Premium Essay

Avion Case

In: Business and Management

Submitted By mchuderewicz
Words 1156
Pages 5
Avion, Inc.

Susan Dey and Bill Mifflin, procurement managers at Avion, Inc. sat across from each other and reviewed a troubling performance report concerning a key supplier, Foster Technologies. The report detailed the deteriorating performance of Foster Technologies in the areas of material quality and on-time delivery.

Susan: I don’t believe what I am seeing. This supplier was clearly a star when we performed our supplier visits before awarding the contract for the new Amrod product line.

Bill: I’m not pleased. I was on the team that performed the audit and site visit. Foster’s management was so smooth--they indicated they could meet all our requirements. I feel like we’ve been mislead by this supplier.

Susan: Didn’t you look at their processes and quality systems?

Bill: Sure we did. Everything checked out fine. But now every other shipment has some problem and the delays are hurting our ability to get our product to our customers. What really struck us about this supplier was how innovative they were. Foster’s biggest drawback was their size--they lacked some depth at key manufacturing engineering positions. Maybe that’s why they are having problems. It could be that someone has left the company.

Susan: We are going to have to address these problems quickly.

Bill: I’ll tell you what I am going to recommend. We should begin immediately to look for another supplier. I never was a fan of these single source contracts. They leave us open to too much risk.

Susan: But won’t that take a long time?

Bill: Sure. We’ll have to perform another supplier search with team visits. New tooling could really cost, too. This could take months.

Susan: Has anyone talked with the supplier about these problems?

Bill: Kevin went over personally today and talked with the production manager. He didn’t have much time to explain, but he...

Similar Documents

Premium Essay

Avion Inc, Case

...AVION, INC. CASE 1.What parts of the supply chain are involved with the situation in this case? What is the responsability of each part in order to maintain a smooth flow of material? In this case, several parts of the supply chain are involved with the situation and they are as follows:  Production management, Foster Technologies Their responsability is to produce the material that the company Avion inc requires by the contract.Iftheycannot fullfilledwhatisrequestedandtheyneedtochangethem,they should communicate to the material management of Avion, Inc.  Procurement management, Avion, Inc. Their responsability is to communicate with the production group and with the material group more often. If they had known that the monthly volume requirements and the lead time was changed by the production group they would have not blame to Foster Technologies. Also, they should work with engineering more closely so they can locate more sources of technology and select suppliers efficiently. The flow of information with the supplier is also very important to identify the problems.  Production management, Avion, Inc. Their responsability is to produce the goods ordered. They should not have changed the requirements for the material. If they need to change them, they should communicate to the material management group.  Material management, Avion, inc. They should have pay more attention to the inquiries made by Poster Technologies. 2.What inicially appears to be the problem...

Words: 1289 - Pages: 6

Free Essay

Avion Case 1

...1.What parts of the supply chain are most closely involved with the situation in this case? What is the responsibility of each part in order to maintain smooth flow of material? There are two components of the supply chain that have broken down in this instance, materials management and production. Materials management is responsible for correctly forecasting the needed supplies and materials and passing that information off to the supplier. Production is responsible for maintaining a good line of communication based of their demand, if they are in need of more material and supplies this needs to be up-channeled to management which in turn should make a decision based on the information at hand. In my opinion, based on the available information it seems that Avion Inc. should be looking for another supplier in order to supplement what Foster cannot cover. 2. What initially appears to be the problem? What really is the problem(s) in this case? Initially it seems that the problem is Foster’s inability to keep their promise of2500 units per month, possibly because of employee issues. Upon further review it is apparent that Avion has a systemic supply chain issue based mostly on miscommunication, or no communication between departments and their suppliers causing a bullwhip effect throughout the supply chain. Foster promised2500 units per month, and Avion is ordering 4000 units per month which is outside of Foster’s capacity which is in-turn causing contractions in the......

