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NAVISTAR SUPPLY MANAGEMENT

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NAVISTAR SUPPLY MANAGEMENT
Executive Summary
Our Chatham factory is a part of Navistar International and producing Navistar’s world famous premium conventional heavy trucks. As an assembly supervisor I have observed that our Just in Time (JIT) assembly procedure were frequently disrupted due to incomplete supply of “Kits” by our key supplier Trimco Industries which contains interior trim parts. Our company is facing challenges to uphold our company strategy “do it right first time”, production of quality trucks and meet delivery schedule.
My studies on 1555 short supply cases revealed that 95% of them could be avoided by Trimco which did not have experienced employees, efficient quality control measures and proper supply management system. We also failed to provide forecast and important information about changes made to Trimco in time. Absence of proper software and computer network made the coordination and communication process more inconvenient for both companies.
I have made a few tactical and strategic recommendations to overcome supply problem. Among them, supplier development, quality improvement, employee retention, installation of computer network for real time information sharing, reduction of customer designed interior and selection of 25 best selling configuration for customer to choose are important. Alternate options are also suggested.
I am confident that successful completion of my recommendation as per implementation plans will bring to an end of current problem and further sustainable development for both the business partners.

NAVISTAR- SUPPLY MANAGEMENT

Table of Contents

Page
Executive Summery

2
Issues Identification

4
Environmental And Root Cause Analysis

6
Alternatives

8
Recommendations

10
Implementation

11
Monitoring and Control

13
Conclusion

14
List of references and exhibits

14

Issues Identification
Navistar’s Tactical Issues (short and long term)
Just in Time (JIT) assembly procedure were frequently disrupted due to supply of incomplete

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