Riordan Production Plan

Production Plan for Riordan Manufacturing

Riordan Manufacturing is a completely owned subsidiary of Riordan Industries, a Fortune 1000 enterprise with revenues in excess of $1 billion. The subsidiary operates on two continents manufacturing plastic beverage containers in 2 locations within the United States and plastic fan parts at a facility in China. At this time Riordan wants to improve its productivity, at the overseas facility using strategic capacity planning to implement lean production techniques and new process design. By reviewing Riordan’s operations at the Chinese facility in comparison to the principles and techniques of both concepts this discussion will identify ways Riordan was able to improve the firm’s productivity.

New Process Design

Riordan’s Manufacturing China operation will concentrate from the time the order is taken to the time it is delivered, the inventory, and making sure to provide top quality customized products by meeting with consumers demand. With the efficiency on taking orders by creating an Internet order taking process, making it easier for the customer to customize their products, track their orders, and have the convenience on deciding in having it delivered or picking it up. However, first this will be implemented with the acceptance of recommendations of employees and customers. This will contribute on forecasting the inventory required after investigation because it will assist the company to determine how much materials is shipped out versus what is required to contain the workflow provided to secure the production of the electric fans. As for the time of delivery, the product is done on a shorter lead time of eight to ten days reducing the on-stock storage of finish goods.

Strategic Capacity Planning for China Operations

Capacity planning in a manufacturing organization can be define as, the amount of output per elapsed time produced in a production line. Capacity is the ability to hold, receive, store, or...