So inviting retailers, especially sales or shop managers, to help with the demand forecasting is a good idea. Obtain market feedback:It is important to obtain market feedback earlier thereby converting some speculative production to reactive production. Sport Obermeyer should listen to ‘early orders’ and get sneak preview of the new line and imply feedback to their production plan. They may create ‘early order discount’ campaign to get quality/quantitate feedback.Reduce lead times:It can be achieved by either actually reducing the lead times or by encouraging the retailers to place their orders in advance. The pre-order of the raw materials (fabric) by Obersport would also help Obermeyer since this would reduce the lead-times of acquiring this fabric during periods of unexpected jump in demand. If the whole process from delivering raw material to finished goods can be completed in a shorter period of time, the company would be able to produce at a time when demand can be forecasted at almost 100% accuracy. The disadvantage of this method is that it would create additional costs of getting raw materials quicker and shipping finished goods at a faster speed and higher cost but it would reduce sunk cost from excess inventory and increase the market share due to…show more content…
However, HK plant would still be kept as a place for smaller size order and unexpected risky circumstances, which may occur in other locations.** I agree with short term and long term relationship with HK and China. But I would like to add one more recommendation which is using HK and China based on the product categories -; HK vs. China Comparison HK ChinaProduction Manufacturing at twice the speed that of China Slow manufacturingLead time Acceptable Several weeks longer than HK Manpower In case of parka line, requires 10workers In case of parka line, requires 10workersQuality Good and reliable quality Lower than HKRegulation US Government imposes stringent quota restriction for imports from China. This may not applicable for Hong Kong.So my recommendation is to source half of it parkas from China and half from Hong Kong would be an efficient operational change to improve performance in Sport Obermeyer. Along with that, Sport Obermeyer should categorize product in two categories: more popular and less popular. More popular should be sourced through HK since production will be faster and the quality will be higher and more reliable. Less popular should source from
Question Description
Case Study 1 Instructions
Sport Obermeyer Case Study Solution
Read the Sport Obermeyer Case Study in the Simchi-Levi et al. text. Submit a response to each of the end-of-case discussion questions. Each question must be answered thoroughly, and responses must be supported by the concepts introduced in the reading/study materials. Each question/answer must be delineated under a heading in current APA format. Include a title page and reference page also in current APA format. Incorporate a minimum of 5 peer-reviewed sources with at least 1 source per question.
SPORT OBERMEYER Case Study Solutuion. Problem Diagnosis. This case described the operations at the merchandising and Skiwear Company and for its supply partner. It allows for the production planning of the short life cycle products with the uncertain demand in the market. Obermeyer Sport A Strategic Direction in Forecasting Introduction & Summary Klaus Obermeyer is an innovator in the high-end skiwear industry. The company began with down filled jackets and slowly began to diversify its product line with high-altitude suntan lotion, turtlenecks, nylon wind-shirts, mirrored sunglasses and more. Sport Obermeyer Case 1. How many items s hould Wa lly Ober meyer order during i nitial p hase of production? The main problem of Obermeyer company is that they have to deal with unpredictable demand to some point in time (before the trade show in Las Vegas) and limited production capacity after that point. Sport Obermeyer Case Study Analysis. A comparison of two initial production commitments has been performed in the above table, in order to analyze the production difference. It could be seen that a total of 1200 units would be produced in excess in the Chinese plant as comparedto the Hong Kong plant.
Sports Obermeyer Case Study Solutions
CASE STUDY SPORTS OBERMEYER LINK,
There is a slight difference in the link and the 3rd edition of the book. Please note the difference in the page number and table on question one.
FOR :
Sport Obermeyer Case Study
DQ 1: TABLE 2-20, is on page 89 and it is marked as Table 3-19