logo global production, outsourcing, and logistics
TRANSCRIPT
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Global Production, Outsourcing, and LogisticsGlobal Production, Outsourcing, and Logistics
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Background
where to locate productive activities 1
what the long-term strategic role of foreign production sites should be 2
whether to own foreign production activities or outsource those activities 3
whether to manage global logistics or outsource4
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Production refers to activities involved in creating a product
Logistics refers to the procurement and physical transmission of material through the supply chain, from suppliers to customers
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What is the strategic objectives of the production and logistics
function?
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Two other objectives are important for international companies:
1. production and logistics functions must be able to accommodate demands for local responsiveness
2. production and logistics must be able to respond quickly to shifts in customer demand
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Diagram
country factors
technological factors
product factors
Where should production
activities be located?
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Philips in China Moves with – “Go West Strategy” to Chengdu
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Locating Production Facilities
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Outsourcing Production: Make-or-Buy Decisions
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Nike Sweatshop Problem
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Source: Business Insider, 2013
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Brands Caught In Sweatshop Scandals
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ThemeGallery is a Design Digital Content & Contents mall developed by Guild Design Inc.
ThemeGallery is a Design Digital Content & Contents mall developed by Guild Design Inc.
ThemeGallery is a Design Digital Content & Contents mall developed by Guild Design Inc.
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ThemeGallery is a Design Digital Content & Contents mall developed by Guild Design Inc.
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ThemeGallery is a Design Digital Content & Contents mall developed by Guild Design Inc.
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ThemeGallery is a Design Digital Content & Contents mall developed by Guild Design Inc.
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