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Table of Contents

1. INTRODUCTION, COMPETITIVENESS AND STRATEGY..........................................................................2


2. PRODUCTIVITY.....................................................................................................................................3
3. FORECASTING......................................................................................................................................3
4. PRODUCT AND SERVICE DESIGN..........................................................................................................4
5. CAPACITY PLANNING....................................................................................................................5
6. PROCESS SELECTION AND FACILITY LAYOUT........................................................................................6
7. LOCATION............................................................................................................................................7
8. WORK DESIGN AND MEASUREMENT...................................................................................................7
9. QUALITY MANAGEMENT.....................................................................................................................8
10. PRODUCTION PLANNING AND INVENTORY MANAGEMENT............................................................9
11. CONCLUSIONS AND RECOMMENDATIONS....................................................................................10
12. RECOMMENDATIONS....................................................................................................................10
13. REFERENCE:...................................................................................................................................11
1. INTRODUCTION, COMPETITIVENESS AND STRATEGY
Background
EMIRATES Aluminium Company is a leading global manufacturer of aluminium and steel
products, with over years of experience in the industry (Nappi, 2013). Founded in 1987, Emirates
Aluminum Company has grown to become one of the largest privately held companies in the
UAE by expanding its product lines and facilities to meet the growing demand for its products.
The company has become one of the leading producers of aluminium, stainless steel and other
metal products in the UAE through its state-of-the-art production facilities. Having invested
heavily in technology and infrastructure, Emirates Aluminum Company today manufactures a
wide range of durable and corrosion-resistant products for construction, industrial applications,
automotive parts, and marine and aviation industries around the world.
The company's core business revolves around manufacturing standard-grade aluminium alloys as
well as specialty grades that are used in various fields including automotive components, food
packaging, aerospace applications, and other industrial purposes.

Business competitors:
National Aluminium LLC:
 National Aluminium LLC is a subsidiary of ginco group of companies that was found almost
50 years ago. The company is well known for aluminium and glazing work specifically in the
fabrication of architectural aluminium.

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Formwell Aluminum & Glass LLC:
 Formwell Aluminum & Glass LLC manufactures a wide range of aluminum and glass
products, including windows, doors and patio furniture. The company also offers a full line
of custom aluminum door and window hardware systems to match any design or style.

Technical Glass and Aluminium:


 Technical glass and aluminium have been manufacturing and supplying aluminium of the
highest quality standards. The company is operational in both UAE and Qatar.

2. PRODUCTIVITY

The productivity of the company is measured by the number of employees, hours worked and
production per employee. The number of employees is a direct measure of productivity, as it
reflects how much value is generated per person. The company has recently increased its
workforce from 1000 to 1200 employees to meet the increasing demand for its products. This
increase in workforce has allowed the company to increase its production output by over 50%.
The hours worked per employee measure how much value is generated per hour worked. This
figure is important because it allows us to compare different companies or industries with respect
to how many hours they require their employees to work for them. The higher this figure, the
more productive an organization is likely to be and thus able to generate more value per dollar
spent on wages (or other costs).

As mentioned above, Emirates Aluminium Company recently increased its workforce in order to
meet the increasing demand for its products. This increase in workforce has allowed the
company to increase its production output.

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3. FORECASTING
The Emirates Aluminium Company is a leading aluminum producer in the UAE. The company
has been forecasting its revenues since its inception. The company's forecasting process is based
on economic cycles and external factors that affect the economy as well as on internal factors
such as production volumes, prices, and costs. The forecast is made based on historical data from
previous months and includes assumptions about future conditions that the company believes
will affect sales and expenses. Forecasts for each product line are made separately, and then
combined to form a total forecast for the month.
The company has many facilities located throughout the world. However, it mainly operates
from its headquarters in Dubai in the United Arab Emirates (UAE). The company employs
thousands of people worldwide; more than half of these employees work at its main facility
located in Dubai. EGA uses a variety of techniques to forecast demand for its products. It also
uses several forecasting techniques to forecast production levels and market conditions that will
affect these levels.

