Organizational Power And Behavior: Stryker Instruments

1012 words - 5 pages

Identify significant conflicts or power struggles within your organization. What are the issues? What are the biblical implications? There are three major struggles within my organization. The primary struggle for Stryker is integrated manufacturing ability to meet the assembly lines production demands. In addition to those demands is the diminishing ability of Stryker’s integrated manufacturing team to make a profit while being burdened by higher operating costs. And lastly is the trial of complying with a growing array of Food and Drug Administration regulations concerning process change control.
Currently the primary struggle for the integrated manufacturing employees at Stryker Instruments is to meet the assembly lines demands. This struggle originates from operating under a just in time delivery system. J.I.T. delivery is a manufacturing strategy that attempts to improve a business' profitability by reducing in-process inventory and the costs associated with extra inventory, such as the taxes that are charged to all of the inventory that Stryker instruments has in stock. The process relies on clear communication between the various points in the manufacturing and assembly processes. For J.I.T. delivery to work properly, the assembly line should relay what components are being consumed to the manufacturing work centers located in integrated manufacturing. This signals the integrated manufacturing team to replenish the supply of certain high demand components.
However, there are times when the communication signals between the assembly line and integrated manufacturing aren’t clear, or a work center in integrated manufacturing is offline while it is being repaired. When these miscommunications and repair issues happen it often results in a shortage of components for the assembly line. Because of the J.I.T. delivery strategy there is no reserve of safety stock. Safety stock is a reserve of extra components built in advance to replenish the supply in the event of an emergency. A J.I.T. delivery system does provide a cost savings concerning inventory, but all of the people involved in the manufacturing process need to communicate with one another in order for J.I.T. delivery to work properly.
The ability to make a profit is becoming more difficult for Stryker’s integrated manufacturing team. The primary cause of this problem is the sudden increase of operating expenses associated with The American Healthcare Act. Under the new guidelines of the American Health Care Act all medical device manufacturers are currently required to pay an excise tax. This excise tax is used to fund the new health care system. The net result is a 13% loss in profits for the integrated manufacturing team.
The trials of complying with a growing array of Food and Drug Administration regulations concerning process change control are presently taxing the quality control engineers at Stryker Instruments. Change control is a formal process used by manufacturers to...

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