PROCESS STRATEGY AT WHEELED COACH: A CASE STUDY

15-54032 CASABA, Veronica Andrea C.

15-50920 DIMAANO, Lyka Mae D.

15-08596 MANALO, Verona A.

15-59301 TAGLE, Myzelle R.

February 9, 2018

I. Executive Summary

Wheeled Coach is the world’s largest manufacturer of ambulances.

The firm uses parallel assembly lines, fed by work cells, in which ambulances

move forward to the next work station each day. The work cells feed the main

assembly lines on a JIT basis and perform all the pre-assembly work, such as

painting, carpentry, upholstery, electrical wiring, etc.

Considering that it is a mass production manufacturer, maintaining its

efficiency may be at stake because of factors that may hinder it in aiming for

productivity. Meeting the increase in demand, lack of training for the

development employee performance and mismatch of jobs are the barriers

that are being encountered by them. To overcome this hurdles, it is

recommended that work modules should be prepared and deliver to the

assembly line for the operation to be more efficient. Employees should

flexible in complying to different works with proper training and highly skilled

in a particular field.

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II. Statement of the Problem

As a large volume ambulance manufacturer, Wheeled Coach is

constantly challenged to find efficient production. Working for four 10-hour

days each week to make customized ambulances need to undergo all pre-

assembly works. Once an ambulance is on one of the assembly lines, it must

move forward each day to the next workstation. Balancing just enough

workers and tasks at each of the workstations made it more difficult, since

each vehicle still needed to move forward. The less skilled workers work on

the assembly line, while the more skilled workers are in the work cells. Some

workers end up running into each other and some can’t finish an ambulance

in 7 days. Constant measure of design and mix and improved analysis has

led to periodical changes.

III. Causes of the Problem

 Rapid Increase of Demands

As the global context continues to grow, many infrastructures

develop and innovate to keep up especially on hospitals. Construction of

hospitals is increasing rapidly and the demand for equipments and

ambulances are fast pacing that future supply may no longer meet the

increasing demand.

Due to increasing demands, Wheeled Coach should boast several

designs to meet them and prides itself on meeting their delivery deadline.

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 Lack of Training and Development on Employee Performance

Human capital is the backbone of an operation and the employees

may contribute to the success of the business by providing the desired

work.

In today’s dynamic environment the demand for professional and

highly skilful workforce are necessary for every organization to perform

well in this environment. The employees need to be trained and the

development of an employee to be highly skilled is essential.

 Mismatch of Job to Employees

Horizontal mismatch is highly observed where most workers are

matched in level of education or skill but mismatched in the field of study.

In theory, all of various forms and skills mismatch can have serious

implications for firms, individuals and economy more generally. Skills gaps

and mismatches are thought to increase labour costs, lower the level of

productivity and slow the economic growth.

In Taylor’s book “The Principle of Scientific Management” proposes

that optimizing the jobs assigned will result to increase in productivity. It

also advances the idea of how management should take more

responsibility for matching employees to the right job, providing proper

training, providing proper work methods and establishing legitimate

incentives.

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IV. Decision Criteria and Alternative Solution

To determine what the criterion for the Wheeled Coach options are,

collectively utilize the rational decisions making models that is define as a

systematic process in which the managers define problem, evaluate alternative

and choose optimal solutions that provide the maximum benefits to their

organization. The case outlines four strategic options are: Closing poor plants

and invest in new ones to realign production and sales speed up.

Table 1.0

CRITERIA PRIORITY DESCRIPTION

Effectiveness of the Essential Plant can produce ambulances

Plant exceeding the target number.

(500 ambulances)

Cost of the Plant High Cost of the plants must be within

the company’s budget of Php

1,000,000.00

Safety High Plants are safe enough to be

used by workers in their

operations.

Easy to Manipulate High Workers will be able to

manipulate the plant without

hassle and difficulty.

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 Table 1.1 Evaluation of Alternative Solution

CRITERIA PLANT I PLANT II

Effectiveness of the 1 1

Plant

Cost of the Plant Php 990,000.00 Php 900,000.00

Safety 1 2

Easy to Manipulate 1 1

1 = Meets or exceeds criterion 2 = meets criterion less well 3 = does not meet

criterion

As shown on the given table, it is shows that Plant I is safer than Plant II.

As to their cost, Plant 1 having an amount of Php 990,000.00 is more

expensive compared to Plant II with an amount of Php 900,000.00. All other

criteria result the same evaluation.

V. Recommended Solution

It is more efficient to prepare work modules and to deliver them to the

assembly line than to produce the components on the line because of the

advantages of work cells. Work cells can be designed around the modules

with the necessary supplies, talents, and machinery located in that particular

module. The employees become more experience in those modules and the

customized modules can be delivered to the line as needed. Higher utilization

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 of people and equipment in assembly line should be enhanced. Wheeled

coach must train the workers in assembly to improve their flexibility.

VI. References

http://www.strategosinc.com/focused_factory.htm

https://heizerrenderom.wordpress.com/2010/10/26/video-tip-assembly-lines-

at-wheeled-coach-ambulance/

https://www.youtube.com/watch?v=boMWcaUrAno

https://books.google.com.ph/books?id=QOBdP7NJsC&pg=PA261&lpg=PA26

1&dq=mass+customization+in+wheeled+Coach&source=bl&ots=z4Hr*McuUa

&sig=dRmXmPp6l6tQpeX5sxSaKATnPPU&hl=en&ved=2ahUKEwiH5vWGrJj

ZahWKmZQKHUogBx4Q6AEwEHoECAUQAQ#v=onepage&q=mass%20cust

omization%20in%20wheeled%20Coach&f=false