Year Revenue
2021 $6.9 bn
2020 $5.1 bn
2019 $6.1 bn

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2018 $6.4 bn

 Average Demand Forecast for 2022 (Taken in regards 3 years)


(6.9+5.1+6.1)/3 = 5.63 billion $
(We have taken in regards 3 year of the calculation because of the fact that the small data
provides clear results)
 Increasing of Revenue
The reason behind the increasing of the revenue that because COVID-19 had caused
disruption of the revenue of the company, but as now the world is completely getting out of
the COVID-19 chains, the revenue of the company will be increased with the help of the
marketing strategy designed.

4. PRODUCT AND SERVICE DESIGN


Emirates Aluminium Company (EGA) is a company that designs and manufactures aluminium
products. The company is located in UAE. The main reason for designing products or services is
to satisfy customer needs and desires; this is done by research and development (R&D).

The product and service design of Emirates Airlines Aluminium Company is a result of research,
development, and innovation in the field of engineering. The product design is based on a wide
range of factors including performance, reliability, efficiency, cost, and sustainability. The
services are also designed accordingly for a better customer experience.

The product/service design has a positive impact on legal considerations due to its high-quality
standards and safety features. It also reduces the environmental impact by reducing power
consumption during operation. A life cycle analysis reveals that the product/service design
causes less carbon emissions as compared to other products available in the market today.

The ethical considerations depend on how you look at it. If you look at it from an employee’s
perspective then it will help them in their job as they will be able to work efficiently without any
risks or accidents occurring in their workplace due to faulty equipment or machinery used during
production process. If we look at it from a customer perspective then they can get the best deal
possible which will be beneficial for them as well as for the company operating this business

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enterprise because they would be making more sales than before due to their customers having
high expectations on their quality workmanship hence increasing their profits substantially every
year.

The 3R’s

1. Reduce: By using less packaging, it can help to reduce the amount of waste that goes
into landfills
2. Reuse: Reusing also helps conserve natural resources like water, energy and raw
materials which are finite resources that cannot be replenished over time without
causing environmental harm or economic hardship.
3. Recycle: Recycling reduces the amount of waste going to landfills by reducing packaging
and increasing the use of returnable containers.

5. CAPACITY PLANNING
Capacity planning is a process of ensuring that the available capacity can meet expected demand.
It involves developing a range of scenarios for demand, inventory levels and capacity
requirements. The result is a set of possible output levels, which shows how much output could
be produced at each potential level of demand. Capacity planning is done to ensure that there are
always enough products or services available in the market. This helps to reduce risk and
improve overall profitability for the company.
Capacity planning also helps to ensure that there are enough employees on hand to deliver on
customer orders as well as any other tasks that may be required by the business at any time.
The plant has a design capacity of 12,000 tons per year and it is currently operating at only 6,000
tons per year. The actual output regarding the selected product or service was below the design
capacity.
EFFICIENCY UTILIZATION

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(ACTUAL OUTPUT / EFFICIENY CAPACITY) X 100 (ACTUAL OUTPUT / DESIGN CAPACITY) X 100

(36 / 40) X 100 = (36/50) X 100

= 90% = 72%

6. PROCESS SELECTION AND FACILITY LAYOUT


The Emirates Aluminium Company’s production process is very simple (Rose, 2005). The raw
material is obtained from the mines in the UAE. It is then transported to the company’s facility
where it is processed by using a complex process which involves melting, casting, rolling and so
on. The service delivery process of service selected is also relatively simple. The company
provides a wide range of services such as engineering consultancy, project management services
and construction management services. The production of aluminium is a process that is done in
the form of casting or extrusion.
Casting is done by melting the raw aluminium to produce ingots. The molten aluminium is then
cast into the desired shape, and these are cut into the required size and shape. Extrusion is done
by forcing molten metal through a dye, which gives it its required shape and size. The facility
layout of Emirates Aluminium Company is mainly based on the type of process it uses. This can
be seen from the location of various plants and their functions in relation to each other at
Emirates Aluminium Company. The layout of Emirates Aluminium Company contains many
plants which are located in close proximity with each other so that they can work together
efficiently and effectively without any delay due to transport or transportation costs caused by
distance between them.

