RUNNING HEAD: MILESTONE TWO
Milestone Two
By:
Ryan Franklin
RUNNING HEAD: MILESTONE TWO
2
Requirements
The project for Husk Power Systems will be able to power a village of four to five
hundred citizens by using the multi-generator. The company needs to set up requirements for the
project to be successful. The first requirement is that the multi-generator will be able to power a
village up to five hundred homes. This is a very important requirement because the project
started because of the concerns of the citizens of India. The company needs to have at least
14,450 kWh (Kilowatts-Hour) daily for the village of 500. If they need more than that, they will
need to look for more multi-generators for the next village of 500. The overall success is that the
citizens are happy with having free electricity in their homes despite the weather conditions
outside. The second requirement is to have the project before April 30, 2022. With the citizens
paying for unreliable electricity, the company will need to have the multi-generator set up
quickly while not compromising the quality of the electricity. This date will give the citizens a
set date for when they can expect to have electricity in their homes. The third requirement is to
have the suppliers supply high-quality parts. If the company buys parts from suppliers that are
not great, the company can expect more failures than if they had high-quality parts from the
during the manufacturing process, quality checks before goods arrive at the customer, or
checking the quality as raw materials and parts enter the factory (Murray, 2018). Each supplier
will need to provide a report from each part that shows that is in working condition and that there
the equipment has an unexpected failure, service engineers need to diagnosis the problem
quickly. If the engineers have a hard time diagnosing the problem, the citizens can be without
RUNNING HEAD: MILESTONE TWO
electricity longer than they need to be if the equipment was service friendly. These three
requirements will need to be met so that the new product will be a success.
Inventory Management
The inventory management that will be used will be the economic order quantity method
The economic order quantity (EOQ) model is used in inventory management by calculating the
number of units a company should add to its inventory with each batch order to reduce the total
costs of its inventory while assuming constant consumer demand (Hayes, 2021). While they are
other inventory management methods that the company can use, the EOQ is the best approach
that they can use. The company will need to have inventory available for any unexpected failures
that can happen. The engineers need to identify what parts are high failure parts or parts that are
a low failure so that we can make sure that these parts are in stock at all times. If we use just-in-
time management, the company will not know exactly when these parts will be needed. The
company could