Mgt 427 Atom of Work - Mgt 427 HW#9 SCENARIO You are a...

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Mgt 427 HW #9 4/13/15 SCENARIO: You are a plant manager of Company AAA and you are trying to improve the operations of your plant. You have met with your customer relations manager and production manager and created the following scenario of what happens when it is discovered that an accepted order will be delivered late to the customer. The following description is based on the last three late orders delivered by your plant. Your goal as the plant manager is to improve your order acceptance and order fulfillment process. Your plant has three customer service representatives, all of whom can interact with the customer and can set delivery dates using the standard due date setting process in your plant. This process was established to ensure that there was a 20% buffer in the quoted lead time. The customers, whose orders will now be late, originally called and talked to a customer representative to obtain a quotation on a standard make-to-order item. The customer representative checked that the materials required were in stock and gave the customer the standard price for the quantity being ordered and the standard due date. The customer accepted the price on the condition that the item be delivered one week earlier than the standard delivery date (i.e., there would be no lead time buffer). The customer service representative objected and said this would be difficult and might require overtime to accomplish. The customer said they would not pay a premium price and that they could get it from the competition at the same price one week earlier than the time that was quoted to them. The customer service representative was reluctant to commit to such a short lead time, but was also under pressure to increase the
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  • Fall '09
  • Smith
  • Management, representative, Customer Service Representative

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