Revere Plastics Case Study

1582 Words7 Pages
1.Revere Plastic,Process Flow and Project Scope A. Company Profile Revere Plastics Systems LLC, an ISO certified company that make commercial-grade and household appliances function are plastic injection molders with presses ranging in 25 – 1,500 tons. It is headquartered in Clyde,Ohio. Revere Plastics has three other locations in Brampton, Ontario and Jeffersonville. The company has a rich client base as listed below: • Dura Automotive System • GE • Whirlpool • Maytag • Briggs Stratton • Grupo Antolin • North American Lighting • Kohler Engines Tyco • Husqvarna and Dura Automotive Systems. The company’s single largest market is appliances and automotive. Reveres Brampton location with a total of 96,000 sq ft plant size has a total of 116…show more content…
In relation to customers and suppliers, they both experience an increase in lead-time when there are inventory inaccuracies. Whenever revere plastics is short on their count, they have to add the missing items to the pallet, this causes a delay in delivery and increases the original lead-time. The slightest delays can have a negative impact on service quality, decreasing the customer’s overall experience. 6. The increased lead-time will affect suppliers by resulting in a decrease or a delay in sales because of the inventory inaccuracies delaying their shipment. 7. Additionally, there are increased expenditures affecting the product costs caused by the errors made in inventory, even for “c” level class products it will be a significant loss in overall profit on a yearly basis for regular miscounts in inventory replacement. 8. This negative impact also occurs in manufacturing, as more products need to continuously be manufactured because of the inventory shortages. The extra production increases costs, which as a result decrease profit. As minor as these discrepancies maybe, the costs add up over years. 9. Furthermore, discrepancies affect inventory levels because the continuous inventory inaccuracies result in revere plastics having to overstock on inventory to be able to replace shortages. 10. This will result in an increase in holding costs for revere…show more content…
The key performance indicators, which should be incorporated by revere plastics is IRA. This is an important key performance indicator, because by revere plastics monitoring the number of counts that are accurate, by the number of total counts. They are able to get a percentage of how accurate there counts are on a regular basis. By making employees aware of this it will raise the performance standards for workers to meet and uphold. These recommendations are suggested to help improve revere plastics inventory as research has shown inventory inaccuracy leads to ineffective procurement decisions, which results in poor service delivery, and extended inventory and carrying
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