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- Title
ON OPTIMUM SUBCONTRACTING OR MÖBIUS REVISITED.
- Authors
Say, J.-B. Leon
- Abstract
The article presents information on the production operation of GBW Inc. It has Well Trained Aggressive Managers (WTAM) and uses many Advanced Planning Techniques (APT) in its production control. GBW Inc. illustrates that even WTAM's using APT's can give a blow to a company. In one of the divisions, things were going so well that production capacity was taxed to the limit. Because of the accident of the production foreman, the production controller contacted the purchasing manager and requested an outside purchase of microwidgets. The purchasing manager placed the order with the Ripov Corp., a usually reliable source of parts and materials. Well, with one thing and another, the point arrived where the need for that order for microwidgets became urgent, and the purchasing manager called Ripov to have things expedited. Ripov promised to get on to it. Ripov itself was a busy firm. To cut down the delivery time for this urgent order, a harried middle manager decided to forego the Ripov practice of repackaging the parts and delivering them itself. The sub-subcontractor was called and told to deliver directly to purchaser at GBW Inc.
- Subjects
GBW Inc.; PRODUCTION planning; RIPOV Corp.; SUBCONTRACTING; LETTING of contracts; INDUSTRIAL management
- Publication
Interfaces, 1982, Vol 12, Issue 2, p25
- ISSN
0092-2102
- Publication type
Article
- DOI
10.1287/inte.12.2.25