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Motorola Inc -Case Analysis.

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Introduction

Motorola Inc -Case Analysis 1) What are the key success factors for Motorola's ASIC Division? * Ability to adapt changes in the industry and provide new products. * Product Development time. * Strict Quality assurance measures. * Production system and plant designed to fit the needs of the division. * Shorter development to manufacturing cycle 2) Does a traditional standard cost system address these key success factors? The traditional standard cost system was designed for a old style or traditional production system. The dynamic changes, rapid volume production, number of different outputs of the ASIC division doesn't fit into the framework of the current accounting system. The traditional system was a functional based accounting system, while ASIC needs a product oriented accounting system. ...read more.

Middle

Deciding on a measure or a scale for a success factors for any industry a hard enough task. As an industry outsider, deciding on the base measure for success of a dynamic production plant is a daunting task. Particularly, setting a standard that is reasonable in terms achievability and reasonability is difficult. Industry specifics will vary for each and every measures and largely depend on each product. Broader standards, defined by corporate strategy will be the best way to approach setting the measure for ASIC division. Setting the standard against which the division performance will be measured, should not come from one group stakeholders alone. It should be a result of technical and business branches of the ASIC working together. ...read more.

Conclusion

Since each cell is not uniformly connected to each other, the control should recognize the input and out put expectations of each cell. For example, the heat sink should not be punished for low volume since all products does not need to go through that cell. On the same token, the cells that handled all products such as assembly preparation and warehousing and shipping should be given enough consideration for the volume they handle. Real-time data is necessity for the success of control system, not just because the speed of production but also to identify and correct the source of variance. Along with this "cell" based control system, a product based (using only the cells that were used in that particular process) control system should be employed to measure the performance of each product category. Thats Sundaram Case Analysis #2 MBA 8501 1 ...read more.

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