JDT2 Task 2
INTEROFFICE MEMORANDUM
TO: CEO
FROM: ELEMENTARY DIVISION MANAGER
SUBJECT: METAL WHISTLE TESTING
DATE: OCTOBER 1, 2011
CC: EXECUTIVE TEAM Overview We have a large shipment of our elementary toy collection scheduled ship at the end of this week but have encountered a problem with the production. One of the products in this collection has failed the quality control testing exceeding the legal limits of lead set by the federal government. This shipment will be delivered to South American schools. As of August 14, 2011 the total legal lead content must not exceed 100 parts per million for a product (CPSC 2013). Our levels tested above these limits and require us to take action. To reproduce this product it will cost the company $100,000.
Alternatives
This memo will discuss the current issue that is facing our company regarding a metal whistle that did not pass inspections. It will discuss how to handle the defective product without hurting the end user and minimizing the expenses of the company. The memo will discuss advantages and disadvantages of several different tactics that we can utilize. When trying to evaluate what needs to happen in order to mitigate this situation I would suggest utilizing a decision making model which has been implemented in many businesses. In the past decisions were made exclusively on intuitive judgment based on hunches acquired from past experience. But to survive and thrive in this highly competitive technological world of today it is essential to make decisions on a rational basis (Murty 2003). The first step would be to define the problem. A precise definition of the problem will make it clear what the obstacle we are facing happens to be. The second step would be to gather all the information necessary to understand the cause and effects. We need to understand what are the controllable inputs and non-controllable factors. The third step would be to evaluate the pros and cons of each decision. The fourth step would be to
TO: CEO
FROM: ELEMENTARY DIVISION MANAGER
SUBJECT: METAL WHISTLE TESTING
DATE: OCTOBER 1, 2011
CC: EXECUTIVE TEAM Overview We have a large shipment of our elementary toy collection scheduled ship at the end of this week but have encountered a problem with the production. One of the products in this collection has failed the quality control testing exceeding the legal limits of lead set by the federal government. This shipment will be delivered to South American schools. As of August 14, 2011 the total legal lead content must not exceed 100 parts per million for a product (CPSC 2013). Our levels tested above these limits and require us to take action. To reproduce this product it will cost the company $100,000.
Alternatives
This memo will discuss the current issue that is facing our company regarding a metal whistle that did not pass inspections. It will discuss how to handle the defective product without hurting the end user and minimizing the expenses of the company. The memo will discuss advantages and disadvantages of several different tactics that we can utilize. When trying to evaluate what needs to happen in order to mitigate this situation I would suggest utilizing a decision making model which has been implemented in many businesses. In the past decisions were made exclusively on intuitive judgment based on hunches acquired from past experience. But to survive and thrive in this highly competitive technological world of today it is essential to make decisions on a rational basis (Murty 2003). The first step would be to define the problem. A precise definition of the problem will make it clear what the obstacle we are facing happens to be. The second step would be to gather all the information necessary to understand the cause and effects. We need to understand what are the controllable inputs and non-controllable factors. The third step would be to evaluate the pros and cons of each decision. The fourth step would be to