Words: 828 - Pages: 4

Premium Essay

Avion Inc Final Case

...Final Case Submission: Avion Inc. 1. What parts of the supply chain are most closely involved with the situation in this case? What is the responsibility of each part in order to maintain a smooth flow of material? Procurement and Contracts: Should be responsible to amend the agreement that clearly defines what the service level requirements are, sets out the change control mechanism, the communication protocol and representative of both parties and review the agreement in conjunction with the supplier to remove any ambiguity. Category Management: Should be responsible for developing a SQM that will allow provide both parties with a forum to work in partnership and set targets and KPIs. Material Management: Should be responsible to understand the required and forecast inventory stocks and coordinate accordingly. Logistics: Should be responsible for transporting the product through the supply chain. 2. What initially appears to be the problem? What really is the problem(s) in this case? The problem initially appears to be that the vendor is not meeting the expected performance level required by the customer. However the problem is not with the vendor rather within Avion. It appears that the company does not have appropriate cross function engagement, rather working in silos. There is no obvious communication structure whereby the SCM understands the scope requirements and can translate this to the vendor. Also following contract award it is not clear......

Words: 672 - Pages: 3

Free Essay

Airbus by Wikipedia

...El Airbus A380 —denominado A3XX durante gran parte de su etapa de desarrollo— es un avión tetrarreactor fabricado por la empresa paneuropea Airbus, subsidiaria del grupo EADS. Se trata de la primera aeronave con dos cubiertas a lo largo de todo su fuselaje, a diferencia del Boeing 747 en el que, aunque también posee dos, la cubierta superior abarca solamente la parte delantera del fuselaje. Posee una capacidad máxima de 853 pasajeros —en una hipotética configuración de alta densidad de clase turista—, convirtiéndose en el avión comercial más grande del mundo. Supera de esta manera al ya mencionado Boeing 747, al brindar un área útil de un 49% más que este último —según el propio fabricante—. Sólo es superado por el avión de carga Antonov An-225. Tiene una longitud de casi 73 metros y 24 metros de altura, estando su estructura formada en un 40% de fibra de carbono y otros modernos materiales metálicos. El primer vuelo de esta aeronave se llevó a cabo en Toulouse, Francia, el 27 de abril de 2005, realizando su primer vuelo comercial el 25 de octubre de 2007 con la aerolínea Singapore Airlines. Al disponer de una cubierta doble que se extiende a lo largo de todo el fuselaje, la superficie de la misma alcanza los 478,1 m², casi un 50% más que la de su principal competidor, el Boeing 747-400, el cual dispone de una superficie de cabina de 320,8 m². En una configuración clásica de tres clases —turista, negocios y primera— el A380 puede albergar entre 500 y 550 pasajeros. La......

Words: 329 - Pages: 2

Free Essay

Family

...With these developments, it is obvious that conflicts between parties of different nationalities occur and liability to tax on income of foreigners especially among those engaging in trading venture. Whilst the laws affecting domicile and residence may be sufficiently settled, it is paramount for courts to pursue a detailed analysis to ascertain specific preliminary issues so as to avoid controversial rulings. Courts often handle numerous financial cases that involve what can be best described as foreign or international elements. In such cases, court must decide whether it has the jurisdiction under the Family Law Act 1975 to make a decision on such cases. In the event that it is determined that the court is invested with the jurisdiction to determine the case, the court has to consider whether there is a system of law in foreign country that also has the jurisdiction to handle the case. As it was addressed in the case Attorney General of New Zealand v Ortiz [1984] AC 1, these benefits and costs to either party if the case resolution is made in foreign country as compared with the apparent country should also be a subject of concern. [1] Legal systems in most countries around the world adopt community property regime, which takes effect at the inception of marriage or at the time of divorce. For instance, California and Massachusetts in the United States have adopted community property regimes that support equal division of assets upon divorce. However, this......

