Preview

Albatross Anchors Unit 6 Mt435

Better Essays
Open Document
Open Document
1452 Words
Grammar
Grammar
Plagiarism
Plagiarism
Writing
Writing
Score
Score
Albatross Anchors Unit 6 Mt435
Unit Six Written Assignment
MT435 Operations Management
January 22, 2013

Introduction Albatross Anchors can change several things to make their business more productive than it has been. They opened in 1976 with only four family members and now employ 130 people; this alone shows massive growth over the past 35+ years. By only selling at a wholesale level, this means that they produce and sell in mass amounts and therefore their supply chain and manufacturing process is extremely important for the company to make succeed. As of right now, Albatross Anchors is not only disorganized but they do not meet the US Safety and Environmental Standards. Albatross Anchors needs to adjust their operations in order to run smoothly and expand their business.
Question One
Carefully review the assignment scenario/case study. 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
(01)
One of the first things that Albatross Anchors should do is to change their location and find a plant that is more than double the size than their current location. Since their business has expanded they need to expand their plant and find another location with more space. They produce two types of anchors and need to have the space to produce them at the same time instead of sharing equipment. In addition, their current manufacturing chain is also not running as smoothly as it should be with bottlenecking in the receiving and shipping departments. If Albatross Anchors were to find a location that is larger they will be able to not only streamline their production process they will also be able to separate their



References: Russell, Roberta S. & Taylor III, Bernard W. (2011). Operations Management: Creating Value Along the Supply Chain. John Wiley & Sons: Hoboken, NJ. Adopting Six Sigma. (n.d.). Retrieved January 22, 2013 from http://www.sixsigmaonline.org/six-sigma-training-certification-information/articles/adopting-six-sigma.html OSHA Regulations. (n.d.). Retrieved January 22, 2013 from http://www.manufacturing- safety.com/OSHA_Regulations.html

You May Also Find These Documents Helpful

  • Better Essays

    Carefully review the assignment scenario/case study. 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)…

    • 1795 Words
    • 8 Pages
    Better Essays
  • Better Essays

    Mt 435 Unit 6 Assignment

    • 1125 Words
    • 5 Pages

    Carefully review the assignment scenario/case study. 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)…

    • 1125 Words
    • 5 Pages
    Better Essays
  • Better Essays

    Albatross is a family owned company that was opened in 1976 by just a few family members. Over the years the company has seen tremendous growth which seems to be causing a lot of issues their production and administrative areas. They haven’t taken much up with newer technologies which makes what they have disorganized and not meeting the standards of most other companies in their business. As the company has grown they have added many more new processes which have been put in to the limited production spaces they have which already seemed to be maxed out. When they first went into business their expertise was in the manufacturing of the bell/mushroom anchors. In the 80’s they made the decision to expand their product line to include the snag hook anchors. This company sells its products only at the wholesale level. Since that requires them to store more product the company really needs to rethink their overall processes and layout design of their facility. Once they can make decisions on this, it will help to give them a competitive advantage over other competitors in this market.…

    • 1868 Words
    • 8 Pages
    Better Essays
  • Better Essays

    Mt435 Unit 3 Assignment

    • 1483 Words
    • 6 Pages

    a) Cost of Production: To understand the cost of production we must first understand what two costs are valuable to company along what can make a company gain or lose profit. First we look at Variable cost which “depends on what materials and labor are needed for the company” and in this case it is anchors which can vary with the volume of anchors that is produced (Russell & Taylor, 2011). The fixed costs are “those that do not vary with output and typically in rents, deprecation, insurance, set-up cost and normal profit” (economicsonline.co.uk). Fixed costs are usually known as your overheads. When it comes to Albatross Anchor and the manufacturing of its anchor we can see that the fixed cost are down because they chose to manufacture in house. Looking at the cost we can see that the cost of manufacturing mushrooms/bell anchors are $8.00 per pound and $11.00 per pound for the snag hook anchors. One has to understand that Albatross sells their products are the same rate as their competitors and their product are made primarily for fresh water which can be a disadvantage. Another disadvantage that I noticed is that all of their produces are made in house which affect their cost as well. When it comes to shipping they only have two means which is shipping (larger freight ships) and truck shipping. Although there profit margin may at times be less than 35% we also have to think if they operating efficiently and everything that maybe affected if the manufacturing, shipping or receiving lines go down.…

    • 1483 Words
    • 6 Pages
    Better Essays
  • Better Essays

    Mt435 Unit 6 Assignment

    • 1155 Words
    • 5 Pages

    Carefully review the assignment scenario/case study. 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…

    • 1155 Words
    • 5 Pages
    Better Essays
  • Satisfactory Essays

    Albatross Anchor's

    • 280 Words
    • 2 Pages

    There are many ways that mushroom/bell anchors may be manufactured. Albatross Anchor is considering two new manufacturing processes (Process A and Process B) to reduce costs. Analysis of the information below will help determine which process has the lowest breakeven point (this validates the process is more cost effective).…

