Detailed Breakdown: Evidence Linking Problems to Passage
1. Fragmented Data Storage
• Reason: The required data was not centralized, with different people holding pieces of it.
This reflects the absence of an integrated data management system.
• Evidence from the Passage:
“Different people held it, nowhere was it conveniently put together…”
• This shows that information about inventory and operations was scattered, requiring
Peter to interact with multiple individuals to piece it together.
• The phrase “nowhere was it conveniently put together” emphasizes the lack of a
centralized database or system.
2. Informal Processes
• Reason: Some information was not formally recorded or documented, leading to
inefficiencies and inaccuracies. For example, Peter had to manually count inventory in the store.
• Evidence from the Passage:
“Sometimes it was not even written down. To get the inventory data, I actually had to go down to
the stores and count how many parts were in the boxes.”
• This clearly indicates a lack of formal procedures for recording and maintaining
inventory data.
• The need to physically count parts underscores the informal nature of the business’s
processes and the inefficiency caused by this approach.
3. Lack of Systems and Procedures
• Reason: Psycho Sports’ rapid growth outpaced the implementation of systematic processes
and technology, making it difficult to handle increased operational complexity.
• Evidence from the Passage:
“His sports goods manufacturing business, Psycho Sports, had grown so rapidly over the last
two years that he would soon have to install some systematic procedures and routines to
manage the business.”
• This highlights the mismatch between the business’s expansion and the lack of
corresponding procedural or technological upgrades.
“It has taken me nearly two days to get hold of all the information I need.”
• The excessive time required to retrieve data points to the inefficiency stemming from
inadequate systems and procedures.
4. Limited Training and Awareness
• Reason: Employees might not have been adequately trained to maintain organized records,
exacerbating inefficiencies in a rapidly growing business.
• Evidence from the Passage:
• While the passage does not directly address training, the following indirectly points to
the issue:
“Sometimes it was not even written down.”
• The lack of record-keeping suggests that employees may not have been
trained in the importance of documenting and maintaining inventory data
systematically.
• Peter’s reliance on manual effort to gather data further indicates that the
workforce was not equipped to manage such tasks efficiently.
Conclusion
Each of the reasons for Peter’s difficulty in obtaining information is supported by specific evidence
from the passage. These points collectively illustrate the urgent need for Psycho Sports to adopt a
centralized and automated system like MRP to improve data management and operational
efficiency.
