Two of this week’s topics are international supply chain and R&D management. The decision on where to locate various components of the procurement and production process, including R&D activities, as well as how to link them through a supply chain varies not only by product but by corporate structure and philosophy.
The ECCO case study introduces several major global shoe companies, some of which use significantly different approaches to supply chain and R&D management.
To prepare for this Discussion, read the ECCO and consider the various approaches to supply chain and R&D management.
Post your responses to the following:
- Compare the different approaches described in the case study. In your analysis, address the following questions:
- How do they relate to the overall mission statements and corporate philosophies of the companies involved?
- How do they build on core corporate capabilities when decisions are made regarding where to source inputs, where to produce intermediate and finished products, and where to locate distribution facilities?
- What factors affect decisions to outsource or vertically integrate?
- How do the companies tap into international capabilities to promote innovation and market customization?
- Based on your analysis, what recommendations or conclusions can you make with respect to structuring ECCO’s supply chain and R&D management? Please justify your rationale.