The Privileged Fly essay Case Study

The Privileged Fly essay Case Study

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Type	Essay
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The Privileged Fly essay Case Study
Case Study: The Privileged Fly
Submit your answers and be prepared to discuss in the live class session.
You are a privileged fly allowed to be on the wall of a corporate boardroom during a high-powered
discussion. The corporation is an engineering firm whose sales total approximately $140 million a year.
Up to now, things appear to have been going well. Production does an efficient job, and inventories
have been reduced. But danger signs are cropping up. Although no orders have been lost yet, several
shipments have missed their deadlines. Customers are beginning to complain. In addition,
transportation costs on incoming and outbound freight shipments are mushrooming. It is 9 a.m. and
several people are nervously sitting at the conference table. A stern-looking individual enters.
The Cast
President Joe Gish: old-line type. Extremely successful. Has just attended a National Industrial
Conference Board (NICB) seminar and is throwing a lot of new buzzwords and thoughts around. From his
subordinates’ point of view, he is dangerous.
Traffic manager Harold Tracks: another old-liner, but much less successful. Not good at
verbalizing, except to quote percentage increases. His freight bills are going up, and he is being made to
look bad by comparison.
Supply manager Joan Glass: much younger than her associates. Does her best to understand
president Gish’s words and tries to put some of them into action. Extremely inventory conscious.
Production manager Heinrich Holtz: a former blue-collar worker. Loves his machines and hates to
see them idle. However, beneath his "for the good of the corporation" exterior lies the soul of a power
maniac who seeks control over traffic and supply management.
Marketing manager Harold Levi: a stereotype. Is afraid of losing sales because of late deliveries.
Generally, echoes presidential statements. Appears ready to support Heinrich Holtz’s power play.
Director of finance Sol Stein: dedicated to cost reduction.
Action
(This is what the privileged fly observes and hears.)
President Gish brings the meeting to order. “Look at these air freight bills. Here’s one for $955—more
than the damn part is worth. I know because I checked. These things are murdering us! You must realize
that in our business today, transportation has great cost-cutting potential.”
Traffic manager Tracks responds. “I know that freight bills have risen 30 percent in the last six months,
but what can I do? Miss Glass here is cutting inventories so hard that she never has anything in stock.
Her short lead times force me to use air freight. And the way she spreads small orders, I almost never
find a way to consolidate them to get volume rates. And I’m having the same problems on outgoing
shipments. I’m caught in a two-bladed buzzsaw!”

Supply manager Joan Glass interrupts to say, “Harold, we’re operating on low inventories because we
save money doing it. Many times, air freight is the only way I can be sure of getting what I need on
time.”
Production manager Holtz comments, “When I need something, I need it. Take spares. This downtime is
a very expensive proposition, and we all know it. Further, by the time Miss Glass here gets me needed
production materials, we are so late that the only way to meet delivery dates is with overtime and the
use of air freight.”
Marketing manager Levi joins in. “Whatever the trouble, it seems there must be a way to get an efficient
pipeline. If Heinrich is late, then I am late. We are losing our image as a reliable supplier. Soon, we’ll be
losing sales!”
Traffic manager Tracks defends himself by saying, “I don’t want to seem bitter, but it looks like I’m
getting the short end of the stick.”
President Gish interrupts., “No more excuses. I want action! Costs must come down.”
Supply manager Glass defends herself by saying, “The lead-time problem goes right back through
production and eventually to Harold’s sales forecasts. I need earlier information.”
Marketing manager Levi says, “I have to promise prompt delivery. We all know that the problem is at
the other end.”
Production manager Holtz suggests, “Like I’ve been saying for a long time, we should combine supply
and traffic and get them closer to production.”
At this point, supply manager Glass sounds frustrated when she says, “Heinrich, we’re right back where
we started. We need lower freight costs, but at the same time we must keep inventory down.”
Director of finance Stein says, “Inventory carrying cost is over 30 percent a year. I think that Joan has
done a great job. But I do agree with Mr. Gish that transportation costs are way over budget.”
President Gish concludes the meeting by saying, “Heinrich’s idea is a possibility. We could create a
materials management setup. I understand it is the coming thing. I will give each of you one week to put
all your ideas on paper. Be prepared to deliver your reports at our next meeting. I want us out of this fix.
. . and soon!”
Discuss the basic inventory problem confronting this firm.
Air freight bills keep growing both in numbers and in total dollar value of freight
transported. What are the factors that have contributed to the development of this
situation? Do they reflect efficient or inefficient management of supply, inventories,
and production in firms such as this one? Discuss.
What should Joan Glass do?
Should Glass suggest a materials manager?
Should Glass build up her inventories?

