1- What makes supply chain management at Sport Obermeyer so challenging? The biggest challenge Sport Obermeyer is facing is uncertainty. The demand for each of the styles is completely un-deterministic and is very hard to predict. At the same time‚ Obermeyer production cycle is very long which is making it nearly impossible to adapt to the market. On one hand‚ if the produced items do not sell‚ Obermeyer incurs the loss of manufacturing cost. On the other hand‚ if we do not produce enough of the
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data that would provide clear indication how end-consumers would respond to the company’s current line. A good solution would enable Obermeyer to decide on where and when to source each product (China vs. Hong Kong vs. an alternative factory). The Fashion Industry is extremely competitive‚ as well as trendy. Last year Columbia Sportswear‚ a competitor of Sport Obermeyer‚ managed to capture 23% of the Adult Ski-Jacket market. This‚ along with the ever increasing varieties of products and no clear indication
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Obermeyer Sport A Strategic Direction in Forecasting Introduction & Summary Klaus Obermeyer is an innovator in the high-end skiwear industry. The company began with down filled jackets and slowly began to diversify its product line with high-altitude suntan lotion‚ turtlenecks‚ nylon wind-shirts‚ mirrored sunglasses and more. In 1961‚ the first Sport Obermeyer factory warehouse opened in Aspen‚ and the innovations continued with “soft-shell” jackets‚ double lens goggles‚ and the first
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Obermeyer Sports‚ Ltd. Introduction Sports Obermeyer‚ Ltd‚ a fashion skiwear manufacturing company‚ faces an array of issues before starting a new production cycle. The right timing for the production decision‚ prediction of production volume‚ associated risks‚ production process key steps that add value‚ and productivity issues are all concerns that must be addressed. The first step of Obermeyer’s decision making is to decide sample production volumes. The sample production (10‚000 units
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2.) The cycle time between initial design of the ski parkas and the final sale to retailers begins in Febuary 1992 and ends in Septembe1993r‚ a total cycle time of approximately seventeen months. This lengthy cycle time is necessary for Sport Obermeyer to develop several attractive designs for the annual Las Vegas trade show where 80% of sales are made and eventually these designs are finalized six months later. This cycle also incorporates several major processes starting with the selection of
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Sport Obermeyer case study Name: Dhruv Bhatt Member ID: 6000919 Date: 24 October 2014 Executive Summary: For this case‚ we will focus on the skiwear part of the Obermeyer business. It has a current cycle time of 27 months. Skiwear market is just four months long but the design and production process takes over 16 months to complete. Out the 27 months cycle‚ Obersport has 6 months to purchase‚ produce and deliver the products for winter selling in North America. Obersport
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Question 2. What operational changes would you recommend to Wally to improve performance? Clearly list the expected benefits from each change. Please try and be specific in terms of the changes and benefits in response to this question. One of the main reasons to implement certain operational changes is to reduce the difference between initial forecast done before Las Vegas show and the updated forecast done after it. Some operational changes also have to be made to reduce the lead
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Abstract This report deals with the analysis of the Sport Obermeyer case‚ an American company‚ founded in 1947‚ specialized in the creation of ski wear. The case presents some problems faced by the company as a long time since the design to production and placement of the product for sale. In addition‚ the company is struggling with the sales forecast‚ which ends up generating excess production and inventory in stores. And yet‚ an important decision on how the company should schedule production
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Case: Sport Obermeyer Vijayakrishnan Krishnamurthy‚ Kara Maruszak‚ John Mulka University of Toledo BUAD 6600 July 4‚ 2014 Executive Summary Sport Obermeyer‚ Ltd. was founded by Klaus Obermeyer to provide U.S. skiers with the same protective and stylish clothing and equipment available in Germany. With a history of innovative new products and leading styles‚ Sport Obermeyer developed into a prominent competitor in the U.S. skiwear market
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demand requires a heavy reliance on accurate forecasting. Sport Obermeyer‚ Ltd is in the business of manufacturing skiwear which includes short life cycle items due to their short selling season and dependence on trends in fashion. Each year Sport Obermeyer is challenged with matching supply to demand because production must be forecasted more than one year ahead of the expected selling season. These forecasts determine how much Sport Obermeyer should produce‚ but still entail an element of risk. Labor
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