Sports Obermeyer Case Analysis Essay Example
Peter M. Ovwiovwio
Course Title: MSCM 553: Logistics & Supply Chain Systems
Paper: Module Two Assignment (Two) Paper
Title: Sport Obermeyer Case Analysis BACKGROUND: This paper presents a brief and concise case analysis of Sport Obermeyer. Sport Obermeyer is a fashion Skiwear manufacturer. The company is headquatered in Aspen Colorado with two major suppliers in China and Hong Kong. The company’s product is offered in five different “genders” men’s women’s, boy’s, girl’s, and prescholers. Further, the company’s adult male skiwear is further segmented into types. Each segment and gender depends on how fashion forward the segment is and on price. Sport Obemeyer is a leader in the Skiwear fashion industry. However, more recently, the company began to experience significant problems with its demand forecast and variation in production. PPROBLEM STATEMENT: The Company is faced with significant problems in the following areas: Management strategies ( how relationships between the parent companies should be managed, whether by mere intuition or by data and information sharing that would be protected through strategic partnership); Extended product development lead times( it takes the company an extended amount of time, from when 80% of its orders were received in Vegas, to when the products were actually completed and shipped to Seattle. This delay creates an incredible variation in the demand process. This delay also creates excessive inventory which caused retailers to mark down products and Obermeyer to sell large shipment of containers of garments well below manufacturing cost); Supply chain problems ( lack of information sharing between the various components of the supply chain, for instance sales information between retail outlets, Obermeyer and Obersport as well as the two major suppliers in China and Hong Kong. Inability to enter into a collaborative partnership with supplier’s thereby creating a forecasting problem at the production level. Though
Course Title: MSCM 553: Logistics & Supply Chain Systems
Paper: Module Two Assignment (Two) Paper
Title: Sport Obermeyer Case Analysis BACKGROUND: This paper presents a brief and concise case analysis of Sport Obermeyer. Sport Obermeyer is a fashion Skiwear manufacturer. The company is headquatered in Aspen Colorado with two major suppliers in China and Hong Kong. The company’s product is offered in five different “genders” men’s women’s, boy’s, girl’s, and prescholers. Further, the company’s adult male skiwear is further segmented into types. Each segment and gender depends on how fashion forward the segment is and on price. Sport Obemeyer is a leader in the Skiwear fashion industry. However, more recently, the company began to experience significant problems with its demand forecast and variation in production. PPROBLEM STATEMENT: The Company is faced with significant problems in the following areas: Management strategies ( how relationships between the parent companies should be managed, whether by mere intuition or by data and information sharing that would be protected through strategic partnership); Extended product development lead times( it takes the company an extended amount of time, from when 80% of its orders were received in Vegas, to when the products were actually completed and shipped to Seattle. This delay creates an incredible variation in the demand process. This delay also creates excessive inventory which caused retailers to mark down products and Obermeyer to sell large shipment of containers of garments well below manufacturing cost); Supply chain problems ( lack of information sharing between the various components of the supply chain, for instance sales information between retail outlets, Obermeyer and Obersport as well as the two major suppliers in China and Hong Kong. Inability to enter into a collaborative partnership with supplier’s thereby creating a forecasting problem at the production level. Though