Sport Obermeyer case (Venugopal Vinjamuri and Kailash Kothari) In order to determine the quantity of each product that should be purchased at the outset so as to fill half of the total forecasted volume (10‚000 units)‚ we need to calculate the purchase price per product (something that isn’t provided in the case) and also the salvage price per product. Let’s start with the cost information of the Rococo Parka. The cost to produce one piece in Hong Kong is $60.08 while the cost in China is $51.92
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Issue with Impact Analysis Obermeyer has grown into the business of designing and selling winter wears not without any challenges. For this case‚ the main issue can be summed up in managing a global supply chain of short life cycle products with a high demand uncertainty. We can breakdown the main issues into: geographic challenges‚ information’s timing and flow and creating a responsive supply chain to able to balance inventory and demand uncertainty. First is the information timing and flow
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CASE REPORT 1 Sports Obermeyer Supply Chain Management MBAD 6208 Dr. Xiulie HE Erhan TURKURER Joanne ZHANG Varun JOSHI Yue CUI FALL 2014 FALL 2014 [SPORTS OBERMEYER] Table of Contents 1. What is the lead-time for production of skiwear? What are the factors that contribute to lead times being so long? What are the operational and competitive results of these long lead times? 2. Using the sample data given in Exhibit 10‚ make a recommendation for how many units of each style
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*Sport Obermeyer:* Case Analysis Pratyusha Lakshmi Puranam Executive Summary: Obermeyer offers a broad line of fashion ski apparel‚ including parkas‚ vests‚ ski suits‚ shells‚ ski pants‚ sweaters‚ turtlenecks‚ and accessories. Parkas are considered the most critical design component of a collection; the other garments were fashioned to match the parkas’ style and color. Their products were offered in five different genders: men’s‚ women’s‚ boys’‚ girls’‚ and preschoolers’. The company
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The Sport Obermeyer case is mainly about the production and manufacturing process of a skiwear product. Sport Obermeyer is a high-end fashion skiwear design and manufacturing company located in Aspen‚ Colorado. It sells the products through department stores and ski shops. The company has a global supply network; however‚ most of its products are outsourced through the operations in Hong Kong and China which is a joint venture between Obermeyer and its Hong Kong partner. This case describes the information
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Case: Sport Obermeyer Using the sample data given in Table2-20‚ make a recommendation for how many units of each style Wally should male during the initial phase of production. Assume that all of the 10 styles in the sample problem are made in Hong Kong and that Wally’s initial production commitment must be at least 10‚000 units. Ignore price differences among styles in your initial analysis. Style Mean Std Dev produce (avg-2SD) Hong Kong Gail 1017 388 639 629
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Sport Obermeyer‚ Ltd. General Background Klaus Obermeyer emigrated from Germany to the United States in 1947 and started teaching at the Aspen Ski School. He was credited with making the first goose-down vest from a comforter in the 1950s. In 1992‚ estimated sales were $32.8 million with 45% share of children ’s skiwear market and 11% share of the adult skiwear market. It produced and sold parkas‚ vests‚ ski suits‚ shells‚ ski pants‚ sweaters‚ turtlenecks‚ and accessories
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in Hong Kong are Lower labor cost Larger lot size But the areas of the concern for producing in China are: Quality and reliability Slower Less Flexible Hence for all these reasons‚ Long term planning should be done in the China 2. Study Exhibiit 10. How Wally should do Forecasting so that error is minimum? 1. Improve the demand forecast made internally by the buying committee in November just before Speculative Production (Instead of using juts a simple average of the individual
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Executive Summary There were multiple issues weighing heavily on the mind Wally‚ a VP at Sports Obermeyer‚ in November of 1992. Sports Obermeyer‚ a successful manufacturer of ski apparel was having trouble planning the manufacturing levels of its various skiwear items for 1993-94 based on whatever scant information it had on the end customers’ likes and dislikes. Waiting to make these decisions till after the Las Vegas trade show‚ the one event which would give reliable retailer feedback‚ would
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The ideal products to order are those with enough forecast quantity that the minimum quantity order will be less than the forecast and also leave enough room for a reorder of the minimum quantity or more if required. While this is a directional change from our annual forecasting method‚ we must act to improve this process in order to protect net revenue and market share. Effective immediately I am recommending we increase inventory of raw materials for production in order to limit the lead time
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