Can you guys help me with this? Thank you! Intriguing Facts: Incorporate engaging facts about the country that enhance its value and uniqueness within the global supply chain landscape. These can include cultural anecdotes, technological innovations, or historical achievements. The country in here is India Put the answer as bullet points, provide sources that have relevant information for the intriguing facts about India that enhance its value and uniqueness within the global supply chain landscape.
Q: What is the better so net poem about sandwiches 5 days ago . Response a or response b
A: Approach to solving the question:To determine which response better fulfills the prompt, we need to…
Q: The Digby company will sell 100 units (x1000) of capacity from their Deft product line. Each unit of…
A: Let's calculate this step-by-step to determine the total amount Digby company receives from selling…
Q: What strategies can organizations implement to promote leaders who are openly self-critical and…
A: --- **1. Build a Culture of Psychological Safety**To promote leaders who are self-critical and…
Q: What steps will the union organizers have to take in order to advance the process to an election ?…
A: A union organizing campaign is an orderly process in which union organizers approach workers, obtain…
Q: Conduct a SWOT analysis for United Parcel Service (UPS) for a Leadership Recommendation Project…
A: Narrative Explanation: StrengthsUPS's dominating market position is a valuable asset, as it ensures…
Q: Consider the hypothetical economies of Hestiatia and Svarta, both of which produce crates of copia…
A: Productivity (crates per worker)HestiataProductivity = output / labor2021 Productivity = 3,600 /…
Q: Discuss the three types of task-oriented behaviours relevant for effective leadership
A: Task-oriented behaviours are actions that leaders take to ensure that work gets done and goals are…
Q: Describe the contemporary human resource perspectives HRM function needs people who can balance…
A: Contemporary Human Resource Perspectives and Evolution of HRMThe role of human resource management…
Q: dentify any five (5) shortcomings of traditional file-orientated data structures and brieflydiscuss…
A: Traditional file-oriented data structures have several shortcomings, including:Data Redundancy: The…
Q: 1. Sales of humanoid robots by a technology company from January 2024 to December 2025 are shown in…
A: (a) What can the table of time and sales be called?The table is called a time series dataset, as it…
Q: Describe how to communicate effectively across cultures. Include definitions of cross-cultural and…
A: Approach to solving the question: Analyze the question. Detailed explanation:Effective communication…
Q: Review the article: Defining the Motivations and Capabilitied of Young Intrapreneurs: Literature…
A: Entrepreneurship vs. Intrapreneurship: A Comparative AnalysisDifferencesFeature Entrepreneurship…
Q: . Outline the limitations of the trait approach.
A: The trait approach, also known as the trait theory, is a psychological perspective that believes…
Q: account
A: Step 1: Definition of Standard CostsStandard costs are predetermined estimates of material, labor,…
Q: what article is about " what is your Mission"?
A: Approach to solving the question:Allow me to assist you in writing an example article for a general…
Q: Please original work (Please dont use chatgpt) Imagine that you are presenting the balanced…
A: I chose the balanced scorecard model because it gives a holistic approach to measuring…
Q: Literature Review for the topic Evaluating Human Resource Management Practices and its Impact on…
A: The topic at hand is about evaluating the impact of Human Resource Management (HRM) practices on the…
Q: What does educational equity mean? Describe how you would create an equitable work environment with…
A: Educational equity refers to the principle of fairness in education. It implies that personal or…
Q: For a small local Caribbean based company selling pepper sauces, seasonings looking to expand its…
A: **2. Why International Expansion is a Good Strategy** **A. Market Growth Potential** - The…
Q: I need answer typing clear urjent no chatgpt used pls i will give 5 Upvotes.
A: Given Data (3-Year Return…
Q: Types of gestures include which of the following? Group of answer choices motions accents…
A: In the field of communication, gestures are a form of non-verbal communication in which visible…
Q: do fast.
