Learning_Curve_Theory

Reexamining Original Process Originally there were certain decisions made on why each country was chosen. Apparently there has been some change due to the recent situation at hand. The country chosen to supply the control chip remote has an on time delivery rate of 82%. This is obviously unacceptable and Canada will no longer be the country to be able to continue to do business with. The organization seeks to introduce a new version of an automotive keyless entry fob. For the success of the organization, time is a major factor since most of the parts are from global purchasing. The organization is called The x factor Designs. Alternative Process The x factor Designs takes great prides on total quality management in order to do extremely well with their products and services for the customer at hand. They care for their design and guarantee they can be consistent with quality. With this, they also turn to their award winning service. They were awarded the Baldrige Quality Award showing outstanding quality for their products and processes. This leads to the next decision, an alternative for the control chip. The alternative decision for the control chip to be processed will be China. In the recent weeks, the organization has acquired great knowledge on Chinese negotiations, culture awareness and etiquette. Guanxi is also another value of relationship building they are now familiar with. China was chosen after The x factor Designs put much time, effort and research so another issue in delivery accuracy would not happen again. All other decisions regarding the other countries chosen will still remain until further notice. Evaluation Process There were other options for other countries to be the maker of the control chip. China was the country chosen for many reasons, making it the obvious reason to go with. China was chosen because of the long-standing culture. It was admirable to be able to work with a culture whose style of etiquette has been practiced since the days of Confucius. The rules of etiquette are called the li. It consists of rules of conduct changing to help and guide interpersonal associations. After being able to understand their culture, it made it easier to negotiate with them. The evaluation process was just the first step on cross-border understanding. Decision and Planning Impact The x factor Designs understands the certain business factors which may impact the planning and decision-making. Originally, Japan was chosen for the country to produce the transmitter. It was more then just broad knowledge of the country and its reputation on electronics. The CEO of The x factor Designs (Cecile J Durand) resided in Tokyo, Japan for two months. In those months she got to experience their culture first hand. From the phenomenal customer service at an average McDonalds to the people in the subway providing their assistance when she was lost. They went out of their way to make sure she was okay. She did not speak the language and could not read Kanji, yet she submerged herself in their culture, wanting everything they had to offer. Even though Japan and China are two completely different countries, The x factor Designs understood the similarity in respect they share for one another. The decision to choose China was due to the previous choice of Japan and already knowing the negotiation styles were not too far off from each other. Statistical Process Control Statistical process control involves testing a random sample of output from a process to determine whether the process is producing items with in a preselected range. With this in mind, The x factor Designs feels that the Acceptance Sampling will be appropriate for their business. It deals with the items being received from another company and evaluating them on arrival by the receiving department. Applying the Learning Curve The existing process was more of a Just In Time due to being able to accomplish low inventory levels. Yet after some long meetings and a variety of opinions, The x factor Designs decided that they would be able to apply the learning curve to their organization. It will help them see the relationship between the units in production time and the amount of units being produced. Since it is a global strategy, it is a little more intense then anticipated. Reliability on New Process Initially the new process will be a challenge. Making sure minimal mistakes will occur is their first step on becoming a Six Sigma organization. Once familiarization occurs amongst the members of the organization, then the process will be very reliable. Summation of Situation The x factor Designs has already gone through major changes and it was only the beginning. They need to make sure all their bases are covered to be able to get their keyless fob working and in production quickly and efficiently. Changing the maker of the control chip will end up being a better business decision that they wish they had made from the beginning since now they are more familiar with the Asian culture. This will assist them in the growth of their business for the future. Reference: Chase,Jacobs, Aquilano. (2005). Operations Management for Competitive Advantage. Retrieved from Chase,Jacobs, Aquilano, OPS-GM571 website. Deresky, Helen. (2008). International Management: Manageing Across Borders and Cultures, Sixth Edition. Retrieved from Deresky, Helen, OPS-GM571 website. Chase,Jacobs, Aquilano. (2005). Operations Management for Competitive Advantage. Retrieved from Chase,Jacobs, Aquilano, OPS-GM571 website.