'Artemis Sportswear Company\r'

'W don exertion and workal court expenditures keep be minimized, without effecting productivity or boilers suit shade of the make goods? Artemisia activewear has Identified the engage to reduce operation personifys that In the end bequeath correct value move ins. This requires an in-depth examination of overhead, employment numbers, and mathematical product judge to determine the best course of action for hard-hitting go with management. A research ag meeting has veritable a st trampgy to study and ontogenyress this specific issue and present the findings to the Board of Directors.This research inventory leave alone determine what occupation and operational cost expenditures can be enameled without effecting productivity or overall quality of the manufactured goods. Our team up has dis go oned 3 places for your attach to to reduce your overhead; abbreviated production costs, employee reduction and production reckons. Our first key is to sew producti on costs, as this is vital for the future of the business. yield cost is important to reduce because it decreases wastes, stalls over production, and limits possible defects in your comp whatsoevers products.The second key is o reduce employment numbers, and in Dalton how best to discharge this normally sensitive area. We also indispensability to bespeak you that through the use of effective management and hiring processes, the hiring of quality people will spare millions of dollars each year. The final exam key is production rates and how it is important to baffle a well-adjusted rate for competition. Production rate is important because customers are constantly looking for split quality products and services and lower rate.Our team has examined these production expenses and the following will explain the ideas we moderate for your lodge throughout the operations department. Artemisia sportswear order needfully to reduce their production costs by a significant sum up, or else risk failure. Our research team has developed several ways to reduce production costs; such(prenominal) as waste reduction, over production, and defects. Reducing waste in the total cost of production is a good way to subjugate cost, and having too a lot product can stimulate profit bolshy in your company.Waste reduction is an all important(p) element of minimizing total cost of production (Wald, Johann, ; Aim, 2010). If our company minimizes waste In production by cycle defected products, or scrap material you may gain profit back by reducing any un apply expenditures. In practice, the costs incurred in a production process include manufacturing costs, materials costs, quality loss cost, inspection costs, rework costs, and scrap costs (Wald, Johann, ; Aim, 2010). The team raises selling defected products at a lower rate and creating a limited- quantify featured Item at a â€Å"special price” for items that are over produced.For Instance, If you exhaust the ex cess Inventory that Is spread ore useful than easy inventory (Reginald, 2011). This will help profits and bound waste deep down your company. A nonher way for Artemisia Sportswear to reduce waste would be to cut back passel on equipment procedures and modernize the equipment being used. Some examples are to include using energy saving light source bulbs, reducing usage of changeing and air teach within the buildings, having a well-insulated building, and reducing the amount of equipment used to produce the products.Older devices consumed more electricity and generated more heat than newer products (Leper, 2011). The benefits that modern equipment brings are that they are easier to use and more reliable to use with the products you are selling. Also by modernizing the equipment your company currently uses, will also add more benefits to your products and increase profit margin by ways of added design features. A path of output fleet modernization led to several things wort hy †profound savings, reduced paper consumption, operational efficiencies and heightened environmental friendliness (Leper, 2011).We demand to render the company go on to be modernized and environmentally friendly. We believe each path leads to something worthwhile” (Leper, 2011). Artemisia Sportswear Company has a large number of producers; our goal in this plane section is to reduce that number by 30%. As a research team we do not want to target a certain group of employees. Most employers whom downsize will target these three types of groups; those who do not work as hard, employees based on age, gender, race, and sexual preference. To be sure, the term â€Å"targeted” could be see in several ways.For example, it might mean (a) not random, and in that respectfore based on performance; (b) strategic, and whiteface based on a particular organizational unit, such as a division or a specific line of business; or (c) cuts in generate (perhaps according to a slide scale by organizational level), capital expenditures, or opposite operating expenses (Socio & Peg, 2004). As a research team we want to encourage you to not make these decisions based age, gender, race, or sexual preference, as we pointed out, exactly to make the decision based on what is best for your company.The best way to really cut expenses in this example is to drastically cut pay from higher paid employees and educing employees based on performance. We want to increase your employee loyalty by placeing employees that the company cares about their well-being, as this typically leads to better production out of your employees. Restructuring, including downsizing, often leads to predictable effects decrease loyalty from employees (Socio & Peg, 2004). Assuring the employees that Artemisia Sportswear is qualification these decisions based on performance and pay cuts will increase their loyalty.We also want to increase your companys profits, but in order to do so you must make a UT in your companys workforce, because as the law goes, happier employees bring abouts more production which naturally leads to a reduction in employees. Another point is coarse among managers is that by downsizing the workforce, sometimes through blanket(prenominal) cuts in employees, boosts company profits (Socio & Peg, 2004). So, by an overall reduction in your workforce by this small amount will begin to increase your profit margin.We want to increase your companys rivalry with other competitors and prove to other companies and customers that your product is worthy of the manufacture in sportswear. When new competitors enter an indus take heed the key to expansion within your company, by producing further deepen and least expensive goods and services to the loyal customers within the industry. We want to increase the type of products that are for cut-rate sale and the amount you sell them for. The intensity of rivalry among animate competitors can obv iously catch company positivity (Sack & Nadia, 2002).We want to refrain from intense and complete rivalry with your competitors. Intense rivalry may influence your positiveness, but it can also result in all sorts of problems. We want to increase competition betwixt companies, but in minimal amount. Firms in one industry may produce products that compete with products in another (Sack & Nadia, 2002). New and amendd products are more reliable to customers; customers are also more fascinated to these newly developed products. We want to create highly enhanced products that will fit any customers needs.For instance, minor league baseball not totally competes with other sports events, but also amusement parks, theaters, easement products such as pay-per-view cable channels that show first run movies or video stores that affirm ofttimes better prices for movies once they have left theaters are major competitors (Sack & Nadia, 2002). We would like to suggest using limited time special products such as, professionally signed products like; baseballs, basketballs, hockey sticks, sports shoes, etc.The company would also benefit from having a limited time meet and greet with famous athletes. This will improve competition and allow a minimal amount of rivalry. The buyers of an industry outputs can lower the industry profitability by bargaining for higher quality or more services, and forcing down prices (Sack & Nadia, 2002). This is why as a company you should not give in to the customers desire in change, as you will not always change your prices to please your customers, instead you can offer great quality for an affordable price.Buyers have the upper hand when an industry products are relatively undifferentiated (Sack & Nadia, 2002), but your company will not give buyers the upper hand. As a supplier to the sportswear industry you will want to increase your profitability as much as possible. Our team wants to make the company as a sup plier more powerful within the competition. If there are only a few companies hat supply an entire industry, these powerful suppliers can wrench profitability out of an industry unable to cover cost increases in its own prices (Sack & Nadia, 2002).This is where suppliers give way more powerful by increasing profit and quality of the products being sold. When industries have limited portal to materials needed for production, the power of suppliers becomes a major competitive force (Sack & Nadia, 2002). Your company will need to search for all the materials needed for your production and try to provide the products that the customers need and ant. Our research team has explained the 3 keys for Artemisia Sportswear Company to reduce costs and cut out any unneeded expenditures.We are convinced(p) that what we have explained in detail will save your company money through the processes explained above. We would like to command the company that these time-proven, and highly s uccessful ways of part your business grow. If you would only imply these principles every so often when replacing equipment, you would be practicing a much needed pruning in your company which is requirement for any living thing to grow much more fully.\r\n'