1. include leather and fabric ulpholstery and

1.        
 Overview

a.         
Company

We Will Write a Custom Essay Specifically
For You For Only $13.90/page!


order now

X is a high-end furniture manufacturer which provide various
household furniture with high quality and elegant design. In addition to
factories and warehouses, they have also an online website and several showrooms
all over country where customer can access, select and customize their own
choices.

b.        
Product

The products to which this report refers are the high-end sofas, which
are one of the key products of the company. To be more precise, the high-end
sofas include leather and fabric ulpholstery and steel or wooden frame, which can
last for years. Unlike prefabricated sofas, the high-end sofas are ensured with
highest quality, aesthetic value, long-lasting durability and lastest
technologies for production. Besides, due to the high cost of the product and
in order to maximize the utilisation of product, these sofas are suggested to
be choosen under the support of interior designer.

c.         
Characteristics of product

For
each type of sofa, there’s a selection of size and shape (customer must choose
among several options) and a selection of finished colour and material
(customer can choose up to hundreds of type of fabrics available in the company’s
material catalogues). With the variety of options, customer can customize the
sofa the way they want.

d.        
Production process

The production of high-end sofas of furniture company X follow
the Assemble-to-order (ATO) strategy. It requires that basic parts for the
product are already manfactured but not yet assembled. Once an order is
received, the parts are assembled quickly and customizable to customer’s
requirement and then sent to the customer. With this strategy, the company
enable to deliver the products to customers quickly and allow the product to be
customizble.

 

2.        
Decoupling point

Decoupling point is the point where forecast-driven
flows are seprated from dustomer-order-driven flows and the positioning of
decoupling point will affect the lean and agile, postponement, push and pull strategies.

With these sofas, the components and subassembly
procured from suppliers were stocked close to assembly plants. With the command
from customers,

 

3.        
Postponement

4.        
Push and pull

5.        
Inventory

a.         
Raw material inventory

b.        
Immerdiate inventory

c.         
Finished goods

6.        
Warehouse

 

7.        
Delivery

8.        
Change in customer’s trend and its
impaction