Focus Plastic Case Study

Focus Plastics initiate operations as a supplying plastic moulding company focused mainly in industrial customers. Years later Focus Plastics dabble in the production of household items, this new product line had a really positive impact to the customers and providing with several benefits to Focus Plastic, and this product line represented more than 75% of turnover and doubled in 10 years.

Based on the financial information the strategies executed by Focus Plastics were successful. All these changes have been though for Focus Plastics, the creation of a totally new product “Concept Home” and all the implied fixed costs that this represents respond really good even surpassing their expectations. But in the other hand the “Concept Office” product line didn’t show the results as they expected. The most important actions that Focus Plastics applied as part of their strategy include a transformation into their manufacturing process by using a streamlined manufacturing process. The reorganization of their manufacturing and adding larger moulds will increase productivity.

Focus Plastics position as a premium brand, this demand high quality controls and constantly development of seasonal products, as part of their marketing strategy was consider the creation of new seasonal products, variety of colors and styles. This continuous changes in the products, affect seriously the production of other products, since the developing and testing of new moulds require a lot of time. All this was affecting the finances, production and profits.

One of the main features of the manufacturing policy applied by Focus Plastics was the integration of multi capacity moulds using larger injection units increased considerably their levels of efficiency in comparison of the previous years. This implementation benefits increasing the production capacity and decreasing the number of injection units. They also start looking for efficient ways to increase productivity and find out that the best way to reduce setup times is to start their production daily with the lighter colors and advance to the darker colors according needed, this actions improved their quality of the finished products.

It is a reality that with the development of the “Concept Office” and “Concept Home” the volume of production and sales has increased for Focus Plastics, so they need to focus on quality and being more efficient. Assigning an operations director to directly supervise and control all the manufacturing, warehousing and distribution processes, is a good decision. The manufacturing of the products must be aligned to market requirements and matching production system. In an industry with constant preferences changes, they need to innovate and use technology to develop and create models at the same speed as the preferences change without increasing abruptly the costs of