A: A Nash Equilibrium is a concept of game theory where the optimal outcome of a game is one where no…
Q: Leaders are challenged to lead in diverse cultures. In a two to three-page paper, develop a…
A: Leading in Diverse Cultures: A Strategic Plan and Comparison with Oprah WinfreyIntroductionIn…
Q: I need ideas on how to make my current 4 slides into 2 slides, as requirement only allow 2 slides…
A: To condense your 4 slides into 2 while maintaining depth, clarity, and impact, we need to carefully…
Q: If you were hired as an HR Manager in a large firm where the HR function was poorly integrated with…
A: **1. Assess the Current State** - Conduct interviews and surveys with employees, managers, and…
Q: Please original work Reflect on your most important learning and new understanding gained regarding…
A: **Key Learnings and New Understanding** One of the most important insights I gained about the…
Q: Cent is a product of the Chester company which is primarily in the Nano segment, but is also sold in…
A: To determine the demand for Cent in the Nano segment for the next year, assuming all competitor…
Q: What defines the bargaining zone in a negotiation?- The bargaining zone, or the zone of possible…
A: The bargaining zone, also known as the Zone of Possible Agreement (ZOPA), is a concept in…
Q: Read the article ‘Core Values for Responsible Leadership - The Relevance of Ethics for Religion and…
A: Ike (2016) emphasizes the importance of a number of fundamental principles for responsible…
Q: do fast
A: Step 1: Understanding Shear Strain at Each CornerShear strain (γxy) is determined by the…
Q: Ashley Industries can make 1,330 units of a necessary component with the following costs: Direct…
A: Concept of Cost Indifference PointThe Cost Indifference Point refers to the situation where the…
Q: NARCOMS Database to Aid MS Victims Multiple sclerosis (MS) causes a disruption in the transmission…
A: Review Questions 1. Identify the fundamental hardware components that are likely included in the…
Q: provide correct answer general accounting
A: Step 1: Definition of OverheadsOverheads are indirect costs that cannot be directly traced to…
Q: What do we know right now about the Himachal Fertilizer Corporation and the situation? What are the…
A: 2. **Initial Leak & Repairs (July 2014):** - **Minor leaks** were detected along the…
Q: Draw a plant with esthetic: solar csp tower that powers brayton cycle, has a fish farm as…
A: **1. Solar CSP Tower with Heliostats**- **CSP Tower Receiver**: The central tower has a receiver at…
Q: Which of the following describes an intangible asset? Question 11Select one: a. Office building…
A: Accounts receivables are the money owed to company by the customers for the goods sold by the…
Q: St. Lucia, a small island developing country, the service sector has been dominated by…
A: Internal Driver.Service Diversification.One significant internal incentive that these firms must…
Q: Please original work Talk about a project that you believe could address a problem related to CRM in…
A: A CRM system is the transformative solution for consulting management firms to overcome…
Q: Please original work what is the most important learning and new understanding gained regarding…
A: The balanced scorecard is a strategic management instrument that offers a holistic method for…
Q: The percentage of the workplace that is a part of a union has been decreasing for decades…
A: Unions have traditionally played a significant role in protecting the rights of workers, negotiating…
Q: QUESTION 4 (20 Marks) The Employee Wellness and Employee Assistance Programme (EAP) are vital…
A: IntroductionEmployee wellness and Employee Assistance Programs (EAP) are essential tools for…
Q: Reducing Food Wastage and Cost in Sri Lanka Naval Hospital (Colombo) “Proposing a Cost-Effective…
A: Reducing food waste and costs at the Sri Lanka Naval Hospital (Colombo) can be done by improving…
Q: What are some examples of strengths that a person would have working for a church orchestra…
A: A church orchestra director should have a strong foundation in music theory and performance. This…
Q: Patel sat down with the head of public relations, the CEO, and a few Board members to weigh options.…
A: Stakeholders in the Case and Their Importance1. HFC (The Company Itself)Why Important? HFC is at the…
Q: What sort of scheduling issues might you have for a soup kitchen project besides resources and…
A: Hope this helps
Q: please use screenshot to answer question Include, from your MS Excel assignment, a copy of the…
A: The figure copied from the MS Excel assignment represents a dataset of 25 respondents, displaying…
Q: A crash plan is something we often forget to consider. What happens if my internet goes down or…
A: Approach to Solving the QuestionIdentify potential risks: losing files or being unable to access…
Q: Dubai man-made islands should reflect your analysis, synthesis, and evaluation of the case.
