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GSCM 540 DeVry All Week Case Paper

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<strong>GSCM</strong> <strong>540</strong> <strong>DeVry</strong> <strong>All</strong> <strong>Week</strong> <strong>Case</strong><br />

<strong>Paper</strong><br />

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<strong>GSCM</strong> <strong>540</strong> <strong>DeVry</strong> <strong>All</strong> <strong>Week</strong> <strong>Case</strong> <strong>Paper</strong><br />

<strong>GSCM</strong><strong>540</strong><br />

<strong>GSCM</strong> <strong>540</strong> <strong>DeVry</strong> <strong>All</strong> <strong>Week</strong> <strong>Case</strong> <strong>Paper</strong><br />

<strong>GSCM</strong> <strong>540</strong> <strong>DeVry</strong> <strong>Week</strong> 2 <strong>Case</strong> <strong>Paper</strong> Latest<br />

<strong>Case</strong>: MARS (D) #15<br />

In 2009MARS Inc. has been faced with new challenges in their buying process of their diesel engine due to changes<br />

with their Columbus supplier. The D-342 diesel engine market is in jeopardy which is why the supplier dropped<br />

production and left MARS Inc. with only one option in suppliers. Having to now deal with only one supplier Tom Sosa,<br />

the purchasing manager, has had to figure out what this change means to MARS Inc. in terms of transportation cost,<br />

inventory and storage costs, and continue the enforcement of MARS INC.’s implementation of lean manufacturing.<br />

<strong>Case</strong> Study Questions<br />

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What were MARS total costs per year prior to the new price structure when the diesel engine price was<br />

$4,800? Was Mars’s using the EOQ method?<br />

With the volume purchase discounts and warehouse constraints, what is the best ordering quantity?<br />

With the change in supplier and the resulting addition of volume purchase discounts and different<br />

transportation rates, how are costs and EOQs affected?<br />

What is the difference between all-unit quantity discount and incremental discount schedules? How would the<br />

costs and EOQs differ? Which would be preferable assuming that both share the same cost figures?<br />

How will these changes impact the Lean Manufacturing Philosophy at MARS? What would be the resulting<br />

changes in inventory levels?<br />

<strong>GSCM</strong> <strong>540</strong> <strong>DeVry</strong> <strong>Week</strong> 3 <strong>Case</strong> <strong>Paper</strong> Latest<br />

<strong>Case</strong>: The ARMS Procurement System at Tustin State University #3<br />

<strong>Case</strong> Study Questions<br />

<br />

Use flow diagrams to show the differences between the new and old system.


How should Christina solve the errors in the ARMS purchasing module? How do you recommend searching<br />

through 280,000 vendor catalogs?<br />

There are also a significant number of errors in the vendor database. The ARMS system cannot decipher<br />

between a vendor’s billing address and its shipping address. What should you recommend?<br />

If the invoice does not match the purchase order exactly, the account clerk and purchasing must research the<br />

purchase order and identify where the error occurred. What is your recommendation?<br />

<strong>GSCM</strong> <strong>540</strong> <strong>DeVry</strong> <strong>Week</strong> 4 <strong>Case</strong> <strong>Paper</strong> Latest<br />

<strong>Case</strong>: Firebird Electric, U.S. #11<br />

<strong>Case</strong> Study Questions<br />

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<br />

Calculate the differences between make, buy, and outsourcing decisions, and provide your recommended<br />

option.<br />

How should the suppliers be selected if the buy option is chosen? Give a step-by-step approach to the<br />

selection and evaluation process.<br />

<strong>GSCM</strong> <strong>540</strong> <strong>DeVry</strong> <strong>Week</strong> 5 <strong>Case</strong> <strong>Paper</strong> Latest<br />

<strong>Case</strong>: Carter Systems Canada, Inc. #9<br />

<strong>Case</strong> Study Questions<br />

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How does the cost breakdown of the previous orders and Mr. Travis’ estimate differ? What can be inferred<br />

about the nature of the new product from the cost breakdown estimation?<br />

How can each item of a cost breakdown be interpreted in regard to each other and the quoted company? Of<br />

all the cost breakdown items, which items are more important and open to negotiation?<br />

What factors might have caused the variance between D & G Technologies’ quotation and Mr. Travis’<br />

estimate? Between D & G Technologies’ quotation and Bell Systems’ quotation? Between SOT and the two<br />

lowest quotes?<br />

In light of your answer to the above question, what conclusions can you draw concerning (a) the reliability and<br />

usefulness of cost estimates made by the buyer, and (b) the value to be gained from the comparison of one<br />

supplier’s quotation with the others?<br />

<strong>GSCM</strong> <strong>540</strong> <strong>DeVry</strong> <strong>Week</strong> 6 <strong>Case</strong> <strong>Paper</strong> Latest<br />

<strong>Case</strong>: TEMKO Earthmovers #23<br />

<strong>Case</strong> Study Questions<br />

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What could be inferred about the supplier market conditions from the response for the request for quote? How<br />

would the supplier market conditions influence the decision to expand outsourcing policy?<br />

Discuss and define the difference between single sourcing and sole sourcing in regard to the relationship<br />

between TEMKO and ACE Manufacturing. Include an evaluation of ACE Manufacturing’s requests and what<br />

could be inferred from them.<br />

According to ACE Manufacturing, what would the resulting cost reduction from outsourcing to ACE<br />

Manufacturing be? Discuss the probable sources of this cost reduction. What would be the consequence of<br />

exploiting these sources to TEMKO and ACE Manufacturing?


<strong>GSCM</strong> <strong>540</strong> <strong>DeVry</strong> <strong>Week</strong> 7 <strong>Case</strong> <strong>Paper</strong> Latest<br />

<strong>Case</strong>: Eastern Waves, Inc. #10<br />

<strong>Case</strong> Study Questions<br />

<br />

<br />

As Jon James, please write a critique analyzing the situation in Malaysia for Mr. Patton. What<br />

recommendations do you suggest?<br />

How can Code C avoid future sourcing disruptions? How should Code C critically analyze future global<br />

sourcing alternatives?

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