0%(4)0% menganggap dokumen ini bermanfaat (4 suara)
693 tayangan4 halaman
Stryker considered changing how it sourced printed circuit boards (PCBs) for its medical products in 2003. It currently purchased from a small number of contract manufacturers, but expenses were increasing by over $10 million annually as business grew. Reasons to change included the weak financial positions and low quality from contract manufacturers, along with delayed deliveries and bankruptcy risks. Options considered were to maintain the current sourcing policy with modifications, solely source from one contract manufacturer, or establish an in-house PCB manufacturing facility. Establishing an in-house facility would provide the highest control over quality and delivery but require a large initial investment and increase headcount.
Stryker considered changing how it sourced printed circuit boards (PCBs) for its medical products in 2003. It currently purchased from a small number of contract manufacturers, but expenses were increasing by over $10 million annually as business grew. Reasons to change included the weak financial positions and low quality from contract manufacturers, along with delayed deliveries and bankruptcy risks. Options considered were to maintain the current sourcing policy with modifications, solely source from one contract manufacturer, or establish an in-house PCB manufacturing facility. Establishing an in-house facility would provide the highest control over quality and delivery but require a large initial investment and increase headcount.
Stryker considered changing how it sourced printed circuit boards (PCBs) for its medical products in 2003. It currently purchased from a small number of contract manufacturers, but expenses were increasing by over $10 million annually as business grew. Reasons to change included the weak financial positions and low quality from contract manufacturers, along with delayed deliveries and bankruptcy risks. Options considered were to maintain the current sourcing policy with modifications, solely source from one contract manufacturer, or establish an in-house PCB manufacturing facility. Establishing an in-house facility would provide the highest control over quality and delivery but require a large initial investment and increase headcount.
considered a change in sourcing of pcb's in MEDICAL PRODUCTS in MAY 2003
purchased from small no. of contract manufacturers
expenses wud increase more than 10 mn in each yr for 2 years as business grows reasons to change the sourcing weak financial capital of cm (contract manufacturers) low quality bankruptcy chances bad services, delayed deliveries option 1 maintain current basic sourcing policy for pcb's but with imp modifications have extra number of stocks as safety stocks option2 pick 1 grp from cm and solely take all orders of pcbs from that cm option3 manufacture its own pcbs in owned facility of 8 acres in kalamazoo MI once established stryker can supply pcb's to its other businesses as well. this option promises highest degree of control over quality & delivery disadvantage is high investment, headcount, increased payroll 1-also it will manufactures various kinds of pcb's so many kinds of manufacturing equipments will be required worth $ 2643258 ( dep 7 yrs) 2-construction of new bldg 30000 sq feet on 8 acres of strykers land depreciation 30 yrs straight line method 3- site prep, construction charegs- 3030000 4-architectural & engineering costs- 278000 5-furnishing & non furnishing - 126000 6- IT & communication - 210000 depreciation for both 5&6 - 3years material cost = productsxactual costs fc beginning of year 2004 v.c would begin from 3rd quarter of 2004 FC+vc represented half of employee compensation n benefits (it this any of our reference while calculations, please re-check) end of option 3 by 2006- total 56 employess for inhouse production of pcb's part in-house production will strt in last quarter of 2004 till end of 2005 and 100% in house prod from jan 2006 part pcb production from last q 04 to last mnth of 2005 will be given to CM. Manufacturing will be 100% capacity in 2009 ( TIFFANY LAURA I hope I got this right please check in the case) TAX 36% COST OF CAPITAL 15% EXHIBIT 4 GIVES ALL INTEREST RATES BUT WE DONT HAVE THE INVESTMENT AMOUNTS SO HOW WILL WE FIGURE OUT THE INTERESTS ??? ABOUT STRYKER 2002 revenues 3 bn operating prt 507 bn multiple businesses like ortho implants, med & surg equip, rehab med services exhibit 1 gvs operating & fin data Med surg sales in 2002 1.1 bn (increase of 13% over 2001 sales) global revenues 430 mn in 2002 approx 1-also it will manufactures various kinds of pcb's so many kinds of manufacturing equipments will be required worth $ 2643258 ( dep 7 yrs) FC+vc represented half of employee compensation n benefits (it this any of our reference while calculations, please re-check) part in-house production will strt in last quarter of 2004 till end of 2005 and 100% in house prod from jan 2006 Manufacturing will be 100% capacity in 2009 ( TIFFANY LAURA I hope I got this right please check in the case) EXHIBIT 4 GIVES ALL INTEREST RATES BUT WE DONT HAVE THE INVESTMENT AMOUNTS SO HOW WILL WE FIGURE OUT THE INTERESTS ???