I LOVE GADGETS !!!

Gadget Toy
Gadget Toy Company

Immediate Issue

Joe Huffman, the project manager at Gadget Toy Company, has just submitted a proposal for a new children’s toy to the new product review committee. He is anticipating approval from the committee at the end of the week and must now determine if the project can be completed in time to meet the September 15 delivery date.

Basic Issues

1. There is presently a strong market demand for the cartoon character that Joe has proposed so quick implementation is important. (Reacting quickly to dynamic market forces). He has determined the definitive starting point of this project as immediate and the ending point as nineteen weeks from now which is when the toys must be ready for distribution.

2. Joe has determined the activities that are necessary for this project; he can begin to work on some immediately but must wait on others as they have precedence relationships where other activities must be completed first. He has also estimated the time that would be required to complete each activity and found that three activities: deliver new equipment, building dies/tools, and advertising have lengthy completion times.

3. After consulting with marketing, Joe has found that a minimum of six weeks of advertising is required for this cartoon character but twelve weeks have been estimated in the activity list. Joe must determine if he needs to reduce the advertising in order to cut the total project time (reduce the critical path time), keeping in mind that each week of lost advertising would amount to approximately a five percent reduction in sales.

4. After consulting with production, Joe has found that the time to build dies and tools could be reduced by two weeks if the tool shop worked weekends for a cost of $5,000. (Activity crashing on a critical activity). He will have to determine if this action is necessary.