The Clifton Industries Case Study Essay

Words: 2602
Pages: 11
Open Document
The current situation of our company
Table 1 the comparison between North American and European market | market | Competition | volume | margins | lead times | price | North American | Huge | significantly more competitive | Huge | | shorter | More price-sensitive | European | | | smaller | satisfactory | | Pressure on price |

The characteristics of its marketing
1 two major market areas: The first was to supply products of a type similar to our current electromechanical designs to North American aircraft manufacturers. The second was to design and manufacture electronic products for Europe and North America.
2 time was pressing. the lead time between contracts being signed and initial deliveries got increasingly …show more content…
As mentioned before, technology and quick delivery time are significantly important for both North American and European markets; therefore, traditional cost system should be eliminated. Not mention it is not able to allocate overhead accurately can correctly. In the situation that price is almost the most important order-winning criterion and failure to deliver on time may result in the loss of orders, in addition, in this area where manufacturing airplane components, the quality is extremely important, a cost system which can take both financial and nonfinancial factors into account is in the great demand. Activity based costing system should be applied by Clifton to calculate the electronic product.

Firstly, the price of every kind of component should be calculated by its direct labor hour, material as well as the overhead. Step one is to find what activities are need for a kind of product. Step two is to calculate how much the activities created for producing such a product. Step three is to assign the costs to products based on individual products’ consumption and demand for each activity. Identified cost drivers can help calculate the price of products and serves as a link between activity and product. What is more, cost drivers can give managers positive or negative information on how the manufacturing processes perform and they help remain performance indicators in a stated of control; because when they are out of the acceptable limitations, it become a
Show More

Related Documents: The Clifton Industries Case Study Essay

Key challenges essay

George Mitchell: 201303721 Date: 03/02/14 Word Count: 1619 Entrepreneurial start-ups face significant adversity in establishing a foothold in their chosen market. Undoubtedly, the extent and specific challenges they face will differ industry to industry, yet a review of the literature on the subject establishes several core factors. This has been covered largely by the umbrella term - ‘liability of newness’ (Stinchcombe, 1965). This incorporates a lack of skills, routines, systems and experience…

Words 2141 - Pages 9

Tourism and Op. Cit Essay

Heritage and Gastronomy: the pursuits of the 'new tourist' Jetske van Westering Abstract The main thrust of this text is to acknowledge the relationship between gastronomy and heritage as a key motivator for travel. Gastronomy, as a central part of culture, and its influence on other aspects of culture has received scant recognition from the academic world generated by tourism. Gastronomy, heritage and tourism are old friends; the relationship between them is mutually parasitic. Gastronomy's role…

Words 4082 - Pages 17

Bmw Case Study Essay

whose only priority is to make its millions? Or have BMW spent the ninety years of their existence building a solid reputation based on quality? This dissertation will aim to investigate these questions by exploring the different and maybe in some cases, unknown elements of BMW. I will be touching upon the history of the company and how it has shaped the organisation through its design, architecture,…

Words 12107 - Pages 49

Essay on Micro-Organisms and Antibiotic Resistance

which is actually designed to improve the way of using the prescribed antibiotic drugs and to reduce the spread of infection. In New Zealand the burden of resistant organisms is not as problematic in comparing with other high burden countries, but studies on the resistance pattern demonstrates that the antibiotic resistance will be a great concern in the future. So, it is a favourable situation in New Zealand to halt the progress of resistant organisms and to promote effective antibiotic usage. (Thompson…

Words 3308 - Pages 14

Essay about Week5 TeamAssignment 4

about group solidarity that they fail to critically and realistically evaluate their decisions and the assumptions leading to those decisions (Wilcox, 2010, p. 34)” Sunday, October 6, 2013 • Noted Management and Organizational Leadership expert Dr. Clifton Wilcox identifies groupthink as a phenomenon where the “tendency for cohesive groups to become so concerned about group solidarity that they fail to critically and realistically evaluate their decisions and the assumptions leading to those decisions…

Words 1999 - Pages 8

Essay about Investment and Case Study Class

readings can be downloaded from the course website. (3) Financial Calculator: Any business calculator with versions of the following function keys will be acceptable: PV, FV, PMT, i, n, CF and IRR. (The HP 12c is considered by many to be the finance industry standard, along with the TI BA II Plus.) The use of a calculator will be required on the inclass portion of all examinations in the course. It will also be useful to have your calculator available for each class session. Course Structure: The material…

Words 5860 - Pages 24

Thiyagarajan Vignesh MK55EMM2014 Essay

M54EKM- CONTRACTING MANAGEMENT ASSIGNMENT By VIGNESH THIYAGARAJAN 53185 Table of contents 1. Executive Summary………………………………………………………………………………5 2. Introduction…………………………………………………………………………………………6 2.1. Contracting Management…………………………………………………..6 2.2. Contract Formation…………………………………………………………….7 3. Role Of Contract Manager…………………………………………………………………….7 3.1. IT Contract Manager…………………………………………………………..8 4. Tendering Process………………………………………………………………………………..8 4.1. Types of Tendering………………………………………………………………

Words 5910 - Pages 24

Essay about Red Bull - the Anti-Brand Brand

Marketing Communication: Research and Planning Spring exam 2012 Red Bull – The Anti-brand brand Question 1: Red Bull was launched in Austria in 1987, and in the 25 years that has passed since then, many things have happened that could and should affect the way Red Bull markets and brands its product as opposed to how it was done in the years after the launch. All though Red Bull was launched in 1987, it was not until 1992 that the company began expanding its distribution – first to other…

Words 6101 - Pages 25

Paper on Work Place Safety

Even though there’s a variety of industries and activities in said industries, workplace safety is common to them all, in the sense that the prolonging and prevention of endangerment to human life is necessary in all fields of endeavour. In table 1, we see all forms of industrial activities; from small household activities and jobs to larger mining, quarrying and manufacturing industries, accidents are prominent in all industries It is therefore, imperative to study in depth, seeking to find the causes…

Words 10016 - Pages 41

Essay on Analysis: Brand and Promotional Culture

CHAPTER ONE Blowing Up the Brand Melissa Aronczyk & Devon Powers “New Branded World” Redux Only about a decade ago, popular understanding of brands and branding was largely confined to the products and practices of the corporate enterprise. When journalist and cultural critic Naomi Klein wrote the bestseller No Logo in 2000, a searing critique of the “new branded world” (3) of industrial influence, the focus of her attack was on how corporations’ transnational reach, predatory methods…

Words 8607 - Pages 35