A:
Q: Rivalry is intense in nations with conditions of ________ supplier bases, ________ consumer demand,…
A: The question is asking about the conditions under which rivalry is intense in a nation. Rivalry here…
Q: creating a larger market for Nestle's diverse product portfolio. With a growing middle class In…
A: Nestlé SWOT AnalysisStrengthsHealth and Wellness InnovationsNestlé has proactively responded to…
Can you guys help me with this? Thank you!
Intriguing Facts: Incorporate engaging facts about the country that enhance its value and uniqueness within the global supply chain landscape. These can include cultural anecdotes, technological innovations, or historical achievements.
The country in here is India
Put the answer as bullet points, provide sources that have relevant information for the intriguing facts about India that enhance its value and uniqueness within the global supply chain landscape.

Step by step
Solved in 2 steps

- Can you guys help me with this? Thank you! Intriguing Facts: Incorporate engaging facts about the country that enhance its value and uniqueness within the global supply chain landscape. These can include cultural anecdotes, technological innovations, or historical achievements. The country in here is India Put the answer as bullet points, provide sources that have relevant information for the answer on economic factorsHi! Can you guys help me with this? Thank you! Here's the article by Julie Watson from Los Angeles Times called Indonesian fisherman sue Bumble Bee and say the canned tuna giant knew of abuse in its supply chain Please offer authentic insights on how this article connects with global supply chain management.Hi! Can you guys help me with this? Thank you! Here's the article from WSJ: Trump Delays Imposing Tariffs on Mexico, Canada at 11h Hour Please offer your authentic insights on how this article connects with global supply chain management.
- Elaborate on the need for and the benefits of an effective supply chain management (SCM) system in the context of a globalized and networked economy. In your answer, explain how organizations like Dell and Hewlett-Packard leverage supply chain networks to maintain competitiveness, and analyse the impact of globalization, technological advancements, and business environment changes on supply chain structures. Additionally, evaluate the key components of SCM, including distribution network configuration, inventory management, and cash-flow management, and discuss how these components contribute to creating an effective and integrated supply chain. (15) 3.2. Critically evaluate the requirements for effective inventory management within an organization. In your answer, discuss the importance of inventory accounting systems, the role of cost information (holding, ordering, and shortage costs), and the significance of classification systems like ABC analysis. Additionally, analyse how…Avion, Inc. Susan Dey and Bill Mifflin, procurement managers at Avion, Inc., sat across from each other and reviewed a troubling performance report concerning a key supplier, Foster Technologies. The report detailed the deteriorating performance of Foster Technologies in the areas of material quality and on-time delivery. At this point, Kevin ODonnell, another procurement manager, entered the room. Why can changes within a supply chain disrupt the normal flow of goods and services within a supply chain?Avion, Inc. Susan Dey and Bill Mifflin, procurement managers at Avion, Inc., sat across from each other and reviewed a troubling performance report concerning a key supplier, Foster Technologies. The report detailed the deteriorating performance of Foster Technologies in the areas of material quality and on-time delivery. At this point, Kevin ODonnell, another procurement manager, entered the room. What parts of the supply chain are most closely involved with the situation in this case? What is the responsibility of each part in order to maintain a smooth flow of material?
