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CIS 319 Week 2 Riordan Manufacturing Service Request Process Evaluation


CIS 319 Week 2 Riordan Manufacturing Service Request Process Evaluation fin571

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CIS 319 Week 2 Riordan Manufacturing Service Request Process Evaluation
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Date Created: 11/10/15
Riordan Manufacturing 1 Running Head: RIORDAN MANUFACTURING SERVICE REQUEST PROCESS  EVALUATION  Riordan Manufacturing Service Request Process Evaluation  Team Member Names Here   University of Phoenix Riordan Manufacturing 2 Riordan Manufacturing Service Request Process Evaluation Like any modern business, Riordan Manufacturing acknowledges the necessity of  innovation. While the competition has computerized procedures, Riordan persists in manually  processing invoices and records. The potential for this manufacturing giant demands they wait no longer and the journey of improvement must begin. Executive Summary        Riordan Manufacturing is a global plastics manufacturer with facilities located in California, Michigan, Georgia, and China. Products that are manufactured at Riordan include plastic  beverage containers, custom plastic parts, and plastic fan parts. The major customers for Riordan Manufacturing include automotive parts manufacturers, aircraft manufacturers, the Department  of Defense, beverage makers and bottlers, and appliance manufacturers (Riordan Manufacturing, 2006). Riordan Manufacturing is a Fortune 1000 enterprise with revenues in excess of $1 billion.        Research and development at Riordan Manufacturing will remain the industry leader in  identifying industry trends. The mission statement for Riordan Manufacturing states that Six  Sigma and the exceeding ISO 9000 standards define the attitude and abilities of Riordan  Manufacturing. Six Sigma is a measure of the number of defects in a specific process or  operation. With Six Sigma, no worries remain regarding defective parts, which often preoccupy a manufacturing company. The defect opportunity has three important variables that to keep in  mind. The first defect opportunity variable to consider is the amount of different defects that  occur on an assembled part. The second defect opportunity variable to take into account is the  Riordan Manufacturing 3 number of places on that part where the defects can occur. The last defect opportunity variable to bear in mind is that every production step could cause one or more of the defects on the part.        Riordan Manufacturing wants to improve its inventory and manufacturing processes. By  improving the inventory and manufacturing processes, the company will reduce the expense of  using paper and become a much greener company. By turning the company into a computer­ based information system, it will cut down on the time of having to mark on paper for inventory  and manufacturing. The supervisors along with the manufacturing team will only have to type in  the number of sub­assemblies and final products completed for that day. Business Summary        At Riordan, keeping up with inventory and allowing the company to evolve into a greener  more environmentally safe company is an ongoing process. This sensitivity to the world will  allow manufacturing tools to become more efficient while continuing to produce a product that  provides consumers with a clearer conscience regarding their purchases.  The Riordan Manufacturing Corporation has a very strong company mission statement.  The mission statement includes focus, customer relationships, the employees, and future goals.  Without having this mission statement, the company would not have a solid ground to build upon to make the company a stronger business. However, a number of key operational areas at  Riordan Manufacturing need improving if the company wishes to keep pace with the double­ digit sales forecasts for a new fiscal year.  The current inventory management procedures for Riordan Manufacturing consist of the  following:  raw materials receiving, manufacturing with inventory and final product shipping.   Riordan Manufacturing 4 Raw Materials Process Flow Source: Riordan Manufacturing. (2008). %20Management.pdf Riordan Manufacturing 5 Manufacturing with Inventory Process Flow Source: Riordan Manufacturing. (2008). %20Management.pdf Riordan Manufacturing 6 Final Product Shipping Process Flow Source: Riordan Manufacturing. (2008). Riordan Manufacturing 7 %20Management.pdf Riordan Manufacturing 8 The recommendations for improvement fall into three distinct categories:   Streamline the inventory process.  Provide an automated, customer­accessible ordering system (which allows customer to  track products ordered in transit).  Create a centralized sales database to eliminate duplicated effort and streamline  communication.        One of the biggest improvements that would assist the manufacturing, delivery, and  shipping systems are changes to the inventory management system. For instance, upgrading the  inventory management system to a less manual system and a more automated system using  barcode technology. Barcodes or Universal Product Codes (UPC) would be placed on each  product built and every raw material received by Riordan. Inventory products are scanned during the removal of inventory. In addition, inventory products are scanned when placed on transit and  upon arrival and departure at any Riordan facility. This procedure is established for both raw  materials arriving as well as products that are post­production and ready for distribution. With  accurate inventory counts, the company could better forecast low inventory levels and drive  manufacturing based on the available inventory and projected orders from our customers. The  system will have reorder quantities established and will auto­reorder when inventory levels get  low. This will help automate the ordering of the raw materials critical to the manufacture of  Riordan products.        