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Location Factors

Location Factors. Community Considerations (35%) Sizable community Close to top medical facilities Lowers travel time of our orthopedic specialists Green/eco-friendly Portion of demographic present Lower cost of living for employees. Location Factors. Proximity to shipping port (20%)

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Location Factors

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  1. Location Factors • Community Considerations (35%) • Sizable community • Close to top medical facilities • Lowers travel time of our orthopedic specialists • Green/eco-friendly • Portion of demographic present • Lower cost of living for employees

  2. Location Factors • Proximity to shipping port (20%) • Compete on innovation • Reduces freight costs • Reduces shipping time

  3. Location Factors • Proximity to sources of suppliers (20%) • Close-knit relationship • Reduce time • Reduce cost

  4. Location Factors • Price (15%) • Property taxes • Reasonable

  5. Location Factors • Quality of life issues (10%) • Low cost of living • Good climate • Reputable schools • Low crime rate • Diverse entertainment and community involvement opportunities

  6. Vancouver, Washington

  7. Location A 3307 NW Lower River Rd Cost: $125,000 Size: 5,000 sq ft

  8. Location B • SE Mill Plain Blvd • Cost: $250,000 • Size: 9,700 sq ft

  9. Location C 1355 Ingalls St Cost: $145,000 Size: 6,500 sq ft

  10. Supply Chain Suppliers Plant Intermediaries Customers Recycled cloth Adhesive machine Product Distribution Consumers Cloth material Test and Package Product Injection machine Synthetic gel materials Online Orders Molding machine Recycled rubber

  11. Value Chain • Create diagram with measurements of insole  • Create prototype • Financing • Employee Training • Decide on raw materials for production • Forming contract agreements with suppliers Pre-Production Production Post-Production • Create product • Maintain safety testing • Inspection testing • Insure productivity is maintained • Packaging • Transportation and shipping services • Warranty • Customer Reviews and Online Feedback • Warehouse and inventory management

  12. Selection Process • Value Chain • Proximity to shipping port • Cost and time efficiency • Community considerations • The cost of living • Supply Chain • Proximity to source of suppliers • Simplifies our Just-In-Time deliveries • Ease access to materials

  13. Facility Layout/Process • Product (assembly line) • Lower costs. • Main variation being the size of the insole • Easy of bulk orders

  14. Facility Layout *Not drawn to scale

  15. Facility Layout/Process Space Requirements • Our centers will have conveyer belts that connect them. • At the end of the Packaging system there will be no conveyer belt, but pallets set up to be moved to inventory by the forklift.

  16. Just-In-Time Operations • Benefits of JIT • Smaller inventories • Lowering WIP inventories • Smaller space requirements • Increases quality • Increases flexibility and time responses • Lowers production costs • 5 Lean/JIT Principles • Eliminating waste • Increasing speed and response • Improving quality • Reducing cost • Maintaining respect for all workers • All of this leads to an increased net profit

  17. Just-In-Time Concept • Reducing Costs • Using recycled materials • Only ordering raw materials as needed • Partially automated machinery • Machinery maintenance staff • Regular inspections on every machine

  18. Just-In-time Concept • Eliminating Waste • Minimal waste in assembly • Use of conveyer belts in between asembly stations • Minimal waste in inventory storage area • No extra inventory sitting around • Only make enough products to fill orders • Lower work in progress inventory

  19. Just-In-Time Concept • Improve Quality • Six Sigma • Near zero defects • Innovation • Research through near-by hospitals • Portland • Seattle

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