Case 6:

Global Supply Chain Management

Case Study Submission

Submitted By:
Aman Bhargava (2010A05) Nikhil Agarwal (2010C45) Ananthakrishnan Vishwanath Iyer (2010C49)

Q1. What should Company A do? Why? Ans. Company A should not object to Company Bs eligibility. Some of the reasons why we think the company should not do are: a. The letter that company A has from the technology provider is dated before the new letter written to the owner with their recommendations. b. The company has to stick with whatever the technology provider suggests as TP is taking the guarantee of the project c. If company A goes with the objections, it might offend some people in the owners organization and chances of getting the contract for product one will also go down. d. Being a government company, it will not adhere to Company As argument as it has laid down rules of accepting approved vendors supplied by the technology company as the Technology provider takes the guarantee for performance.

Q2. Why do you think the Technology provider wrote negative recommendation about company A after the prices were known? Ans. There may be various reasons to as to why the Technology Provider wrote negative recommendation about company A are: a. After the prices were known, the TP must have analyzed that under the quoted price company A cannot provide the quality technology/service. b. As indicated in the case, the TP could have been influenced by a third party. c. The quality of company A must have deteriorated after the inspection for the approached list was done by the technology provider. So when the tender was out, the technology provider should have revised its quality checks for the company.

Q3. What could Company A have done to avoid getting in to this situation? Ans. Company A should have done the following to avoid getting in the situation: a. The company should have maintained its quality over a period of time. b. The company should have maintained good relationship with both the owners company and also the technology provider. c. The company should have followed fair ethical and moral practices in the tender process and not object to any company winning the bid after the tender was out.

Q4. Is there any other way of approaching the above issue? Ans. The company A should have objected Company Bs eligibility of the tender before the prices of the tender were out and if it were to object companys B eligibility after the tender, the company should have come up with a specific and formal letter from the technology provider instead of the present submitted documents. This way the stakeholders of the owners company would not have any objections with the approach of company A.