Craftsman Upholstery 

Operations Investigative Report

MGMT 6740-002 

Kenton DeSanti, Colton Harris

Mason Payne, Brandon West, Tanner Wilson

April 25, 2019

Operations Investigative Report 
 

Executive Summary 
This report was compiled for Mark Harris and analyzes operational efficiencies at
Craftsman Upholstery—specifically inefficiencies related to project management.

Insight into Craftsman Upholstery was gained by visiting the facility, speaking to
employees, and observing processes. Improving items related to project management
will allow employees to better track work-in-process, increase productivity, and better
manage inventory.

Solutions to the identified problems are proposed as possible immediate, short-term,

and long-term recommendations for Craftsman Upholstery. A summary explaining the
benefits of implementing each recommendation is also included.

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Table of Contents 
 

Executive Summary 1 

Table of Contents 2 

Introduction 3 

Observations 3 

Approach Taken 4 

Possible Solutions 4 

Recommendations 4 

Immediate 5 

Short-term (within 1 Year) 5 

Long-term (3-5 years) 6 

Benefits to Craftsman Upholstery 6 

Cost Savings Breakdown 6 

Increased Revenue 6 

Appendix 1: Remodeling the Work Space 7 

 

   

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Introduction 
Craftsman Upholstery is a family-owned company that was recently purchased by Mark
Harris in 2017. They ​offer a complete package of services and specialize in “anything
with fabric.” They focus on custom furniture with uncompromising quality. Craftsman
Upholstery markets quality, timeliness, and integrity.

Craftsman Upholstery also guarantees ​their product to be free of manufacturing defects

for 8 years from the time of purchase, wherein any defects will be fixed or replaced. The
company has about 15 employees, each specializing in differing areas such as
woodworking and upholstery. The work space and work process flow were analyzed to
determine what Craftsman Upholstery could improve to become more in line with their
goals.

Observations 
The first impression of Craftsman Upholstery is an extremely messy workplace. Tools
and other items are disorganized and scattered all over. Rooms and corners are filled
with disused materials and fabric. Walls have been ripped out with wiring hanging in
the openings, outlets have no protective covers, and the carpets are extremely worn and
stretched. Altogether, the building is outdated and can distract customers and potential
customers from the quality of work done by Craftsman Upholstery.

Craftsman Upholstery also lacks an upgraded project management system. Rather,

projects are monitored solely on white boards with magnets. The office manager has
problems keeping track of the status of projects and who is working on what. Employees
do not always keep these boards updated and often dismiss projects because they are
not documented properly. Many projects have been delayed and suffered a lack of
quality due to a rush to recover time and get the orders out. This deviates from
Craftsman Upholstery’s true brand of quality first.

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Operations Investigative Report 
 

Approach Taken 
An inspection was performed on Craftsman Upholstery’s production line and the
general workflow within the shop. While there, Mark and the office manager were able
to present some of the potential problems that could be fixed. From the observations
made, research was conducted into process management and inventory management
tools.

Possible Solutions 
Although Craftsman Upholstery can benefit from many possible solutions, cost and
other implementation limitations restrict recommended actions to the following:
● Introduce a p ​ roject management system​ such as Monday.com, Trello, or Wrike 
● Hire a p
​ roject manager​/quality manager 
● Implement S ​ CRUM 
● Remodel​ the work spaces 
● Implement 5 ​ S’s​, l​ ean​, or ​six sigma 
● Improve ​inventory management 
○ Track inventory with c ​ olored flags 
○ Implement ​just-in-time​ inventory 
● Improve the ​process flow 

Of these solutions, implementation timelines were considered in the selection of the

final recommendations.

Recommendations 
Actions are recommended to improve work-in-process management and inefficiencies
within the Craftsman Upholstery company and workspace. The solutions are categorized
as immediate, short-term (within 1 year), and long-term (3-5 years).

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Immediate 
These changes should be considered for implementation in the coming weeks.
● ​ onday.com1 to track project process 
Implement M
● Mount 3 TV’s​ total (1 per work room) to display Monday.com and project progress 
● Assign team leaders​ to each of the rooms (sewing, warehouse, upholstery)  
● Institute a quality manager​ to check and approve quality before an item is sent to the next 
department or shipped 

The Monday.com project management tools (diagram 1) will help to provide

transparency into the progression of orders through the shop.  

