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Essay / Research Paper Abstract
A 3 page paper based on Harvard case study 9-681-095, establishing the company's production needs over five years and assessing two alternatives' ability to meet those requirements. Bibliography lists 1 source.
Page Count:
3 pages (~225 words per page)
File: CC6_KSmgmtSensor2.rtf
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Unformatted sample text from the term paper:
Sensormatics for each of the years 1979 through 1984? Based on the advance purchases of new systems for 1979, Sensormatic was expected to
require 8 million Alligator tags during 1979 to supply new sales (Garvin, 1987; p. 4). Annual sales growth over the next five years was expected to be 30 percent,
and each of those years the company could expect orders for replacement of 25 percent of all tags already in service. If the company has had 30 percent growth
from 1978 to 1979, then it should have had 5.6 million tags in service, 25 percent of which would need to be replaced in 1979. In 1980 it would
need 25 percent of the pieces in the field (8 million) in 1979. Table 1. Alligator Clip Requirements 1979 - 1984 (in millions) 1979 1980 1981 1982
1983 1984 New Sales - 30% growth 8.00 10.40 13.52 17.58 22.85 29.70 Replacement pieces - 25% 1.40 2.00 2.60 3.38 4.39 5.71 Total Annual Requirements 9.40 12.40 16.12 20.96
27.24 35.42 2. In order to get the extra tag units we will need, we must purchase them from others, acquire Canon Plastics
and make them ourselves, or invest in order to make the units in-house at Deerfield Beach. Lets call these options "Outsourcing," "Canon," or "Deerfield." What is the capacity
of the Deerfield option? (Show how you developed the answer.) The capacity of the Deerfield option would be anything that management wanted
it to be. It currently produced no tags in-house and would need to acquire the machinery necessary. The advantage was that it would be buying new machinery that
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