Words: 659 - Pages: 3

Premium Essay

None

...Adapted from Bernhardt & Kinnear (1988). Cases in marketing management, pp. 6-16. Plano, TX: Business Publications, Inc. Pay careful attention to the following points. They are often used by instructors to evaluate either a written or oral analysis. 1. Be complete. Each area of the situation analysis must be discussed, problems and opportunities identified, alternative presented and evaluated using the situation analysis and relevant financial analysis, and a decision must be made. An analysis that omits part of the situation analysis or only recognizes one alternative is not a good analysis. Second, each area must be covered in-depth and within insight. 2. Avoid rehashing case facts. Every case has a lot of factual information. A good analysis uses facts that are relevant to the situation at hand to make summary points of analysis. A poor analysis just restates or rehashes theses facts without making relevant summary comments. 3. Make reasonable assumptions. Every case is incomplete in terms of some piece of information that you would like to have. A good case analysis must make realistic assumptions to fill in the gaps of information in the case. For example, the case may not describe the purchase decision process for the product of interest. A poor analysis would either omit mentioning this or just state that no information is available. A good analysis would attempt to present this purchase decision process by classifying the product and drawing upon real......

Words: 487 - Pages: 2

Free Essay

Save Me

...are given. It is understandable then that we should seek out more opportunities to apply our skills and make more positive impacts within our jurisdictions. It is this general attitude that led us to get involved in investigating cold cases. How We Got Started Mark had, for several years, been consulting with our Coroner’s Division as a forensic anthropologist. During this time he came to learn that there were numerous coroners’ cases in which the identity of the decedent was unknown. These cases were kept in three-ring binders on a shelf in the Sergeant’s office. Over the years, in the course of this forensic work, we would discuss these cases and the progress that was being made on them. The conversation usually ran along the lines of us asking “any luck with that 1980 homicide victim?” and the sergeant answering “well, we’ve gotten so many new cases that I haven’t been able to even look at it yet.” This went on for a few years and through two different sergeants. One day we, as a crime analysis unit, were brainstorming about how we could broaden our “client base”, as it were. We had been successful in integrating ourselves into our Investigations Bureau and had been involved in numerous major cases. And, of course, we had always been active in producing tactical and strategic analyses for our patrol personnel. But we knew that we could be doing more, particularly given the size and responsibilities of our agency. It was......

Words: 412 - Pages: 2

Free Essay

Business Case

...BUSINESS CASE Presented to the Accountancy Department De La Salle University In partial fulfillment Of the course requirements In ACCTBA2 (C33) March 2, 2015 A stakeholder is typically concerned with an organization delivering intended results and meeting its financial objectives. In general, a stakeholder can be one of two types: internal (from within an organization) or external (outside of an organization). The stakeholders in this situation are Lanie Marquez and Tim Rodriguez who are also partners in the retail distribution business and their capital contributions are as follows P500,000 and P300,000 respectively they are an internal stakeholder since they are also the owners. The total Capital of both stakeholders is P800,000 and with a monthly salary for both partners at P15,000 on the assumption that both of them will contribute to manage the business equally. Assuming that both managed the business equally the total salary for the year for Lanie and Tim are P180,000 each. They share profit and loss equally and no interest will be given on capital contributed. The problem for this situation is that Lanie is starting to get concerned with the behavior of her other partner Tim. He only manages the business 50% of the time, which will mean that his salary of P15,000 will need to decrease by also 50% since he does not manage the business equally with his partner. The business has seen a downturn in the profit outcome and for the current financial...

