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Boeing's 787 Dreamliner was seriously delayed because of slow deliveries from suppliers who were responsible for large chunks of the jet. Outsourcing has become an important aspect of supply chain management as companies strive to cut costs, yet the practice gives managers less control, as at Boeing, and may decrease speed and flexibility. As an operations manager, how would you decide if a multinational supply chain is a better approach than trying to manufacture as much as possible in-house?

Boeing's 787 Dreamliner was seriously delayed because of slow deliveries from suppliers who were responsible for large chunks of the jet. Outsourcing has become an important aspect of supply chain management as companies strive to cut costs, yet the practice gives managers less control, as at Boeing, and may decrease speed and flexibility. As an operations manager, how would you decide if a multinational supply chain is a better approach than trying to manufacture as much as possible in-house?

Practical Management Science
Practical Management Science
6th Edition
ISBN:9781337406659
Author:WINSTON, Wayne L.
Publisher:WINSTON, Wayne L.
Chapter2: Introduction To Spreadsheet Modeling
Section: Chapter Questions
Problem 20P: Julie James is opening a lemonade stand. She believes the fixed cost per week of running the stand...
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Boeing's 787 Dreamliner was seriously delayed because of slow deliveries from suppliers who were responsible for large chunks of the jet. Outsourcing has become an important aspect of supply chain management as companies strive to cut costs, yet the practice gives managers less control, as at Boeing, and may decrease speed and flexibility. As an operations manager, how would you decide if a multinational supply chain is a better approach than trying to manufacture as much as possible in-house?
Transcribed Image Text:Boeing's 787 Dreamliner was seriously delayed because of slow deliveries from suppliers who were responsible for large chunks of the jet. Outsourcing has become an important aspect of supply chain management as companies strive to cut costs, yet the practice gives managers less control, as at Boeing, and may decrease speed and flexibility. As an operations manager, how would you decide if a multinational supply chain is a better approach than trying to manufacture as much as possible in-house?
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