Memorandum To: Sam Sullivan Subject: Detroit Plant Wriston Manufacturing’s Heavy Equipment Division (HED) Detroit plant has been performing below its plant peers and its operations can no longer be sustained long term. Profitability of each HED plant is measured on a standalone basis‚ which has distorted the Detroit plant’s profitability metrics. Detroit is a job shop‚ tasked with production of low volume products and prototyping. Once a product becomes profitable it is moved to another‚
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– Heavy Equipment Division (HED) This memo is to identify and analyze the key issues of Detroit plant in Heavy Equipment Division and provide reasonable solutions to the management team. 1, Background Heavy Equipment Division (HED) of the Wriston Manufacturing Corporation is a large axle and brake manufacturer‚ which accounted for approximately 11.2% of the Wriston’s total revenues. There are 9 on-stream plants in the division and a new one is still under construction. The Detroit plant‚ the first
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Wriston Corporation: The Detroit Plant Summary: Richard Sullivan‚ recently appointed vice president in the Heavy Equipment Division (HED) of the Automotive Supplier Group of the Wriston Manufacturing Corporation‚ scrutinized one more time the P&L forecast for the Detroit plant – part of the lengthy report on the future of the plant which had been prepared by a task force Sullivan had appointed six months earlier. He saw three major alternatives: close the plant as soon as possible and transfer its
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Original Work please INTEGRATED CASE APPLICATION –PINNACLE MANUFACTURING: PART II 9-37 (Objectives 9-7‚ 9-8) In Part I of the case‚ you performed preliminary analytical procedures for Pinnacle (pp. 245–247). The purpose of Part II is to identify factors influencing risks and the relationship of risks to audit evidence. During the planning phase of the audit‚ you met with Pinnacle’s management team and performed other planning activities. You encounter the following situations that you believe
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The Case of Littleton Manufacturing Executive Summary Littleton Manufacturing is …. For years‚ they have been able to capitalize on synergy between the Information Technology group and other departments and look to continue that trend with the deployment of a new paperless job posting system. A similar transition to paperless in their purchasing group has saved the company millions of dollars‚ so digitizing another manual paper process seemed like a sure bet. However‚ a recent change at top executive
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Project Risk and Cost Management Case Study Sleep More Mattress Manufacturing: Plant Consolidation Group Members: Divya Yadav‚ Lamia Nafees‚ Ashwin Chadaga‚ Deeshanu Sharma EXECUTIVE SUMMARY: Sleepmore mattress is one of the leading manufacturers of mattresses and has recently acquired its competitor. This acquisition has brought in a unique proposition wherein the company has to decide if it wants to consolidate the existing plants with the acquired plants or let them both
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John Knotwell ACCT 6350 10/10/2014 Case Hilton Manufacturing 1) If the company had dropped product 103 as of January 1‚ 2004‚ what effect would that action have had on the $158‚000 profit for the first six months of 2004? The impact on the profit would have been to decrease the profit by about $2.5M. This would mean that this would now trend to an unprofitable move. It was wise NOT to divest the product in the first half. 2) In January 2005‚ should the company reduce the price of product 101 from $9
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3. Why did Superior improve profitability during the period January 1 to June 30‚ 2005? How useful was the data in Exhibit 4 for the purpose of this analysis? As we know from the case‚ the Superior is implementing the standard cost system which was introduced in early 2005---“Next year’s standard costs were last year’s actual per unit costs adjusted for anticipated cost changes”. By looking at Exhibit 2 and Exhibit 4‚ we could compare the level of all the costs under the items. The applicable
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1 )Manufacturing is the act of making or producing goods by utilizing labor and machineries especially in a large -scale‚ which includes large division of labor. Finished goods produced after manufacturing are further divided into two groups’ producer goods and consumer goods. Producer goods are those supplied to another company for manufacturing other complex products and consumer goods are the finished products which are purchased by the customers directly for the general usage. Casting is a widely
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Information System Implementation Case Study Analysis Introduction: PacSci has been a successful medium size aerospace/defense company. It has been in business since 19760s. (1) The company has very good reputation in price and quality. However‚ it always has problem with OTD (on time delivery). Ten years ago‚ the OTD problem was not an issue‚ because there weren’t too many competitions. But in the last few years‚ due to stiffer competitions‚ OTD has become a big issue and been hurting the company’s
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