Process Choice for Manufacturing Strategy

1. Manufacturing Strategy Document

a. Process choice

i. Choice of process

For the selected manufacturing strategy the element design will buy the titanium parts that Brompton Bicycle will use to manufacture the folding bicycles. The choice of this process will assist the company to outsource the right parts. Availability of these materials will be important in manufacturing bicycles.

Alternatively, Brompton Bicycle may choose to produce the titanium parts on their own. Setting up the place may be expensive. However, the choice of this process will reduce the cost that is spent on purchasing these parts.

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ii. Role of Inventory

Brompton Bicycle will use their inventory on analyzing the effect of the enrollment of a new manufacturing strategy on demand and supply. The introduction of the proposed strategy will change this element. Therefore, the company will adjust based on these conditions.

Apart from analyzing demand and supply, Brompton Bicycle will use the inventory indicate the previous financial performance of the existing manufacturing strategy.

iii. Make or buy

The proposed manufacturing strategy requires that Brompton Bicycle should have enough titanium parts to increase the number of bicycles produced. Therefore, this manufacturing strategy requires that Brompton Bicycle should buy these parts in required amounts. The Brompton Bicycle will coordinate will identified titanium-producing companies to purchase these parts.

Besides buying, the strategy focuses mainly on making. In manufacturing, the strategy directs the company on increasing its manufacturing rates through the production of different bicycle models.

iv. Capacity (size, timing, location)

The strategy will be located in the manufacturing department. Based on the manufacturing strategy objective, this location will make the department to control all the manufacturing operations. The location will also facilitate the experts to be involved in ensuring that the proposed strategy goes as required.

The proposed manufacturing strategy requires that Brompton Bicycle should expand its operations. The size of the strategy should have the same size as the intended market.

b. Infrastructure

i. Function Support

Brompton Bicycle will rely on their workers to provide any support required for the implementation of the proposed manufacturing strategy. The company has qualified workers who will be assigned to carry out various obligations. The strategy is detailed thus assignments will be provided based on workers’ qualifications.

Brampton Bicycle will outsource experts from other companies that have successfully entered the international market.

ii. Manufacturing planning and control systems

The manufacturing planning will be aligned with the manufacturing strategy objective. The primary objective of the strategy is to expand its market boundaries beyond the UK. Therefore, the plan will indicate the methodology that Brompton Bicycle will use to ensure the objective is achieved.

An alternative design in this element will be using the control systems to ensure that the barriers to the strategy implementation are eliminated. The inability of Brompton Bicycle to gain access to other markets shows the probability of barriers that should be eliminated.

iii. Quality assurance and control

The Quality Assurance Department will be assigned with the role of monitoring the manufacturing strategy to avoid mistakes. Brompton Bicycle has the head of this department that will be given this obligation.

The strategy will also be designed to determine any aspects that may interfere with the quality of the folding bicycles manufactured. Determination of these aspects will enable the company to avoid making mistakes.

iv. Manufacturing systems engineering

The company will use the unique programs in the manufacturing systems engineering to produce different bicycles models. The provision of various models will provide the customers with a wide range of choice.

Alternatively, the manufacturing systems engineering will facilitate customization of the bicycles based on the customer's demand. The fact that in manufacturing system engineering experts are used it will be easy for these people to use their skills in ensuring that customization is conducted as required.

v. Clerical procedures

The clerical procedures that will be required will be the determination of the need for a new manufacturing strategy. Currently, there is a strategy but its inability to facilitate market expansion means there is the need of making a change. However, the change should be viable. The procedures should also provide clerical materials that are crucial for the success of the proposed strategy. The proposed strategy is procedural thus without consideration of various factors especially necessities the strategy risks failing. Therefore, those involved in the clerical assignment should ensure that the materials are available.

vi. Salary/ wage agreements

The workers taking part in the implementation of the proposed manufacturing strategy will be paid according to the position they occupy. Therefore, the senior staffs due to their roles and capacity will be highly paid. Since this strategy is part of the company’s method of expanding its services in the market Brompton Bicycle will use its workers and the wage agreement will be met based on the contract that each individual will take.

vii. Work structuring

The work will be structured in various departments with the executive and a team of engineers conducting the oversight responsibility. Brompton Bicycle has been manufacturing different models of bicycles. Therefore, the company will use most of its experts in designing this manufacturing strategy. The design will consider the duration indicated for the strategy implementation to ensure that the work structure aligns with the time allocated to avoid last minute rush or omitting certain aspects that are important.

viii. Organisation structure

Andrew Ritchie being the founder will contribute significantly to the decisions taken. However, responsibilities will be delegated based on the strategic requirements. Production department will be the hub that will direct decision making since manufacturing is conducted in this place. The organization structure will be coordinated to avoid confusion during the execution of the mandates during the enrollment of the proposed manufacturing strategy.

