Please describe the Theory of Ethics you would use to analyze this scenario & why?Then indicate the theory of social responsibility utilized by David & Johnny in making their decisions.Briefly explain your position and what you would advise David & why.Comment on classmate responses that you agree/disagree with and why.

Complete five problems in which you analyze common approaches to determining product or service quantities based on financials, contribution to profit based on a specific price and volume, product reliability, and quality control.This assessment explores the quality tools companies use to monitor, control, and analyze their products or services. Most businesses in today's economy must invest in quality to survive. Experts on quality have consistently shown that investing in programs and processes to ensure high quality does pay off.SHOW LESSBy successfully completing this assessment, you will demonstrate your proficiency in the following course competencies and assessment criteria:Competency 2: Apply the tools and technology used in operations management. Apply operations management tools associated with determining a breakeven analysis.Apply operations management tools associated with determining contribution to profit.Apply operations management tools associated with determining reliability based on a product with subcomponents used in series.Apply operations management tools associated with determining reliability based on a product with subcomponents used in parallel and in series.Apply operations management tools associated with determining control limits.Competency MapCHECK YOUR PROGRESSUse this online tool to track your performance and progress through your course.Toggle DrawerContextToday's customers want high quality products at the lowest possible price. Businesses establish quality expectations and conform to those expectations based on the customer or market segment they are going after. Today's consumers also demand organizations to be concerned with sustainable resources; this is evident with the passage of recent regulations and laws.SHOW LESSWhat Is Quality?It is important to understand that quality is not just an issue for companies that provide products. Services are measured by quality expectations as well, and are monitored to ensure high levels of quality. Organizations that provide services are extremely vulnerable to high quality expectations, because they are usually face-to-face with the customer on a regular basis. Service is not as easy to quantitatively measure, but it is still important to measure the service quality through the use of surveys, questionnaires, and other tools.In service, the idea is to make sure that customer's expectations have been exceeded, thus establishing the client as a return customer. Businesses have started to recognize the important role their employees play in this process, and have invested heavily in education, training, and team development. The best practice of investing in employees helps a company survive in today's competitive economy.A company determines its level of quality based, in part, on the specific expectations an individual is willing to pay. Once this and other factors are considered, a company sets its quality standards. The transformation of inputs to outputs creates many variables—from materials used to shipping and handling of the final product—that can affect quality. More importantly, industry metrics need to be considered to better manage effective resource use and determine organizational performance for sustainability.Total Quality ManagementTotal Quality Management (TQM) is a process by which companies strive for zero defects while delivering high quality products. By understanding the process, a company can identify the causes of defects and work towards eliminating them. Companies monitor and improve the development of a product or service with the use of statistical process control (SPC), control charts, process capabilities, Six Sigma, and other tools. Six Sigma is a tool that involves the whole company, especially top management, with the intent of reducing defective workmanship to 3.4 parts per million transactions. This is not a quick-fix program, but a long-term, corporate culture mindset that strives to eliminate defects completely so they do not return again.Toggle DrawerQuestions to ConsiderTo deepen your understanding, you are encouraged to consider the questions below and discuss them with a fellow learner, a work associate, an interested friend, or a member of the business community.How would you describe product or service design, and its processes?How do the quality tools selected by a company impact the company's performance?Does the company you work for incorporate Six Sigma?How can incorporating Six Sigma improve a company's performance?Toggle DrawerResourcesSuggested ResourcesThe following optional resources are provided to support you in completing the assessment or to provide a helpful context. For additional resources, refer to the Research Resources and Supplemental Resources in the left navigation menu of your courseroom.Library ResourcesThe following e-books or articles from the Capella University Library are linked directly in this course:Naidu, N. V. R., Babu, K. M., & Rajendra, G. (2006). Total quality management. Delhi, IN: New Age International.Shridhara Bhat, K. (2010). Total quality management: Texts and cases. Mumbai, IN: Global Media.Kemp, S. (2005). Quality management demystified. Blacklick, OH: McGraw-Hill.SHOW LESSCourse Library GuideA Capella University library guide has been created specifically for your use in this course. You are encouraged to refer to the resources in the BUS-FP4014 Operations Management for Competitive Advantage Library Guide to help direct your research.Internet ResourcesAccess the following resources by clicking the links provided. Please note that URLs change frequently. Permissions for the following links have been either granted or deemed appropriate for educational use at the time of course publication.General Electric