Explain the five steps of the theory of constraints (TOC) process.

Prompt: Refer to the Nissan case study, your own independent research, and the course materials to answer the following items. Specifically, the following critical elements must be addressed:

 

I. Theories and Techniques

A. Explain the five steps of the theory of constraints (TOC) process. To what processes might the company in the case study apply TOC? Why would applying TOC to these processes be advantageous?

 

B. Describe how total quality management (TQM) principles and tools can be used to improve quality in the latest line of products in the context of the case study.

 

II. Data Analysis

A. Draw a cause-and-effect diagram that assesses why some of the company’s supply chain partners might have struggled to implement some of the company’s newly developed materials. Summarize your findings from the diagram.

 

B. Draw a hypothetical process (time-function) map for producing a recently released (within the past two years) product manufactured by the company. As an operations manager, how will you use the value map? Be sure to include your process map within your case study analysis.

 

C. Considering the data and options below, determine where the company should locate its new manufacturing plant. Explain why this would be the favorable location.

 

Factor                          Weight                         Mexico City                        Columbia, SC

Political Risk                    .25                                  70                                    80

Transportation Costs       .20                                  40                                     90

Labor Productivity             .20                                 85                                    75

Rental Costs                    .15                                  90                                    55

Labor Costs                      .10                                80                                    50

Taxes                               .10                                 90                                      50

 

Guidelines for Submission:

The format for this assignment will be a Word document using a business writing format of your choice. There is no minimum page length requirement, but the submission should be no more than four pages in total. Copy and paste any data analysis from Excel into your Word document for submission. You may include your original Excel documents as supplementary material if you believe that this will strengthen your contribution.