Stonehaven Analysis

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MBA 513 Group Assignment 1 (Team I & II)
Stonehaven Inc. Case Study

(names of both group members)
Group 2: Yunping Yao, A20249251

Background Information
Stonehaven, Inc., headquartered near Boston, is a major manufacturer of popular brand name non-athletic shoes for adults. Most of its products are sold in the U.S. market.

To response to the uncertainty of shoe designs and growing uncertainty in each style, shorten the order-to-delivery lead times in the production process.

Current Operating System
Cutting Section
| |Time Consumption (min/batch) |Cycle Time | |Machine 1. Cut shoe leather |41 |Critical time for each batch’s completion| |Machine 2. Cut linings |40 | | |Machine 3. Cut insole |32 | |

The cycle time for the cutting section is 41 minutes/batch for current operating system. Capacity= 480/41=11.71 batches=1171 pairs

Kitting Section
The time taken for kitting a batch is 10 minutes.

Stitching Section
| |Time Consumption (min/batch) |Cycle Time | |Work Group 1. Prefit |125 |Critical time for each batch’s completion| |Work Group 2. Join |100 | | |Work Group 3. Ornament |125 | |

The cycle time for the stitching section is 125 minutes/batch for current operating system. Capacity=480/125=3.84 batches=384 pairs
The steaming time for each batch is 360 minutes.

Lasting Section
| |Time Consumption (min/batch) |Cycle Time | |Station 1. Staple insole |70 | | |Station 2. Toe & hell seat lasts |60 | | |Station 3. Rough sole, pound |100 |Critical time for each batch’s completion| |Station 4. Cement sole, pull last |90 | | |Station 5. Inspect, pack |30 | |

The cycle time for lasting section is 100 minutes/ batch based upon current operating system. Since the conveyor has to stop 4 minutes for the Lasting department, the total task time for this department is 100+ 4=104 min per batch Capacity=480/104=4.62 batches=462 pairs


|Department |Pairs of shoes |Capacity | |Cutting |1171 |Excess capacity | |Stitching |384 |Bottleneck | |Lasting |462 |Excess capacity |

Based upon the current production operating system, the total time consumption for each batch of shoes is 636 minutes or 640???. It means it takes more than a day to produce 100 pairs of shoes. This result obviously needs improvements in efficiency and effectiveness.

Improvements on the Operating System
Although the steaming section is the most time consumption segment, the requirement...
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