Innovation in Manufacturing Strategies

The Brief

An aerospace part manufacturing company makes gearbox systems for different OEM (Original Equipment Manufacturer). The plant is located in Midlands to support the European market only. Manufacturing is the main activity. The product engineering is made in their design offices in USA. The company is looking to have a significant change in the business strategy that will be very innovative and thereby, suitable for the current market demands.

The current company situation is as follow:-

• The product engineering is done in USA but it is facing problems. This is due to the fact that the European market has special needs that are currently not well captured in the design process.

• There is a need to increase the level of input from the manufacturing side into the product engineering development cycle.

• Most providers are in the USA, which cause communication problems and lack of flexibility within the UK plant.

• The company uses CAD system that is different from the one used by the OEM and all the OEM are moving toward electronic communication systems.

• The gearbox units are made from components that could be configured and fitted to different engine models.

• The mass production process should continuously cut the manufacturing cost, control the quality and shorten the lead-time.

You are required to propose a new and innovative manufacturing strategy to be adopted by the above company. Such new strategy should support the company’s activities in sustaining and improving their market share as well as ensuring the business profitability.

Discuss and explain in detail what changes that the company should make. This should include any new department that they should create and approaches they should adopt. Provide justification for all action that should be taken by the company, as well as supporting your recommendation with appropriate literature.

Your proposed strategy should address the three major elements in the development and implementation of innovative manufacturing strategies:

• Current status of the company – Assessing the current level of capabilities and expertise within the using information provided. This should be supported by appropriate Literature.

• Where does the company want to be- Determine the position that the company wishes to be in over the next few years. Determine the market issues that would affect such requirements, and set 12 month target levels for them.

• How will the company get there- Propose a new innovative strategy that would achieve the objects set above. Support your proposal with appropriate literature, and justifications.