Sport obermeyer case study essays
We decided to meet every Tuesday but with limited resources we decided to start meeting twice a week for the last three weeks to help us move at a faster pace through the project.
Obermeyer supply chain case
The second main issue to consider is whether to source in Hong Kong or China. We are forced to consider the uncertainty less in our predictions and are more controlled simply by the number of units that we think we need. A good solution would enable Obermeyer to decide on where and when to source each product China vs. To access forecast certainty, we have to look into historical data based on forecast error and variability of demand. The large batch sizes required by manufacturers for Obermeyer further highly restricts Obermeyer ability to respond to uncertain demand. We compared our results with the quantitative analysis of this case done by an Industrial Engineering professor at Georgia Tech using constrained optimization and lagrangian multipliers and found that our results were quite similar. Campbell soup case has been brought as an example of successful distribution of functional products via efficient supply chain. The quantities in this order should be decided based on which items are popular in the Las Vegas fashion show. During the mids, several factors rendered this approach obsolete:? English: A 12 segment panoramic image of the Hong A decreased lead time is crucial to improve Obermeyer ability to respond to the market needs and increase their re-active capacity.
Since the oscillating demand magnification upstream a supply chain reminds someone of a cracking whip it became famous as the Bullwhip Effect. Are there ways in which it is consistent with the past? Get Essay Thus in both cases, the uncertain demand is costing Obermeyer a lot.
Sports obermeyer case study discussion questions
How to cite this page Choose cite format:. The company specializes in selling its products in U. Next, we had to modify this order policy because designs Stephanie, Isis, and Teri had initial orders below the minimum order for Hong Kong of Also, it would make designs from the previous season stand out more, and thus increase the obsolescence of the product, encouraging new purchases. The relationship between risk and price is direct, increase in price relates to increase in risk. Ordering in China significantly increases the risk of ordering too much of a product but it also reduces the loss due to that error. Today, more than ever, we are designing garments that are pushing the boundaries of outerwear technologies.
In China, lead times are longer and more labor is required per unit, however, the cost of production is much lower due to lower wages and proximity to raw materials. The deviation in view is good See Exhibit Choosing to operate in China is much cheaper.
This will ensure stock levels remain at a level sufficient to sustain the lead times an average inventory and calculations will be provided to substantiate the variations in lead times.
Based on the cost of each item, which we ignored in our analysis, we could calculate the expected over-ordering from each item and find the ideal level, similar to the outside analysis that we found.
Rather than producing one joint forecast, each member of the purchasing committee does his own forecast based on their own experience and data. However, the average Hong Kong worker is more productive more units produced per day but the average Chinese production line produces more units because it contains more workers.
What factors contributed.
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