- Avion, Inc. Susan Dey and Bill Mifflin, procurement managers at Avion, Inc., sat across from each other and reviewed a troubling performance report concerning a key supplier, Foster Technologies. The report detailed the deteriorating performance of Foster Technologies in the areas of material quality and on-time delivery. At this point, Kevin ODonnell, another procurement manager, entered the room. Explain the role of performance measurement in managing supply chain activities.The Global Sourcing Wire Harness Decision Sheila Austin, a buyer at Autolink, a Detroit-based producer of subassemblies for the automotive market, has sent out requests for quotations for a wiring harness to four prospective suppliers. Only two of the four suppliers indicated an interest in quoting the business: Original Wire (Auburn Hills, MI) and Happy Lucky Assemblies (HLA) of Guangdong Province, China. The estimated demand for the harnesses is 5,000 units a month. Both suppliers will incur some costs to retool for this particular harness. The harnesses will be prepackaged in 24 12 6-inch cartons. Each packaged unit weighs approximately 10 pounds. Quote 1 The first quote received is from Original Wire. Auburn Hills is about 20 miles from Autolinks corporate headquarters, so the quote was delivered in person. When Sheila went down to the lobby, she was greeted by the sales agent and an engineering representative. After the quote was handed over, the sales agent noted that engineering would be happy to work closely with Autolink in developing the unit and would also be interested in future business that might involve finding ways to reduce costs. The sales agent also noted that they were hungry for business, as they were losing a lot of customers to companies from China. The quote included unit price, tooling, and packaging. The quoted unit price does not include shipping costs. Original Wire requires no special warehousing of inventory, and daily deliveries from its manufacturing site directly to Autolinks assembly operations are possible. Original Wire Quote: Unit price = 30 Packing costs = 0.75 per unit Tooling = 6,000 one-time fixed charge Freight cost = 5.20 per hundred pounds Quote 2 The second quote received is from Happy Lucky Assemblies of Guangdong Province, China. The supplier must pack the harnesses in a container and ship via inland transportation to the port of Shanghai in China, have the shipment transferred to a container ship, ship material to Seattle, and then have material transported inland to Detroit. The quoted unit price does not include international shipping costs, which the buyer will assume. HLA Quote: Unit price = 19.50 Shipping lead time = Eight weeks Tooling = 3,000 In addition to the suppliers quote, Sheila must consider additional costs and information before preparing a comparison of the Chinese suppliers quotation: Each monthly shipment requires three 40-foot containers. Packing costs for containerization = 2 per unit. Cost of inland transportation to port of export = 200 per container. Freight forwarders fee = 100 per shipment (letter of credit, documentation, etc.). Cost of ocean transport = 4,000 per container. This has risen significantly in recent years due to a shortage of ocean freight capacity. Marine insurance = 0.50 per 100 of shipment. U.S. port handling charges = 1,200 per container. This fee has also risen considerably this year, due to increased security. Ports have also been complaining that the charges may increase in the future. Customs duty = 5% of unit cost. Customs broker fees per shipment = 300. Transportation from Seattle to Detroit = 18.60 per hundred pounds. Need to warehouse at least four weeks of inventory in Detroit at a warehousing cost of 1.00 per cubic foot per month, to compensate for lead time uncertainty. Sheila must also figure the costs associated with committing corporate capital for holding inventory. She has spoken to some accountants, who typically use a corporate cost of capital rate of 15%. Cost of hedging currencybroker fees = 400 per shipment Additional administrative time due to international shipping = 4 hours per shipment 25 per hour (estimated) At least two five-day visits per year to travel to China to meet with supplier and provide updates on performance and shipping = 20,000 per year (estimated) The international sourcing costs must be absorbed by Sheila, as the supplier does not assume any of the additional estimated costs and invoice Sheila later, or build the costs into a revised unit price. Sheila feels that the U.S. supplier is probably less expensive, even though it quoted a higher price. Sheila also knows that this is a standard technology that is unlikely to change during the next three years, but which could be a contract that extends multiple years out. There is also a lot of hall talk amongst the engineers on her floor about next-generation automotive electronics, which will completely eliminate the need for wire harnesses, which will be replaced by electronic components that are smaller, lighter, and more