Words: 758 - Pages: 4

Free Essay

Fin 571

...efficient investigative products and services. As a result, the coverage requirements for ANACI and NACLC investigations have been enhanced to support a common content baseline for all agencies. Note that these enhancements apply only to those ANACI and NACLC cases submitted on an SF 86. The purpose of this FIN is to provide you with information concerning what case coverage changes have been made. The case price adjustments necessary to support these changes will be reflected in the FY 2007 case prices. ANACIINACLC Cases Currently, listed and developed issues which are identified in ANACI and NACLC cases (for non-DoD customers) are not pursued beyond the normal scope of the investigation. These cases are returned to the requesting agency so that the agency may decide whether to adjudicate the case based upon the information in hand, conduct additional follow-up themselves, or request a Reimbursable Suitability Investigation (RSI) from FISD to cover the additional issues. Beginning with FY 2007, expansion of these issues will become a standard part of both the ANACI and NACLC products. Effective October 1, 2006, issues apparent at scheduling or developed during the course of the investigation and which fall within the 5-year case coverage period, unless otherwise noted, will be expanded upon according to the following chart (exception: issues which are known to have been covered in previous investigations, or which would reasonably have been expected to...

Words: 772 - Pages: 4

Free Essay

Getting Ready for a Midterm

...find that you would like even more time. I recommend that you enter the exam promptly since I will make deductions for those exceeding the 9:00 o'clock end time even if you enter late. Third, know that the legal reasoning essay will come from Module 4 on immunity. The variety of scenarios in that question will force you to think about and explain the nuances between sovereign and personal immunity, between absolute and qualified immunity, about loss of immunity, etc. You will want to understand all four cases from that module well before the exam. I will expect specific citations to the cases and the principles that they enunciate. An additional case that might be useful for you to look at is Canton v. Harris. A second question will address the rulemaking process and the principles underlying it. You should "walk into" the exam (in a virtual sense) with a clear sense of a fully articulated rulemaking process, so that you can pick and choose elements as appropriate in the case you will be presented. The third question will be drawn from the text regarding the Constitutional framework. Finally, remember that "open book" exams can be as challenging as closed book because the "bar" (the expectation) is higher. I think you will find that prior preparation will make a good deal of difference. As stated before, when you open the exam, answer the questions initially in word and copy it back to the exam. That way, you will not lose work, time...

Words: 342 - Pages: 2

Premium Essay

Compensation Culture

...in which it is acceptable for anyone who has suffered a personal injury to seek compensatory damages through litigation from someone connected with the injury. It’s the idea that for every accident someone is at fault. For every injury, there is someone to blame. And, perhaps most damaging, for every accident, there is someone to pay. There are so many ridicilous cases througout history where people sue somebody or some company for no reason and get a lot of money from them. For example . A caretaker fell off a ladder and sued the local authority for not training him to use a ladder - and won.He could get up to 50.000 pounds compensation. One former ex policeman received nearly £90,000 compensation for the trauma of seeing a woman die after he crashed into her car during a 999 call .The husband of the woman killed by the policeman received £16,000 compensation. Policemen cause a tremendous number of accidents - so many, indeed, that one force has stopped its drivers from speeding. The effect is damaging to society. The courts become clogged up with greedy people out for themselves, many with no real case at all while other people with real compensation claims, the people disabled in accidents, crippled in operations or people who have lost loved ones due clear negligent behavior. All the other who just sue somebody with ridicilous acusations should be ashamed of themselves and I hope that in the future others avoid trying to cash in just because it seems so easy...

Words: 266 - Pages: 2

Premium Essay

Business

...Case - Swisher System Corporation I. Company Background: Swisher Systems Corporation (SSC) is an industrial heating company which was established in 1949. SSC is an innovator of flexible heating products, especially with its knit and braided heating element. The heating element is multi-stranded resistance wire that is knit and braided with fibreglass and is the base technology for almost all SSC products. SSC is known in the industry as being the highest quality flexible heat supplier which produces control devices and heating cable. SSC’s competitive advantage is on the quality products which maintains higher and safer temperature that are more flexible than their competitors or other products in the market. II. Facts of the Case: A. Mike Watkins  Director of Purchasing for Swisher Systems Corporation  Solely responsible for purchasing all materials of SSC.  Has various experiences in material management prior to SSC.  Has more than thirty-five (35) years of industrial purchasing experience. B. Products at Swisher Systems  All SSC products are solutions to industrial heating applications  SSC manufactures fifty percent (50%) standard products and fifty percent (50%) custom orders. o The custom products can be applied to virtually all industries that require heating products. Industries like semi-conductors, food processing, medical, petrochemical and others.  Biggest contributor of SSC’s sales is the cloth heating jacket, though......

