Shell Case Fabricators (SCF) designs and builds shell casings that enclose electronic products such as calculators, cell
Question:
Shell Case Fabricators (SCF) designs and builds shell casings that enclose electronic products such as calculators, cell phones, modems. Typically the cases are plastic or plastic compounds. SCF has six different production lines that cover different types of product. For example, the largest high volume production line for modems can produce three different colors and two models (vertical and flat). Air Connection Links (ACL) is the biggest customer that buys product from this line. This high output line now runs at full capacity on an eight-hour shift. The other five lines run smaller quantities and tend to meet the needs of other specialty products manufactured by different smaller firms.
Ninety-five percent of SCF’s product casings line is designed by the original hardware manufacturer. Getting a casing to the production stage requires a great deal of collaboration and interaction between the original hardware and case design manufacturer (e.g., ACL) and SCF’s shell design engineers and production department. The latest new product of ACL is a modem designed to be used for monitoring water activity in bays, e.g., ship traffic, pollution, floating debris. Because of the product’s high functionality and low cost, potential demand for the new product is out of sight. It seems every country with small bays used for shipping wants enough underwater modems to cover their respective bays.
Should SCF accept or reject ACL’s request? Which option would you select? What risks are involved?
Chemistry The Central Science
ISBN: 978-0321696724
12th edition
Authors: Theodore Brown, Eugene LeMay, Bruce Bursten, Catherine Murphy, Patrick Woodward