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Operations

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Submitted By kmmcfarland
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Case Study #1 Written Assignment
Kimberly McFarland
MT435 Operations Management
Kaplan University
Date: 7/9/2014

Introduction
As a consultant for KU Consulting I am going to take a look at Albatross Anchor’s operations. I am going to take a look at their cost structure to see where they can take a closer look at their capacity to see how they can maintain maximum output. I am going to look at their manufacturing process to see how quickly they can produce their anchors. I want to see how flexible Albatross Anchor is at filling their orders for their anchors. I want to take a look at their outdated technology to see how they can maybe update their technology to help the factory run more smoothly. Next I will take a look at how Albatross Anchor can work on their layout. In doing this I want to see how they can utilize their capacity and have a better layout for the factory. I also will look to see how Albatross Anchors can better serve their customers or answer any questions their customers may have. Lastly I want to look at two separate processes for manufacturing the bell/mushroom anchor to see what one is a better process for Albatross.

Question 1
Based on the information presented in the scenario/case study discuss Albatross Anchor’s competitiveness in relation to (please address all items in the below list and provide support for your conclusions):
1. Cost a) Cost or Production: In looking at the cost of production for Albatross Anchor you need to keep in mind that their facility is outdated, and changes are going to have to be made just to get the facility up to code. No matter what improvements are made you need to take into account the cost of materials for the anchors. Manufacturing the bell/mushroom anchor is $8.00 per pound and for the snag hook anchors it is $11.00 per pound. The way to see what your production costs are going to be is to

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