2. Company/market/business background

Brompton Bicycle is a British company that manufactures folding bicycle. The company has been in existed since 1976 manufacturing folding bicycles and accessories from titanium parts. Andrew Ritchie was the founder of the company (Brompton, 2018). The company has its headquarters in Greenford in the United Kingdom with 315 workers. The company has its huge market in the UK but other customers outside the UK who are interested in these bicycles normally buy them through the online marketing platforms. Brompton faces both local and international competitors in the bicycle manufacturing market. Gonbike and Yellow are two foreign manufacturers who are also rivals to Brompton Bicycle. Hummingbird Bike manufacturers who are based in Banbury in England are the local competitor to Brompton. Most of their folding bicycles are light. Their customers agree that these bikes are the lightest in the world which makes them easy to use. The presence of both the local and international rivals has created stiff competition. Due to the competition, Brompton Bicycle has come up with various models of bicycles (Brompton, 2018). In addition to that other bikes are now customized based on the demands of the customers. The organization has been forced to intensify their innovation to keep up with the competition. Brompton Bicycle for all those years has not expanded their physical market beyond the UK. The rigidity of this company has made other companies in the same industry to take over other markets that lack Brompton’s products. The availability of these organizations in these markets has restricted the probability of the companies to comfortably acquire new markets. Nonetheless, the company has invested in the digital market. Brompton Bicycle has Facebook, Pinterest, Instagram, and Twitter accounts where it advertises its bicycle’s models (Brompton, 2018). In addition to that, the company uses these platforms to engage their customers and receive feedback for their products. The social media has assisted the company to reach other customers which have eventually expanded their market. According to the trends, the company currently produces a high volume of bicycles. It is approximated that Brompton produces 400,000 bicycles annually (Brompton, 2018). The company also has a hiring system that allows customers to hire these bicycles at a given fee. The 2016/207 financial report indicated that the company had £10 million in revenue. The revenue indicated that the company was doing well in the market.

3. Development and completion of justified and appropriate company objectives and strategies

Designing Brompton Bicycle’s manufacturing process was not a simple task. The technicality of this process was triggered by the presence of the existing manufacturing strategy. The presence of the strategy and the need of another meant that the current one had problems. Unfortunately, Brompton Bicycle may not continue to use the existing strategy if it does not give the expected outcome. There was pressure for the proposed to be more productive than the current one. Therefore, the process started by carrying out the diagnosis of the existing strategy before the information can be used in carrying out other steps (Birkinshaw, 2016). The diagnosis indicated that the existing strategy had an objective that restricted Brompton Bicycle mainly to the UK market (Brompton, 2018). Due to the scope of the objective, it was hard for the existing manufacturing strategy to break the limits. The market strategy that is currently used at Brompton Bicycle is tailored according to the UK physical market and partial for other markets through the online platforms.

The weakness that the current strategy has makes increasing the number of the order qualifiers to be reduced. However, those who are qualified do not have the credibility that will assist the strategy to gain access to other markets. Therefore, the proposed strategy is focusing more on the weakness of the current one. At the same time, the strengths of the current strategy are also considered. For instance, the potential of the current strategy to support Brompton Bicycle to the position that is currently holding shows some levels of capabilities that can be maintained. The proposed manufacturing strategy objective focuses on increasing the presence of the company to the bicycle industry. In addition to that, it was to increase productivity. In the process of designing a new manufacturing strategy, some of the insights were gathered from the existing one which has stayed for some time. Surprisingly, the strategy enabled the brand to be known by the clients. Therefore, the proposed strategy seeks to build on the current one to ensure that the barriers are eliminated.

