Operation Management Essay Example | Topics and Well Written Essays - 1250 words

Operation Management - Essay Example The researcher of this essay is aimed to answer on questions, such as How many trucks are needed to ship the pallets to the manufacturer?, What is likely to happen if the trucks break down?, How can the supplier ensure that the customer does not run out of parts even in the face of delivery problems or other uncertainties?, What will happen if the manufacturer runs into trouble and shuts down for a period of 6 hours? And If unexpected overtime is required, how do you effectively communicate the need to your workforce? Firstly, the researcher presents the business, both manufacturer and the supplier and analyzes their strengths and weaknesses. The researcher states that usually industry procedures are more or less standardized. If the supplier at present are supplying pallets to a manufacturer who uses two pallets an hour, it is logical to think that he is using some standardized process and that there are other manufacturers who might be using the same standard procedure and requirin g the same number of pallets per hour. Also the supplier may think in another way, that is to present manufacturing unit or department or store setup, that is geared up to service a customer who uses two pallets per hour, therefore, to achieve the net profit maximization goals, that the supplier would logically try to obtain similar contracts from similar manufacturers. It is then concluded that if the customer i.e. the manufacturer gets 2 pallets per hour, his requirement is fulfilled and similarly for other manufacturers as well.