Case Analysis Cisco Essay

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BU635 Global Operations and Logistics


Cisco Systems Inc.: The Viking Challenge

Submitted to:

Mr. Dave Swanston

Submitted by:

Vishal Gupta

ID: 125821880

20th March 2013

Executive Summary

Cisco Systems Inc. is a $100 B technology company which provides internet networking solution to telecommunication and broadband service provider corporations. Cisco is leader in developing the networking equipment for the industry.

Cisco wants to develop a new generation router Aggregation Services Router (ASR) 9000 to satisfy the growing demands of market for faster and cheaper networking equipment. Cisco realized that to protect its leadership position in
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Cisco management added one more layer of complexity to an already very challenging problem by deciding that manufacturing of ASR9000 router will take place offshore from the inception. This is first time such a complex product will be developed outside the USA.

This multilayered challenge will not only assess competencies of the Cisco’s established NPI process but also test its capabilities to manage its supply chain and global operations.

2. Analysis

Cisco is undoubtedly a front-runner in the very competitive world of networking equipment. To maintain its leadership position, Cisco needs to develop innovative products and technologies all the time. By 2007, its two core product categories, routers and switches are responsible for approximately 65% of the revenue generation for Cisco. Complex networking product like core router CRS-1 and branding campaign “The human network effect” helps Cisco to become one of the biggest companies in the world.

2.1 Why rush?

Cisco anticipates that its new generation product ASR900 will be critical to satisfy the fast growing needs of global internet market and eventually increase its revenue. This router could be customized and improved to meet the internet service provider’s demands. Hopefully, once fully developed this router will provide an edge router platform for the next 10-15 years and allow
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