Case | HBS Case Collection | June 2010

FoldRite Furniture Company: Planning to Meet a Surge in Demand

by Steven C. Wheelwright and Afarin Bellisario

Abstract

Demand for folding and stackable chairs and tables at FoldRite Furniture Co. is unexpectedly strong. The company spent the previous two years improving manufacturing quality and efficiency, dropping poor-performing product lines, developing new products that are stylish and environmentally friendly, and instituting a program that allows customers to customize their orders and still get delivery within two weeks. As a result, sales interest in the new products is higher than forecast, in the U.S. and in Europe, where favorable exchange rates make American products highly competitive. In response to the surge in demand, Martin Kelsey, the production manager, must create a manufacturing plan that controls manufacturing and inventory costs, mitigates risk, and aligns with the strategic goals of the company. Students must complete a quantitative assignment as part of case analysis.

Keywords: risk management; manufacturing; Production capacity; Production scheduling; Risk Management; Growth Management; Production; Logistics; Order Taking and Fulfillment; Business Strategy; Manufacturing Industry; Consumer Products Industry; United States; Europe;

Citation:

Wheelwright, Steven C., and Afarin Bellisario. "FoldRite Furniture Company: Planning to Meet a Surge in Demand." Harvard Business School Brief Case 104-555, June 2010.