reliable. She is unsure about how to calculate the total costs for each option, and she is even more unsure about how to factor these other variables into the decision. Calculate the total cost per unit of purchasing from Original Wire.The Global Sourcing Wire Harness Decision Sheila Austin, a buyer at Autolink, a Detroit-based producer of subassemblies for the automotive market, has sent out requests for quotations for a wiring harness to four prospective suppliers. Only two of the four suppliers indicated an interest in quoting the business: Original Wire (Auburn Hills, MI) and Happy Lucky Assemblies (HLA) of Guangdong Province, China. The estimated demand for the harnesses is 5,000 units a month. Both suppliers will incur some costs to retool for this particular harness. The harnesses will be prepackaged in 24 12 6-inch cartons. Each packaged unit weighs approximately 10 pounds. Quote 1 The first quote received is from Original Wire. Auburn Hills is about 20 miles from Autolinks corporate headquarters, so the quote was delivered in person. When Sheila went down to the lobby, she was greeted by the sales agent and an engineering representative. After the quote was handed over, the sales agent noted that engineering would be happy to work closely with Autolink in developing the unit and would also be interested in future business that might involve finding ways to reduce costs. The sales agent also noted that they were hungry for business, as they were losing a lot of customers to companies from China. The quote included unit price, tooling, and packaging. The quoted unit price does not include shipping costs. Original Wire requires no special warehousing of inventory, and daily deliveries from its manufacturing site directly to Autolinks assembly operations are possible. Original Wire Quote: Unit price = 30 Packing costs = 0.75 per unit Tooling = 6,000 one-time fixed charge Freight cost = 5.20 per hundred pounds Quote 2 The second quote received is from Happy Lucky Assemblies of Guangdong Province, China. The supplier must pack the harnesses in a container and ship via inland transportation to the port of Shanghai in China, have the shipment transferred to a container ship, ship material to Seattle, and then have material transported inland to Detroit. The quoted unit price does not include international shipping costs, which the buyer will assume. HLA Quote: Unit price = 19.50 Shipping lead time = Eight weeks Tooling = 3,000 In addition to the suppliers quote, Sheila must consider additional costs and information before preparing a comparison of the Chinese suppliers quotation: Each monthly shipment requires three 40-foot containers. Packing costs for containerization = 2 per unit. Cost of inland transportation to port of export = 200 per container. Freight forwarders fee = 100 per shipment (letter of credit, documentation, etc.). Cost of ocean transport = 4,000 per container. This has risen significantly in recent years due to a shortage of ocean freight capacity. Marine insurance = 0.50 per 100 of shipment. U.S. port handling charges = 1,200 per container. This fee has also risen considerably this year, due to increased security. Ports have also been complaining that the charges may increase in the future. Customs duty = 5% of unit cost. Customs broker fees per shipment = 300. Transportation from Seattle to Detroit = 18.60 per hundred pounds. Need to warehouse at least four weeks of inventory in Detroit at a warehousing cost of 1.00 per cubic foot per month, to compensate for lead time uncertainty. Sheila must also figure the costs associated with committing corporate capital for holding inventory. She has spoken to some accountants, who typically use a corporate cost of capital rate of 15%. Cost of hedging currencybroker fees = 400 per shipment Additional administrative time due to international shipping = 4 hours per shipment 25 per hour (estimated) At least two five-day visits per year to travel to China to meet with supplier and provide updates on performance and shipping = 20,000 per year (estimated) The international sourcing costs must be absorbed by Sheila, as the supplier does not assume any of the additional estimated costs and invoice Sheila later, or build the costs into a revised unit price. Sheila feels that the U.S. supplier is probably less expensive, even though it quoted a higher price. Sheila also knows that this is a standard technology that is unlikely to change during the next three years, but which could be a contract that extends multiple years out. There is also a lot of hall talk amongst the engineers on her floor about next-generation automotive electronics, which will completely eliminate the need for wire harnesses, which will be replaced by electronic components that are smaller, lighter, and more reliable. She is unsure about how to calculate the total costs for each option, and she is even more unsure about how to factor these other variables into the decision. Calculate the total cost per unit of purchasing from Happy Lucky Assemblies.
