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Riordan Manufacturing W6 Final

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Riordan Manufacturing
Process Design Proposal Package

Description

Riordan Manufacturing is in need of a new process for its manufacturing of electric fans. With potential bottlenecks from the current process, both time management and expenses have been suffering. Many factors have been taken into consideration with the new innovative process. With the utilization of the new process it is not only going to be time saving but also will illustrate overall revenue growth. The proposal will include many implementation ideas that are going to contribute to the future success of Riordan Manufacturing:

• A cover letter detailing aggregate operations planning and TQM for Riordan Manufacturing • A new process design for the …show more content…

This is the most cost efficient method of producing these fans involving global opportunities and labor options.

Production Forecast

The management at Riordan Manufacturing must make production forecasts for future periods in order to ensure that the company is using its resources effectively and efficiently. Riordan also needs to deliver their electric fans to customers when promised and the production forecast can help with this process as well (Chase, 2006). For this proposal, Riordan Manufacturing is making the production forecast for the 2006 fiscal year. In order to generate this forecast, management will use historical data. Management has taken the historical sales figures in dollars for fiscal years 2002, 2003, 2004, and 2005 in order to make a forecast for 2006. The following table is the actual sales amounts as reported on the Profit & Loss Statements.

|2002 |$39,481,276 |
|2003 |$43,418,370 |
|2004 |$46,044,288 |
|2005 |$50,823,685 |

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