Each item is stamped with the date of production and

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Each item is stamped with the date of production, and components such as dresser drawers, cabinet doors, and expansion leaves of tables also are stamped to identify their location (e.g., top drawer, left door). Careful records are kept so that if a piece of furniture is ever returned for repairs, complete instructions are available (type of wood, finish, etc.) to enable repair people to closely match the original piece. The furniture items then usually move to the "white inventory" (unfinished) section, and eventually to the finishing department where workers apply linseed oil or another finish before the items are moved to the finished goods inventory to await shipment to stores or customers. Production Control Job sequence is determined by the amount of remaining inventory (days' supply on hand), and processing time. Lot sizes are determined by factoring in demand, setup costs, and carrying costs. Typical lot sizes are 25 to 60 pieces. There are many jobs being done concur- rently. Each job is accompanied by a set of bar codes that identify the job and the operation. As each operation is completed, the operator removes a bar code sticker and delivers it to the scheduling office where it is scanned into the computer, thereby enabling production control to keep
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track of progress on a job, and to know its location in the shop. The company's policy of level output coupled with seasonal demand patterns means that prior to peak demand periods, excess output is used to build up inventories, which is then drawn down when demand exceeds production capacity during periods of peak production. Inventory In addition to the "white" inventory and a small finished goods inven- tory, the company maintains an inventory of furniture pieces (e.g., table and chair legs) and partially assembled items. This inventory serves two important functions. One is
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  • Fall '19
  • Syracuse, New York, Gustav Stickley, George Stickley, Stickley Furniture OPERATIONS

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