emory operations mgmt group project

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GroupProjectc/o JohnW. Bradford1419-EDruidValleyDriveAtlanta, A 30329December , 1997

JamesH. EdwardsPlantManagerScientific Games ntemational1500BluegrassakesParkwayAlpharetta,GA, 30004

DearMr. Edwards:

We want o thankyou for your time, effort, and attentionwhile helping us with ourproject. Your cooperationand willingness o guideus n toursof youroperat]ons ndprocessesransfonneda formidableassignment nto agreatopportunity o gainaninsightful look into the field of operationsmanagement.

As you explained o us,you areconcemedaboutmaintaininggrowthand meetingprojecteddemands.Using a Causeand Effect Diagran (seeAppendix,diagram ) tofiod the root problem(s)hat would hinder companygrowth,we looked at two area.s,waste rom equipmelt and he pre-press rocess.Therewas nsufficient knowledgeandtime to analyzehe ssueof waste. Thus, according o theprioritiesofyour company,wefocusedonyourpre-press rocess. n addition o yourconcemswith companygrowth,you indicated hat the customerdemandshat ead imes decrcase.With this in mind, weplaced xcessiveead ime as heproblemwith thepre-press. nceagain, singa CauseandEffect Diagram(seeAppendix, diagram2), we felt that thepre-press rocess ould beaugmented y an mprovedsystemof measurements,he creationof venture eams,andthe mplementationof an nteective communications ystem.

I. SYSTEM OF MEASUREMENTS-

Document Costsand ResourceUtilization.

A precisesystemof measurementacilitates he evaluationof theperformance f the

compaay,employees, r depafiments.When changes re made,quantitativedatacanbe

used o measureheh impact. A set of meaningfulmeasurementsbjectivelyevaluates

each ask n the work flow. This evaluationcan hen dentify resourcesn theprocess hat

have hegreatest otential or improvements nd add value o the customer. Scientific

Games ouldbeginby recordinghe imes, osts, nd esourcesor each tep n thepre-

pressprocess.Usingthis information, hey can hen measure roductivity,capacity,and

utilization rates. Thesemeasurementsave addedpu?ose in that they are mperative o

theTotalQuality ManagementTQM) theoriesof W. EdwardDeming. The cycle of



Plan-Do-Check-Act that TQM proposeswould serveto help the company in therecognition of constraints and identification of problem areasbefore thev arise.

II. VENTURE TEAMS

Conrmunicatiolr apsoccurbetweendepartments nd naturallysurroundany comptmy

because epartmentsendto focusspecificallyon their task withoutunderstanditrgheoperations f surroundingareas.Venture eamscorect this flaw by giving eachmembetan understanding fthe otherdepartments' ctivities. The mplementationof ventureteamsat ScientificGames anbe easily accomplished ecause esigners nd AccountServiceRepresentativesASR)areaheadydesignatedor eachcustomer.By joiningmanagement,ataprocessing,esigner,nd heASR,youwill not only seea decreasencommunlcationgapsbut theburdenof coordinating he interactions f eachdepartmentwill be removedrom heASR. As a resulr. he ead imeof thepre-pressrocisswilldiminish.

TheGeneralCreationandN-file Audit stepscaughtour attentionn the Dataprccessrngphaseofthe process.We believe hat ScientificGarnesmay betrefitby completing hesesteps nparallelrather han n sequence.The language nd he end-resultof the programsare heonly co[unon factors n thesewo steps. Even hough heaudit represents checkon the N-file, the only concem s that theN-file of bothstepsaccomDlishdentica.lasksandnot har hey avedenLicalcorffnandrder\.As a result.he,equenlialrcleriDgmaybe a sourceof increasedead time. We wonder f the N-frle Audit couldbegin at thesame me as GenemlCrcation- A benefitof thisparallelwork is that t avoids epeuuonof thesameerrorby communicating etween teps.

III. INTERACTM COMMUMCATION SYSTEMS- Intranet and Internet

INTRANET internal compuler network infrastructure.

In conjunctionwith the creationof venture eans, theIntanet is an effective andefficienttool to put the conceptof concurrentengineeringnto practice. t is an nteractivecomputersyslem hatplaceshe specifications f anorder at the finger tips of eachpersonin the process.Whenchangesn the specificationsaremadeby the customeror by

different departments,veryonehas mmediateaccesso them. The Intranetcan form alocalarcanetworkwith electronicdocumentso automaticallycoordinatematry of theactivities whichcuaently involvethe ASR. For example, t wouldcoordinatehepriorityof orderswith thepressschedule,rnmediatelynfonning everyoneof the chatrgesn theirown workorders.

Thissystem lsoallows or thecommunicationetweenndividuals venwhen here snot ime or them o havea physicalmeeting. n general,t aids n the nteractionbetweenmembe$of ventue teams,departments, nd heorganizationasawhole. Itspecifically

solves he problemofthe approvalprocessand he fact that the managcrs rctypically oo busy o plan or ameeting achweek. The ntraoet llows hem o respond



fiom their computers,heavily mpacting he coordinatiol time in the Work Approvalstepsof thepre-press rocess-

INTERNET- Develop a presenceon the Internet

The ormation of an Intemet allowsdirect contactwith the customer. t gready mproves

the communication y deoeasing hedependence npostalmail add courterservicesandprovidesanotheraltemative or placingorders. Many olher companies avealreadyusedthe Intemet o conmunicatewith their customers.The Intemet would also addressScientifrcGames'concernwith maintaining utule giowth by contactiDg ustomershatthe company annot cachat present.This option s feasiblebecauseour customersaheadyhave ntemet capabilities.

As a side note, Scientifrc Ganesdepends pon nspection o ensure erodefectswith itsprcducts.We wercalso old that the companystrives o opente under he conditionsofTotalQualityManagementTQM). However, he coEunitmento inspection mpedes heachievement f thatgoal. TQM workstowardpreventionand inds therootproblemof adefect n order o eliminate t. Inspectioncolects the defectiveproducts a symptom)butbecauset doesnot addresshe causeofthe defects theroot problem), he sameerorswill be repeated.

It is important o rememberhat thesesolutiors (aSystemof Measurements, entureTeams,andan InteractiveCommunicativeSystem)work bestwhen used n conjunctionwith eachother- We feel that f they are mplementednto your company, he ead timesin the prc-press rocesswill decrease nd, as a corcllary, Scientific Gameswill be able omaintaingrolrth and meet heFojecteddemands.

Onceagain,we would like to expressour appreciationo you and hankyou for helpingus with thisprcject- We sincerelyhope hat our suggestionswill beof use o you andyourcompany.Thankyou.

Yours nrlv.

JohnW. Bradford

G.A,M.



APPENDD(:

Diagram 1: Cause ndEffectAnalvsis:"TheBis Picture"

Worldorce Processes

Equipment

Diagram :

Measurements Communicsdon

Information

Maintaining

CompanyCrowth

Excessiv€eadTimes

no nter-or Intranet

if on€ comDonentails

Orsanization

emory operations mgmt group project

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