Indalex Case Study Questions(1)

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Illinois Institute Of Technology *

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420

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Management

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Jan 9, 2024

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Indalex Case Study Questions During 1975 and 1976, with the approval of division management, Peter McIlwraith had made sizeable purchases of aluminum billets in anticipation of price increases and possible shortages. By the end of 1977 his inventory of billets was almost $1 million more than would be necessary “under normal business conditions.” Continued price increases in billets were anticipated in 1978. The U.K. allowed companies to write off (for tax purposes) the initial cost of most types of new processing equipment in the first year of operation. The same treatment would be accorded the purchase of new extrusion or anodizing equipment. 1. Given a business plan that forecasts a total tonnage in 1983 about 50% higher than 1977 (see exhibit 6a), and no major changes in product mix, prepare a capacity expansion plan for 1978 – 1980. Please be specific regarding the order in which you expand the different processes, and when each capacity addition should be expected to become operational. 2. How would you persuade divisional management to accept your proposal? 3. What other changes in Indalex’s operation would you propose?

Roberto Hernandez Jr INTM 420 Week 1 Case Study Questions Learning Objectives - Explain what strategy is and its importance to the success of the company - Describe the three tests of a winning strategy

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Indalex Case Study Questions(1)

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