Opre 6371 Case 5-2
6Case 5-2: Rondot Automotive
Name: Lovee Sachdeva, Bin Wen, Matthew Miles, Ryan Buxbaum ,Yuguang Wang, Shaoying Lu.
Group: 3
Date: 2/22/2013
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Situation: * Glenn Northcott is the purchasing planner at Rondot Automobile in Jackson, Mississippi. The company is a wholly owned subsidiary of Rondot Worldwide, a leading global designer and manufacturer of electrical and electronic components. (Note: You are Glenn) * Responsible for evaluation the outsourcing opportunity * Meet with Terry Gibson and purchasing manager to decide whether or not to take actions on outsourcing * Glenn had been approached by Greven E-Coating willing to provide electro coating services to Rondot Automobile * Goals of decision making: Reducing the total costs while maintaining and minimizing the risks from any changes made * Considerable global competition under severe cost pressure * Customer’s price reduction pressure expectancies from global competition * Total Sales and employment at the Jackson plant had steadily declined * Company is under significant pressure on cost reduction. The company’s current priority is to reduce operation costs * Rondot is a wholly owned subsidiary of Rondot Worldwide, a leading global designer and manufacturer of electrical and electronic components. Rondot Automotive operated 85 plants in 25 countries. * The purchasing organization at Rondot automotive had a hybrid structure and the Jackson plant’s purchasing department consisted of four people, including two buyers, a planner (Glen) and Terry Gibson. * Schedule with the purchasing manager, Terry Gibson, and the plant manager, Dick Taylor in one week, and both of them are under significant pressure to reduce costs at Jackson plant. * Greven E-Coating outsourcing opportunity * Greven E-Coating Company uses a system whereby a DC electrical
Name: Lovee Sachdeva, Bin Wen, Matthew Miles, Ryan Buxbaum ,Yuguang Wang, Shaoying Lu.
Group: 3
Date: 2/22/2013
-------------------------------------------------
Situation: * Glenn Northcott is the purchasing planner at Rondot Automobile in Jackson, Mississippi. The company is a wholly owned subsidiary of Rondot Worldwide, a leading global designer and manufacturer of electrical and electronic components. (Note: You are Glenn) * Responsible for evaluation the outsourcing opportunity * Meet with Terry Gibson and purchasing manager to decide whether or not to take actions on outsourcing * Glenn had been approached by Greven E-Coating willing to provide electro coating services to Rondot Automobile * Goals of decision making: Reducing the total costs while maintaining and minimizing the risks from any changes made * Considerable global competition under severe cost pressure * Customer’s price reduction pressure expectancies from global competition * Total Sales and employment at the Jackson plant had steadily declined * Company is under significant pressure on cost reduction. The company’s current priority is to reduce operation costs * Rondot is a wholly owned subsidiary of Rondot Worldwide, a leading global designer and manufacturer of electrical and electronic components. Rondot Automotive operated 85 plants in 25 countries. * The purchasing organization at Rondot automotive had a hybrid structure and the Jackson plant’s purchasing department consisted of four people, including two buyers, a planner (Glen) and Terry Gibson. * Schedule with the purchasing manager, Terry Gibson, and the plant manager, Dick Taylor in one week, and both of them are under significant pressure to reduce costs at Jackson plant. * Greven E-Coating outsourcing opportunity * Greven E-Coating Company uses a system whereby a DC electrical