Foldrite Furniture Case

Published: 2021-09-15 08:30:08
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Category: Technology

Type of paper: Essay

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On a Friday afternoon in February 2010, Jose Ramos, VP of Manufacturing at FoldRite Furniture Company of Aurora, Colorado, stopped by the office of Martin Kelsey, the recently hired production manager, to discuss developments revealed in a conference call with sales managers that morning. The call had been upbeat; market demand for FoldRite’s products was unexpectedly high—and heightened demand, even if temporary, was welcome news during a deep recession. However, the news placed a burden on the firm’s operations management, which had to optimize the use of manufacturing resources while meeting product quality standards and delivery schedules. Ramos looked to Kelsey to develop a production plan for the next six months based on the new forecast.
Traditionally, end-customer demand for FoldRite products increased in the spring and summer, due to the increased number of social functions that required folding tables and stackable chairs. These events normally started in May, with proms, graduations, and weddings, and continued through the summer with conventions and business meetings. Distributors’ requests for delivery by early May meant that FoldRite needed to increase shipments to distributors in April.

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