Question: Which organization was more effective at developing the prototype and meeting the deadlines? Why? Why did Acme get the final contract? Please do this in

Which organization was more effective atWhich organization was more effective atWhich organization was more effective at

Which organization was more effective at developing the prototype and meeting the deadlines? Why? Why did Acme get the final contract? Please do this in 200 or more words!

Part 1 550 people. Omega had annual sales of $80 million and employed 480 people. Acme regularly achieved greater net In 1986, Technological Products of Erie, Pennsylvania, profits, much to the chagrin of Omegas management. was bought out by a Cleveland manufacturer. The Cleveland firm had no interest in the electronics division Inside Acme of Technological Products and subsequently sold to The president of Acme, John Tyler, was confident that, had different investors two plants that manufactured computer the demand not been so great, Acme's competitor would chips and printed circuit boards. Integrated circuits, or not have survived. In fact, he said, "we have been able chips, were the first step into microminiaturization in the to beat Omega regularly for the most profitable contracts, electronics industry, and both plants had developed some thereby increasing our profit." Tyler credited his firm's expertise in the technology, along with their superior greater effectiveness to his managers' abilities to run a capabilities in manufacturing printed circuit boards. One tight ship. He explained that he had retained the basic of the plants, located in nearby Waterford, was renamed structure developed by Technological Products because it Acme Electronics; the other plant, within the city limits of was most efficient for high-volume manufacturing. Acme Erie, was renamed Omega Electronics, Inc. had detailed organization charts and job descriptions. Acme retained its original management and upgraded Tyler believed everyone should have clear responsibilities its general manager to president. Omega hired a new and narrowly defined jobs, which would lead to efficient president who had been a director of a large electronic performance and high company profits. People were research laboratory and upgraded several of the existing generally satisfied with their work at Acme; however, some personnel within the plant. Acme and Omega often of the managers voiced the desire to have a little more competed for the same contracts. As subcontractors, both latitude in their jobs. firms benefited from the electronics boom and both looked forward to future growth and expansion. The world was Inside Omega going digital, and both companies began producing digital Omega's president, Jim Rawls, did not believe in microprocessors along with the production of circuit boards. organization charts. He felt his organization had Acme had annual sales of $100 million and employed departments similar to Acme's, but he thought Omega's plant was small enough that things such as organization Part III charts just put artificial barriers between specialists who should be working together. Written memos were not Inside Acme allowed since, as Rawls expressed it, "the plant is small As soon as John Tyler was given the blueprints (Monday, enough that if people want to communicate, they can just July 13, 1992), he sent a memo to the purchasing depart- drop by and talk things over." ment asking to move forward on the purchase of all neces- The head of the mechanical engineering department sary materials. At the same time, he sent the blueprints to said, Jim spends too much of his time and mine making the drafting department and asked that it prepare manu- sure everyone understands what we're doing and listen- facturing prints. The industrial engineering department was ing to suggestions." Rawls was concerned with employee told to begin methods design work for use by the produc- satisfaction and wanted everyone to feel part of the or tion department supervisors. Tyler also sent a memo to all ganization. The top management team reflected Rawls's department heads and executives indicating the critical time attitudes. They also believed that employees should be fa constraints of this job and how he expected that all employ- miliar with activities throughout the organization so that ees would perform as efficiently as they had in the past. cooperation between departments would be increased. A The departments had little contact with one another newer member of the industrial engineering department for several days, and each seemed to work at its own speed. said, When I first got here, I wasn't sure what I was sup Each department also encountered problems. Purchasing posed to do. One day I worked with some mechanical en could not acquire all the parts on time. Industrial gineers and the next day I helped the shipping department engineering had difficulty arranging an efficient assembly design some packing cartons. The first months on the job sequence. Mechanical engineering did not take the were hectic, but at least I got a real feel for what makes deadline seriously and parceled its work to vendors so the Omega tick." engineers could work on other jobs scheduled previously. Tyler made it a point to stay in touch with the photocopier manufacturer to let it know things were progressing and to Part II learn of any new developments. He traditionally worked to keep important clients happy. Tyler telephoned someone at In the 1990s, mixed analog and digital devices began the photocopier company at least twice a week and got to threatening the demand for the complex circuit boards know the head designer quite well. manufactured by Acme and Omega. This system-on On July 17, Tyler learned that mechanical engineering a-chip technology combined analog functions, such as was far behind in its development work, and he "hit sound, graphics, and power management, together with the roof. To make matters worse, purchasing had not digital circuitry, such as logic and memory, making it obtained all the parts, so the industrial engineers decided highly useful for new products such as cellular phones and to assemble the