Its average sales per day were $ 668.49 during 2008 and its average collection period was 99 days. This represented an improvement from the average collection period of 105 days in 2005. 3. SciTronics apparently needed $ 29,000 of inventory at year-end 2008 to support its operations during 2008. Its activity during 2008 as measured by the cost of goods sold was $ 74,000.
* Good technology team. * Faxtech provided 50% savings over current rates, and generated gross margin of 60% * Great expansion strategy, which helped them, lowers their variable cost. * Dave was flexible and patient which helped him secure the deal with Japanese Telecommunication Company. * By 1997 it employed 650 people in 18 offices throughout the world including Australia, Canada, japan, korea and the united states * Annual growth 180% * Company was listed as number 20 on the INC . 500 list of fast growing companies in the US * It raised funding of $105 million * For achieving market dominance they were able to raise $260 million.
The company’s net cash from operations also decreased from 262.69 million to 233.58 million in 2005, a difference of 29.1 million. This decrease in operational cash flow was largely attributed to a significant increase in inventories to 164.41 million from 43.63 million. In addition, Tiffany posted operational losses of 12.03 million and increased prepaid expenses of 16.34 million in 2006. However, the company effectively managed its accounts payables for the year at 17.79 million, a significant change from the prior year. In addition, Tiffany increased ‘other non-cash’ items within its operations to 67.01 million.
Goal Definition: Advise Management on the various options regarding the outsourcing contract and the decision to proceed with JAFAR contract. Quantitative Analysis: • Exhibit 1 shows the effects of the external procurement of CTR1 units. Accepting the outsourcing contract was overall unfavorable to Seagull as it is costing the company $600K per year. • Exhibit 2 shows the net income effect if the outsourcing contract is cancelled or modified. Reducing the order to 2 000 units is the most financially favorable option for the company as a whole.
The demand for a product/service goes up so the price of the service goes up. The opposite to anticipation inflation is unanticipated inflation which is when the price of goods/products unexpectedly rise. Ms.Wang originally spent £1900 a month on drawings and then she cut it back to £1000 a month. This saved her a total of £900 a month meaning she saved £10,800 in a year. She cut her
This award is very prestigious and meaningful because it is given by the President of the United States. The award was first given in 1987 and it was established to raise public awareness of organizations that has successfully adhered to the quality management system that delivered quality products and services that are exemplary. Recipients of the award include small businesses, service companies, manufactures, education sectors, healthcare, and nonprofit organizations. The award signifies these organizations’s excellence in quality management, and their strive for perfection. NIST administers the Baldridge Program which cultivates a model of public-private partnership that focuses on helping businesses to improve their quality management deliveries (NIST, 2013).
Research has shown that involving suppliers in the product development process can yield benefits such as improved product costing, faster product development time and more effective, efficient operations. Deere & company initiated the creation of the Skid-Steer machine, a 1000-3000 pound capacity versatile construction site machine, more than 25 years ago, but outsourced the product design and manufacturing to New Holland an independent contractor. The skid-steer loader is supposed to sell more than 60,000 units amounting to $1.2 billion by 2000-2001. Deere & Company plans to triple its market share and they want to take back design and manufacturing of the skid-steer loader from New Holland. Deere & Company wants to improve the design and manufacturing of the skid-steer loader with order winning criteria such as improved product features, product range, delivery and price.
John Amasi’s decision to implement Self Directed Teams (SDTs) at R.L. Wolfe stemmed from an overarching objective to increase plant productivity. As Director of Production and Engineering, Amasi was aware that his company’s manufacturing facilities were running at only 65-70% of their design capacities, and he optimistically believed that SDTs could raise this figure to 95%. He had first been exposed to the concept of SDTs and the benefits they provided to organizations many years ago while taking a business school course on workforce motivation and team structures. Compelling data revealed that many industries enjoyed productivity boosts due to SDT work systems, and Amasi felt they could be applied to plastic pipe manufacturing as well.
These changes will add $1.00 per bottle to the variable cost of sales. Calculate the new break even given the increase in variable costs. After charging $1.00 more per bottle, the company would have to sell 1,600 bottles per day which would be 20% sales loss. 3. To reposition its water as a premium product, Healthy Spring will require an increase in its advertising and promotion budget of $900 daily.
What is six sigma? Six sigma is a systematic approach which takes into consideration customer needs and requirements and focuses on reducing number of defects to 3.4 defects per million opportunities. Similar to lean manufacturing Six Sigma focuses on process improvement Developed by Motorola in 1986 Outlines procedures to eliminate defects in a process Techniques for implementing six sigma DMAIC – Current product/process DFSS – New product/process DMAIC Define, Measure, Analyze, Improve, Control Most widely used for implementing Six Sigma into a manufacturing plant 5 phase system Closed-loop for continuous improvement Define Define the problems in a process Define customer needs and expectations Identify goals and projects A process map is created to lay out process failings which prevent the product from meeting customer requirements Measure Current performance of a process is evaluated The factors influencing performance are identified Defects generated in a process are recorded A baseline is produced using the information gathered Allows for better understanding of customer requirements Analyze The baseline is used to identify the root cause of the problem Analyze the root cause to create an actionable response The root causes which have the greatest impact on improvement are selected to pursue Implement Brainstorming possible solutions for the root cause Discuss various process improvement techniques Implement: Fishbone diagrams Box plots Linear regression Hypothesis testing Address and implement the discussed solutions Control Verify whether the changes have had an effect Compare improvements to baseline Monitor changes to control and make sure improvements are maintained Design For Six Sigma Builds on Six Sigma Principles Focuses heavily on