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Continuous process improvement at Brooktree

Article Abstract:

Brooktree Corp had to improve the operations of its suppliers as part of its total quality management and continuous process improvement efforts. The company established the Brooktree Foundry Coordination Committee (BFCC) which regularly meets with suppliers to find ways of enhancing their relationship. Another objective of the BFCC was to decrease the time it took for foundries to commit to delivery dates for wafer orders. During these meetings, it was realized that Brooktree employees and foundry representatives were not aware of the complete production process. In reponse to this problem, the company came up with a flowchart of the production process to illustrate how various activities are tied to the cooperation between employees, distributors and foundries. Brooktree's use of the flowchart led to a 67% decrease in commit times, as well as fostered a better working relationship with suppliers.

Author: Pattison, Diane D., Caltrider, James M., Lutze, Robert
Publisher: Institute of Management Accountants
Publication Name: Management Accounting (USA)
Subject: Business, general
ISSN: 0025-1690
Year: 1993
Semiconductors and related devices, Semiconductor industry, Brooktree Corp.

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GAPV: a new approach to joint venture investments

Article Abstract:

A new assessment method known as general adjusted present value (GAPV) analysis was used to evaluate a joint venture decision in the Russian market by the aerospace company Fiat Avio. GAPV involves time-variable interest rates and discounts the net cash flows generated by the investment, where net is defined as after funding and after taxes. This approach decomposes the present value of the investment by each period of the investment and allows for greater flexibility when utilized as a management information tool. This method has been found to be more useful than the Internal Rate of Return and the Net Present Value, which both assume constant rates of return. Based on the GAPV, the proposed joint venture with a Russian manufacturing firm will not generate as much return as promised.

Author: Pattison, Diane D., Tallia, Carlo Prina della, Judd, Mark T.
Publisher: Institute of Management Accountants
Publication Name: Management Accounting (USA)
Subject: Business, general
ISSN: 0025-1690
Year: 1996
Space propulsion units and parts, Guided Missile and Space Vehicle Propulsion Unit and Propulsion Unit Parts Manufacturing, Turbine Aerospace Engines, Methods, Accounting and auditing, Joint ventures, Turbines, Internal combustion engine industry, Present value analysis, Aerospace engines, Fiat Avio

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Are learning curves still relevant?

Article Abstract:

Flexible manufacturing systems (FMS) are becoming more common in manufacturing industries. Some experts are questioning whether the learning curve is still relevant as a management tool, but learning curves can assist a company in estimating FMS cost improvements. A case study is used to illustrate the application of cost-improvement curves.

Author: Pattison, Diane D., Teplitz, Charles J.
Publisher: Institute of Management Accountants
Publication Name: Management Accounting (USA)
Subject: Business, general
ISSN: 0025-1690
Year: 1989
Manufacturing industry, Manufacturing industries, Innovations, Resource allocation, Flexible manufacturing systems, Learning ability

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Subjects list: Management
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