Operating management 5 Assignment Example | Topics and Well Written Essays - 1250 words

Operating management 5 - Assignment Example Cavalier Corporation Limited in New Zealand is a public company that specializes in the manufacture of broadloom wool carpets since its opening in 1984. This company ensures effective application of standardization in its operation management roles to include levels of commonality, reference, interchange ability, and compatibility. As a goods production company, Cavalier corporation limited goes on the full stretch to involve the use of standardization principles in generating, processing and analyzing statistics, testing company related theories, and keeping on check the supply chain management sector (Cavalier Corporation, 2010). ... s characterized by its dependency on the customers’ list of requirements to help in the determination of what type quality of goods should be manufactured, or services offered, whenever they are in need of it. A pull system of approach in operations management is a made-to-order process, within Goodman Fielder Company, a manufacturing, distributor and marketer of dairy products, bread, margarine, dressings, oil and a number of food ingredients in New Zealand and Australia. Goodman Fielder Company uses the pull system by carrying out surveys on their clients’ requirements and expectations on the goods and services they manufacture and distribute by ways of brainstorming sessions, focused group discussions and surveys on the user behaviors and types of needs. It is thus meant for producing goods and rendering services that are geared towards customers’ higher levels of satisfactions, company’s lower operation costs, lower inventory initiatives and constantly changing the product designs to meet the ever changing customers’ needs based on time, fashion, location and cost (Tari, Molina, & Castejon, 2007). A summary can therefore be drawn from this explanation that lean principles are based on a philosophy seeking to eliminate wastes in terms of delays, duplications, unnecessary movements, poor communications, incorrect inventories, opportunity lost, and errors in either transactions or damaged items, in all aspects of Goodman Fielder Company’s production activities. One of the disadvantages of this type of system is that it forces producers to the strongest terms and conditions possible to come up with mechanisms of investing heavily into research and developments to see into it that they precisely meet the needs of the ever changing clients’ desires, thus

The Marginalists Term Paper Example | Topics and Well Written Essays - 250 words

The Marginalists - Term Paper Example This means that excess demand or supply in one market would be offset by another in a different market. The same phenomenon holds for the state of disequilibrium such that all markets exist at disequilibrium simultaneously. In his approach of returns to scale, Marshall noted that a firm’s productivity increase more proportionately in the short run. This occurs because of effects of specialization of labor and existence of fixed costs. In the long run, a firm experiences a proportionate increase in productivity since the fixed costs are exhausted and that the firm can no longer benefit from specialization (Canterbery 135). It is vital to note that when a firm is harnessing economies of scale, it reaches its minimum effect scale at a level that other firms cannot harness over a short period thereby causing monopoly. Clark’s arguments rest on the productive capacity of the last unit of capital. In this sense, heterogonous capital goods have a form as homogenous goods (Canterbery 127). The productivity of the last homogenous quantity determines the profit. This differed from the Karl’s view of heterogonous goods as determination of profits. The criticism of this theory regards the fact that Clark present production units as abstract concepts that do not unify to influence