    • 280 Words
    • 2 Pages
    Satisfactory Essays
  • Better Essays

    Albatross Anchor Proposal

    • 1658 Words
    • 7 Pages

    The first issue that needs to be addressed is; how much of the fabricating of the anchors could be outsourced? Albatross, a vertically integrated company has an antiquated and technology-deprived plant as well as non-compliant on safety and environmental issues. The factors that can make outsourcing desirable to Albatross Anchors are quality and speed. Quality, which is “standardization of parts, supplier certification, and supplier involvement in design can improve the quality of supplied parts.” (www.allbusiness.com) Speed of the supplier can produce the components quicker, with adaptability, flexibility and reliability then this is a time benefit for outsourcing. Albatross Anchors is lacking the production capabilities to output products in relation to the industry and customers demands. Outsourcing would be a benefit to the production of the customized and specific anchors and a valuable asset to put into action and still be able to keep the competitive edge. Albatross’ ability to produce the anchors on a larger scale with fewer, less expensive costs needs to be implemented. Technology, specialized trained employees and bulk purchasing are factors that contribute to the economic scale. An investment in specific technological production techniques would give Albatross more of a competitive advantage over other…

    • 1658 Words
    • 7 Pages
    Better Essays
  • Powerful Essays

    Palliser Furniture

    • 2045 Words
    • 9 Pages

    Palliser Furniture’s profitability is threatened as it deals with the challenges of a rising Canadian dollar and international low cost competitors. Palliser needs to take a more proactive approach and evaluate its production locations strategy to ensure they allow the company to reduce costs, increase revenues and effectively compete with other international manufacturers while maintaining quality.…

    • 2045 Words
    • 9 Pages
    Powerful Essays
  • Satisfactory Essays

    Ethan Allen understood that the American market was stagnant and even declining post the recession in 2008. Ethan Allan identified the opportunities as well as threats allowing them to prepare for the challenges ahead of time while identifying where the market opportunities were. Some of the original opportunities were the demand for high quality American made furniture in Asia, the limited raw material resources (cherry wood etc.), the ability to merger with small furniture retailers/manufacturers, low transportation costs and eventually reducing the export fees when exporting from the USA. Some issues considered were: Import and export fees, competitors that had a global presence.…

    • 154 Words
    • 1 Page
    Satisfactory Essays
  • Good Essays

    Unit 5

    • 596 Words
    • 3 Pages

    Read the Unit 6 Seminar Case Study and be prepared to respond to the related questions. Using specific information from your unit of study and previously learned information, provide a detailed response for each of the following questions (minimum 10 complete sentences for each item):…

    • 596 Words
    • 3 Pages
    Good Essays
  • Satisfactory Essays

    Through the case I found that the main problem of AW is finance. The undercapitalization put the company at a great disadvantage. They don’t have enough money on advertising to attract consumers and business, also delay to improve the inappropriateness of software. As it mentioned in case, AW is the first Bay drop-off store in America’s second largest metropolis, Los Angeles. They did not take advantage well of it because the finance problem. Missing the best time to develop market. Thus, the coming competitors make a more difficult business. The number of stores that sprung up around Los Angeles in a short period of time surpassed their imagination.…

    • 518 Words
    • 2 Pages
    Satisfactory Essays
  • Powerful Essays

    Identify and select a period in during which the industry you are currently operating in was performing really well OR rather badly.  Assess the various competitive forces which were influencing the industry’s profitability during that period  Eventually, scrutinize how these forces may have changed (in their nature or intensity) between the selected phase and the current scenario. In line with this, recommend the way ahead for your organization.…

    • 1494 Words
    • 6 Pages
    Powerful Essays
  • Satisfactory Essays

    Ikea

    • 524 Words
    • 3 Pages

    | -Lows-Wide range of supplier-Undifferentiated high valued product-Suppliers grow with IKEA-Low threat of forward integration…

    • 524 Words
    • 3 Pages
    Satisfactory Essays
  • Good Essays

    Their growth has been a slow steady growth over the past 42 years to become one of the largest most stable employers in the state. Their plan to grow internationally includes building a new 100,000 square foot building and opening a new sales office for the European market. Their growth strategy is that of a market development strategy (How to Develop a Business Growth Strategy, 2010) targeting new customers in new segments in the international market. By streamlining production and having vertical operations where they don’t keep a lot of inventory on hand, they are able to fill orders within 4.5 hours from order to shipment. They also make much of their own components for their products and will outsource some of the work internationally but will not sacrifice any jobs in their growth.…

    • 599 Words
    • 3 Pages
    Good Essays
  • Powerful Essays

    The ultimate goal of this study is to maintain its competitiveness by expanding its flight destination and increasing its brand awareness. A numbers of recommendations will make for Cathy Pacific future development.…

    • 3703 Words
    • 15 Pages
    Powerful Essays