product without one part, which would wireless computers. Both Acme and Omega realized the be inserted at the last minute. On Thursday, July 23, the threat to their futures and began aggressively to seek new final units were being assembled, although the process customers. was delayed several times. On Friday, July 24, the last In July 1992, a major photocopier manufacturer was units were finished while Tyler paced around the plant. looking for a subcontractor to assemble the digital mem Late that afternoon, Tyler received a phone call from the ory units of its new experimental copier. The projected head designer of the photocopier manufacturer, who told contract for the job was estimated to be $7 million to Tyler that he had received a call on Wednesday from Jim $9 million in annual sales. Rawls of Omega. He explained that Rawls's workers had Both Acme and Omega were geographically close to found an error in the design of the connector cable and this manufacturer, and both submitted highly competitive taken corrective action on their prototypes. He told Tyler bids for the production of 100 prototypes. Acme's bid was that he had checked out the design error and that Omega slightly lower than Omega's; however, both firms were was right. Tyler, a bit overwhelmed by this information, asked to produce 100 units. The photocopier manufacturer told the designer that he had all the memory units ready told both firms that speed was critical because its president for shipment and that, as soon as they received the missing had boasted to other manufacturers that the firm would component on Monday or Tuesday, they would be able have a finished copier available by Christmas. This boast, to deliver the final units. The designer explained that the much to the designer's dismay, required pressure on all design error would be rectified in a new blueprint he was subcontractors to begin prototype production before the sending over by messenger and that he would hold Acme final design of the copier was complete. This meant Acme to the Tuesday delivery date. and Omega would have at most two weeks to produce the When the blueprint arrived, Tyler called in the prototypes or would delay the final copier production. production supervisor to assess the damage. The alterations in the design would call for total disassembly of electrical engineering knew of a Japanese source for the and the unsoldering of several connections. Tyler told the components that could not be purchased from normal supervisor to put extra people on the alterations first thing suppliers. Most problems were solved by Saturday, July 18. Monday morning and to try to finish the job by Tuesday. On Monday, July 20, a methods engineer and the Late Tuesday afternoon, the alterations were finished production supervisor formulated the assembly plans, and the missing components were delivered. Wednesday and production was set to begin on Tuesday morning. On morning, the production supervisor discovered that the Monday afternoon, people from mechanical engineering, units would have to be torn apart again to install the electrical engineering, production, and industrial engineering missing component. When John Tyler was told this, he got together to produce a prototype just to ensure that again hit the roof. He called industrial engineering and there would be no snags in production. While they were asked if it could help out. The production supervisor and building the unit, they discovered an error in the connector the methods engineer couldn't agree on how to install the cable design. All the engineers agreed, after checking and component. John Tyler settled the argument by ordering rechecking the blueprints, that the cable was erroneously that all units be taken apart again and the missing designed. People from mechanical engineering and electrical component installed. He told shipping to prepare cartons engineering spent Monday night redesigning the cable, and for delivery on Friday afternoon. on Tuesday morning, the drafting department finalized the On Friday, July 31, 50 prototypes were shipped from changes in the manufacturing prints. On Tuesday morning, Acme without final inspection. John Tyler was concerned Rawls was a bit apprehensive about the design changes about his firm's reputation, so he waived the final inspection and decided to get formal approval. Rawls received word after he personally tested one unit and found it operational. on Wednesday from the head designer at the photocopier On Tuesday, August 4, Acme shipped the last 50 units. firm that they could proceed with the design changes as discussed on the phone. On Friday, July 24, the final units Inside Omega were inspected by quality control and were then shipped. On Friday, July 10, Jim Rawls called a meeting that included department heads to tell them about the potential contract they were to receive. He told them that as soon as Part IV he received the blueprints, work could begin. On Monday, July 13, the prints arrived and again the department heads Ten of Acme's final memory units were defective, whereas met to discuss the project. At the end of the meeting, all of Omega's units passed the photocopier firm's tests. drafting had agreed to prepare manufacturing prints, The photocopier firm was disappointed with Acme's while industrial engineering and production would begin delivery delay and incurred further delays in repairing methods design. the defective Acme units. However, rather than give the Two problems arose within Omega that were similar entire contract to one firm, the final contract was split to those at Acme. Certain ordered parts could not be between Acme and Omega with two directives added: delivered on time, and the assembly sequence was difficult maintain zero defects and reduce final cost. In 1993, to engineer. The departments proposed ideas to help through extensive cost-cutting efforts, Acme reduced its one another, however, and department heads and key unit cost by 20 percent and was ultimately awarded the employees had daily meetings to discuss progress. The head total contract

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related General Management Questions!