Executive Case Essay

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EXECUTIVE SHIRT COMPANY, INC CASE SOLUTION Group No 8: Name | Roll No | Name | Roll No | CVNK Chaitanya | 1411291 | Osama Ahmad | 1411314 | X. Mary Infanta Devi | 1411302 | Ruby Arya | 1411325 | Surya Teja Vinnakota | 1411336 | V. Vamsee Krishna | 1411347 | Problem statement: Executive Shirt Company wants start manufacturing custom shirts in addition to the regular shirts it now manufacturers. The two managers of the company come up with 2 different plans. * Mike’s plan: Retain existing production line and make slight changes in batch sizes. * Ike’s plan: Divide the production into two lines one for custom shirts and another for regular shirts. Assumptions: * In the current production scenario and Mike’s strategy, actual cycle time is greater than the ideal cycle time, therefore the actual cycle time has been considered in the calculations. * In Mike’s plan the cutting time and the quantity for the regular shirts remains the same as the current production. Production Line: Solution 1: Actual Cycle Time (min. /shirt) = Total labor timeNo.of actual shirts produced Current Process (Regular Shirts): Bottleneck is at cuffs operation 2 / 4 = 0.5(Ideal), and 480*20/16000 = 0.6(Actual) Since Actual is greater than ideal we are considering 0.6 as ACT Mike’s Plan (Regular & Custom Shirts): 480/ 900= 0.53 Ike’s Plan: Regular Shirt: The cuffs operation is still the bottleneck 2 / 3 workers = 0.67 Custom Shirt: Make Collar operation is the bottle neck with 3.9 min. / Shirt (As only one worker available) Manufacturing Lead Time (days) = WIP × Cycle TimeTotal labor time Current Process (Regular Shirts): 11760 * 0.6 / 480 = 14.7 Mike’s Plan (Regular & Custom Shirts): 0.53 * 1980 / 480 =2.19 Ike’s Plan: Regular Shirt: 151*60*0.67 / 480 = 12.64 Custom Shirt: (5 + 3*15)*3.9 / 480 = 0.407 WIP

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