- The Global Sourcing Wire Harness Decision Sheila Austin, a buyer at Autolink, a Detroit-based producer of subassemblies for the automotive market, has sent out requests for quotations for a wiring harness to four prospective suppliers. Only two of the four suppliers indicated an interest in quoting the business: Original Wire (Auburn Hills, MI) and Happy Lucky Assemblies (HLA) of Guangdong Province, China. The estimated demand for the harnesses is 5,000 units a month. Both suppliers will incur some costs to retool for this particular harness. The harnesses will be prepackaged in 24 12 6-inch cartons. Each packaged unit weighs approximately 10 pounds. Quote 1 The first quote received is from Original Wire. Auburn Hills is about 20 miles from Autolinks corporate headquarters, so the quote was delivered in person. When Sheila went down to the lobby, she was greeted by the sales agent and an engineering representative. After the quote was handed over, the sales agent noted that engineering would be happy to work closely with Autolink in developing the unit and would also be interested in future business that might involve finding ways to reduce costs. The sales agent also noted that they were hungry for business, as they were losing a lot of customers to companies from China. The quote included unit price, tooling, and packaging. The quoted unit price does not include shipping costs. Original Wire requires no special warehousing of inventory, and daily deliveries from its manufacturing site directly to Autolinks assembly operations are possible. Original Wire Quote: Unit price = 30 Packing costs = 0.75 per unit Tooling = 6,000 one-time fixed charge Freight cost = 5.20 per hundred pounds Quote 2 The second quote received is from Happy Lucky Assemblies of Guangdong Province, China. The supplier must pack the harnesses in a container and ship via inland transportation to the port of Shanghai in China, have the shipment transferred to a container ship, ship material to Seattle, and then have material transported inland to Detroit. The quoted unit price does not include international shipping costs, which the buyer will assume. HLA Quote: Unit price = 19.50 Shipping lead time = Eight weeks Tooling = 3,000 In addition to the suppliers quote, Sheila must consider additional costs and information before preparing a comparison of the Chinese suppliers quotation: Each monthly shipment requires three 40-foot containers. Packing costs for containerization = 2 per unit. Cost of inland transportation to port of export = 200 per container. Freight forwarders fee = 100 per shipment (letter of credit, documentation, etc.). Cost of ocean transport = 4,000 per container. This has risen significantly in recent years due to a shortage of ocean freight capacity. Marine insurance = 0.50 per 100 of shipment. U.S. port handling charges = 1,200 per container. This fee has also risen considerably this year, due to increased security. Ports have also been complaining that the charges may increase in the future. Customs duty = 5% of unit cost. Customs broker fees per shipment = 300. Transportation from Seattle to Detroit = 18.60 per hundred pounds. Need to warehouse at least four weeks of inventory in Detroit at a warehousing cost of 1.00 per cubic foot per month, to compensate for lead time uncertainty. Sheila must also figure the costs associated with committing corporate capital for holding inventory. She has spoken to some accountants, who typically use a corporate cost of capital rate of 15%. Cost of hedging currencybroker fees = 400 per shipment Additional administrative time due to international shipping = 4 hours per shipment 25 per hour (estimated) At least two five-day visits per year to travel to China to meet with supplier and provide updates on performance and shipping = 20,000 per year (estimated) The international sourcing costs must be absorbed by Sheila, as the supplier does not assume any of the additional estimated costs and invoice Sheila later, or build the costs into a revised unit price. Sheila feels that the U.S. supplier is probably less expensive, even though it quoted a higher price. Sheila also knows that this is a standard technology that is unlikely to change during the next three years, but which could be a contract that extends multiple years out. There is also a lot of hall talk amongst the engineers on her floor about next-generation automotive electronics, which will completely eliminate the need for wire harnesses, which will be replaced by electronic components that are smaller, lighter, and more reliable. She is unsure about how to calculate the total costs for each option, and she is even more unsure about how to factor these other variables into the decision. Based on the total cost per unit, which supplier should Sheila recommend?The Global Sourcing Wire