Commodity chain Essay Example | Topics and Well Written Essays - 500 words

Commodity chain - Essay Example The high density polythene is constantly recycled, where other products that have lived their usefulness are broken and the materials remolded to make new items. The mug as it involves simple manufacturing process of melting plastics and then remolding the plastic to form the mug. This must have been made in the same place where the material was outsourced. This is further affirmed by Media Federal (2011) who explains that the company manufacturers large volumes of similar product. It therefore means that the smelting and the molding were made at the same factory; that is the Wei Mon industry co., Ltd. The plastic that is the main raw material in the mug was most likely sourced within the country for recycling or was either new plastic that was formed in the company to manufacture mugs. Considering that the factory manufactures many similar products as Media Federal (2011) explains, the plastic was most likely new and had been formed from raw materials. Plastics are made of polymers through a polymerization process. Most ingredients for polymerization are mostly imported from several countries China and the U.S being leaders in making these polymer materials (Harper, 714). The ingredients to make the mug were most likely bought from China and the company carried out the polymerization process to obtain the polymers that were later used in manufacturing the mugs. ` The product is produced through injection molding. The molds were most likely designed in the Wei Mon Industry co. and then used to carry out injection molding as the main process that the company is involved in. The product therefore involved the use of already designed moulds where molten plastic was forced through, and the mug formed from the molds. The workers in the process must have made very low wages. The mug requires the use of molds that are in most cases automated, the human input is reduced to control

Operational Management Essay Example | Topics and Well Written Essays - 250 words

Operational Management - Essay Example The company should also be focused on material flow and this increases the liquidity of assets and hence reduces the chance of obsolesce. This can also be dealt with by reducing defects and this ensures that fewer cars are taken back to the factories to rectify the defects. Aligning the metrics in any company has been seen to be crucial in ensuring efficient production. This was demonstrated well by Alfred Sloan where managing the cost of production is key. Having a lean organization where all the resources are used to the maximum is the driving force of success. Currently GM produces approximately 6.1 million unit products annually. If the company takes measure to improve the inventory turnover ratio, this can boost production making the company to increase productivity with 25%. It could thus be possible for GM to produce 7.625 million unit products with its current resources. This would result in increased sales turnovers as their automotives do not stay in stock for a long