Aic Netbooks: Optimizing Product Assembly Harvard Case Solution & Analysis

Aic Netbooks: Optimizing Product Assembly Case Solution

  1. Increased Number of Shifts

It is recommended that another possible solution in order to maximize the production level, could be to increase the number of per day shifts. Currently, in Kaizhi plant two shifts was running per day, which was not fully satisfying the expected demand of 130,000 units. Thus, the number of shifts should be increased up to 3 per day, which could meet the expected demand effectively along with producing excessive 35,886 units. (See appendix 2 & 3).

  1. Increased Number of Working Days

The third possible alternative solution in order to maximize the production level would be to increase the number of working days per week. Currently, in Kaizhi plant, the number of working days is 6 days per week, which was not fully satisfying the expected demand of 130,000 units. Thus, the number of working days per week should be increased up to 7 days per week, which could meet the expected demand effectively without producing much excessive units. it would produce only 979 excessive units. (See appendix 2 & 3).

Qualitative Analysis

The qualitative analysis has been done to analyze the pros and cons of the recommended solution also analyzed the implementation plan for the one we selected as solution

Recommendations

In the appendix below no: 3 we have discussed the alternative solutions and their pros and cons. So, after all the analysis and reviewing the solutions according to its implications and issues, we suggest that the third option and the second option are comparatively attractive than the first option. The second option will yield greater excessive units, which could create a problem of over stocked along with it, the top management was not considering it as the best option because it will require huge investment and employee training. Thus, it is recommended that the last option is best because it will not create over stocked issues.

Pros

Cons

·         The number of working days per week should be increased up to 7 days per week, which could meet the expected demand effectively without producing much excessive units.

·         It would produce only 979 excessive units.

·         No new hiring required.

·         No excessive production.

·         No over-stocked issues.

 

 

·         Increased overtime and allowances would be required by the workers in order to work for the whole week without break.

·         This will yield unsatisfied employees because they have to work for the whole week.

·         It is possible that employees will not accept this option as best.

 

Implementation Issues

To implement the third option the brainstorming is required from employees. Because, the management would require workers on the off days as well. In order to implement this option, the first step would be to set a new pay for overtime work and attractive allowances that could attract workers to work on holy days by providing them relaxed working hours. In addition to this, conduct a worker’s meeting to explore the advantages with respect to employees as well as company. Invalid source specified.

Conclusion

Conclusively we can say that Elias Chen was analyzing the production of newly launched QuiN 816 netbooks. An extreme increase in the demand of QuiN 816 netbooks has been seen. The production manager was worried about the situation and wanted to check the production process in order to increase the production level to satisfy this increased demand. The total production was 119,808 netbooks per month. On the other hand, the expected demand would be 130,000 netbooks per month. Thus, it is recommended that the last option is best because it will not create over stocked issues. The number of working days per week should be increased up to 7 days per week, which could meet the expected demand effectively without producing much excessive units............................

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