JTC James Tool Company James Tool Company was organized in ...

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8 Νοε 2013 (πριν από 4 χρόνια και 4 μέρες)

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James Tool Company



James Tool Company was organized in 1967 by Howard James. He believed that he could fill a
void in the machine tooling industry by providing tooling and dies to smaller manufacturing
plants that could not profitably produce tho
se items themselves.


James Tool Company incorporated within the state of California and started with six employees.

Because of clever marketing, competitive pricing, and timely product promotion, James Tool
Company has grown to 456 employees. The employ
ees consist of five officers of the company,
office and clerical help, and foreman and workers within the shops that produce the tools.


The organization chart of top
-
level management is shown in Figure 1. The four vice presidents
report to the president
of the company, Howard James.


Figure 1.
Organization Chart for James Tool Company








Figure 2 shows a more detailed organization chart of the high
-
level management positions within
James Tool Company. Notice that the director of information systems,

David Green, reports to
Arnold Henderson, the vice president of finance. The director of the payroll department, Jim
McKeen also reports to Henderson.


Figure 2. Detailed Organization Chart










The management structure of the information systems de
partment includes: the director, David
Green; and applications manager, Clyde Harland; a technical support manager, Mel Bagai; and
an operations manager, Jane Miller. Figure 3 illustrates the organizational structure of the
information systems department.

The systems analysts, programmer/analysts, and programmers
report to Clyde Harland, the manager of applications. The primary functions of the systems
analysts are to analyze and to design information systems, while the programmer/analysts spend
JTC

Thomas Filburn
Vice President
Marketing
Alice Hilbert
Vice President
Personnel
Arnold Henderson
Vice President
Finance
George Adams
Vice President
Production
Howard James
President
Terry Boyle
Director
Bids and
Proposals
Sid Norman
Director
Sales
Nancy Gorman
Director
Order
Processing
Thomas Filburn
Vice President
Marketing
Sandra Nelson
Director
Industrial
Relations
Harry Denton
Director
Employment
Del Donovan
Director
Union
Relations
Alice Hilbert
Vice President
Personnel
Dale Klish
Director
Accounting
Jim McKeen
Director
Accounting
David Green
Director
Information
Systems
Arnold Henderson
Vice President
Finance
Sey Feinstein
Director
Warehousing,
Shipping, Distr.
Arnold Keglar
Director
Planning
Arthur Hyatt
Director
Production
Shops
George Adams
Vice President
Production
Howard James
President
their ti
me both analyzing and designing systems and writing application programs. The
programmer’s primary work is to write programs.


Figure 3. ISs
Department
Organization Chart














The technical support manager and the systems programmers are responsi
ble for the systems
software on all computers used within the company. They also advise and support the other two
groups within the information systems department. The operations manager and her people
install and support all the diverse computer equipme
nt at James Tool Company. Three people
within this group handle PC and network support; three others focus on centralized processing
functions.



Background


Shortly after James Tool Company was created in 1967, the management team began to use a
service
bureau to handle payroll processing and standard accounting systems, such as accounts
payable and general ledger. This service bureau, Brafford Services, uses its own mainframe
computers to contract with James Tool Company and dozens of other companies to

process these
companies’ common business systems.


James Tool Company rapidly grew in size, and by 1976, management determined that it would
be more productive and cost effective to purchase its own mainframe computer for the
processing of its manufactur
ing functions and other specialized systems, such as marketing and
labor distribution. At this time, James Tool Company established an information systems
department to develop and maintain the manufacturing and other systems. James Tool Company
has been

very progressive in its use of computer technology and has continued to upgrade its
computer environment and application systems over the years. In addition to a recently upgraded
mainframe computer, the company currently has microcomputers installed in
most offices and in
many shop floor locations. Payroll processing has remained with Brafford Services, however,
because it was believed that the payroll function was being correctly and efficiently managed.


During the past several months, however, compla
ints have come from both employees and the
Systems
Analysts
(2)
Programmer/
Analysts
(2)
Programmers
(2)
Clyde Harland
Manger
Applications
Systems
Programmers
(2)
Mel Bagai
Manager
Technical
Support
PC/Network
Support
(3)
Computer
Operators
(3)
Jane Miller
Manager
Operations
David Green
Director
Information
Systems
unions that union dues have not been handled properly. They cite an increasing number of
instances in which union dues have not been properly deducted from payroll checks and in which
the checks paid to the union
s were incorrect. In addition, company auditors have filed several
complaints that the amounts deducted from payroll checks did not match the amounts paid to the
union. Payroll clerks within James Tool have had to work overtime to correct all reported er
rors
and to issue hand
-
typed checks to employees and the union.


Arnold Henderson, the vice president of finance, has discussed these problems with both Jim
McKeen, the director of the payroll department, and Delbert Donovan, the director of union
relation
s. In addition, Henderson has become increasingly concerned with the amount of money
being spent for overtime pay in the payroll department. McKeen has indicated that this outlay of
overtime money is necessary, because the demands of the payroll operatio
n require more people
than are available and his budget will not allow for the hiring of more personnel. The payroll
department organization chart is presented in Figure 4, and the sequence of events in the payroll
process is presented in Figure 5. A num
ber of forms (for example, employee master sheets, time
cards, payroll registers, and paychecks) are prepared and used in the current payroll system.


Figure 4. Payroll Department Organization Chart




















Violet Green
Secretary
Virginia Hill
Timekeeper
Carole Abbott
Payroll Clerk
Carla Long
Payroll Clerk
Sam Davis
Chief
Payroll Clerk
Jim McKeen
Director Payroll
Arnold Henderson
Vice President
Finance
Figure 5. Sequence of Events in the
Payroll Processing


Step 1: A newly hired employee completes an Employee Master Sheet in the personnel
department. A copy of this sheet is sent to the payroll department.

Step 2: From the Employee Master Sheets, time cards are prepared and distributed b
efore the
employees arrive at work for the week.

Step 3: Employees check in and out on a time clock Monday through Sunday.

Step 4: The time cards are collected Monday morning and returned to payroll. The timekeeper
copies pay rates from the Employee Mas
ter Sheets to the time cards, which are then sent to
Brafford Services.

Step 5: Brafford Services processes the time cards and prepares the paychecks and payroll
register.

Step 6: The time cards, paychecks, and payroll register are received from Brafford

Services. The
chief payroll clerk creates the union reports.