Wayne Industries

The goal of the article is to investigate the fundamental problems and pressing problems impacting Wayne Industries in light of its manufacturing process and revenue. Inevitably, the paper will offer solutions to the issues in order to enhance operations and increase profitability. The writing will also enhance the backup plans, which contain follow-up strategies for putting the recommendations into action.
Repair and part supply costs are one of the company's most important and pressing expenditures. The growing demand for vehicle wash services is the cause. The company's unorganized stocking procedure is another problem. Primarily, the stock is stacked based on the locations of the vendor and the vendors are limited. For instance, a vendor who specializes in electrical motors supplies differential high-pressurized pumps known as Allen Bradley.

Additionally, there is the underlying issue that employees who stock inventory are two in general. It is due to the increased list of the business. The two employees are charged and tasked with the duties as well as responsibilities of caring for the stock. It includes a stockroom foreman and an assistant who reports to the foreman and the recent reports to the Manufacturing manager. Hence, the two employees tend to handle the orders of the customers such as taking sales from the point-of-sale products. It also includes the sale of telephone orders where the two employees also handle the sales.

Finally, the order in manufacturing is done at the floor shop. It includes the assemblage of low-value items such as everyday items including nuts, bolts, screws as well as washers. More so, it is liable to the purchasing and storage of the items which in some cases the pieces tend to lose value as well as some of the issues become out of stock.

Facts About the Issues

There lacks an organization structure that is effective and efficient in the running of a production business. The business requires a proper administrative, managerial structure as well as competence in the number of employees operating in specific areas. For instance, in the stock room, there are only two employees in comparison to the amount of work undertaken.

Another fact is that there is lack of a synthesized and systematized manufacturing process. In the case, the manufacturing process is decentralized since most of the assemblage takes place in the shop where customers buy the products. Also, the stocking of the supplies is based on the location of the vendor, and this may cause a problem in stock taking (Arnett & Wittmann, 2014).

Another problem is that the business lacks a central depository area where all the necessary stock is placed before and after assemblage. As such, the company only takes what is needed during collection, and sometimes they lack the essential parts making production stall for more than two days (Santos, Wysk, & Torres, 2014).

Solutions

One paramount solution is to reorganize the company both in administration, human resources as well as the hierarchy of authority. In management, the restructuring will entail the determination of a head of sections or departments from manufacturing, finance, human resource and sales and marketing heads. In this, the production will have three managers where one will handle stock inventory, the other assemblage and the third one final supervision of the products as well as overall issues such as repairs of the products. For the human resource department, there will be a complete turnover on the number of employees in each unit especially, manufacturing department as well as stock taking administration (Alcala, 2017).

Another solution will be to centralize the assemblage and production facility. It should be detached to include stock storage, packaging and collection, assessment and evaluation portion of the manufacturing process and the final delivery. The plant should allow the products to be assembled and stored in anticipation of any high demands and low demands.

Finally, the last solution will be to create a control system on stock inventory to link with sales and expected demand. It will entail the analysis or the forecast of the market to determine which products will be in need and at what price. The idea to this is to limit restocking during demand or order from a client and minimizing the cost of available products. Hence, the company will have to adopt a mega sale option for such scenarios (Alcala, 2017).

Follow-up and Contingency Plan

Follow up will be based on a three-month evaluation period. It will entail survey and forum adoption to inquire from the staff as well as the employees if the new passage is more efficient or not. The evaluation follow-up plan will analyze the improved customer service, accounting, and finance as well as enhanced operation of the business. A contingency plan will involve the adoption of the new manufacturing process in the assemblage line with the improvement of taking stock on unwanted inventory. Hence, it would require the analysis of whether the newly adopted manufacturing process is best for the company.

References

Alcala, A.-M. (2017). Managerial Strategies for Improving Employee Engagement: A Single Case Study.

Arnett, D. B., & Wittmann, C. M. (2014). Improving marketing success: The role of tacit knowledge exchange between sales and marketing. Journal of Business Research, 67(3), 324–331.

Santos, J., Wysk, R. A., & Torres, J. M. (2014). Improving production with lean thinking. John Wiley & Sons.