Company. (2014). What is six sigma? Retrieved from http://www.ge.com/en/company/companyinfo/quality/w...American Society for Quality. (n.d.). Six sigma forum. Retrieved from http://asq.org/sixsigma/ISSSP. (2014). International Society of Six Sigma Professionals. Retrieved from http://isssp.com/iSixSigma. (2014). Retrieved from http://www.isixsigma.com/Six sigma systems. (2014). Retrieved from http://www.sixsigmasystems.com/index.php APICS. (2013). Retrieved from apics.orgBookstore ResourcesThe resources listed below are relevant to the topics and assessments in this course and are not required. Unless noted otherwise, these materials are available for purchase from the Capella University Bookstore. When searching the bookstore, be sure to look for the Course ID with the specific –FP(FlexPath) course designation.Reid, R. D., & Sanders, N. R. (2016). Operations management: An integrated approach (6th ed.). Hoboken, NJ: Wiley. Chapter 5, "Total Quality Management."Chapter 6, "Statistical Quality Control."Assessment InstructionsScenarioSuppose that you were recently hired as the operations manager for ABC Manufacturing, a small manufacturing company founded two years ago. The company has been reasonably successful since it was founded, but has recently been experiencing several production issues. You were hired to recommend and implement improvements to get the company back on track.ProblemsComplete the following problems based on the ABC Manufacturing scenario above. For each question, briefly describe the operations management issue and describe how you would approach an analysis, then provide answers to the algebraic equations.Question 1. ABC Manufacturing is unsure of the ideal price to quote for one of their products, a pump. ABC's president has asked you to do a break even analysis for the pump, and to recommend the optimal price. The fixed costs (FC) associated with manufacturing this particular product are $100,000, and the variable costs (VC) are $50 per unit. ABC's president is considering a selling price (P) for this product of $100. The president wants to know how many units have to be sold in order to break even (BEU).Analyze this operations management issue.Provide the algebraic equation (using BEU, FC, P, and VC as variables) for the breakeven analysis.Calculate and provide the numeric breakeven value.Question 2. ABC's president believes there is substantial competition for this type of pump, and that price is a significant factor in potential customer's purchase decision. He estimates that the company will sell 3,600 pumps (unit volume or UV) if they are priced at $100, and will sell 2,900 pumps if they are priced at $110. He wants to know what contribution to profit (CP) would result from each of those two selling prices, and thus which is the better price.Analyze this operations management issue.Provide the algebraic equation (using CP, UV, P, and VC as variables) for this analysis.Calculate and provide the numeric contribution to profit (in dollars) for each of the two price points.Question 3. Another issue ABC is facing is reliability of their products, in part because they are manufacturing increasingly complex products. One such product is designed and manufactured with five different subassemblies combined in series. It was determined through testing that those subassemblies have reliabilities, which are R1, R2, R3, R4, and R5; of .997, .998, .995, .999, and .990, respectively (refer to the Question 3 Flowchart). ABC's president has asked you what the reliability of the overall product (RP) is, given those subassembly reliabilities utilized in series.Analyze this operations management issue.Provide the algebraic equation (using RP, R1, R2, R3, R4, and R5 as variables) for this analysis.Calculate and provide the overall product reliability, given those subassemblies utilized in series.Question 4. ABC's president has also asked you what the overall reliability of a different product (RP) is. That product has four subcomponents (SC1, SC2, SC3, and SC4). The components are organized as SC1, followed by SC2 in parallel with SC3, which are then both followed by SC4 (refer to the Question 4 Diagram). Their respective reliabilities are SC1R=.97, SC2R=.98, SC3R=.95, and SC4R=.93.Analyze this operations management issue.Provide the algebraic equation (using RP, SC1R, SC2R, SC3R, and SC4R as variables) for this analysis.Calculate and provide the overall product reliability given those subassemblies.Question 5. ABC Manufacturing is also concerned about the quality of its manufacturing processes. One of the products the company sells is a bottle of liquid lubricant associated with the pump product line. ABC's president is familiar with the operations management concept of control limits (determining an upper and lower numerical threshold such that a process is considered in control as long as it stays within those limits).The president has asked you to take samples of the amount of liquid in those bottles and determine the upper control limit (UCL) and lower control limit (LCL) of three standard deviations. He told you that, based on previous testing, the standard deviation (SD) for this process is 0.035. You took sample measurements of the volume of liquid in the bottles, done at different times of the day (in case that somehow impacted the volume), and this produced the data in the Sample Measurements Table below:Sample Measurements TableTimeVolume of Liquid in Bottles of Lubricant (in Ounces)8:00am30.039:00am30.0410:00am29.9811:00am30.0112:00pm30.001:00pm29.972:00pm30.083:00pm29.984:00pm29.995:00pm29.98Mean (M)30.006Analyze this operations management issue.Provide the algebraic equation for the UCL and for the LCL (using UCL, LCL, M, and SD as variables).Calculate and provide the numerical ULC and LCL values.Additional RequirementsWritten communication: Written communication should be free of errors that detract from the overall message.APA formatting: Any references and citations should be formatted according to APA (6th edition) style and formatting.Font and font size: Times New Roman, 12-point.