The Privileged Fly essay Case Study

RUBRIC QUALITY OF RESPONSE NO RESPONSE POOR / UNSATISFACTORY SATISFACTORY GOOD EXCELLENT Content (worth a maximum of 50% of the total points) Zero points:  Student failed to submit the final paper. 20 points out of 50:  The essay illustrates poor understanding of the relevant material by failing to address or incorrectly addressing the relevant content; failing to identify or inaccurately explaining/defining key concepts/ideas; ignoring or incorrectly explaining key points/claims and the reasoning behind them; and/or incorrectly or inappropriately using terminology; and elements of the response are lacking. 30 points out of 50:  The essay illustrates a rudimentary understanding of the relevant material by mentioning but not full explaining the relevant content; identifying some of the key concepts/ideas though failing to fully or accurately explain many of them; using terminology, though sometimes inaccurately or inappropriately; and/or incorporating some key claims/points but failing to explain the reasoning behind them or doing so inaccurately.  Elements of the required response may also be lacking. 40 points out of 50:  The essay illustrates solid understanding of the relevant material by correctly addressing most of the relevant content; identifying and explaining most of the key concepts/ideas; using correct terminology; explaining the reasoning behind most of the key points/claims; and/or where necessary or useful, substantiating some points with accurate examples.  The answer is complete. 50 points:  The essay illustrates exemplary understanding of the relevant material by thoroughly and correctly addressing the relevant content; identifying and explaining all of the key concepts/ideas; using correct terminology explaining the reasoning behind key points/claims and substantiating, as necessary/useful, points with several accurate and illuminating examples.  No aspects of the required answer are missing. Use of Sources (worth a maximum of 20% of the total points). Zero points:  Student failed to include citations and/or references. Or the student failed to submit a final paper. 5 out 20 points:  Sources are seldom cited to support statements and/or format of citations are not recognizable as APA 6th Edition format. There are major errors in the formation of the references and citations. And/or there is a major reliance on highly questionable. The Student fails to provide an adequate synthesis of research collected for the paper. 10 out 20 points:  References to scholarly sources are occasionally given; many statements seem unsubstantiated.  Frequent errors in APA 6th Edition format, leaving the reader confused about the source of the information. There are significant errors of the formation in the references and citations. And/or there is a significant use of highly questionable sources. 15 out 20 points:  Credible Scholarly sources are used effectively support claims and are, for the most part, clear and fairly represented.  APA 6th Edition is used with only a few minor errors.  There are minor errors in reference and/or citations. And/or there is some use of questionable sources. 20 points:  Credible scholarly sources are used to give compelling evidence to support claims and are clearly and fairly represented.  APA 6th Edition format is used accurately and consistently. The student uses above the maximum required references in the development of the assignment. Grammar (worth maximum of 20% of total points) Zero points:  Student failed to submit the final paper. 5 points out of 20:  The paper does not communicate ideas/points clearly due to inappropriate use of terminology and vague language; thoughts and sentences are disjointed or incomprehensible; organization lacking; and/or numerous grammatical, spelling/punctuation errors  10 points out 20:  The paper is often unclear and difficult to follow due to some inappropriate terminology and/or vague language; ideas may be fragmented, wandering and/or repetitive; poor organization; and/or some grammatical, spelling, punctuation errors 15 points out of 20:  The paper is mostly clear as a result of appropriate use of terminology and minimal vagueness; no tangents and no repetition; fairly good organization; almost perfect grammar, spelling, punctuation, and word usage. 20 points:  The paper is clear, concise, and a pleasure to read as a result of appropriate and precise use of terminology; total coherence of thoughts and presentation and logical organization; and the essay is error free. Structure of the Paper (worth 10% of total points) Zero points:  Student failed to submit the final paper. 3 points out of 10: Student needs to develop better formatting skills. The paper omits significant structural elements required for and APA 6th edition paper. Formatting of the paper has major flaws. The paper does not conform to APA 6th edition requirements whatsoever. 5 points out of 10: Appearance of final paper demonstrates the student’s limited ability to format the paper. There are significant errors in formatting and/or the total omission of major components of an APA 6th edition paper. They can include the omission of the cover page, abstract, and page numbers. Additionally the page has major formatting issues with spacing or paragraph formation. Font size might not conform to size requirements.  The student also significantly writes too large or too short of and paper 7 points out of 10: Research paper presents an above-average use of formatting skills. The paper has slight errors within the paper. This can include small errors or omissions with the cover page, abstract, page number, and headers. There could be also slight formatting issues with the document spacing or the font Additionally the paper might slightly exceed or undershoot the specific number of required written pages for the assignment. 10 points: Student provides a high-caliber, formatted paper. This includes an APA 6th edition cover page, abstract, page number, headers and is double spaced in 12’ Times Roman Font. Additionally, the paper conforms to the specific number of required written pages and neither goes over or under the specified length of the paper.
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