7. LOCATION
Emirates Aluminium Company manufactures and sells its product/service in the United Arab
Emirates. They have chosen this location due to their factors like it is near to other Emirates

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companies and they can reach there easily also they have a good supply and demand of
aluminium.
The main factors used by Emirates Aluminium Company to decide on location are:
Accessibility - The company wanted to be close to markets and customers so they could easily
deliver their product/service to them. Also, they wanted to make sure that there were no tariffs or
customs issues that could affect the delivery of their product/service.
Competitiveness - the company wanted to be close to other companies so it would not have any
competition from them, thus reducing costs for itself and increasing profitability for the
company.
Costs - another factor used by Emirates Aluminium Company was cost because they needed to
keep their costs as low as possible so they could compete with other companies who might offer
lower prices than they did.
The location of Emirates Aluminium Company is located in the industrial area of the city. This
site is suitable for manufacturing and assembling aluminium products. The company can easily
get all the raw materials, machinery and other primary material required at this site.
The company should also consider these factors while selecting the location:
1) Accessibility
2) Plant Location
3) Production Capacity
4) Facilities at the Site

8. WORK DESIGN AND MEASUREMENT


In the Emirates Aluminium Company, the work design is a process of defining the job roles,
responsibilities, and accountabilities of each person in the organization. This is a set of rules that
are used to describe how an individual will perform a specific task. The company works in the
field of aluminium. It has been established for more than 40 years and has many employees. This
company has a specialized staff that includes engineers, technicians, managers, and other
personnel who are responsible for production processes and quality control.

The main purpose behind creating jobs and activities is to ensure that everyone within the
organization has clearly defined responsibilities. This helps with communication and makes it

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easier for people to know exactly what they need to do and when they need to do it. A job
description also makes it easier for managers and supervisors to oversee what employees are
doing.

As mentioned above, specialization is an advantage because it allows for more efficient decision-
making and planning for future developments. However, it also has disadvantages because it can
result in less flexibility in terms of changes or new ideas that may come up during job
performance review sessions or meetings with stakeholders from outside organizations.

The system used by the Emirates Aluminium Company is time based, which means that
employees are compensated according to the amount of time they spend on work, not the quality
of their work. The system is appropriate because it encourages employers to pay their employees
more than what they would normally be paid, as long as they complete their tasks. The advantage
of this system is that it encourages productivity and makes sure that employees do not waste time
doing things that are not related to their job. The disadvantage could be that some employees
may feel undervalued if they are not given enough money for their work (time-based).

9. QUALITY MANAGEMENT
The Quality Management System (QMS) is a set of defined procedures, policies and guidelines
which facilitate the effective management of quality. This system must be applied at all levels in
the organization to ensure that each process and operation is managed in accordance with its
requirements. The QMS may be defined as a set of procedures designed to ensure that everything
done by an organization produces high-quality products or services. The company has been
making great progress in this area and has achieved a good record in the field of quality
management. The managers have made many improvements in the quality system and they are
now in the process of implementing them. They have also planned to introduce new methods and
tools to achieve their goals.
To approve the quality, The management team has established a system where all employees are
responsible for their respective tasks, regardless of their position within the organization. The
managers are also trained to set up their own quality improvement projects designed to improve
processes, increase efficiency and reduce costs while maintaining or enhancing customer
satisfaction levels.

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Quality management at Emirates Al Aluminum Company also focuses on eliminating defects
from production lines by implementing new technologies that help reduce errors and improve
production yields. The company's employees are trained in how to identify problems early on so
they can be corrected before they lead to serious problems with parts or products being shipped
out for customers to use or sell.

10. PRODUCTION PLANNING AND INVENTORY MANAGEMENT

The company's production plan is to produce aluminum ingot in order to meet the expected
demand. The expected demand is based on the inventory level at the end of each month. The
company's production planning includes a buffer stock that will be used to meet any unexpected
shortages in the supply chain.

