Intro:
When machines are running smoothly, workers are productive, and everything is operating according to plan, it is fairly easy to determine the overall cost of goods. Imagine though, a loud factory floor falling silent because a machine is inoperable, or a service delivery being interrupted because of inclement weather or a natural disaster.
For example, consider a large automotive manufacturer shipping parts from China. Once the cargo ship arrives in port, inspectors note the shipping containers are filled with gypsy moths and cannot be unloaded. These parts are integral to a new production line with a tight timeline. Mitigating this problem has a financial impact to the manufacturer and could impact the cost of the product as well as its timeline.
These types of interruptions can have a significant impact on a company’s bottom line, so the faster corrective action is implemented the less impact on profits.
To prepare:
– Reflect on a time when manufacturing or service delivery stalled
– Consider potential mitigation strategies
WRITE:
Post a brief description of a time when something happened that interrupted the manufacturing or service delivery schedule. Then, explain how this event impacted the overall cost of goods. Finally, detail how you might mitigate that event had you been in charge when it happened.
Intro:
When machines are running smoothly, workers are productive, and everything is operating according to plan, it is fairly easy to determine the overall cost of goods. Imagine though, a loud factory floor falling silent because a machine is inoperable, or a service delivery being interrupted because of inclement weather or a natural disaster.
For example, consider a large automotive manufacturer shipping parts from China. Once the cargo ship arrives in port, inspectors note the shipping containers are filled with gypsy moths and cannot be unloaded. These parts are integral to a new production line with a tight timeline. Mitigating this problem has a financial impact to the manufacturer and could impact the cost of the product as well as its timeline.
These types of interruptions can have a significant impact on a company’s bottom line, so the faster corrective action is implemented the less impact on profits.
To prepare:
– Reflect on a time when manufacturing or service delivery stalled
– Consider potential mitigation strategies
WRITE:
Post a brief description of a time when something happened that interrupted the manufacturing or service delivery schedule. Then, explain how this event impacted the overall cost of goods. Finally, detail how you might mitigate that event had you been in charge when it happened.