Fold rite furniture case

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Fold rite furniture case

Fold rite furniture case

Michelle Gorrio Objective To identify the best strategy for FoldRite to meet its need for extra production and labor during the March-August timeframe, and to analyze how to effectively implement it.

Traditionally, FoldRite experiences a surge in demand around May and increases shipments to dealers around April. However, inthe market demand for FoldRite's products was uncharacteristically high, which resulted in a need for a new strategy in order to meet this unexpected demand in terms of production as well as extra labor.

The best strategy is to change the process design. The design change will increase manufacturing productivity and lower work-in-progress time, making the system lean and more responsive. Taking these benefits into account, FoldRite should implement this strategy within the organization.

However, the development of the CloudChair which won a number of design awards in as well as the increasing relevance of eco-friendly products led to an unexpected surge in demand for the company in early The company had to optimize its resources while meeting product quality standards and delivery schedules and identify the strategy that would best allow it to meet the unexpected demand.

The five strategies it contemplated were: Overtime This strategy consists of employing the existing workers to work overtime hours in order to meet the extra demand. Based on the model, in order to meet the demand, the company would need overtime hours in April and May for skilled workers, and in April-August for unskilled workers.

If the existing workers were made to work overtime, the company would need 45 skilled workers in April and 91 in May. Similarly, the company would need unskilled workers in April, in May, in June, in July and 22 in August. In the month of May, the forecasted demand is too high to be compensated for in overtime hours.

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So, in order to meet the demand, the company will still have to hire 23 new skilled workers and additionally, hire and supervise 25 new unskilled workers during that month. Subcontracting Being able to subcontract skilled workers in the production of GreenComfort chairs allows the company to free more skilled workers to meet the extra production goals.

In addition, it enables the company to avoid the demoralization of workers, hiring costs associated with the hiring and firing approach and also avoids the possible quality reduction associated with the overtime approach.

The total labor hours needed for the production of GreenComfort are , with 31, skilled hours and 74, unskilled hours. Hiring new workers is too costly in the event that the expected demand levels fall back to their original levels, because the firm would have to fire a large amount of excess labor.

In addition, the firm would experience reduced turn over rates and demoralization of the current employees, which directly violates the company's major goal to have a stable, productive workforce.

However, hiring new workers may be a sustainable approach, since the corporate executives credited the change in demand to new strategic developments and itKanthal A Case Study Help, Case Study Solution & Analysis & Kanthal A Case Study Solution A worldwide conglomerate takes an improved and also an improved cost style and design to set up the profitability of person c.

FoldRite Furniture Company Case Solution.

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A benefit of such an initiative will be that the company will be able to meet the demand. It can have an increased number of . Demand for folding and stackable chairs and tables at FoldRite Furniture Co. is unexpectedly strong.

The company spent the previous two years improving manufacturing quality and efficiency, dropping poor-performing product lines, developing new products that are stylish and environmentally friendly, and instituting a program that allows customers to customize their orders and still get.

furniture for interior design. This book will explore the role of furniture in the process of that transformation of empty, underperforming shells. It will demonstrate the processes of .

-HBS case: FoldRite Furniture-HBS case: Daikin Industries Week Three: Reading Quiz Team 3 & 4 Case Presentation 4. supply chain risks in China vs.

India. Revisiting General Business Strategy Part I - Compare the. 1. Compare contemporary corporate/business strategy frameworks. Case Solution for FoldRite Furniture Company: Planning to Meet a Surge in Demand (Brief Case) by Afarin Bellisario, Steven C.

Wheelwright Case Solution for FoldRite Furniture Company: Planning to Meet a Surge in Demand (Brief Case) by Afarin Bellisario, Steven .

Fold rite furniture case
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