The company uses input-based approaches to planning (e.g., capacity, performance and lot
sizing). For example, the company uses capacity studies to determine the maximum amount of
aluminum that can be produced using existing equipment and processes. The capacity study also
determines how much overtime is required for each shift, how many days per year overtime is
necessary for each shift, and how many days per year overtime should be scheduled for each
shift.

The company uses performance-based approaches to plan (e.g., operating cost per pound). For
example, it uses a variable costing model that computes operating costs based on actual
performance during previous periods of operation rather than on historical data or other factors
that may not reflect current circumstances or trends.

The company’s primary product is aluminum foil, but it also manufactures aluminum beverage
cans, kitchenware, electrical line conductors, aircraft structural parts, automotive armor plating
and other products. EGA has been expanding its operations in order to meet the growing demand
for its products. In order to meet this demand, EGA has identified two main types of inventory:
raw materials and finished goods. Raw materials are items that are used to produce other goods
or services; for example, raw materials include coal and iron ore before they are turned into steel

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or cars. Finished goods are items that have been produced from raw materials; for example, cars
are made from steel and plastics.

The company uses a transformational model in chapter 1 to forecasted demand in chapter 3


because it will help them determine how much inventory they need to hold at each stage of
production. For example, if EGA needs additional inventory for their finished goods stage
because their sales increased by 20% last year but their production volume stayed the same at
30%, then they would need 20% more.

11. CONCLUSIONS AND RECOMMENDATIONS


The company has made a lot of progress since its establishment in 2011. The company has
grown in size and is expanding the business globally. The company has also developed its own
products, which are sold throughout the world. The company has developed its own services for
customers, which include logistics and shipping, as well as customer support services.

As a result of these developments, the company is able to provide better service levels to
customers than it did previously. In addition, Emirates Aluminium Company is able to keep track
of all its expenses and revenues so that it can make necessary adjustments in order to achieve
high profitability levels from its operations.

The Emirates Aluminium Company has developed several innovative solutions for improving
efficiency and reducing costs in its operations (Prasad, 1992). One example is its "just-in-time"
supply system that minimizes inventory levels by storing only the required amount of raw
materials at the plant gate instead of having large stocks in storage warehouses or on trucks ready
for shipment when needed. This system reduces transportation costs by eliminating unneeded
inventory carrying costs.

12. RECOMMENDATIONS

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A strategic plan for the company would be to make sure that they are focusing on their customers
and making sure that they are giving them good service and products. They should also focus on
innovation so that they can keep up with the competition.

The Emirates Aluminium Company should also make sure that they have good prices for their
products, which will help them attract more customers who want cheaper prices than other
companies offer. The company should also focus on increasing their sales by offering discounts
during certain times of year such as Christmas or Valentine’s Day when people might be looking
for something special or different than what they usually buy at these times.

The Emirates Aluminium Company should also hire more people so that they can keep up with
demand and make sure that there are always enough workers available when needed.

They should also look at other ways of getting more customers. They could increase their
advertising budget, or perhaps hire new salespeople who have experience in selling aluminium
products. It would also be wise for them to keep an eye on what happens in the market, so that
they can predict what kind of products people might want next time round.

13. REFERENCE:
Nappi, C. (2013). The Global Aluminium Industry 40 years from 1972.
http://171.67.100.116/courses/2016/ph240/mclaughlin1/docs/nappi.pdf
Prasad, M. S. (1992). Reagents in the mineral industry — recent trends and applications.
Minerals Engineering, 5(3-5), 279–294. https://doi.org/10.1016/0892-6875(92)90211-q
Rose, M. (2005, May 5). Overview of aluminium industry in UAE and Bahrain - ProQuest.
Www.proquest.com.
https://search.proquest.com/openview/1fb9acb26088ee0640492848a48e7b8b/1?pq-
origsite=gscholar&cbl=1056345

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