Quality and Supply Chain Management IP3
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• 3 citations
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Phase 3 – Task 2
Task Type: Individual Project
Deliverable Length: 12–15 PowerPoint slides with notes (150–200 words)
Points Possible: 100
Due Date: 10/28/2013 11:59:59 PM
Weekly tasks or assignments (Individual or Group Projects) will be due by Monday and late submissions will be assigned a late penalty in accordance with the late penalty policy found in the syllabus. NOTE: All submission posting times are based on midnight Central Time.
Put together a PowerPoint presentation with 12–15 slides that can be used for both internal purposes and when you meet with all of your vendors to kick off a vendor certification program. To earn full credit on the PowerPoint, you must use colored slides, clip art or charts, or photos on each slide to make them eye-appealing, along with 150–200 words of speaker notes for each slide, explaining the slide’s content. Slides must not be covered with commentary; that is what the speaker notes are for.
Assume the following information about a company:
• The company is currently assessing a make versus buy decision.
• The company currently makes product line “A” using proprietary technology. Its variable cost/unit is $10, and its fixed cost allocation of overhead based on producing 10,000/yr is $20/unit, for a total standard cost of $30/unit.
• The company also makes 3 other completely different and separate product lines on different equipment.
• The company has a quote from an outside vendor for this product A, for $18/unit.
• Given the data presented, what criteria would you use to evaluate the make versus buy decision that faces you?
• As a company’s managers create the optimum supply chain, there are many criteria that must be weighed, and in some cases, trade-offs are made. List at least 5 trade-off type decisions that the firm’s managers would have to make to establish the optimum supply chain. Include why it is a trade-off and the added information that you would need to actually make the best choice.
The following is an example of a trade-off:
• Should the manufacturing plant be located closer to its raw material vendors or its customer base? Why?
• Make up a checklist that a company’s vendor certification team should fill out when it visits a vendor prior to certifying them. What are the pros and cons of installing a vendor certification program?
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