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Company Overview Vickers Incorporated was at one time considered the manufacturing world-class leader of vane and piston pump products The company has seen its yearly sales decline from 1990 thu 1994 They have lost their edge in their market due to the lack of research and development and small businesses pirating their product They are also struggling with union personnel issues Currently Vickers is working through the 7th round of negotiations with a contract that will expire in 2 weeks Facilities Overview The plant measures 456000 square feet that is expressly devoted to the production of hydraulic components Much of the plant is over forty years old and shows its treatment There is significant floor space allocated to obsolete machinery and just gathering dust Omaha should consider restructuring the manufacturing process This would increase the plants flexibility which would lower lead times and meet higher percent of its delivery commitments The Market Vane Pumps Sales Capacity for vane pumps has been estimated at 780000 units Omaha is currently producing 275000 Parts sales for vane pumps are increasing Vane pumps are comprised of 65 parts The ring rotor vanes 3 most critical cover inlet support plate outlet support plate shaft and body were all manufactured simultaneously in house Piston Pumps Piston pumps comprise over 50 of the worlds market There were 1085000 units sold in 1994 Sales have shown a 15 annual growth Omaha has only captured 9 of the market with sales of 95000 units North American sales represent 13 385000 units of the worlds volume There are 2 types of piston pumps A 1 radial pump which works similar to a vane pump and an 2 axial pump The axial pump is comprised of 100 parts The housing yoke cylinder block valve block 4 most critical shaft piston shoe shoe plate valve plate and compensator body were all manufactured simultaneously in house Sales of a new pump
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