The vice-president of manufacturing for W.C. Wood Company was reviewing a proposal to shift the firm's packaging for their line of fridges and deep freezers. The proposal advocated a move from cardboard packaging to a mixture of polystyrene foam and clear plastic film. Labour and material costs would be saved on by switching to this method of packaging, and result in a significant decrease in damage claims due to the increased package stability; nonetheless, a large capital investment would be needed to start the change.
The equipment needed to convert to the new design would demand a six-month lead time and one week to install, rather over the company's summer shut down. The vice president needed to evaluate his options of transitioning to the new packaging system in stages in order to make his decision or converting all lines at once.
W.C. Wood Company (A) Case Study Solution
PUBLICATION DATE: September 03, 2010 PRODUCT #: 910D10-PDF-ENG
This is just an excerpt. This case is about TECHNOLOGY & OPERATIONS
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