Custom Molds is a design & fabricator of precision molds and molds part for the electronic industry. The company has to face an environmental change when the electronic industry began to have partnership with parts suppliers.
On a short term, Custom Molds is not able to satisfy its customers by having a high quality custom product: there was orders returned because of defective parts; and Custom Molds is also not able to respect it’s delivery time to customers. Although the number of parts orders has remained virtually constant, the volume per order has increased during the last 3 years. Consequences are it has created a bottleneck and has led to late deliveries to customers.
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In fact for the Molds order it’s easy to see that customer needs are now on very little size order, whereas for the parts order the need is in large order size of a same product. Understanding this, the company can now choose to focus its production process in small order of very customize molds and in large order of line parts.
To accompany this idea, the parts fabrication that will be done in a large capacity with specialize machinery should not have a lot of workers, cause there is not a lot of setting changes to check. Whether a highly qualify workforce will be absolutely needed in the Molds fabrication with a lot of setting changes to make sure they work correctly. Regarding the defective product, it might be interesting to consider changing a little the layout of the company. Testing & inspection is at the end of the process and also put completely aside of all workspace. But if this workshop was more centered, product could be inspected in the middle of their production and wouldn’t wait the end of process to modify/change the defect: gain of time is sure and a return of product by consumer would be avoided moment of truth (product/customer) no