AICNETBOOKS

GOOD PRACTICES AIC system has its high focus on cost management which gave it

edge over competitive sources. They avoided developing a “me-too” product which encouraged

them to introduce an “atom processor” based netbook. To meet variable market unexpected demand they only increase

working hours instead of hiring & training workers & increase permanent shifts.

By giving each person responsibility, it helped workers recognize that they have ownership over all steps of assembly leading to high quality products.

They moved Taiwan based manufacturing unit to China as their aggressive management technique which gave the advantage of lower labor costs.

BAD PRACTICES Some non-standard operations crept into the

assembly process.Eg: Webcam cable requirement.

The pressure to maintain output levels led supervisors in addressing the immediate problems without fixing the root cause.

Unsanctioned buffer inventories were accumulated between stations.

CONCLUSIONConsidering company single assembly

line working 10hrs shift with 2 shift per day, they are already manufacturing 149760 netbooks per month so reducing their 1hr per day they are still manufacturing 142272 netbooks which is higher then there future demand which is 130000.