Section B (60 Marks) Analyse the business situation given below and provide a case study along the lines of the syndicate assignments presented during the programme aimed at improving the situation. Be creative with the financial element of the case study and use any of the methodologies used in the programme. Wine Capsule Manufacturing in the Western Cape Cookson Relvas is a wine capsule manufacturing operation situated in the winelands of the Western Cape. The company was established in the industrial town of Atlantis some 50 kilometres North of Bellville with the specific aim of using the tax advantages provided by the government of South Africa in the 1980's for companies investing in specific growth nodes around the country. The company is owned by the Cookson Group of companies based in Newcastle-upon-Tyne in the United Kingdom The manufacturing operation uses a combination of Lead and Tin to produce metallic wine capsules which are painted and printed and finally boxed and delivered to wine producers in the Western Cape. The process of manufacture shortly after the installation of the plant is broadly as follows: Daily Production Lead Smelting 550 kilograms 300 kilograms Rolling Plant (Tin foil onto Lead strip) Punch & Die Drawing (discs into base capsule) 250 kilograms 2000 capsules 2 Electrostatic Painting sprayers (each) 500 capsules 2 X Pneumatic Painting sprayers (each) 6 X Screen Printers (each) 500 capsules Packing 5000 capsules The weight of a wine capsule is 25 grams In the meantime the sales force has successfully sold the wine capsules to wine producers in the Western Cape and now have 6 months worth of sales for delivery in the next 30 days. You have been sent down to examine the situation which seems to have major issues from both a manufacturing and a sales point of view. A report on the current situation together with the problems, recommendations, costs and benefits and an implementation plan for improvement of the operation is required by the board of the holding company