Case Report Title Here: Delta Synthetic Fibre's Case Report
The Issue: Why are we here – What are the important Question(s)?
Delta Synthetic Fibres (DSF) is currently working on developing the Britlon range. Therefore, they must determine the most efficient way to introduce their new product. At the same time, they must find ways to meet the demand for their better product. In my opinion, DSF is facing 3 main challenges.
• How is DSF’s ability to produce Britlon based on their existing production plants?
• How many Britlene productions lines should DSF keep for Britlene production?
• With demand surpassing production capacity, what is the appropriate timeline for expansion?
Your Proposed Options:
Option #1:
• DSF currently …show more content…
A lot of things can go unexpectedly and could have a negative impact on the company o Contractor missing deadlines will cause a delays and additional costs o Forecasted sales for products could be inaccurate o Shortage in capital, man power and materials could have a negative impact on DSF
• Financial risk – DSF is at high risk with this move. Within three years, the company has to spend over 25 million lbs. in new equipment. o DSF will most likely acquire debt for this initiative which could lead to negative consequences if construction plans delay
The organization image could be damage if they can’t meet supply
The alliance members such as banks and investors could also be negatively impacted
• Operational risk - Risks that affects ongoing management process shouldn’t be affected. o DSF should have a very solid talent to be able to get the job …show more content…
They must ensure a smooth transition by attracting new consumers while minimizing negative impact on their Britlene line. It is important for the company to do its best to ensure that the adding and converting production lines goes as planned. In the end, the success of the project will be reflected in DSF image and success.
The recommendation: As previously stated, it is necessary for DSF to ensure a smooth transition given that the company is going to incur in very significant investment. As shown on the table above, the plant in Teesside will be only producing the Britlon brand as well as the plants in Hamburg and Chicago with one production line of Britlon respectively. This will also allow for these two locations to continue producing the Britlene. By 2010 however, the projected figures show that DSF is going to be producing 39 million kg of product. My suggestion is for Teesside to add 2 new Britlon production lines and one for Chicago. This will enable the company to meet all future sales
The Issue: Why are we here – What are the important Question(s)?
Delta Synthetic Fibres (DSF) is currently working on developing the Britlon range. Therefore, they must determine the most efficient way to introduce their new product. At the same time, they must find ways to meet the demand for their better product. In my opinion, DSF is facing 3 main challenges.
• How is DSF’s ability to produce Britlon based on their existing production plants?
• How many Britlene productions lines should DSF keep for Britlene production?
• With demand surpassing production capacity, what is the appropriate timeline for expansion?
Your Proposed Options:
Option #1:
• DSF currently …show more content…
A lot of things can go unexpectedly and could have a negative impact on the company o Contractor missing deadlines will cause a delays and additional costs o Forecasted sales for products could be inaccurate o Shortage in capital, man power and materials could have a negative impact on DSF
• Financial risk – DSF is at high risk with this move. Within three years, the company has to spend over 25 million lbs. in new equipment. o DSF will most likely acquire debt for this initiative which could lead to negative consequences if construction plans delay
The organization image could be damage if they can’t meet supply
The alliance members such as banks and investors could also be negatively impacted
• Operational risk - Risks that affects ongoing management process shouldn’t be affected. o DSF should have a very solid talent to be able to get the job …show more content…
They must ensure a smooth transition by attracting new consumers while minimizing negative impact on their Britlene line. It is important for the company to do its best to ensure that the adding and converting production lines goes as planned. In the end, the success of the project will be reflected in DSF image and success.
The recommendation: As previously stated, it is necessary for DSF to ensure a smooth transition given that the company is going to incur in very significant investment. As shown on the table above, the plant in Teesside will be only producing the Britlon brand as well as the plants in Hamburg and Chicago with one production line of Britlon respectively. This will also allow for these two locations to continue producing the Britlene. By 2010 however, the projected figures show that DSF is going to be producing 39 million kg of product. My suggestion is for Teesside to add 2 new Britlon production lines and one for Chicago. This will enable the company to meet all future sales