The process of designing this new manufacturing strategy also demanded that Brompton Bicycle management should identify powerful players in the market (Jacobs, Chase and Lummus, 2014). For instance, the rivals and others that have a good track record in the other markets. The identification of these players was crucial in developing a strategy that considers all the market factors. In designing Brompton Bicycle noted that for their bicycles to order qualifiers and even order winners it was important to have a close comparison. The company has been manufacturing different bicycle models. However, most of them are sold in the UK. Despite the fact that Brompton has social media platforms for reaching out to clients outside the UK, the sales are normally low.

The current bicycle models at Brompton Bicycle are the order winners. These models win these bids because they have current technology. The technology in these new generation bicycles manufactured at the company makes these bicycles to have features that enticing most of the cyclists. The consistency that Brompton Bicycle has in its current market is an indication of an order qualifier. The levels of creativity displayed in your bicycles and bicycle parts increase the rate of bidding which eventually leads to an order winner.

4. Design of manufacturing strategy elements (including assessment of options and justified selections

For Brampton Bicycle to expand its market adhering to the aspects of Hill’s theory is important. The corporate objective is to expand the company services by increasing the rate of innovation in the company. However, for the company to move there is the need of partnership or the alliances with other brands that are productive. The alliances because Brampton Bicycle engages in manufacturing of the folding bicycles and an accessory having another partner doing the same work will be a suitable marketing strategy (Tangen, 2004, p.737). Brompton Bicycle has the role to play in enticing the partners that will assist them to expand the market share. The company competes due to the high levels of innovation that the company has allowed the company to have various models of bicycles. In the operation strategy, Brampton Bicycle has diversified the models of their bicycles. In addition to that, the company also customizes these bicycles depending on the customers' demand (Hill, 2017). However, to ensure that the operational strategy is implemented rightfully the choice of the process and manufacturing system engineering is important elements. Brompton Bicycle has various choices to make that will determine the success of the operational strategy. Nevertheless, the selection of the favorable process dictates the operational strategy implementation. The increase in innovation rates was a good choice of the process that will make Brompton Bicycle to expand its market. In addition to that, the integration of manufacturing engineering system means that the company will engage the experts. The inclusion of the experts means that all the operations will be conducted with people who have vast experience and reliable knowledge. In terms of infrastructure, the company has ready dealers who provide titanium parts that are used in making these folding bicycles and its accessories. The current infrastructure had the capability to attend to the existing market (Chenhall and Langfield-Smith, 2007, p.270). In case the proposed manufacturing strategy is integrated the infrastructure will be increased according to the demands of the new market. Adherence of the elements of Hill’s strategy in expanding the market share which is an objective of Brampton will make a selection that will result in the company success. This company has not successfully created a new market since it was formed so in case this attempt goes successfully then it was important to the performance of the company.

5. Depth and breadth of relevant comments in comparing the proposed manufacturing strategy with the deduced existing manufacturing strategy

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At Brompton Bicycle, there are differences. The proposed manufacturing strategies aimed at improving individual company manufacturing activities. The proposed manufacturing strategy comes to perfect existing strategy. Therefore, the proposed strategy is detailed and tailored to the expectations of the company. There are other aspects that the proposed manufacturing strategy will borrow from the existing one. Given that the existing strategy has enabled Brompton to maintain its presence in the UK market is evidence of the strength of this manufacturing strategy. The proposed manufacturing strategy will focus on the weakness that the existing strategy holds. The new strategy will thus build upon the existing one.

5. Identification of relevant recommendations for the implementation of the proposed manufacturing strategy

The key issue at Brampton Bicycle should consider is the current state of the manufacturing strategy. The proposed manufacturing strategy should be integrated if it has an additional impact on the current company objective. The implementation plan for both companies will include the following;

Diagnosis of the existing manufacturing strategy

Formulation of the proposed manufacturing strategy

Trying the manufacturing strategy

Implementing the manufacturing strategy

7. Identification of relevant recommendations associated with communication issues in your implementation process.

Communication process will start by channeling the proposed change to the groups involved. Stakeholders’ understanding of the proposed strategy will be important in the implementation process. Any form of miscommunication will negatively affect the implementation process. The impact is because of the relevance of the information in this process. After channeling the information to the stakeholders waiting their feedbacks will be important (Ward and Duray, 2000, p.135). Therefore, they will be given time to go through the proposed strategy. Eventually, the reaction will reflect informed minds. Communication crisis is one of the issues that are critical in the strategy implementation process. Based on the reactions from the stakeholders, the next decision will be either to continue with the process or decline. Every stakeholder and his or her participation is important to this process.

