'Reorganizing the Woody Company Essay\r'

' accentuate\r\n arboraceous connection is a small sole-proprietorship that specializes in the manuf lickure of high quality bar stools. Currently, ternion types of bar stools be marketed with increases in standing order of magnitudes presently reaching $750,000. Mr. Woody has decided to expand his brass to and aggressively pursue the market, save realizes that issues with defective forest from his suppliers, manufacturing quality defects and problems associated with late delivery of his finished ingathering has impacted his profit margin (Bateman & amp; Snell, 2007, p. 317). My supporter has been solicited to optimize the organizational building, recommend pay structure and determine work allocation within the companionship.\r\norganisational Structure\r\nA small play along is, by definition, one that employs less than 500 employees (Hatten, 2007, p. 5). This is just now applic able-bodied from the prospective that being a small vexation by definition allows for ce rtain assistance from the dispirited Business Administration and tax code specifications. to a great extent importantly, the small business is a mindset of deed that go away capitalize on the potential cap talent of tractableness and responsiveness that tin sack up only be exercised with a association that â€Å" bunghole move fast, sens provide quality goods and services to targeted market niches, and corporation inspire greater contact from their people” (Bateman & Snell, 2007, p. 298). Mr. Woody has provided a mission and vision parameter for his company that states the following: â€Å"To manufacture world-class products that ar competitive in the world market in quality, reliability, transactance, and profitability (and) to create a culture where pride, ownership, exercising security, and trust are a way of action” (Bateman & Snell, 2007, p. 317). What follows is a plan that impart becoming these expectations and provide opportunity for increased growth.\r\nSome of the light that is afforded by keeping the focus of the company on remaining small is a greater ability to use a mechanistic structure that is able to remain responsive, promoting both a high involvement and a continuous learning environment, enhancing quality forward motion standards and embracing lean manufacturing as a factor to reform boilersuit profitability.\r\nFigure 1 (p. 8) is the proposed organizational chart for Woody Company which I will use to illustrate work responsibilities covered later on in this proposal. Although this structure may serve to match some popular beliefs that organic structures can be more responsive to changing company dynamics and market realities (Bateman & Snell, 2007, p. 292), a 2006 article in the Academy of precaution Journal which studied the inconsistency between mechanistic and organic structures contradicts this view check. In this meditate Sine, Mitsuhashi and Kirsch prove that mechanistic structure s promote â€Å"low voice ambiguity, high levels of respective(prenominal) focus and discretion, low coordination represents, and for the most part high levels of organizational capacity” (pp. 130-131).\r\nI use up that this type of organizational structure is precisely what Woody Company needs to build on real successes. By following my model of reorganization, the benefits that can be seen in a more organic structure, such(prenominal) as an inherently increased amount of flexibility finished coordinated decision making and individual employee endowment, can and will be realized. Top-down investing in the continuous training of the employees of Woody Company, through and through the direct efforts of the Human Resource and Training slur is an investment that will pay rewards in not only employee loyalty, but also efficiency in all the operations.\r\nFocus on Communication Strategies\r\n caution focus on preventing or lessening conversation barriers will serve to not only empower all employees, but also help improve summonses which may lead to greater efficiency and moolah. one and only(a) recommendation to potentially remove communications barriers is a daily operations walkthrough meetings each morning on the manufacturing floor by all managers. This not only improves situational awareness across the organization, but also provides the ply the opportunity to address concerns and raise issues that challenge management. guide and open communications are a meaning(a) attribute to process gain and come at a very low price.\r\nImplement carry Manufacturing\r\nAnother key influence to better general quality and efficiency is the hiring of a dispose Manufacturing lead to en accredited the lean process is effective. A Lean Champion is best defined in the January 2006 Manufacturing at present magazine as:\r\nâ€Å"They [Lean Manufacturing Champions] set and maintain the goals of the improvement projects, making sure that they are alig ned with the overall business priorities and objectives. Lean champions also act as coaches and teachers, educating the entire organization, including the supply base, on the importance of lean. They are also facilitators and negotiators, helping to smooth out natural manufacturing and organizational issues, and keep lean initiatives on leading” (Weissman, 2006, ¶ 4).\r\nDedicating Woody Company resources on adapting Lean Manufacturing principles and actions will ultimately lead to greater process efficiency and quality which will lead to greater profits and growth potential. Lean principles are an investment in violence and processes.\r\nBuy quality Materials, Produce Quality Products through Automation\r\nWoody Company can take two steps in the manufacturing process to realize immediate improvements in the quality of goods produced. First, the company needs to re-evaluate their bare material supplier relationships. The purchasers for the company must procure only the finest in raw materials as a first step in reducing waste through not convey defective materials into the plant in the first place. This can be done by pre-screening suppliers and making sure that they meet standards of quality such that are proved through ISO 9000 certification. Analyzing history on dollars lost through defective raw materials can be translated into peradventure paying more in order to obtain premium raw timberland materials. The second method acting to improve quality should be a come off of manufacturing processes with a focus on introducing computerized cutting, joining and measuring rod equipment.\r\nThe cost associated with automating the manufacturing process can be part through improved production capacity, more faultless fabrication, and greater flexibility in the types of wood products that can be manufactured. Using computer controlled equipment removes the human misplay element during production runs, and expands the potential product contro versy opportunity to other knowledge bases of manufacturing. Figure 1 (p. 8) shows the manufacturing areas as Pre-Fabrication, Fabrication and Assembly and Finishing. The specialization of the staff in these modules builds on proven advantages mass customization (Bateman & Snell, 2007, p. 307), but does not necessarily mean that every order needs to be unique. The key is that specialization provides greater flexibility. Personnel resource allocations that I have recommended are based on my perception of the more wear upon intensive areas of the process, but personnel can and should be cross trained. Personnel allocations should ensure that each area of the process contains at least some personnel that are skilled woodworkers, and that quality checks are utilise at each stage, to include as a final check, shipping and receiving.\r\nPay and Bonus final cause\r\nCompensation of personnel at Woody Company should be based on responsibility, experience and proven performance. Cons ideration should be given to financial bonuses for employees who perform above and beyond expectations and rewards for the various teams in the company that have proven efficiency and demonstrated cost savings.\r\nConclusion\r\nWoody Company needs to take on strategic changes to increase market ownership and profitability. increase manpower alone is a simplistic and perhaps ineffective solution. The appropriate action will assert on a willingness to focus on improving current competencies and develop capacity for increased areas of the wood furniture market. My recommendations are a starting point; now Woody Company needs to act in order to take the company to the future(a) level.\r\nReferences\r\nBateman, T, & Snell, S. (2007). _Management: The impudently Competitive Landscape (7th ed.)_. New York: McGraw-Hill/Irwin\r\nHatten, T. (2006). _Small Business Management: Entrepeneurship and Beyond (3rd ed.)._ New York: Houghton Mifflin Co.\r\nKnudson, B. (2007, September). Implem enting A Vision. _Manufacturing Today_, _7_(5), 48-51. Retrieved January 6, 2008, from Business Source Complete database.\r\nSine, W., Mitsuhashi, H. & Kirsch, D. (2006, February). Revisiting burn down and Stalker: Formal Structure and New ship Performance in Emerging Economic Sectors. _Academy of Management Journal, 49_(1). 121-132. Retrieved January 5, 2008 from Business Source Complete database.\r\nWeissman, R. (2006, January). We Are the Champions. _The ManufacturerMagazine_ retrieved January 6, 2007 from http://www.themanufacturer.com/us/content/3947/We_are_the_champions\r\n'