The discussion assignment provides a forum for discussing relevant topics for this week based on the course competencies covered.For this assignment, make sure you post your initial response to the Discussion Area by the due date assigned.To support your work, use your course readings and also use outside sources. As in all assignments, cite your sources in your work and provide references for the citations in APA format.Start reviewing and responding to the postings of your classmates as early in the week as possible. Respond to at least two of your classmates. Participate in the discussion by asking a question, providing a statement of clarification, providing a point of view with a rationale, challenging an aspect of the discussion, or indicating a relationship between two or more lines of reasoning in the discussion. Complete your participation for this assignment by the end of the week.Simulations and Multifunctional TeamsSimulations are used as learning tools for replicating competitive environments. The course simulation requires you to perform as a member of a multifunctional team.Discuss the following topics about performing in a multifunctional team:What is the purpose of multifunctional teams in business decision making?How should decisions be made to obtain the benefits of multifunctional teams?What can simulations do that case studies cannot?Why are simulations used so widely in so many professions?Week 2 DiscussionContains unread postsThe discussion assignment provides a forum for discussing relevant topics for this week based on the course competencies covered.For this assignment, make sure you post your initial response to the Discussion Area by the due date assigned.To support your work, use your course and text readings and also use outside sources. As in all assignments, cite your sources in your work and provide references for the citations in APA format.Start reviewing and responding to the postings of your classmates as early in the week as possible. Respond to at least two of your classmates. Participate in the discussion by asking a question, providing a statement of clarification, providing a point of view with a rationale, challenging an aspect of the discussion, or indicating a relationship between two or more lines of reasoning in the discussion. Complete your participation for this assignment by the end of the week.Accrual Accounting SystemThe accrual accounting system is a standard system used by most businesses and is also the system used in the simulation. In relation to the rules of accrual accounting, consider the following questions:How does the accrual accounting system impact the financial statements and the standing positions of firms in the simulation such that these may not reflect the true, long-term sustainability of the firms' strategies?What is being "unaccounted" for?What contrasts are there between what is shown in cash flow statements and the need for firms to borrow at high rates and firms' income statements?1Week 3 DiscussionThe discussion assignment provides a forum for discussing relevant topics for this week based on the course competencies covered.For this assignment, make sure you post your initial response to the Discussion Area by the due date assigned.To support your work, use your course and text readings and also use outside sources. As in all assignments, cite your sources in your work and provide references for the citations in APA format.Start reviewing and responding to the postings of your classmates as early in the week as possible. Respond to at least two of your classmates. Participate in the discussion by asking a question, providing a statement of clarification, providing a point of view with a rationale, challenging an aspect of the discussion, or indicating a relationship between two or more lines of reasoning in the discussion. Complete your participation for this assignment by the end of the week.Address one of the following bullet points and its sub points:Although strategic groups tend to be rigid, they are by no means fixed. One of the things managers have to be aware of is which firms may change group membership. With the results from Year 13 of the simulation, consider the following:Why do firms tend to cluster into strategic groups?Would it not make sense for firms to spread out across strategic spaces? Why or why not? Explain your rationale.How likely is it that firms competing in other strategic groups will adapt their strategy to compete directly against you? Explain your rationale.Which firms currently not in your strategic group would be most likely to try and enter your group? Why?Firms also sell in the Internet markets and have to coordinate the Internet marketing strategy with the branded marketing strategy.How do firms that are successful in the Internet market balance their sales there with those in retail markets?Is there any evidence showing firms that emphasize the Internet channel are being hurt in the retail channel and vice versa? Support your answer with examples.A firm has to market an athletic shoe product line that it orders from its factories. Which decisions on the Production and Labor screens are critical to coordinate with the firm's marketing strategy? Why?00Week 4 DiscussionThe discussion assignment provides a forum for discussing relevant topics for this week based on the course competencies covered.For this assignment, make sure you post your initial response to the Discussion Area by the due date assigned.To support your work, use your course and text readings and also use outside sources. As in all assignments, cite your sources in your work and provide references for the citations in APA format.Start reviewing and responding to the postings of your classmates as early in the week as possible. Respond to at least two of your classmates. Participate in the discussion by asking a question, providing a statement of clarification, providing a point of view with a rationale, challenging an aspect of the discussion, or indicating a relationship between two or more lines of reasoning in the discussion. Complete your participation for this