Kami Corporation

Written Analysis of a CaseKami CorporationProblem StatementMr. Olano?s problem as the freshly appointed General Manager of Kami Corporation is how to improve the trading operations to meet the demands of their client and to be a world-class company.

Areas of ConsiderationProduction? softness to meet production quotas. The owner of Kami Corporation had committed to Aiwa to devour production capacity of 80,000 units per month. At the time the case was written, Aiwa?s orders had been 30,000 units per month compared to the output of only 25,000. But the client indicated that orders give increase to 50,000 to 60,000 within trio months.

?Also, in that location should have been three production lines with output of 1,000 units per day per line but there were only two lines installed and had managed to reach an output of only five hundred units per day.

Purchasing and Logistics?Since Kami?s purchasing function is accomplished by dint of Mega, its sister company, mistakes in order placing and issues in shipment and custom clearing are commonplace. There were instances when the orders had to be expedited correct lapses and underwrite delays.

Inventory and Warehousing?Components and finished goods are often ? lose? in the Kami warehouse resulting to substantial order backlogs from the client fleck orders were increasing every month. Components are mixed with finished goods and rejected components and wastage from the production process.

?While components and finished goods are piled and mixed-up in the floor and aisles, there is a huge empty distance on the top of the boxes.

Human Resources?Mr. Olano, a finance film director at one of Mega?s companies, was appointed by the owner to be Kami?s new General Manager to correct the problems that the company is facing. His appointment was met with resentment and jealousy by Mr. Kee, Kami?s production operations manager.

?The production managers headed by Mr. Kee questioned Mr.

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