Therefore, the final stage which is the rollout of this manufacturing strategy should reflect the interests of the majority of the stakeholders. All the stakeholders may not agree with some of the aspects in the proposed manufacturing strategy. However, Brompton should ensure that the majority of the stakeholders’ interests are put into considerations. It is recommended that the company should have proper communication channels to ensure that the decisions accommodate stakeholders’ opinions.

8. Appropriateness of proposed strategy evaluation measures

For Brompton Bicycle expanding its market limit is an appropriate strategy that the company can achieve at the same time. Brompton Bicycle has existed for over twenty years meaning that the company understands the nature of the market though in one region. The ideas can be important in the implementation of the strategy that will cover an extensive market (Sethi, 2012). The evaluation of the ability of this company will dwell mostly on the experiments that will be conducted on the selected regions. The outcome will give a clear picture on what to expect in case Brampton Bicycle decides to introduce the strategy. The evaluation measures will work on both the strengths and weaknesses of the strategy so that to determine some of the errors to be rectified. It is also important that Brompton Bicycle should evaluate their decision of having another manufacturing strategy. Outweighing the merits of the two manufacturing strategies will play a vital role in the evaluation. Designing and implementing new manufacturing strategy requires resources and time. Therefore, it is important that Brompton should be sure about what to expect.

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9. The need for the currency of the strategy, and of methods that will help ensure this

The rate at which other bicycle manufacturers and distributors are expanding their markets even in the UK threatens the viability of Brompton Bicycle. It is important that the company should speed up the implementation process. Brompton understands how to handle customers since they have done so on their social media when they receive orders. Lack of urgency in the deployment of this strategy will cause the company to lose their customer target to its rivals (Lynch and Smith, 2006). Partnership with other organizations in these regions will help the company to gain access to the market at the right time.

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Reference List

Birkinshaw, J., 2016. Multinational corporate evolution and subsidiary development. Springer.

Bouchard, V., 2001. Exploring corporate entrepreneurship: A corporate strategy perspective. Ecole de management Lyon.

Brompton Bicycle 2018. Home. Available at www.brompton.co.uk (Accessed 24 December 2018)

Chenhall, R.H. and Langfield-Smith, K., 2007. Multiple perspectives of performance measures. European management journal, 25(4), pp.266-282.

Hill, T., 1997. Manufacturing strategy-keeping it relevant by addressing the needs of the market. Integrated Manufacturing Systems, 8(5), pp.257-264.

Hill, T., 2017. Manufacturing strategy: the strategic management of the manufacturing function. Macmillan International Higher Education.

Hillier, D., Grinblatt, M. and Titman, S., 2011. Financial markets and corporate strategy (No. 2nd Eu). McGraw Hill.

Jacobs, F.R., Chase, R.B. and Lummus, R.R., 2014. Operations and supply chain management (pp. 533-535). New York, NY: McGraw-Hill/Irwin.

Lynch, R.L. and Smith, J.R., 2006. Corporate strategy. Harlow,, England: FT/Prentice Hall.

Platts, K.W. and Gregory, M.J., 1990. Manufacturing audit in the process of strategy formulation. International Journal of Operations & Production Management, 10(9), pp.5-26.

Porter, M.E., 1989. From competitive advantage to corporate strategy. In Readings in strategic management (pp. 234-255). Palgrave, London.

Schroeder, R.G., Bates, K.A. and Junttila, M.A., 2002. A resource‐based view of manufacturing strategy and the relationship to manufacturing performance. Strategic management journal, 23(2), pp.105-117.

Sethi, S.P., 2012. Multinational corporations and the impact of public advocacy on corporate strategy: Nestle and the infant formula controversy (Vol. 6). Springer Science & Business Media.

Tangen, S., 2004. Performance measurement: from philosophy to practice. International journal of productivity and performance management, 53(8), pp.726-737.

Ward, P.T. and Duray, R., 2000. Manufacturing strategy in context: environment, competitive strategy and manufacturing strategy. Journal of operations management, 18(2), pp.123-138.

Zeithaml, V.A., Lemon, K.N. and Rust, R.T., 2001. Driving customer equity: How customer lifetime value is reshaping corporate strategy. Simon and Schuster.

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