Chads Creative Concepts Essay Example

introduction of the new product line has affected scheduling, quality, and equipment at Chad's reputable and trusted company. Clients can still rely on the standard units. However, the new product line also impacts production time as there are now two lines being produced. The general purpose equipment tends to use up a significant amount of time for the standard furniture used in custom products. With limited machine hours available, it is crucial to allocate time effectively for each product line.

3. Despite the increasing sales of both product lines, the expense of maintaining two lines is also growing. The profitability of standard furniture is lower, so Chad needs to prioritize cost control and efficient production. Currently, skilled employees are working on both types of furniture instead of focusing more on custom-made pieces. This leads to standard furniture being neglected during busy periods, resulting in additional costs for storage and inventory housing. To accommodate limited available space, all excess furniture is now stored in third-party facilities. Consequently, overall costs are rising and ultimately reducing the company's profits.

4. Chad could have implemented various changes in marketing and logistics. It is crucial to establish separate facilities for each of the two product lines. If both lines are produced in the same building, Chad must divide them in order to maintain control and organization. This segregation would prevent any mixing up of resources and personnel, with one side dedicated to standard products and the other to custom products. Furthermore, Chad should assess employees' capabilities and allocate them to more challenging tasks, thereby guaranteeing adherence to quality standards.

The addition of the second product line resulted

in increased costs and complications. It would have been wise for Chad to conduct market analysis and assess potential profits before deciding to produce standard furniture. The pressure is higher for the standard furniture due to demanding deadlines and delivery requirements. Avoiding this line would have prevented conflicts with scheduling and prioritization. Chad's company has established a strong reputation in the market for its custom-made furniture. However, the introduction of the standard line has led to numerous problems, such as failure to meet delivery times and the production of subpar furniture, which may tarnish Chad's good name.