Diagram 1. Monday.com project management Gantt dashboard. 

The quality manager will be in charge of checking off on the quality of the product
before it is sent to the next department and ultimately shipped out to the customer.

Short-term (within 1 Year) 

These changes should be made within the next year.
● Implement just-in-time​ for ordering materials to cut down on wasted storage space and time 
● Develop a method to purchase ​more precise quantities​ of fabric 
● Sell, donate, or throw away extra fabric to ​free up​ ​and​ ​clean the workshop​ area 

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h
​ ttps://monday.com 
 

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Companies such as Cotopaxi2 and Allbirds3 are prime candidates to sell extra fabric to
since they use recycled materials to manufacture their products.

Long-term (3-5 years)  

These changes are meant to be implemented over the course of 3 to 5 years.
● Remodel​ the workspace and showroom (see ​Appendix​) 
● Improve the breakroom and bathrooms​ for employees 
● Hire a​ ​project manager​ to oversee and improve these respective areas 

Improving the employee facilities will improve morale, increasing productivity. It will
also attract new talent and retain talent for longer periods of time.

Benefits to Craftsman Upholstery 

Craftsman Upholstery will benefit tremendously through the implementation of these
recommendations. Improvements will be seen in productivity, cost reduction, and waste
management, and will modernize Craftsman Upholstery’s project management system.

Cost Savings Breakdown 

● Reduce re-work (currently estimated around 20%) 
○ Extra time to complete more projects 
○ Reduce labor, material, and transportation costs 
● Employees will be more efficient 
○ They will be able to easily transition from one project to another 
○ Employees will always know what the high-priority projects are and complete those first 
○ The owner and employees will be able to update the system from any device, anywhere 

Increased Revenue 
● Improved company image 
○ Higher rate of returning customers 
○ Increased quality perception 

2
​https://www.cotopaxi.com 
3
​https://www.allbirds.com 
 

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○ Previous customers will refer others

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Appendix 1: Remodeling the Work Space 

Several layout issues contribute to waste and can be resolved through these primary
recommendations:
1. New flooring or polished cement (like Costco floor) 
2. Larger doors 
3. Relocate woodworking and break room areas 
4. Remodel the “showroom” 
5. Repair and expand employee bathroom and break rooms 

The current shop layout (diagram 1) is inefficient and slows down the flow of
production. Furniture stacks up by the doors between the warehouse and upholstery
room because there is no designated place for work-in-process inventory. Larger doors
would allow greater accessibility for moving furniture through the building to different
work stations. This will prevent furniture from piling up and occupying valuable
warehouse space.

Diagram 1. Existing Craftsman Upholstery office and workshop layout.

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The next recommendation is to move the woodworking area from the warehouse to the
kitchen/storage area (diagram 2). Opening up the warehouse will create more storage
for work-in-process furniture and provide a private and more comfortable area for
woodworking tools and activities that are underfoot in the current layout. This dedicated
woodworking space will also allow for a higher-quality finished product, and opens up
space for a new, and much needed, spraying room. 

Diagram 2. Proposed Craftsman Upholstery office and workshop layout.

Entering the place of business is met with an unappealing showroom and the
overexposed administrative computer monitors that could be displaying private
customer data. Craftsman should build up the showroom to better impress prospective
and existing customers:
● Remove the old carpet 
● Remove the entry/office wall 
● Move the fabric room closer to the entry with a better display 
● Make the showroom comfortable for waiting customers 
● Relocate the office to a back room 

Moving the office to a back room will protect confidential information from wandering
eyes and provide the office manager more privacy. Remodeling the front entryway will
 

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also create a more inviting atmosphere and better reflect the quality of work that
Craftsman Upholstery is known for.

Finally, remodeling the bathrooms and adding an updated break room next to the
sewing room will increase employee morale and allow them a place to relax and get back
into the right mindset to be more effective while at work. The importance of employee
happiness is often overlooked and must be addressed.

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