Operations Management Case Study Mandexor Memory
Running head: ANALYSIS OF MANDEXOR MEMORY CASE STUDY
Analysis of Mandexor Memory Case Study-Capacity Planning and Control
Alfred Asuah Adongo
(13025813)
Ghana Institute of Management and Public Administration
Professor: Dr. Chris Tabi Amponsah
EMBA 665 - Operations and Project Management
6th April 2014
1
Analysis of Mandexor Memory Case Study-Capacity Planning and Control
2
Abstract
This paper explains capacity planning and control in the case of Mandexor Memory. Mandexor
Memory with its parent company in the US is currently experiencing a poor record of meeting production targets at its European Disk Drives Division and has therefore appointed a new
Operations Manager in Mat Frankel to turn things around and to see to the reorganization of the sales and marketing functions into one division. The core objectives of this paper will thus be to analyze the current capacity and output levels vis-à-vis the demand as per the forecasts and then determine how Mandexor can balance optimal output with demand using the right capacity planning and control strategies to achieve its production targets in the European Disk Drive
Division. The methods to be employed in this paper include review of the current production data (Actual Vs. Forecast) in relation to the capacity of the plant, calculation of necessary variances between output and demand in relation to capacity and a coherent analysis based on sound assumptions that will help Mandexor to adopt the right capacity planning and control strategies, operate at optimal capacity to meet demand and thus achieve their desired production targets. Capacity Planning and Control will help Mandexor to reposition itself and operate to capacity in the long-term, schedule in such a way as to minimize operation costs, keep inventory levels at barest minimum and increase production by eliminating wastes.
Key Words: Capacity, Capacity Planning, Capacity Control, Capacity level, Strategies,
Production targets, Sales
Analysis of Mandexor Memory Case Study-Capacity Planning and Control
Alfred Asuah Adongo
(13025813)
Ghana Institute of Management and Public Administration
Professor: Dr. Chris Tabi Amponsah
EMBA 665 - Operations and Project Management
6th April 2014
1
Analysis of Mandexor Memory Case Study-Capacity Planning and Control
2
Abstract
This paper explains capacity planning and control in the case of Mandexor Memory. Mandexor
Memory with its parent company in the US is currently experiencing a poor record of meeting production targets at its European Disk Drives Division and has therefore appointed a new
Operations Manager in Mat Frankel to turn things around and to see to the reorganization of the sales and marketing functions into one division. The core objectives of this paper will thus be to analyze the current capacity and output levels vis-à-vis the demand as per the forecasts and then determine how Mandexor can balance optimal output with demand using the right capacity planning and control strategies to achieve its production targets in the European Disk Drive
Division. The methods to be employed in this paper include review of the current production data (Actual Vs. Forecast) in relation to the capacity of the plant, calculation of necessary variances between output and demand in relation to capacity and a coherent analysis based on sound assumptions that will help Mandexor to adopt the right capacity planning and control strategies, operate at optimal capacity to meet demand and thus achieve their desired production targets. Capacity Planning and Control will help Mandexor to reposition itself and operate to capacity in the long-term, schedule in such a way as to minimize operation costs, keep inventory levels at barest minimum and increase production by eliminating wastes.
Key Words: Capacity, Capacity Planning, Capacity Control, Capacity level, Strategies,
Production targets, Sales
References: Slack, N., Chambers, S., Johnston, R. (2007). Operations management, (5th edition), London: Prentice Hall. Harland, C., Harrison, A., Slack, N., Chambers, S., Johnston, R. (2003). Cases in Operations management, (3rd edition), London: Prentice Hall. Boyes, W. (2004). The New Managerial Economics, Houghton Mifflin. Arhens, R. (1983). Basics of Capacity Planning and Control, Owatonna Tool Company. Amponsah, T. C. (2014). Operations and Project Management Course EMBA 665 Slides, Sessions 8 & 9