OPS 571 Week 4 T A - Production Plan for Riordan Manufacturing
Production Plan for Riordan Manufacturing
Production Plan for Riordan Manufacturing
“Riordan Manufacturing, Inc. is an industry leader in the field of plastic injection molding” (University of Phoenix, 2009). Riordan is considered innovative and is recognized to have state-of-the art design capabilities. Riordan operates globally and has locations worldwide including facilities in California, Georgia, Michigan, and China. Many of these facilities have revenues over $1 billion dollars. The company produces plastic bottles, fans, heart valves, medical stents, and other custom plastic parts. In particular, Riordan produces custom plastic parts in Pontiac, Michigan and plastic fan parts in Hangzhou, China (University of Phoenix, 2009). Riordan needs to employ effective strategic capacity planning, the concepts and methods of lean production, and improve their supply chain in order to add value to the company and enable them to sustain a competitive advantage over time. The company has a reputation of paying attention to detail, extreme precision, and enthusiastic quality control. These are key values the company wants to ensure remain throughout the implementation of any changes that are made.
Approaches in Developing an Effective Supply Chain Strategy
Developing an effective supply chain strategy is a significant aspect of any business and should be incorporated into a total systems approach (Chase, Jacobs, & Aquilano, 2006). Companies that can effectively manage inventories, both raw materials and final products, will gain a competitive advantage and reduce inventory liabilities and risks. Managers should carefully consider and determine how inventories should be managed. In order to do this it “takes a clear understanding of the products strategic positioning, stage of product lifecycle, demand variations and supply disruptions risks” (Inventory, 2009, p. 1).
