"Custom Molds" case study on pages 92–94.
Write and submit a 4–5 page paper responding to the following case
questions (questions 1, 2, and 3 on page 94):
What are the major issues facing Tom and Mason Miller What are the
competitive priorities for Custom Molds's processes and the changing
nature of the industry?
o What alternatives might the Millers pursue? What key factors should
they consider as they evaluate these alternatives?
Questions1. What are the major issues facing Tom and Mason Mille Identify the
individual processes on a flow diagram. What are the competitive priorities for these
processes and the changing nature of the industry?3. What alternatives might the
Millers pursue? What key factors should they consider as they evaluate these
alternatives?
Source: Krajewski & Ritzman, Operations Management, 6th Edition
Summary
Custom Molds was founded by a father and son team in 1987 to provide high quality,
custom-designed molds for manufacturers of electronic connectors, but later expanded into
the production of plastic parts for the industry. In recent years, the changing environment of
the electronics industry had a profound impact on the way Custom Molds conducts its
business and manufacturing processes. The changing sales mix, coupled with delivery and
quality problems, prompted the company to revise its business strategies to address the
following issues:
1) Changing trends in the electronics manufacturing industry that caused changes in customer
order needs
2) Unpredictable bottlenecks in the production environment
3) Quality issues resulting in defective parts
, 4) Delivery times
1. Major Issues
Question 1 - What are the major issues facing Tom and Mason Miller?
1.1 Changing Trends
There were several issues facing the owners of the company. Firstly, the major issue is the
electronics industry was changing in that manufacturers were developing strategic
partnerships that allowed the delivery of high quality and cost effective parts. Also, the nature
of their business had shifted in that the mix of sales had changed with the number of multiple
orders declining and the demand for plastic parts increasing (Krajewski & Ritzman, 2007).
In comparing with mold fabrication and plastic part (see appendix), it is clear that plastic
parts has a higher potential sales than mold fabrication on a larger order size. This will allow
Tom and Mason to think whether it is best to eliminate mold fabrication and focus on more
towards plastic parts because of the changing environment.
1.2 Production Process
Issues faced by Custom Molds Inc.:
• The delivery times on parts order were taking four to five weeks instead of the stated
three weeks.
• Number of defective products was on the rise.
• Bottlenecks increased in the production process.
• Changing strategies within their clients business needs changed order needs in an
unexpected way.
There are two distinct processes taking place in the same facility and each process serves
different customer needs. Below is the analysis of each the processes (Mold Fabrication and
Parts Manufacturing) along with recommendations for the same.