase the size of the order, causing demand to increase but diminish actual supply. The data that was gathered demonstrated a new product reached a high peak during the first couple of weeks and maintained stable, however changes in production schedules have exceeded demand. Poor forecasting are some of the major issues and low inventory, an improvement in a regression analysis of past data will increase areas of improvement.
Driving factors systemically and organizationally Issues that are affecting meditech systemically and organizationally are poor demand forecasts, which are allowing for high levels of inventory. A third party consultant determined that the current inventory could be reduced up to 40 percent. Although high inventory levels are high, service levels are low failing to meet the organizations objectives. These issues
ISCOM/476
Jesus Orozco
University of Phoenix
Kathryn Kendall
April 18, 2011
.
Introduction In order to identify possible issues that are interfering with Meditech’s ability to remain a leader in the endoscopic market, to understand clearly an analysis will be conducted to identify meditech’s problems in the introduction of new products, concerns in manufacturing, and all its products. The analysis will also observe how problems occur both systemically and organizationally, and the reason why the customer service manager pays quick attention to such problems. Furthermore, suggestions will be made in order to improve Meditech’s position and remain relative in the medical industry.
Issues in new products, manufacturing of all products Some issues that have resulted from the introduction of new products have been issues with supply and customer service. Although finished goods seemed high, the level of service was very low. Another issue meditech is experiencing is panic ordering which has allowed dealers and affiliates uncertain if a product will be delivered on time to increase the size of the order, causing demand to increase but diminish actual supply. The data that was gathered demonstrated a new product reached a high peak during the first couple of weeks and maintained stable, however changes in production schedules have exceeded demand. Poor forecasting are some of the major issues and low inventory, an improvement in a regression analysis of past data will increase areas of improvement.
Driving factors systemically and organizationally Issues that are affecting meditech systemically and organizationally are poor demand forecasts, which are allowing for high levels of inventory. A third party consultant determined that the current inventory could be reduced up to 40 percent. Although high inventory levels are high, service levels are low failing to meet the organizations objectives. These issues
References: Strategic Management (9th ed.). J. Pearce and R. Robinson McGraw Hill, 2005 Boston, MA Simchi-Levi, D., Kaminski, P., & Simchi-Levi, E. (2008). Designing and managing the supply chain: Concepts, strategies, and case studies (3rd ed.). Boston: McGraw-Hill/Irwin.