Case Study 1: Integrated Logistics for DEP/GARD

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What trade-offs must be made to use these suppliers?

 

Read the case study and answer all five questions accurately.

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Questions

1.Diagram the DEP/GARD supply chain. What stages are adding value? What stages are not?

2.Using the primary DEP suppliers (60 percent of business), what is the minimum perfor­mance cycle for the supply chain diagrammed above? What is the maximum?

3.Can the performance cycle be improved through the use of the 25 percent and 15 per­cent suppliers? What trade-offs must be made to use these suppliers?

4.If you were Tom Lippet, what changes would you make in DEP’s operations? Why? What problems do you foresee as you try to implement these changes?

5.Assuming you can make the changes mentioned in question 4, how would you “sell” Richard Binish on DEP’s next bid? What will likely be “qualifying criteria” and “order winning criteria”? Will these change over time? What does this suggest about supply chain management?
 
 

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