In order for Riordan Manufacturing to use the barcode system, the company will have to  submit an application to the Uniform Code Council (UCC) to obtain authorization to be in the  UPC system (Brain, 2009). The budget committee will need to make necessary arrangements for  Riordan Manufacturing 9 an annual membership fee. The UCC will issue out UPC numbers upon approval (Brain, 2009).  Inventory specialists at Riordan must send a list of products with the application and applicable  fees. Once confirmation of acceptance has been successful, various department heads will come  together to establish a final method of handling the UPC codes according to the UCC governing  guidelines. It will be necessary to establish a team of inventory specialists known as UPC  coordinators. This job specifically is to keep track of all these numbers and to establish a running tally of inventory during a given period as to keep both numbers and products together and in  place.        A network of computers specifically designed to make the process for the UPC coordinators  more efficient will save the company money. One thing to consider regarding a universal coding  method is the need to take certain security steps to prevent miscalculations in summarizing the  amount of product stored at Riordan warehouses. For instance, placing a separate network of  tracking within the overall system creates a more structured basis of where a supply is located on the premises.  Furthermore, the company and its customers would have real­time access to order  fulfillment, delivery, and inventory levels. Customers would use their password to log into the  system and see if the item is currently on back order, in the manufacturing process, in stock, or in transit. The customer would be able to place orders directly through this system. The ordering  system interfaces with the sales, inventory, and finance systems and allows for a more effective  and efficient way to take orders. Riordan’s system also links into transportation providers'  websites, allowing customers to track their shipments easily using the tracking numbers given to  them with each shipment. Riordan Manufacturing 10 Creating visibility from a purchase and sales interface into the inventory system will greatly  reduce the possibility of error in the manual sales process currently employed. The products that  are in stock and available at any Riordan location will show as available for distribution and  relocation to any other Riordan location. Using this new system, customers could also create  automatic reorder levels by date to replenish their stock automatically. This system allows every  customer to use the same format and eliminate costly errors that are more likely to occur in the  manual order process. Another way to streamline operations will be the implementation of a customer database.  Without a centralized customer database system to track communications and reorders, efforts  duplicate and, at times, fall short of Riordan’s commitment to customers. Not only will this  database hold customer information, but also the system will be externally accessible, allowing  all field sales reps and customers to check the status of their orders through a password­protected website. Further, this database will track any communication between the Riordan employee and  the client. This will help avoid duplicate communication between Riordan and its customers,  showing an organized, unified, and professional face to the customer. The proposed systems will provide Riordan with the opportunity to increase profits and  market share by generating a larger consumer base. The consolidation and reorganization of the  information systems will permit Riordan Manufacturing to increase the bottom line while  decreasing operating expenses. Each of the proposed changes will not only benefit the employees and shareholders but clients as well. The changes will create and maintain the long­term  relationships that Riordan Manufacturing has valued in the past and will continue to build. Riordan Manufacturing has tremendous potential to expand their manufacturing and  Riordan Manufacturing 11 inventory processes to a barcode system. If they choose to move forward with these suggestions,  however, is another matter entirely. Forwarding this proposal on to financial consultants should  only underline the necessity of innovation. The time for change has come to Riordan. Riordan Manufacturing 12 References Brain, M. (2009). How UPC Bar Codes Work: the introduction to how UPC bar codes work.  Retrieved on July 7, 2010 from Riordan Manufacturing. (2008). Inventory and Management Control at Riordan Manufacturing.  Retrieved July 8, 2010 from Riordan Manufacturing: %20Inventory%20Management.pdf Riordan Manufacturing. (2006). Riordan Manufacturing History. Retrieved July 1, 2010 from m


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