UNDER ARMOUR; CAMBRIDGE COOLING SYSTEMS
The intention of this assignment is to give you the opportunity to apply your knowledge from
this and other classes by analyzing an issue or issues being faced by a firm. Your report should
include the following headings:
1. Problem (Issue) statement
2. Situation and (if applicable) Data analysis
3. Key Decision Criteria (including rationale for using them)
4. Alternatives and Alternatives Analysis
6. Action and Implementation Plan.
Answer Preview……………. Problem Statement. Cambridge Cooling Systems (CSS) firm needed to re-evaluate its strategic plan that had initially projected doubling its size in five years’ time. The chief operating officer, David Jansen, was confronted by the chief executive officer and chairman of the board, Harris Bell, to offer his perspective regarding the firm’s growth in the recent years and proposed strategies that can stimulate growth as initially projected. The initial projections had been affected by an economic impact due to the collapse of oil prices. As such, the management had to reevaluate its strategic plan that had been developed a year ago. Despite joining the firm only three months ago, Jansen was required to formulate a plan that would ignite the company’s operations to its maximum capacity. Notably, many of the company’s international facilities were running below the expected capacity. For example, the G1 manufacturing plant in Mexico designed an estimate of 90 cooling systems per year which was less than the projected capacity of 500 units annually. Besides, the coordination between engineering and manufacturing was poor as highlighted by varying concerns such as manufacturing of defective cooling systems and independent operations both in Italy and India. As such, Harris wanted Jansen to identify changes that will make the company’s global plants efficient and profitable. Particularly, Jansen was required to formulate recommendations regarding the rationalization of global plants in Mexico and Canada. The plants in Mexico were hit with significant problems including lack of engineering personnel, low employee turnover rate due to high competition for labor, low production and overbuilding of the G2 manufacturing plant as it had an approximate of $1 million assets not in use. Therefore, Jansen was required to formulate a strategy that would alleviate the highlighted issues faced by the company in the wake of the economic impact……………………….
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