Operation Management- Case Study

: 1009853abb200060 : 10-May-2010

Case Study 7-2 Nucor Corporation: Producing Quality Steel by Stressing Sound Management Practices
Discussion Question 1. This chapter has emphasized process design. At Nucor, do human resources processes affect product quality? Answer: Certainly. They believe the company's success is due to its culture, not technology. 2. How do Nucors management practices affect its ability to produce high-quality products? Make your answer as substantive as possible. Answer: Their human resources processes are the bottom line the way the staff. They stare at their bottom line, and rarely consider the many traditional practices, more reliance on human resources management. They think that time is not spent on team building session or performance evaluation. They focus on being ahead in key areas, such as management structure and staff capacity. Unlike many companies, emphasizing the more technical skills, recruitment, recruiter Nucor the right attitude, even if they lack the technical skills and are looking for people who can communicate with others honestly and with minimum supervision. Employees are given certain production goals; their pay depends on the realization of these goals. While the hourly wages of Nucor only 9 dollars per hour, compared to industry average 18 dollars per hour, however, Nucor employee income than their counterparts in the industry because the company's reward system, wages linked to productivity. Nucor's management also focused on providing a work environment conductive to promote trust and teamwork among staff. Nucor has the right to determine their employees to take a minimum of interference from top management. Each plant operates as a separate business unit. Management to give considerable freedom to make decisions relating to procurement of raw materials, and finally determine the marketing strategy, looking for customers to develop production goals and human resource requirements. We will

Operation Management- Case Study

 Operation Management- Case Study

: 1009853abb200060 : 10-May-2010

summarize the key success factors: Group-based bonus incentive plan, drops up management. Culture, employees are entitled to be treated fairly. Communication Manager is always open to discussion forum for all staff to discuss how to improve and enhance innovation, allowing employees to ask questions and provide feedback management Staff will have access according to their productivity Benefit holidays, vacation schedules and insurance programs are the same. No company cars, corporate jets, executive restaurant or exec. Parking spaces, all employees fly economy class Bonus R & F: Production Incentive Program, paid weekly bonuses based on production-based relationship between the actual output tonnage of production than anticipated Corporate governance, which makes the operation simple, the bottom line nearly five management structure and authority employees. All the same, all the managers, including chief executive officer, wearing the same color helmets work. Staff should have the confidence that if they work well, they have a job tomorrow, job security, work week, rather than reduce fire or layoff.

3. Would you enjoy working at Nucor? Why or why not? Answer: Although we are the operational factory workers, I like the culture Nurco. They key to success is not to what is the largest employee can earn. Typically, a more traditional corporate base rate of errors to increase, the hourly workers begin to earn a lot of money. Nurco the hours of quality rather than quantity, I like Nurco so that the company was formed by staff rather than staff working for the company.

Operation Management- Case Study