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UMASS LOWELL

63.371

College of Management

T. Sloan

Case Study Write-up #3

SPORT OBERMEYER, LTD.

Sport Obermeyer is a high-end fashion skiwear design and merchandising company headquartered in Aspen, Colorado that sells its products through U.S. department stores and ski shops. Although the company has a global supply network, most of its critical outerwear products are sourced through the Hong Kong-based company Obersport, a joint venture between Sport Obermeyer and a Hong Kong partner. Obersport, in turn, manages supply and production operations in Hong Kong and China. This case provides an in-depth description of the planning and production processes Sport Obermeyer and its supply channel partners undergo each year to develop and deliver new product lines.

Please prepare a report that addresses the questions below. Answers must be typed (double- spaced), and write-ups will be evaluated on their content and presentation, including logic, organization, grammar, and spelling.

You must work on the case in groups of two (2) to four (4) students. You are responsible for determining who is in your group and how work is allocated. Please turn in one write-up per group, and list the names of all group members on the write-up.

Refer to the handout titled “Guidelines for Case Study Write-ups” for more information on the content and format for case write-ups.

Questions [2 points each]

1. What are the key activities/events involved in the design, ordering, production, and shipment of Sport Oberymeyer’s products? When do these activities/events take place? Discuss the challenges faced by Sport Obermeyer in managing its global supply chain.

2. How can Wally use the Buying Committee’s forecasts to estimate the risk associated with early production of each style? Using the sample data given in Exhibit 10, make a recommendation for how many units of each style Wally Obermeyer should order during the initial phase of production. Assume that all 10 styles in the sample problem are made in Hong Kong and that Obermeyer’s initial production commitment must be at least 10,000 units. Ignore price differences among styles in your initial analysis. (Note: there is not an exact formula or method for this type of problem. I am more interested in the approach you use to determine the order quantities than in the specific numbers.)

3. What are the long-term costs, advantages, and risks of producing in China versus Hong Kong? How will minimum order quantities affect capacity? Which of the 10 styles should be made in Hong Kong and which should be produced in China? Justify your answer.

4. What changes would you recommend to Wally to improve overall supply chain performance? Be specific and pay particular attention to operations-related changes.

[The presentation/style of the report counts for an additional 2 points, for a total of 10 possible points.]

Remember to submit an electronic copy of your write-up to the TurnItIn.com web site.

Due Date: Monday, April 23, 2007 at the beginning of class

UMASS LOWELL

63.371

College of Management

T. Sloan

Electronic Submission of Write-ups to TurnItIn.comTurnItIn.comTurnItIn.comTurnItIn.com

A new service is available to students and faculty at UMass Lowell to help uphold academic integrity. In

addition to turning in a hard copy of your case write-up, you will be required to submit an electronic version of the write-up to the web site TurnItIn.com.

How do I submit my case write-up?

It is quick and easy to submit your write up:

1. Point your web browser to

2. Click on the

www.turnitin.com

.

New User

section, and a dialogue box will guide you through the process of

creating a user profile. You will need to enter our class ID number:

password:

sloan
sloan

(note: all lower case).

1822979
1822979

and enrollment

3. Our class will then show up on your start page. Click on the class name:

Sloan – 63.371 – Ops. Mgt.

4. You will then see a list of assignments. Click on the appropriate assignment.

5. Submit your paper following the instructions in the dialogue box. The following formats are accepted: MS Word, WordPerfect, RTF, PDF, PostScript, HTML, and plain text (.txt).

6. Click

Submit
Submit

when prompted to complete the submission process. A digital receipt number

will be issued, and you will receive an e-mail confirming successful submission.

That’s it! No further action is required. You will only need to create a user profile the first time you use the system, so for future assignments, the process will be even easier.

Note: Please submit only one electronic copy per group. Under Author Name, simply list the name of one group member.

When are the write-ups due? The hard copy of the write-up is due during (or prior to) class on the dates indicated in the course syllabus. If you are not able to attend class, you may e-mail (Thomas_Sloan@uml.edu) or fax (978/934- 4034) your write-up before class.

The electronic copy of the write-up must be submitted within 24 hours of the class discussion.

To summarize…

Hand in the paper copy of your group’s case write-up during or prior to class on the day that it is due.

Submit an electronic copy of the paper within 24 hours of our class discussion.

Submit only one paper copy and one electronic copy per group.