Pipe Dreams PTY LTD has encountered many problems since expansion, the business has outgrown its current factory outlet, a solution to this problem is relocating the business to a new location, we have looked into two different locations, one in Lytton and one in Burpengary, when choosing a location there are several things you must consider such as. Proximity and cost of process imputes, proximity to completion, availability of transport, local laws, cost to construct or procure the facility. With all of these factors in mind we have analyzed each location, Lytton is more expensive than Burpengary and is within 10Km’s of suppliers but needs upgrading for modern technology, it has no air conditioning. Burpengary on the other hand is relatively inexpensive compared to the Lytton location, it is modern and air conditioned, the building is able to meet modern technology needs. It also offers an extra 30% space than the current location as well as an extra 70% room for expansion. After looking into both locations we recommend Pipe Dreams PTY LTD should invest in the Burpengary location to help combat businesses growth problems.
Another problem the business is encountering is the current design of the production floor has arisen in a haphazard manor,
The main objective of choosing a layout strategy is to choose a layout that optimizes operations efficiency. Usually a layout strategy is determined by the process flow. In general there are three layout arrangements, functional layout, the function layout of the business is the layout arrangement where equipment with like functions is grouped together. The production layout, which is a layout arrangement where equipment is used for a single purpose and is set out along a production flow line, or a fixed position layout, which is an arrangement where the product remains in its fixed positions and the requisite resources are taken to the product. We recommend that Pipe Dreams witch their production floor layout to a...