Write a 350 to 500 word executive summary that provides justification for the particular alternative you select. As part of your justification, provide

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Business Process Improvement
Read the following scenario to evaluate Taylor Inc. operations-management processes to help them maximize labor
productivity. Management for Taylor Inc. would also like you to suggest alternative management techniques to
improve productivity.
Taylor Inc. manufactures widgets. There is a particular assembly line for Widget X. This assembly line includes the
assembly of various raw materials, subassemblies, and packing of the finished widget. Currently, approximately 27%
of the total labor time is utilized in walking by assembly line personnel to obtain the needed parts required to
accomplish their assigned tasks. The average hourly cost, including all benefits, is $43 per hour. Seventeen people
are required on the assembly line. Lifting containers that weigh approximately 42 pounds is required in several of the
respective tasks. The current output of finished widgets is 208 per 8-hour shift. The company incurs an average of
four worker’s compensation claims per year in back injuries due to lifting. An average claim equals $109,000 and the
employee is out for an average of 280 hours. The injured worker must be replaced to sustain production. By improving
the physical layout, productivity may be improved and worker’s comp claims reduced. Two layouts have been
proposed.
1) Alternative One reduces wasted motion (walking) to 1% of total labor used on the assembly line. Physical
lifting is reduced to no more than 12 pounds. Six people will be required on the assembly line. Productivity in
finished goods per 8-hour shift will increase to 392. It is anticipated that worker’s comp claims will be reduced
to .3 per year; however, a capital investment of $1.3 million is required in robotics and mobile storage carts.
Useful life of the equipment is 7 years.
2) Alternative Two reduces wasted motion to 7% of total labor time while physical lifting is reduced to no more
than 23 pounds. Nine people are required to staff the assembly line. Productivity will be 288 widgets per 8-
shift. Worker’s comp claims are estimated at 1.9 per year. Capital investments are $967,000 with a useful life
of 5 years for the equipment.
a. Write a 350 to 500 word executive summary that provides justification for the particular alternative you select. As
part of your justification, provide
1) a cost-benefit matrix that compares the alternatives
2) the effects the alternative will have on productivity
3) possible benefits of using a network strategy to streamline operational procedures
Note: The lowest cost alternative may not be the best alternative
b. Be sure to properly cite at least two different academic references.
c. Post to the Assignments section on eCampus by Day 7.
3. Respond to DQ 1 by Day 2 and respond to DQ 2a OR DQ 2b by Day 4.
4. Post at least two substantive posts in the Main forum 4 out of 7 days during the week. Only posts in the Main
classroom forum will count towards your class participation score. Discussion question responses will not count
towards the class participation requirement and will be evaluated separately.

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