GROUP MEMBERS:

Pantea Fotouhi (GM04672)

Somayeh Rezaei (GM04675)

Nasim Zaeri (GM04649)

M. Mahdi Mesbahi (GM04701)

Operation Management (GSM5113)

Lecturer: Dr. Murali

 

CUSTOM MOLDS, INC.

Introduction

1987Custom Molds, Inc. was founded by Tom & Mason Miller

ReputationDesigner & Fabricator of precision molds

AimsCustom design molds for manufacture of electronic connectors

12

3

Introduction

45

6

1990sExpanded into manufacture of plastic parts + business trends moving toward strategic partnerships with suppliers

AimsFocus in high quality and custom design mold and limited manufacture of plastic parts

ReputationGrowing reputation of being a supplier of high-quality plastic parts

Introduction

78

9

2000sFurther expansions & operations managed in 2 distinct but linked processes:

Fabricating MoldsManufacturing Plastic Parts

ReputationDesigner & fabricator of precision molds, as well as a supplier of high-quality plastic parts

AimsFocus in high quality and custom design mold and manufacture of plastic parts

Introduction

Recent YearsChanging environment of electric industry impacts

both business and manufacturing process of Custom

Mold, Inc.

10

Introduction

Customer Relationship

Getting Order(0 day)

Design(21 day)

Purchase Row Material(28 day)

Fabrication(28 day)

Test(1 day)

Packing and Sending(1 day)

Mold Process

Introduction

Getting Order(0 day)

Purchase Row Material

(7 day)

Dry Mix

(0 .5 day)

Wet Mix

(0.5 day)

Injection

(7 day)

Cut and Trim

(1 day)

Test

(1 day)

Packing and Sending(1 day)

Plastic Part ProcessProduced Mold

Question 1

What are themajor issues facingTom and Masson Miller?

Question 1

Major Problems:

•Increasing the order delivery time from three to four

or five weeks (delay)

•Increasing the number of defective parts

Question 1

Business Strategy:Mold Orders

Order Size2006 2007 2008

Number of orders Number of orders Number of orders1 80 74 722 60 70 753 40 51 554 5 6 55 3 5 46 4 8 57 2 0 18 10 6 49 11 8 5

10 15 10 5total 230 238 231

Question 1

Business Strategy:Plastic Part Orders

Order Size2006 2007 2008

Number of orders

Number of production

Number of orders

Number of production

Number of orders

Number of production

50 100 5000 93 4650 70 3500100 70 7000 72 7200 65 6500150 40 6000 30 4500 35 5250200 36 7200 34 6800 38 7600250 25 6250 27 6750 25 6250500 10 5000 12 6000 14 7000750 1 750 3 2250 5 3750

1000 2 2000 2 2000 8 80003000 1 3000 4 12000 9 270005000 1 5000 3 15000 8 40000Total 286 47200 280 67150 277 114850

Question 1

Manufacturing Process:

Process Molds Plastic Parts

Volume Low High

Flexibility High Low

Complexity High Low

Customization High Low

Consumer Involvement High Low

Project Mass Production

Question 1

Some Causes:

•Design: this activity takes too long, of course

customer relationship is very important, but idea

clarification can reduce time consuming.

•Purchase row materials: this activity also is time

consume. They can decline the process time by a good

purchase planning.

Question 1

•Mold fabrication: this process itself takes just three to

five days whereas, because of bad planning this

activity may take four weeks.

•Testing: high volume of defective parts shows the

weak testing activity

Some Causes:

Question 2

What are the competitive priorities for custom molds processes and the changing nature of the industry?

Question 2

2006 2007 2008200

220

240

260

280

300

Number of Orders

Mold Orders Plastic Part Orders

Num

ber o

f Ord

ers

Question 2Competitive Priorities of the fabrication process:

•Quality

• Cost

• Lead-time

• Flexibility

Question 2Competitive Priorities of the plastic part:

•Quality

• Cost

• Lead-time

• Flexibility

Question 2Changing the Nature of the Industry:

It needs have changed for both processes in mold fabrication, there is

a need to make very small batches of many different design. in parts

fabrication, there is a need to make large

batches of the same design, longer runs

on the same settings. The demand for

production of molds is slowly declining

while the demand for parts is increasing.

Question 3

What alternatives might be Millers pursue? What key factors should they consider as they evaluate these alternatives?

•Short term to resolve day-to-day

operational problems that would make

immediate performance improvements

•Medium-term decisions require more in-

depth change and it would be more costly

•Long-term strategic operational decisions

which require tight integration with

organization’s objectives

Question 3

Alternatives:

•Improve scheduling to reduce operating and

delivery time

•Using software Programmed

•Improving supplier relationship to reduce the

time of receiving materials

•Designate quality supervisor in charge of mold

fabrication

•More oversight on testing and inspection

•Separate the master machinist from the designer

•Forecast the future orders and needed row materials

Question 3

Short Term Alternatives:

•focus on the supplier relationship

through supply chain management

• methodologies.

•Reorganize plant layout and

processes

•Focus on machinery and invest in

buying the new machinery

Question 3

Medium Term Alternatives:

•Updating the mission and goals of

the company

•Invest in new equipments or even

new firm

•Invest in R&D

Question 3

Long Term Alternatives:

Question 3

Rearrange Layout:Receiving Row Materials

Inventory

Lunch Room

Packing and Shipping

Cut and TrimDry Mix

Testing and Inspection

Wet Mix

Injection Machines

Assembly

Mold Fabrication

Offices

Curr

ent L

ayou

t

Question 3

Rearrange Layout:

Prop

osed

Lay

out

Offices

Receiving Row Materials Inventory

Mold FabricationDry Mix

Wet Mix Injection Machines

Cut and TrimTesting andInspection

Packing andShipping

Lunch Room

Assembly

Thank You

Present like Professionals

Created by:

Mahdi Mesbahimahdi.mesbahi@gmail.com