Bmx Cycle Solutions

Question # 1 What business is LCI in? What are the key achievement factors? How tasks can contribute? LCI BUSINESS: LCI was established in 1994 by Mr. Sheik Ubaidullah, a Former Chairman of Pakistan Cycle Cooperative Society Limited. LCI is situated at Ferozpur Road, eighteen miles south of Lahore Pakistan. LCI promoted its bikes under the brand name of Leader bikes. LCI was not so good and monetarily bankrupt , all shops run by one administrators , its creation was for all intents and purposes zero when Managing chief at Descon Mr. Razaq Dawood gained LCI in June 1999. He employed new 6 architects since 1999 in following offices like creation arranging, creation planning, stock control and quality control to set up all the essential frameworks and methodology so as to turn LCI around. In May 2002 Five bikes â€manufacturing organizations (contenders) existed in showcase, joined limit of these organizations delivering bikes were 580,000bicyles per annum, and all were running at or close to limit, the opposition was exceptionally extreme. Up to May 2002. LCI was delivering 60,000 bikes/annum, in May 2002, LCI began creating fabricating its new item named BMX cycles, for improvement in this new item, following a year-long exchange with Hercules of England, Decscon gained from them the assembling and innovation right, in Pakistan, for the exceptionally famous BMX cycle, Hercules additionally consented to send designers to Lahore for ten-week time frames so as to help in set up the plant, tooling and train the staff. KEY SUCCESS FACTORS: * Senior Management of LCI needed to present the BMX Cycle in showcase before contenders, and Mr. Mansoor Waraich, Senior Planning Engineer, had a great deal of weight by the top administration of LCI to finish this tremendous creation of BMX Cycles. That huge creation was deliberately arranged and all the procedures where firmly checked and updated. * Mr. Razaq Dawood, Managing Director, of Descon, assumed control over the LCI not so great , and he set up every single fundamental framework and systems like creation arranging, creation booking, stock control and quality control so as to turn LCI around , it is likewise a factor of the achievement of LCI * Another key achievement factor was that Descon called Hercules of England designers to prepare LCI’s staff. LCI’s staff can likewise go to England for a similar preparing for a particular period. Tasks CONTRIBUTION: LCI is a Production Company so activities assumes significant job. Re-appropriating and subcontracting of various crude materials is accomplished for the better aftereffect of tasks. All the plants structure was planned in a manner with the goal that they can limit the wastage and can expand the creation. Labor was likewise doled out as indicated by their aptitude and work was employed on day by day wage framework. Question # 2 What is your Analysis of the BMX creation process? How might you portray this procedure? Investigation OF BMX PRODUCTION PROCESS: BMX creation process is nearly in succession, all procedures relies upon one another, in the event that one procedure is skipped, at that point they can't finish other piece of cycle, in different wards they can't overlook just a solitary procedure, As LCI needed to present BMX in advertise before contenders and the board needed to deliver enormous amount of BMX cycles so LCI bought diverse completed parts for BMX cycles from a few providers, similar to, seats , pedals, handle bars, outline cushions, and tires were legitimately bought and introduced , however opposite side , a few sections, similar to sheet metal, metal curls, steel banishes and pipes were produced from crude materials procured locally and abroad. The executives employed perpetual and every day paid work in all shops to finish undertakings effectively and in convenient, this arranging was demonstrated extremely supportive to finish colossal creation. First procedure is cutting shop: This shop having 3 machines for cutting metal channels into various lengths to utilize get ready base section shell, edges and handle bar, this shop run under one manager and 4 full time workers Second procedure is Bottom section shell shop: This Shop contained three 600 tons procedures and 6 presses running from 60 to 100 tons, substantial pieces of bike like BB shell were produced in this shop , this shop run under oversight of one boss and 4 full time representatives. Handle Shop: BMX bike handles were made at this shop totally, a particular machine consequently twisted the put pipe in almost no time into fitting setup and slice the handle bars to length and knurled. These Knurled to help hold the handle bar grasp. BMX enameling and Phosphating Shop: All pieces of bike were enameling and phasphating, phaspating treatment empowered the steel surface to hold the enameled paint for quite a while and give a solid completion, all partes were set on dances and hold tight a transport, this transport went through a drying broiler at a speed permitting each part to be prepared at 1500C for around 50 minutes. Edge Shop; Bicycle Rims contained at this shop, One mm thick and 83 mm wide metal curls required to plan edge and these edges imported from barazil or Japan, at that point front end loop was welded with back end curls lastly, the edges was twisted into a necessary span and cut in the wake of polishing and cleaning. Press Shop: A particular machine at press look for granulating and polishing the pieces of edges and two parts of the bargains been welded together Saddle, Brake and Hub Shop: Hubs and seat for BMX cycle were collected at this shop, circle clasps of were fabricated at LCI , different parts like seat edges and seat covers were secured by seller and amassed physically at opposite finish of same shop. Machine Shop: Four creation machines like a crushing machine, a processing machine and four penetrating machines are contained at this shop, a few pieces of BMX cycle registration, lock-nut and wheel valve delivered in machine shop, this machine was working half of its ability Electroplating Shop: A few pieces of BMX like Hub ribs, steel edges , light sections, spanners and chain wheels electroplate at this shop, this machine have restricted hardware limit so twofold move running six days out of every week for electroplating. BMX Welding line: This shop have 5 welding stations and a mitering machine , various pieces of cycle welded and metering machine give a smooth bend at the parts of the bargains once this machine was set then all cylinders naturally mitered the cylinder. Last Assembly Area: This territory have 6 work stations, fitting machine and a get together track transport, every produced piece of BMX cycle amass on these 6 stations, at long last all the gatherings and frill bundles were stuffed in a cardboard container for conveyance. Qualities, All shops worked proficiently and all work stations occupied to get ready doled out parts on same time so it’s accommodating to deliver tremendous creation, the executives took choices for day by day paid and month to month paid representatives, and paid them alluring compensation. Question # 3 Given the interest in BMX cycle fabricating line, what is the compensation time frame? Each bike Price = 2400 Gross edge = 8. 3% Profit edge for each bike = 2400 x 8. 3% = 199. 2 Production Capacity = 60,000 Profit edge for 60,000 bikes are = 199. 2 x 60000 = 11952000 Payback on net edge = 2 Years and 2 Months Question # 4 Assume the enameling plant limit is 3000 bikes for every month, as senior arranging Engineer, what options are accessible to build BMX cycle creation? According to upper management’s drive to extend tasks, a multi year old enameling unit that was bought for Rs 3 Million of every 1999. So as to build creation LCI notwithstanding subcontracted enameling should begin in house creation in equal by using the unit bought. It might need to contribute on up-degree of the unit as required to satisfy the present creation guidelines. Organization bought enameling machine yet they didn't utilize it, in light of the fact that redistributing and subcontracting was available in LCI’s convention so upper administration should transform it and it’s better to use enameling machine, acquire it use, so BMX creation will be expanded. Question # 5 What is your suggestion and why? Following are the Recommendations and the reasons LCI ought to do some anticipating for recognizing the genuine need of their item in the market, * They should give commercial however email, news paper and web TV include and so forth, * They ought to do SWO T investigation of their own organization and their rivals. * They ought to improve their shortcomings, and they should create bike for older folks * They should recruit some merchant for parts of BMX so it is recommended that they ought to orchestrate of those machines at their organization, it’s additionally sparing the expense and time. * For continuing the market position more development is required, the plans of bikes ought to be redesigned and changed to draw in the clients towards the item.