Mattel Usa Company Case Study

Module 6

Global Sourcing

Final Exam

Matten and the Toy Recalls (B)

INDEX

EXECUTIVE SUMMARY                                 .........                                3

ISSUES IDENTIFICATION                                ......                                4

ENVIORNMENTAL AND ROUT CAUSE ANALYSIS.     ......                        5

ALTERNATIVES                                         .......                                6

RECOMMENDATION AND IMPLEMENTATION.        ...........                        7

MONITORING AND CONTROL                         ...........                                8

EXECUTIVE SUMMARY:

Mattel is Unites States of America base company, engaged in manufacturing of various types of toys for Children. Matten has been criticized heavily by Media, Consumers and Observers following several re-calls related to safety issues of toys manufactured in China. Mainly two safety issues one related to lead contents and another is magnate comes loose which has  potential hazard to the children exposed to those. This was resulted from weaken control on quality of the product produced in China but also includes fawl in design. Mattel is facing with a challenge of restoring their consumers' confidence following series of recalls related to safety issues. At present the most important goal in front of Mattel is to restore its consumers' confidence on kid's safety. A main challenge in achieving this is re-design it's Global supply chain. Mattel need to restructure its Global supply chain and assure adequate safety checks are in place while importing toys from China. I have analyzed current supply chain, looked into gaps, identified alternative and suggested short term and long term solution and implementation plan there in my report below.

ISSUES IDENTIFICATIONS :

Manufacturing safe and good quality toys is always key factor for  toy companies.  This required lot of effort in designing supply chain of the company and even required more attention to the quality risk while sourcing from  low cost labor countries.

Main reason for recall were related to two things, 1) lead contents in toys 2) loose magnate that comes out.

Lead Contents :

Early Light is contract manufacturer for 'Sarge Toy'  who was assigned a contract for manufacturing Cars die cast vehicle line. Early Light has subcontracted painting activity to the company named Hong Li Da. Who has violated Mattel's standard and utilized paint from non-Authorized third party supplier which has higher contents of lead in their paint. While looking at the supply chain there was  lack of monitoring and assurance system in place to ensure Mattel's standards are followed.