What are the top three competencies you believe necessary to execute your vision and strategy? Why is the High Tech Ideal Spot to the lower right of the segment center? Your situation in the simulation would be comparable to a wholly owned subsidiary or to a company with a very large voting block of conservative stockholders.
What decisions do you need to make to develop these competencies?
Do we want to keep profits or pay them out as dividends? Which segment drifts at the fastest rate? Automation decreases the rate at which new workers can be hired, requires additional training on new machinery, and takes three years to implement.
Browse hundreds of Operations Management tutors. Assuming production is less than 1st shift capacity, increasing 1 st shift capacity will reduce your need for overtime, which incurs time-and-a-half wage rates labor costs.
Maybe examine capacity, automation, plant utilization, inventories, and margins. Make sure that each member of your team is analyzing different competitors. Assuming production matches the marketing forecast, increasing 1st shift capacity will reduce your need for overtime, which incurs time-and-a-half wage rates labor costs.
Assuming production is less than 1st shift capacity, increasing 1st shift capacity will reduce your need for overtime, which incurs time-and-a-half wage rates labor costs. We will talk about these in class!
Identify any strategic implications of this market dynamic for decisions your firm must make. Given the segments they have settled upon, how big could their sales volume get? Your resulting score will always be between 1 and 6. Select the right ans Do a SWOT analysis on one of your competitors: High Tech customers are focused on cutting-edge technology, represented by smaller performance and higher MTBF.
If you eliminate Long Term Debt, its interest payment will disappear, and earnings will go up. Next prepare a vision statement for your company. Explain how increasing First Shift Capacity can reduce per unit labor costs.
A raw score for each success measure is determined. The financial structure is everything on the right hand side of the balance sheet.
We will have talk ed about Mission and Vision statements in class Fastest Rate of change depends on how many firms enter that particular customer segment. A major factor in the outcome is the degree to which ownership is concentrated.
One important factor is the need to increase reliability MTBF to the highest possible level.Row #3-column 2 - You want to maximize use of a 2 nd shift-- although 2 nd Shift labor costs are 50% higher and you require a larger labor force it remains that your period/fixed costs are paid under the 1 st Shift.
Explain how increasing First Shift Capacity can reduce per unit labor costs. Increasing First Shift Capacity will reduce the need for overtime to meet the growing demand.
Overtime is paid at % of First Shift pay and thereby increases the per unit labor. Explain how increasing First Shift Capacity can reduce per unit labor costs. 5. Automation reduces per unit labor costs but it has two disadvantages. 1. On the Perceptual Map, all segments drift to the lower right.
Which segment drifts at the fastest rate? Explain how increasing First Shift Capacity can reduce per unit labor. Every assembly line has a first shift capacity. First shift capacity is the number of workers and lower labor costs, but increasing automation is expensive.
Also, R&D • Retiring Stock (The company can buy back stock to reduce shares outstanding.). Production costs Activity Cost to double capacity Increasing capacity is $6 per unit with an adjustment for automation.
Increasing automation is per unit of capacity Formula is: First Shift Capacity x [$6 + ($4 x automation level)] Example Input: Formula is. Assignments. The following Explain how increasing First Shift Capacity can reduce per unit labor costs.
4. Automation reduces per unit labor costs but it has two disadvantages. What are these? 5. A product’s margin is determined by subtracting its manufacturing costs (labor and material) from its price.Download