Harness Decision Sheila Austin, a buyer at Autolink, a Detroit-based producer of subassemblies for the automotive market, has sent out requests for quotations for a wiring harness to four prospective suppliers. Only two of the four suppliers indicated an interest in quoting the business: Original Wire (Auburn Hills, MI) and Happy Lucky Assemblies (HLA) of Guangdong Province, China. The estimated demand for the harnesses is 5,000 units a month. Both suppliers will incur some costs to retool for this particular harness. The harnesses will be prepackaged in 24 12 6-inch cartons. Each packaged unit weighs approximately 10 pounds. Quote 1 The first quote received is from Original Wire. Auburn Hills is about 20 miles from Autolinks corporate headquarters, so the quote was delivered in person. When Sheila went down to the lobby, she was greeted by the sales agent and an engineering representative. After the quote was handed over, the sales agent noted that engineering would be happy to work closely with Autolink in developing the unit and would also be interested in future business that might involve finding ways to reduce costs. The sales agent also noted that they were hungry for business, as they were losing a lot of customers to companies from China. The quote included unit price, tooling, and packaging. The quoted unit price does not include shipping costs. Original Wire requires no special warehousing of inventory, and daily deliveries from its manufacturing site directly to Autolinks assembly operations are possible. Original Wire Quote: Unit price = 30 Packing costs = 0.75 per unit Tooling = 6,000 one-time fixed charge Freight cost = 5.20 per hundred pounds Quote 2 The second quote received is from Happy Lucky Assemblies of Guangdong Province, China. The supplier must pack the harnesses in a container and ship via inland transportation to the port of Shanghai in China, have the shipment transferred to a container ship, ship material to Seattle, and then have material transported inland to Detroit. The quoted unit price does not include international shipping costs, which the buyer will assume. HLA Quote: Unit price = 19.50 Shipping lead time = Eight weeks Tooling = 3,000 In addition to the suppliers quote, Sheila must consider additional costs and information before preparing a comparison of the Chinese suppliers quotation: Each monthly shipment requires three 40-foot containers. Packing costs for containerization = 2 per unit. Cost of inland transportation to port of export = 200 per container. Freight forwarders fee = 100 per shipment (letter of credit, documentation, etc.). Cost of ocean transport = 4,000 per container. This has risen significantly in recent years due to a shortage of ocean freight capacity. Marine insurance = 0.50 per 100 of shipment. U.S. port handling charges = 1,200 per container. This fee has also risen considerably this year, due to increased security. Ports have also been complaining that the charges may increase in the future. Customs duty = 5% of unit cost. Customs broker fees per shipment = 300. Transportation from Seattle to Detroit = 18.60 per hundred pounds. Need to warehouse at least four weeks of inventory in Detroit at a warehousing cost of 1.00 per cubic foot per month, to compensate for lead time uncertainty. Sheila must also figure the costs associated with committing corporate capital for holding inventory. She has spoken to some accountants, who typically use a corporate cost of capital rate of 15%. Cost of hedging currencybroker fees = 400 per shipment Additional administrative time due to international shipping = 4 hours per shipment 25 per hour (estimated) At least two five-day visits per year to travel to China to meet with supplier and provide updates on performance and shipping = 20,000 per year (estimated) The international sourcing costs must be absorbed by Sheila, as the supplier does not assume any of the additional estimated costs and invoice Sheila later, or build the costs into a revised unit price. Sheila feels that the U.S. supplier is probably less expensive, even though it quoted a higher price. Sheila also knows that this is a standard technology that is unlikely to change during the next three years, but which could be a contract that extends multiple years out. There is also a lot of hall talk amongst the engineers on her floor about next-generation automotive electronics, which will completely eliminate the need for wire harnesses, which will be replaced by electronic components that are smaller, lighter, and more reliable. She is unsure about how to calculate the total costs for each option, and she is even more unsure about how to factor these other variables into the decision. Are there any other issues besides cost that Sheila should evaluate?The Global Sourcing Wire Harness Decision Sheila Austin, a