Os 571 Inventory Management System Proposal
Inventory Management System Proposal
Johnny Scarbrough, Samantha Jarvinen, Taylor Pak, Brandon Dennis, Crystal Taddei
OPS/571
June 14, 2012
Elizabeth Farley
June 14, 2012
Riordan Manufacturing, Inc.
One Riordan Plaza
San Jose, California, 95112
Dear Board of Directors,
Thank you for the opportunity to provide a proposal for implementing a new Inventory System Process for Riordan Manufacturing.
The goal over the course of the next three months is to implement a new Inventory Process that will allow Riordan Manufacturing, Inc. to create and deliver electric fans in a more efficient and accurate manner. The implementation of Radio Frequency Identification (RFID), inventory-tracking system will stream line throughput, increase productivity, and reduce production costs. In the current outdated design process, many problem areas in the assembly line process can occur, such as bottlenecks, mistakes, and inaccurate counts. The proposed system will address problem areas by introducing a just-in-time production strategy to improve return on …show more content…
This forecast, completed for the implementation of both an RFID and MRP system. There are a number of salary costs for this type of project, including a project manager salary for one month ($3,333), an install technician for two months ($6,600). A trainer for 20 days ($1,640), salaries for 10 technical support agents to be trained over 10 days ($11,000), and salaries for 100 staff agents trained over 10 days. However, the largest cost for this project will be the technology itself. To install an RFID system the following will need purchasing; active tags at the price of $10 each for 100 in total, five $500 readers, and the middleware that coasts $100,000. The MRP software will bring the biggest price of $300,000. The total costs of implementing the project will be
Johnny Scarbrough, Samantha Jarvinen, Taylor Pak, Brandon Dennis, Crystal Taddei
OPS/571
June 14, 2012
Elizabeth Farley
June 14, 2012
Riordan Manufacturing, Inc.
One Riordan Plaza
San Jose, California, 95112
Dear Board of Directors,
Thank you for the opportunity to provide a proposal for implementing a new Inventory System Process for Riordan Manufacturing.
The goal over the course of the next three months is to implement a new Inventory Process that will allow Riordan Manufacturing, Inc. to create and deliver electric fans in a more efficient and accurate manner. The implementation of Radio Frequency Identification (RFID), inventory-tracking system will stream line throughput, increase productivity, and reduce production costs. In the current outdated design process, many problem areas in the assembly line process can occur, such as bottlenecks, mistakes, and inaccurate counts. The proposed system will address problem areas by introducing a just-in-time production strategy to improve return on …show more content…
This forecast, completed for the implementation of both an RFID and MRP system. There are a number of salary costs for this type of project, including a project manager salary for one month ($3,333), an install technician for two months ($6,600). A trainer for 20 days ($1,640), salaries for 10 technical support agents to be trained over 10 days ($11,000), and salaries for 100 staff agents trained over 10 days. However, the largest cost for this project will be the technology itself. To install an RFID system the following will need purchasing; active tags at the price of $10 each for 100 in total, five $500 readers, and the middleware that coasts $100,000. The MRP software will bring the biggest price of $300,000. The total costs of implementing the project will be