Riordan Packaging

Packaging Department

Riordan needs to look at making changes to the current inventory process. Changes to occur is the method in which the inventory is processed. The current process in place is out of dated and with the new technology available the company needs to be brought up to date. Wireless technology will bring many capabilities to Riordan packaging and shipping departments. The company warehouses can also link up together to maintain accurate records and be used as a tracking devise.

At Riordan the shipping department fulfills the customer orders by pulling products from inventory. After they are loaded the shipping department enters the truck number, date, and time into the customer database for tracking. The products are then subtracted from stock after they are shipped from the plan (UOPX, 2005).

Team A propose that Riordan implement a plant wide scanning barcode network database that will allow Riordan to track production scheduling, purchasing of raw materials, processing inventory transactions, monitoring quantity of stock in storage areas, track labor and work orders, and know when preventive maintenance on the machines are needed (UOPX, 2005).

Shipping Department

Riordan China plant prepares its own forecast of electric fan sales throughout the world (UOPX, 2005). It schedules production of these fans to meet the forecasted sales. “Orders for electric fans can be picked up at the China plant by customers or they are shipped to anywhere in China or internationally by FedEx or a local Chinese company” (UOPX, 2005). Team A proposes that the China plant use FedEx as the company to do all the shipping both internationally and local. By using FedEx Riordan can work out a set price to use for shipping no matter where the product goes and cut down on errors in deliveries.

By preparing its own forecast, the China plant has implemented a just in time (JIT) system (UOPX, 2005). This allows the China plant to manufacture only what will be...