Words: 296 - Pages: 2

Free Essay

Ism 5014-Enterprise Information Systems

...certify that I am the author of this paper and that any assistance I received in its preparation is fully acknowledge and disclosed in the paper. I have also cited any sources from which I used data, ideas of words, whether quoted directly or paraphrased. I also certify that this paper was prepared by me specifically for this course. Student Signature: z ******************************************* Instructor’s Grade on Assignment: Instructor’s Comments: The cases that we analyzed as a group as part of the class requirements were very interesting. I was able to relate to both cases especially due to the company I work for. Case number 1, was related on how to survive and adapt to a new market place. As the company I work expands, it continues to navigate and explore new markets with the different products it manufactures. Case number 2, concentrated on how pay attention to contracts and making sure one does its homework before making any type of decisions. I was able to learn from both cases different type of information system solutions and how to manage it. The group projects were very helpful by allowing us to learn how to communicate and work together as a long distance team. It was very hard at first, especially because one of the team member drop the course one week before our first project was due. However, we shined as a group and we were able to complete the project in a timely manner. I learned that the best way to get a long distance project......

Words: 461 - Pages: 2

Free Essay

Business Case for Hr Self Service Systems

...Business Case for HR Self Service Systems Table of Contents Executive Summary 3 Project Overview 3 Business Case for Proposed Project 4 Conclusion 5 References 5 Executive Summary This paper addresses the business case for implementing self service in the IT industry with the aim of gaining higher efficiency for a majority of HR functions and other benefits that can be derived from improved information access. The paper also discusses the various challenges an organization might face while attempting to implement self-service. The business case for self service revolves around reducing administrative costs and gaining better efficiency. It also aims at improving the overall performance and other benefits such as information management, trend analysis and also operational efficiency. The chief argument presented here is that a self-service initiative allows the HR to concentrate more towards the core functions such as people management instead of getting burdened with administrative tasks. While self-service has the ability to improve the service expectations from HR, it may also result in some of the savings being consumed in order to meet the higher quality expectations. However, on the long run, it is bound to reduce expenses to a great extent while enhancing the quality. Self-service also enables an organization to implement flexible work and helps employees to remain connected with the organization through a centralized HR system aimed at......

Words: 1107 - Pages: 5

Premium Essay

Random

...Ethics At Airbus 1) In each of the cases described above who benefits and who suffers from the alleged ethical and legal lapses of Airbus? Ans – When we observe across cases, its mostly the state and the airline company who is at loss due to these legal and ethical lapses Airbus – Sabena Case: As long as Van Espen’s case does not prove anything against any party, Airbus has gained significantly from the deal as it would have earned around $5bn order from the deal. The party which suffered significant loss should be the state as the Belgian government had 50.5% stake KAC – Airbus: Airbus gained a much needed order bill of around $1.1bn and possible order of $0.9bn, the employees of KAC Mr Al Mishari and its subsidiary ALAFCO, Dr. Mallalah & Mr El Fekih possibly would have earned (only a possibility) whereas the state of Kuwait higher costs, lost cash, earned higher depreciation costs and probably had to write-off it off India Inc. & Airbus: Airbus like all other cases earned the order book despite Boeing offered a deal to the Indian government $140mn cheaper. The state and eventually the airline paid $140mn more, raising its depreciation costs, debt service costs and got hold of carriers which were not properly tested thus risking the life of passengers Across cases observed, Airbus has been smart enough to save itself a persecution almost anywhere and has got large order books worth billions of dollars acquiring half of the market share but if Airbus is......

Words: 981 - Pages: 4