Executive Shirt Company Essay

Mr. Collier, per your request, I have study executive raiment Companys current production abut in addition to evaluating both mike and Ikes recommended hit outes for custom fit out production. Elements considered during this analysis included Process types, cycle time for the processes, process efficiencies, and costs. each(prenominal) element is key to identifying the best course of action for executive garment Company, Inc. in regards to the addition of custom raiment production. Process TypesCurrently Executive Shirt Company uses a batch shop process, where multiple functional areas perform similar tasks. For example all of the sew together areas are sewing all comp anents of the shirt. This type of process performs well in this production place setting due to the fact that bingle operation isnt dependent on another(prenominal) to perform its task (outside of the initial cutting phase). More so, one individuals sewing performance doesnt hinder another from sewing thei r batch of shirts. Mike adopted this process type in his proposal for the addition of custom shirt production however, Ike took a linier creation (more assembly line focused) for his proposal where operations are performed according to the innovative tasks to construct a shirt. For example the cuff operation kindlenot be performed until the sleeve operation is completed. Within Ikes process, each operation is dependent on the prior to complete its task before the next operation can commence. This causes issues when one operation begins to slow, causing idle time. Cycle TimeIt is authorized to identify the cycle times for each operation in a specific process (see Appendix A-1), given it will allow us to determine the blockade which defines the throughput for the entire process. For the current shirt production process for Executive Shirt Company, weve identified cuff making to be the bottleneck producing 1 cuff every 30seconds (see Appendix A-1). This message that each opera tion can only perform its task at the judge of making a cuff.The same is true when examining Mikes recommended process. Although Executive Shirt Company will be taking on supererogatory production with custom shirts, Mikes process integrates the additional shirt production into the current process and utilizes the same number of proles (outside of the cutting process). By doing so, the bottleneck corpse the same along with throughput for the entire process.Ikes process, however, takes one role player from each operation and shifts their focus to producing custom shirts. Although the bottleneck remains cuff making for the regular shirt production, the throughput time increases an additional 15 seconds (see Appendix A-1). So, by removing a body from each process, it takes longer to publish regular shirts vs. Mikes process. Additionally, by only having one worker for each operation for custom shirt production the throughput time is greatly elevated. In Ikes process for custom shir ts, the bottleneck shifts to making collars 1 collar is produced every 3.9 minutes (see Appendix A-1). EfficienciesWhen thinking about efficiencies for a production process, we have to look at how more than is being produced vs. how much the process could produce and also how dig up is being utilized throughout the process. While cycle time gives us a good miserly understanding for how effective a process is ( displace CT shows the process is flex and will become lower as more automation occurs), contentedness and comport tote utilization will give us a more definitive look at process efficiency.For Executive Shirt Company, the current process performs at a aptitude utilization of 83% and a direct labor utilization of 67% (see Appendix B-1). This meaning there is most definitely room for production expansion and thats what we get with both Mike and Ikes recommended processes. Mikes testimony to take on the extra readiness with only adding one worker (to the cutting opera tion) is expected to up efficacy utilization to 94% patch only pushing direct labor utilization to 75%. This means Executive ShirtCompany would be producing at max capacity while only increasing direct labor utilization by roughly 8%. Conversely, Ikes recommendation over indexes on capacity utilization for regular shirt production and greatly underutilizes both capacity and direct labor for the custom shirt production (see Appendix B-1). costBridging off of efficiencies we turned our focus to cost which is highly determinant on efficiencies of a process. The more effective and efficient the production process is the lower the cost should ultimately be. The direct labor costs per shirt in Executive Shirt Companys current process is $3.84. With the efficiencies Mikes proposal brings, it directly affects costs driving the per unit labor cost down to $3.47. So with the increased production and decrease direct labor costs, Mikes process should produce additional margin.On the other ha nd, and although Ikes process would lower the per unit direct labor costs for the regular shirts (due to decrease workers in this process), the over-indexing production causes overtime work in the regular shirt process and far too precise work for those in the custom shirt process (see Appendix B-1). recommendationBased on our review of the current process and the proposed processes from Mike and Ike, I would have to recommend implementing Mikes externalise. Mikes plan gives a good balance of production increase and cost nest egg due to a more efficient process, which in the long evaporate should prove to be profitable.