Case study for Supply Chain Management

A case analysis must be written in APA format and include the proper cover and reference list. The Case Analysis should be 500­700 words. Please use double spacing
(as required by APA) and an APA approved font (12 point). The Case Analysis must include at least three references. Reference support should be included in the evaluation of possible solutions as well as the recommendations and/or implementation sections. The Case Analysis MUST include the following heading and follow this prescribed format:
Title Page (APA formatted) I. Major Facts (Heading)
(State here the major facts as you see them. Make statements clear and concise for your own understanding as well as for the understanding of the other students and the instructor.) II. Major Problem (Heading)
(State here the major problem as you see it. Emphasize the present major problem. You
may wish to phrase your statement in the form of a question. In a few cases, there may be more than one major problem. A good problem statement will be concise, usually only one sentence.) III. Possible Solutions (Heading)
A. (List here the possible solutions to the major problem. Let your imagination come up with alternative ways to solve the problem.
B. Do not limit yourself to only one or two possible solutions. These solutions should be distinct from each other. You must include a minimum of three possible solutions.
C. However, you may wish to include portions of one solution in another solution, as long as each solution stands alone. Only in this manner will your subsequent choice be definitive.
D. Note advantages and disadvantages of each possible solution as well expected outcomes. This is an areas where outside support will help. IV. Choice and Rationale (Heading)
(State here your choice, A or B or ___ and the detailed reasons for your choice. You may also state your reasons for not choosing the other alternative solutions.) Explain the hopeful outcome of this alternative. V. Implementation (Heading)
Prepare a plan to implement your choice (recommendation).
Reference Page (APA formatted) – every source listed should be cited within the text. (Supply Chain Logistics Management pg.441)
Integrated Logistics for DEP/GARD
Steve Clinton
Tom Lippet, sales representative for DuPont Engineering Polymers (DEP), felt uneasy as he drove to his appointment at Gard Automotive Manufacturing (GARD). In the past, sales deals with GARD had proceeded smoothly. Oftentimes competitors were not even invited to bid on the
GARD business. Mike O’Leary, purchasing agent at GARD, claimed that was because no competitor could match DEP’s product quality.
But this contract negotiation was different. Several weeks before the contract renewal talks began, O’Leary had announced his plan to retire in 6 months. GARD management quickly promoted Richard Binish as O’Leary’s successor. Although Binish had been rela­ tively quiet at the previous two meetings Lippet sensed that it would not be business as usual with Binish. While the contract decision ultimately depended upon O’Leary’s recom­ mendation, Lippet felt Binish might pose a problem.
Binish, 35, had worked for a Fortune 500 firm following completion of his undergradu­ ate degree in operations management. While with the Fortune 500 firm Binish had become extensively involved with JIT and quality programs. He had returned to school and earned an MBA with a concentration in purchasing and logistics. Eager to make his mark, Binish had rejected offers to return to large corporations and instead accepted GARD’s offer in inventory management.
GARD, an original equipment manufacturer (OEM) for U.S. auto producers and after­ market retailers, makes a wide variety of plastic products for automobiles and light trucks. Examples of GARD products are dashboards, door and window handles, and assorted con­ trol knobs. When Binish began working with GARD’s inventory management he applied the 80/20 rule, illustrating to management that 80 percent of GARD’s business was related to 20 percent of its product line. Over the next 3 years, as contracts expired with customers and suppliers, Binish trimmed GARD’s product line. GARD management was impressed with the positive impact on GARD’s profits as unprofitable contracts and products were discarded. A trimmer product line composed primarily of faster­moving products also resulted in higher inventory velocity.
So, when O’Leary announced his retirement plans, management immediately offered Binish the position. After taking a few days to review GARD’s purchasing practices Binish felt he could make an impact. He accepted management’s offer. As he learned his way around the purchasing department Binish tried to stay in the background, but he soon found him­ self questioning many of O’Leary’s practices. He particularly disdained O’Leary’s frequent “business lunches” with long­time associates from GARD suppliers. Despite these feelings Binish made an effort to not be openly critical of O’Leary. Such efforts did not, however, prevent him from asking more and more questions about GARD’s purchasing process.
O’Leary, for his part, felt his style had served GARD well. Prices were kept low and quality was generally within established parameters. Although O’Leary typically main­ tained a wide network of suppliers, critical materials were sourced from a limited number of them. In those cases contract bids were a ritual, with the winner known well in advance.