buyer at Autolink, a Detroit-based producer of subassemblies for the automotive market, has sent out requests for quotations for a wiring harness to four prospective suppliers. Only two of the four suppliers indicated an interest in quoting the business: Original Wire (Auburn Hills, MI) and Happy Lucky Assemblies (HLA) of Guangdong Province, China. The estimated demand for the harnesses is 5,000 units a month. Both suppliers will incur some costs to retool for this particular harness. The harnesses will be prepackaged in 24 12 6-inch cartons. Each packaged unit weighs approximately 10 pounds. Quote 1 The first quote received is from Original Wire. Auburn Hills is about 20 miles from Autolinks corporate headquarters, so the quote was delivered in person. When Sheila went down to the lobby, she was greeted by the sales agent and an engineering representative. After the quote was handed over, the sales agent noted that engineering would be happy to work closely with Autolink in developing the unit and would also be interested in future business that might involve finding ways to reduce costs. The sales agent also noted that they were hungry for business, as they were losing a lot of customers to companies from China. The quote included unit price, tooling, and packaging. The quoted unit price does not include shipping costs. Original Wire requires no special warehousing of inventory, and daily deliveries from its manufacturing site directly to Autolinks assembly operations are possible. Original Wire Quote: Unit price = 30 Packing costs = 0.75 per unit Tooling = 6,000 one-time fixed charge Freight cost = 5.20 per hundred pounds Quote 2 The second quote received is from Happy Lucky Assemblies of Guangdong Province, China. The supplier must pack the harnesses in a container and ship via inland transportation to the port of Shanghai in China, have the shipment transferred to a container ship, ship material to Seattle, and then have material transported inland to Detroit. The quoted unit price does not include international shipping costs, which the buyer will assume. HLA Quote: Unit price = 19.50 Shipping lead time = Eight weeks Tooling = 3,000 In addition to the suppliers quote, Sheila must consider additional costs and information before preparing a comparison of the Chinese suppliers quotation: Each monthly shipment requires three 40-foot containers. Packing costs for containerization = 2 per unit. Cost of inland transportation to port of export = 200 per container. Freight forwarders fee = 100 per shipment (letter of credit, documentation, etc.). Cost of ocean transport = 4,000 per container. This has risen significantly in recent years due to a shortage of ocean freight capacity. Marine insurance = 0.50 per 100 of shipment. U.S. port handling charges = 1,200 per container. This fee has also risen considerably this year, due to increased security. Ports have also been complaining that the charges may increase in the future. Customs duty = 5% of unit cost. Customs broker fees per shipment = 300. Transportation from Seattle to Detroit = 18.60 per hundred pounds. Need to warehouse at least four weeks of inventory in Detroit at a warehousing cost of 1.00 per cubic foot per month, to compensate for lead time uncertainty. Sheila must also figure the costs associated with committing corporate capital for holding inventory. She has spoken to some accountants, who typically use a corporate cost of capital rate of 15%. Cost of hedging currencybroker fees = 400 per shipment Additional administrative time due to international shipping = 4 hours per shipment 25 per hour (estimated) At least two five-day visits per year to travel to China to meet with supplier and provide updates on performance and shipping = 20,000 per year (estimated) The international sourcing costs must be absorbed by Sheila, as the supplier does not assume any of the additional estimated costs and invoice Sheila later, or build the costs into a revised unit price. Sheila feels that the U.S. supplier is probably less expensive, even though it quoted a higher price. Sheila also knows that this is a standard technology that is unlikely to change during the next three years, but which could be a contract that extends multiple years out. There is also a lot of hall talk amongst the engineers on her floor about next-generation automotive electronics, which will completely eliminate the need for wire harnesses, which will be replaced by electronic components that are smaller, lighter, and more reliable. She is unsure about how to calculate the total costs for each option, and she is even more unsure about how to factor these other variables into the decision. Based on this case, do you think international purchasing is more or less complex than domestic purchasing? Why? Is it worth the additional effort?







