Custom Chip Company Case Study

Background of Custom Chip Company

Background of Custom Chip Company

            Custom Chip Company was established in the year 1977 where its main role was to manufacture semiconductor and its specialty was in the manufacturing of custom chips that were used in radars as well as in the satellite transmitters and the radio frequency devices. The company has grown rapidly over time with increase in sales. The chief plant is situated in Silicon Valley, innovated and more compound products were accumulated (Silverman n.d). The overseas facilities are found in Europe where there was the assembling of the simple and higher volume products. The growth of the company had come to a stop due to the downturn that had occurred in the company hence resulting to a cost reduction technique in order to deal with the issue. Custom Chip Company therefore has had some of its strengths that have seen the company through its development process up to date and also some weaknesses within the company that have affected it’s operations and hence performance. Writers who offer operations management assignment help at Edudorm essay writing service notes that also there have been other external factors that have also contributed to the success and the failure of the business that is the various opportunities that have been there and the threats that have faced the company. All these have factors are important when analyzed as they help the company to identify those factors that affect the company negatively and hence working towards ensuring that they are worked upon and the other factors that bring about positive effects in the company are improved to enhance the productivity of the company. This paper therefore will base its argument on the SWOT analysis of the Custom Chip Company and the changes that can be implemented in the organizational structure of the company.

SWOT Analysis of Custom Chip Company

STRENGTHSWEAKNESSES
Excellent manufacturing staff with strong knowledge of the products they are manufacturing. Good internal communication. Quick response to employees demands. Good organizational structure. Good Stand point for innovation. Affordable pricing. Quality manufacturing and designing of products.Limited resources. Too much workload on the employees. Inherent conflicts between departments. Reduced number of employees. Poor documentation. Inadequate coordination and cooperation within the departments in Custom Chip Company. Inadequate and unorganized policies within the company. Poor networking within the company.
OPPORTUNITIESTHREATS
More chances of innovation. Internet as a source of marketing.High competition in the market with competitors having similar products. Downturn in the country’s economy.

Conflict between the Departments in Custom Chip Company

            There has been conflict between the departments in Custom Chip Company. It is quite evident that the conflict goes beyond the subordinate employees to the highest rank that is up to the vice presidents of these departments. Those in power make decisions that favor their departments without considering the effects they have on the other departments and thus ends up affecting the general productivity of the Custom Chip Company. This creates confusion among the other employees especially the operators hence the yield reduces to quite low amounts and hence the objective of these departments is not attained (Silverman n.d). Experts who offer corporate strategy assignment help at Edudorm essay writing service indicates that there is so much blaming activity in the company as no one wants to take the responsibility of their action and it is as a result of these blames that the conflict aggravates between the departments and hence affecting their operations. It is therefore recommended that the manufacturing and the product engineering company should integrate and collaborate towards working together so as to improve their performance (Silverman n.d). This will also enable them share in their objectives and thus will work cohesively towards attaining these objectives. This will also enhance the pooling of their limited resources within Custom Chip Company that is the employees where those whom have worked for a longer period within the company can offer training to the new employees. This will help in upward development of every employee in the company.

            Each department within Custom Chip Company is interdependent on the other as the role that each department has depends on the role from the other department. This is to mean that one department is as important as the other and together they enhance the company’s roles (Silverman n.d). Application engineers in the department are tasked with the role of designing and developing prototypes that are to be used for the innovated products, while the product engineers translate these designs by the application engineers so as to manufacture instructions that the manufacturing employees will use while executing the designs that were designed by application engineers and translated by product engineers (Silverman n.d). Thus each department depends on the other and the success of one department enhances the success of the other department while failure of one department applies to the rest of the departments.

Recommendations for Custom Chip Company

            It is therefore recommended that Custom Chip Company management should add on the resources that are needed by the employees so that they can be able to effectively produce products at the required time. This will help reduce delays within the product ion and also late distribution of the products to customers. Authors who offer marketing assignment help at Edudorm essay writing service points that it is also recommended that the company should employ more employees within the company this will help in offloading the workload that the employees has and this will make work easier to be done and workers will be able to specialize on their roles and hence all will work towards providing quality services to the company. The Custom Chip Company should also ensure that they have accurate and a well updated documentation that includes a well written manufacturing step for their allocated products mainly those that have large and repeated orders.

            It is also recommended that Custom Chip Company organizes the company in a way that it forms a clan like structure where the employees are able to work together, assist one another and communicate effectively. This will be enhanced through the holding of meetings weekly where each department meet and they discuss issues that affects them and the way forward and they all set a target to which they all work towards achieving. Tutors who offer strategic marketing assignment help at Edudorm essay writing service acknowledges that this will help create an enabling environment where they will be able to have freewheeled discussions and good relation amongst them will be encouraged. Custom Chip Company should also focus more on the documentation of the issues in the company. The company’s management should act like role models top their customers by ensuring that they avoid conflicting and hence this will allow the employees to follow their example as their superiors.

            Custom Chip Company should carry out performance measure regularly within the company by carrying out surveys so as to ensure that the performance of the company is improving each and every single day. This will help the employees to work extra hard as they want to attain the high performance during the measure. The company’s management should also offer the employees tokens of appreciation in case of high sales this will help to motivate the workers.

Organizational Structure at Custom Chip Company

            The organizational structure of the Custom Chip Company is composed of the president who is the overall head of the company. There are two departments with each department having a vice president who usually report to the president of the company. Mentors who offer business development assignment help at Edudorm essay writing service recognizes that while the respective departments have managers who are in charge of the overall management of the departments and they report to the vice president of the department. While under these departments there are technical employees that are the subordinate staff who carry out the roles as given by their superiors and they report to the managers in their department.

Business Venture

            The organization of Custom Chip Company is mainly centered on the manufacturing and designing but it should be diverse and that will involve the inclusion of one more department in the company (Silverman n.d). This will ensure that all sales, marketing, auditing and financial issues are well handled within the company. Instructors who offer project management assignment help at Edudorm essay writing service argues that establishment of this department will ensure that Custom Chip Company reaches out to many through advertising which will be carried out by the sales and marketing subdivision while the financial matters including budgeting, payment of workers and expenses and offering of financial advice will be carried out by the finance subdivision. These two subdivisions will fall under one department since sales and marketing also depends on the finances from the finance subdivision hence the entire department can be managed by a finance manager who will be in charge of finances and sales and marketing.

References

Silverman M. (n.d). Integrative Case 4.0: Custom Chip, Inc. San Francisco, Reprinted.

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