Chapter 2 Questions for Intro to Supply Chain

Cameron Schaefer

Questions

1. Based on the descriptions and analyses in the chapter, would Boeing be better described as a global firm or a transnational firm? Discuss.

Boeing is a global firm because its sales and production is worldwide.  Global firms use one unified image to market their products in other countries were as Transnational firms change their image for each individual market.

2. List six reasons to internationalize operations.

1. Reduce costs
2. Improve supply chains
3. Provide better goods and services
4. Understand markets
5. Learn to improve operations
6. Attract and retain global talents

3. Coca-Cola is called a global product. Does this mean that it is formulated in the same way throughout the world? Discuss.

No, it will be formulated differently so it can be both flexible and efficient wherever the market is.

6. Describe how an organization’s mission and strategy have different purposes.

An organizations mission is defined as its purpose where as an organizations strategy is how it expects to achieve its mission.  the purpose of the strategy is figure out how it will fulfill its mission which is the reason it exists to begin with.

7. Identify the mission and strategy of your automobile repair garage.  What are the manifestations of the 10 OM decisions at the garage?  That is, how is each of the 10 decisions accomplished?

The mission is to repair automobiles and the strategy is to have skilled employees repair peoples automobiles.

1. Goods and service design: Making sure the mechanics are efficient and that the repair cost is a reasonable price.
2. Quality: The mechanics do the job properly.
3. Process and capacity design: The mechanics have all the proper tools to do their job.
4. Location selection: The garage is in a place that is easy for consumers and employees to get to.
5. Layout design: There are enough mechanics and enough equipment to get the job done well.
6. Human resources and job design: The mechanics have the necessary skills and are treated properly.
7. Supply-chain management: Necessary parts are purchased efficiently.
8. Inventory: Necessary parts are available when needed.
9. Scheduling: The mechanics have a reasonable and efficient work schedule.
10. Maintenance: Everything and everyone is working efficiently.

Ethical Dilemma

You should stick with your suppliers in Indonesia and Korea because the working conditions in China might be morally questionable and not socially responsible.

Problems

2.1.

Differentiation: Making sports shoes and different colours and styles to the shoes.  The buyer will have more variety and be able to buy the colour and style they want.

Cost: Selling a book in sections for less then a normal book would cost.  The buyer will be more likely to try it out and come back and buy the other sections at a later date.