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Balya Ibnu Mulkan (14522068) - Kukuh Faedlur Rahman (14522125) - Muhammad Firdaus Saputra (14522265) Supply Chain Management - A Class

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Balya Ibnu Mulkan (14522068) Kukuh Faedlur Rahman (14522125) -

Muhammad Firdaus Saputra (14522265)


Supply Chain Management A Class
Group Assignment Chapter 3
Krause Corporation and Mazda Electronics

# Krause Corporation Case


A. Needs of Strategic Alliances

B. Study Case Question


1. Should Steve recommend buying the pipe or making it?
(replace with result of paraprash)
# Mazda Electronics Case
A. Needs of Strategic Alliances

B. Study Case Question


1. Should Mazda Electronics proceed with the low-cost ME2001, incorporating the new frame
developed by Burton Plastics, Inc.? Explain.
According to the case, Mazda should continue purchasing new item. Quality and price are
very decent that can affect to company profits growth. At present, ME1001 averages $150 per
unit which permits company to run on a net margin of 5%. The new unit could be made for
$65 per unit more than partial of ME1001 costs. Marketing expenses would add another $20
per unit but still keep on under original product costs. The opportunity of defects product is
the risk that the company would be taken. The following shows a sample analysis.
2. Who should be involved in the decision-making process? Who is ultimately responsible for
the decision?
People that should be involved in the decision making on how to move forward are Dennis
Kwok, Larry McDonald in engineering, Jackie Brown in marketing, Jeff Meltzer in supply
management, and Patrice Renier in manufacturing. There are serious factors in each
department that subject matter expert would have a stake hold in to guarantee to make the best
decision.

3. What additional information would you require if you were in Dennis Kwoks place?
Based on the case said that past low-cost ME2001 model would work well and then
unexpectedly become defective and do not know the causes. It is not a suitable response and
confirmations the lack of testing and R&D. Company would need systematic testing for
product quality before continue the business.

4. What other issues related to this problem are of concern to supply management?
Jeff was not happy if Burton was a single source for this product. The firm should open up
market competition that probably will get a better price, delivery time, or better quality overall.

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