Dr. Tim Brueggemann
MBA54001OL
09 May, 2011
System Support for a New Baxter Manufacturing
Company Plant in Mexico Situation: In 1978, BMC established by Chairman Walter R. Baxter as a supplier of tackle and die. Furthermore, they extended the company into metal stamping company. Their critical clients are “Honda, General Motors, Ford, general Electric, Whirlpool, Amana, and Maytag” (Brown 699). BMC supplies their supplies into two markets like build a bracket and straight provide it to the ending creation section, another one is produce a cruise covering and supply it to the midway producers, after that the midway producers send it into the finished product section. BMC have 420 employees, 170000 sq foot industrialized firm, and they prepared with “feeds, reels, electronic detection systems, welds, drills, taps, and assemble stampings” (Brown 699). Moreover, according to the book of MIS BMC’s assets are growing in last 6 years which means they are going profitable. In the beginning they had an employee lacking because of the high salary with the high skilled employees, and they had 3 people in 1994. Thus, they decided the major work to be the metal stamping because the labor cost was not as high as they do not need the high skilled employees to operate the good work. Also their 20 percent of the stamping was shipped to the Mexico, so they decided to move the manufacturer in Mexico in order to be successful. Additionally there was a university which is paperless work included all based on the computer technology therefore, it was really convenient with the BMC’s business (Brown 700). Kyle Baxter, who is a president of the BMC first found out to move Mexico especially Queretaro metropolis, intended to expand the business in Queretaro slowly because they have a lot of plant which is closer to the customer plant and designed. Also she thought that it will be long-running business in a nice place (Brown 700). Target: The main IS issue
Cited: "Baxter Manufacturing Company - Term Paper - Alabrie." Free Term Papers, Research Papers, Essays, Book Reports | OPPapers.com. N.p., n.d. Web. 9 May 2011. Brown V, Carol, Daniel, Jeffrey, E. Wainright, William. Managing information technology . 6th ed. Upper Saddle River, N.J.: Prentice Hall, 2011. Print. their internal computer systems requiring personal to manually print out orders and re-key information. In the past BMC has turned away business because they met capacity limits therefore not able to retain more business. In 1989 BMC hired Nancy Shaw to lead and educate the IS department, as the manager of IS Shaw’s mission was to upgrade BMC’s hardware and software by outsourcing to vendors. After two failed attempts to upgrade the internal computer system Shaw resigned and was replaced by Don Collins. Collins has experience as being a manager of Information Systems, he quickly recognized that BMC’s computer system will become obsolete in a few years. By 1996 Collins proposed a plan to upgrade the system using the current MIS department to build and install a manufacturing system tailored to BMC’s needs in approximately two years. The same year Lucas Moore, Vice President of manufacturing, proposed a plan for BMC to purchase an integrated manufacturing software package. Moore is... | | Baxter Manufacturing Company (BMC) is a family founded company. Started by Walter R. Baxter in 1978, the 140,000-square foot manufacturing facility is headquartered in the Midwest in the United States. Walter Baxter’s children work for BMC, Kyle Baxter is the President and his sister Sue Barkly is Vice President of customer relations. BMC is recognized as a world class supplier of tools, dies and deep-drawn stamping; serving customers such as: General Motors, Ford, Whirlpool, and General Electric. Baxter holds a strong market position and has maintained a 20% growth each of the nineteen years in business. In the 1980s business trends move to a Just-In-Time (JIT) system, this would streamline traditional business proving to be a faster more efficient way for customers to correspond with suppliers. BMC converted to electronic data interchange (EDI), which allows customers to place orders electronically. EDI works well for many companies; however, BMC has not upgraded their internal computer systems requiring personal to manually print out orders and re-key information. In the past BMC has turned away business because they met capacity limits therefore not able to retain more business. In 1989 BMC hired Nancy Shaw to lead and educate the IS department, as the manager of IS Shaw’s mission was to upgrade BMC’s hardware and software by outsourcing to vendors. After two failed attempts to upgrade the internal computer system Shaw resigned and was replaced by Don Collins. Collins has experience as being a manager of Information Systems, he quickly recognized that BMC’s computer system will become obsolete in a few years. By 1996 Collins proposed a plan to upgrade the system using the current MIS department to build and install a manufacturing system tailored to BMC’s needs in approximately two years. The same year Lucas Moore, Vice President of manufacturing, proposed a plan for BMC to purchase an integrated manufacturing software package. Moore is...