Week 6 Video Case Study: Capacity, Planning, Design and Process. BUSS 340: Operations Management Richard Jenkins Bryant and Stratton College J. Galuski
There have been Lego toys for a long time. 2018 marked the 60th anniversary of the Lego block. One of the most lucrative toy companies in the world, Lego offers products for kids of all ages. Lego originally began as wooden toys before evolving into plastic building bricks. Kirk Christiansen, the inventor of these well-known Lego toys, worked as a carpenter and first constructed houses. However, during the Great Depression, people ceased to purchase homes. He made the decision to start creating little toy-sized furniture in 1934. Christiansen first began producing the plastic block Legos that today's children use after World War II. Initially, they were known as Automatic Binding Bricks. (Swanson, n.d.),"Lego Group is worth $7.57 billion, making it the world's most valuable toy brand by far, according to consultancy Brand Finance. Its brand value measurement is made up of factors including business performance and the value of the brand if it were to be licensed."(Handley, 2018) Lego has not always been a billion-dollar business. They had a very poor beginning and had to endure many hardships to become where they are now. The beginning of Lego's history may be found in the Danish village of Billund. The Lego Company has a strong focus on its purpose. The Lego family is quite clear about their aim to reach and inspire more children, to inspire and nurture the potential builders of tomorrow. (Handley, How Marketing Made Lego the Most Popular Toy Brand in the World, 2019)Everyone who works at Lego is extremely secretive and withholds information about any projects they are working on. The major purpose of constructing the Lego Land theme parks was to prevent people from visiting Lego's factories, which are not open for visits. (Swanson, n.d.) Lego has expanded tremendously over the years and has put in place new procedures and planning techniques for ways to enhance their goods. Their major objective is to reach children of all ages, however despite their desire to sell their items to children of all ages, both young and
elderly people like using them. Lego has expanded, obtaining rights to produce sets based on Harry Potter, Marvel, and Batman thanks to its acquisition of these outstanding IPs. Additionally, they have produced a wide range of media, including The Lego Movie, LEGO videogames, and even television programs like LEGO Masters, which is presently showing on FOX. The Toymaker is still growing their success, therefore there is no end in sight. (Swanson, n.d.) Adults spend hundreds of dollars on these various Lego kits to create their favorite Lego figure because there are so many kits available that are based on recent films or well-known characters, such as Harry Potter. I think the Lego Company uses a quantitative approach to predicting. I have this view because it considers the expert's subjective assessments of whether the product is selling and what the most well-liked goods are. From there, they proceed with the information the specialists offer to them to work on the following product they will manufacture and determine whether to keep making and selling items or stop doing so.