assignment by the end of the week.Complete the following discussions:Inventory management is critical to success in the simulation. With respect to your team, discuss how you decide to balance the risk of stockouts against the costs of maintaining excess inventory.Every week, you have to consider the cash flow of your firm. This short-term financial consideration often creates serious difficulties for firms in the footwear industry. Looking at your industry to date, consider the following questions:Why do firms have trouble managing their cash flow? What events cause a cash flow crisis in the simulation?How does a short-term cash flow crisis impact a firm's competitive strategy?How does a short-term cash flow crisis spiral into bankruptcy for some firms?00Week 5 DiscussionThe discussion assignment provides a forum for discussing relevant topics for this week based on the course competencies covered.For this assignment, make sure you post your initial response to the Discussion Area by the due date assigned.To support your work, use your course and text readings and also use outside sources. As in all assignments, cite your sources in your work and provide references for the citations in APA format.Start reviewing and responding to the postings of your classmates as early in the week as possible. Respond to at least two of your classmates. Participate in the discussion by asking a question, providing a statement of clarification, providing a point of view with a rationale, challenging an aspect of the discussion, or indicating a relationship between two or more lines of reasoning in the discussion. Complete your participation for this assignment by the end of the week.During this simulation, you have been making tactical and strategic decisions. Keeping these in mind, address the following questions:What are the differences and similarities between the tactical and strategic decisions you have made?How often did you need to change your strategic decisions? How often did you change your tactical decisions?What dangers does a company face if it focuses only on tactical decisions?Also, review the overall process by which your team worked together over the course of the simulation and answer the following questions:How did your decision-making process evolve over the sequence of decisions?Why did you make the changes that you did in the decision-making process, or why did you not change?Did your decision-making process result in better decisions as the simulation progressed, and why do you think it did or did not?00Week 5 Discussion: Team PresentationFrom the due date assigned through the end of the week complete the team presentation as described below under team expectations and post by the end of the week.By the due date assigned post individual investments.Individual Investment ExpectationsEach of the investors has $1,000,000 to invest. They will spend all, part, or none of their stake in your company based on your presentation—not necessarily on how you performed in the past, but on your potential to earn them money in the future. You cannot invest in your own company.As an investor, you must post your "purchases" by the due date assigned along with the reasons why you are investing in the firm or firms you have chosen. You do not have to spend all your money but you must post an explanation as to why in this Discussion Area. Your instructor will add up the investments for each team and post them on the end of the week.Team ExpectationsCompany Presentation to Potential ShareholdersBy the due date assigned your company is to prepare a presentation for potential shareholders (the shareholders are the individual students in the class who are not managers in your company) and post the presentation to the Discussion Area.Note: Presentations are best done using Microsoft PowerPoint but can also be done using Microsoft Word. Twenty percent will be deducted if your post is not a formal Microsoft PowerPoint or Microsoft Word presentation.The company presentation is a brief review of the financial performance of your company during the time your team ran the company plus projections for the performance of your company for three years in the future (just like your three-year plans).Start with the following charts:Trends in the company's total annual revenuesTrends in the company's annual earnings per share (EPS)Trends in the company's annual return on equity (ROE) investmentTrends in the company's annual credit ratingTrends in the company's year-end stock priceTrends in the company's annual image ratingAs you know, when you launch the Decisions and Reports program, there is a performance summary containing bar graphs showing your company's performance on each of the above six performance indicators. To create charts showing your company's trends for these six indicators, simply click the Copy to Clipboard button under each of the bar graphs for the final year of the simulation and paste the graph on a Microsoft PowerPoint slide (or you can paste the six bar graphs in a Microsoft Word document).Additionally, include the following slides:A slide describing the strategic vision of the company.One or more slides providing a discussion of a comparison of the firm's stock price, EPS, ROE, price-to-earnings (P/E) ratio, income statement, balance sheet, and cash flow statement to a real-world sneaker company (Nike, Adidas, and so on).A set of slides detailing the lessons learned about crafting a winning strategy and what the managers of a company should or should not do for the company to be financially and competitively successful in a head-to-head battle against shrewdly managed rival companies. Include the following information in this set of slides:What was your team's initial strategy, and how did it evolve over the course of the simulation?What major change in the strategic approach would you make if you were able to replay the simulation? Why?What information did you not have that you thought was the biggest limitation on your ability to make better decisions? Why?What are the three biggest takeaways for your firm from this simulation? Why are they important?