Albatross Anchors

Unit three Written Assignment

KU Consulting Proposal for Albatross Anchor

Toye Grant-Jackson

MT435 Operations Management

Kaplan University

April 26, 2013

Introduction

This constitutes a proposal tendered by KU Consulting to assist Albatross Anchor in the transition phase of reorganization of their company to become more productive. Albatross Anchor is a small, family owned business currently facing operational challenges due to inefficient space and production. The costs for their anchors are the same as their competitors and Albatross Anchors are struggling with profit margin. KU Consulting can bring success to this company and get them out of danger.

Current demand for services and projected growth will have profound impact on many departments within the organization. Some areas will be especially challenged. I have discovered numerous strengths in the organization as well as critical barriers to success. Your success depends upon the creation and successful implementation of a powerful strategy through an organization with the right people in the right roles acting in concert with one another to successfully complete the task at hand. In doing so, the plant has to be modernized to accommodate the departments within the organization by way of expansion and also to bring it up to code. However, in this role, you must manage a larger and more diverse organization than before. As the Senior Consultant of KU Consultants, I feel that I can assist in all efforts to turn this company around.

Question One

Based on the information presented you must manage a larger and more diverse organization than before:

(a) Cost

1) Cost of Production:

Current manufacturing costs are $8.00 per pound for mushroom/bell anchors and $11.00 per pound for snag hook anchors. They are charging the same per unit as their competitors. Profit margin can be as much as 35% less than their competitors. The profit...