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TitleMccall diesel motor works case study
File Size155.5 KB
Total Pages14
Document Text Contents
Page 2

OVERVIEW

McCall Diesel Motor Works has been a pioneer in the manufacture of a particular
internal combustion engine. The plant is located on tidewater in the state of New
Jersey because the company originally built engines for the marine field, chiefly fishing
boats pleasure craft. Subsequently, its activities were extended to the stationary types
of engines, used primarily for the production of power in small communities in
manufacturing plants, or on farms.

The company has always been advanced in its engineering department and
design. The production phase, on the other hand has not been progressive. The
increasing popularity of diesel engines has brought many new producing companies
into the field.

About the Company’s design, many of the engines designed were one-off
products and made specifically to order. Although this type of work still represent 60
percent of those manufactured, there has been a move towards standardizing many of
the component parts to reduce the variety of parts. This allows a degree of
interchangeability, especially for small components such as studs, bolts, and spring, or
as mechanical fasteners. There also has been reduction in the variety of engine sizes
available with introduction of a standard range of three sizes: 20, 40, and 60 HP

The company has always been advanced in terms of its product engineering, in
the development and design of their product. The production phase on the other hand,
has not been so advanced. The heritage of production in the type of job shop
operation persists, and despite the tendency of standardization, the company is still
continues largely on a made-to-order basis. The increasing popularity of diesel
engines meant that competition has been tight because it brought may new entrants
to the market.

High manufacturing cost and poor service have been reflected in the loss of
orders. Customer complaints together with pressure from sales department prompted
management to call in a consulting engineer to make survey of the Manufacturing
department and recommend a plan of action for improvement.

The engineer showed the report from the manufacturing methods, Machinery and
equipment, and production control. The senior management recognizes that in order
to service, there is an urgent need for change. However, they are having difficulty in
convincing the workforce of this and implementing any change. In the main, the
management sees the problem as the resistance of the workforce to change their
working practices. However, the workforce see the main problem as being the fact that
the senior management are essentially sales minded and don’t understand the
problem of production planning and manufacturing.

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VIII. RECOMMENDATION

Though the engineer recommendation in the study is to have a simple,
straightforward program that would provide adequate control over production and
could be instituted gradually and logically, it still answer it because if we already know
the sequence, we will have an adequate control over the production.

We recommend the first alternative course of action which is to Implement and
organize a more advanced general system for production control. Which have the
goals of the following:

1. Provide world class quality and service to the customer.
2. Develop each employee’s potential, based on mutual respect, trust and

cooperation.
3. Reduce cost through the elimination of waste and maximize profit
4. Develop flexible production standards based on market demand.

IX. PLAN OF ACTION

ACTIVITY BUDGET TIME
FRAME

PERSON
RESPONSIBL

E
1. Assemble a cross-functional project team

with a respected project leader.
P8,000.00 A month Manufacturing

Process
Engineering

2. Understand why the organization needs the
system (i.e., define your business “pain”) and
why the pain exists (e.g., system issues
and/or business-process issues).

P1,000.00 2 weeks Manufacturing
Process
Engineering

3. Define the scope of the system. P1,000.00 2 weeks Manufacturing
Process
Engineering

4. Establish phases for system implementation P2,000.00 2 weeks Manufacturing
Process
Engineering

5. Gather and define the organization’s
requirements of the system.

P3,000.00 2 weeks Manufacturing
Process
Engineering

6. Acquiring of new equipment and machineries. P50,000.0
0

2 weeks Manufacturing
Process
Engineering

7. Installation of new equipment and
machineries.

P2,000.00 2 weeks Manufacturing
Process
Engineering

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