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M02 S06 Course Notes

The document provides an overview of the Sky View Airplane Company and its operations, including its current output of 10 airplanes per day and the need to increase production to meet a new contract requiring 24 airplanes per day. It explains the use of a Materials Requirements Planning (MRP) system to manage raw material and manpower needs for production. The company is structured in departments and has a history of delivery challenges, but is eager to embrace the opportunity presented by the new contract.

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5 views5 pages

M02 S06 Course Notes

The document provides an overview of the Sky View Airplane Company and its operations, including its current output of 10 airplanes per day and the need to increase production to meet a new contract requiring 24 airplanes per day. It explains the use of a Materials Requirements Planning (MRP) system to manage raw material and manpower needs for production. The company is structured in departments and has a history of delivery challenges, but is eager to embrace the opportunity presented by the new contract.

Uploaded by

asad
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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Download as PDF, TXT or read online on Scribd
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Module 02- Section 06 - Sky View Information Sheet

Let’s switch now from the Mock Company case study to the Sky View Airplane Company Lego
Simulation. Here we can see the theory put into practice.

We begin by giving some of the background of the Sky View Company. This will help you
understand the steps that will follow as you observe the steps that will follow during our simulation
exercise.

This is a sample of the high quality airplanes they build.

That means that in negotiating this contract, they will need to work on deliveries and to increase their
production.

Course notes, Lean 101, Module 2 Section 6


http://www.lean101.ca
For those who are unfamiliar with the term MRP system, it stands for Materials Requirements Planning
System. Basically, what a company does is take their sales forecasts and put them into a computer
program. This program then calculates for them, that is from a planning point of view.
What the raw material requirements are, what the manpower are, and what the capacity requirements
are. This type of information is then used to schedule the facility.

10 Airplanes per day is the current output. They will have to increase this number to meet the new
customer’s demand.

Course notes, Lean 101, Module 2 Section 6


http://www.lean101.ca
In our simulation, the critical components of the Aircraft are Lego Pieces which are stored in Raw
Materials Bins and placed somewhere inside the plant.

Course notes, Lean 101, Module 2 Section 6


http://www.lean101.ca
Let’s do a quick review of the Sky View Airplane company information.

Course notes, Lean 101, Module 2 Section 6


http://www.lean101.ca
Skyview Airplane Company has a traditional set up. It is setup in departments. It has the fuselage
department, wing department, tail department and an options department (just in case the customer
wants landing gear). Skyview produces a high quality product. It has large inventories; they have a
history of not being able to deliver on time. Currently the company is trying to deliver 10 airplanes per
day consistently. This has been a challenge. Skyview Airplane Company is currently negotiating a large
contract which requires that we guarantee a delivery of 24 airplanes per day. The president of the
company is asking his direct reports if they would help him guarantee 24 Airplanes per day. So let’s take
a look at that challenge.

This is an exciting new opportunity for Skyview Airplanes Company and they are eager to meet the
challenge head on, I hope you enjoy the rest of our simulation and know that this is a key to seeing Lean
Manufacturing in action.

Course notes, Lean 101, Module 2 Section 6


http://www.lean101.ca

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