Question: Briefly describe whether events in this case support or refute the resource dependence, collaborative network, population ecology, and institutional perspectives. Why or why not? Plants
Briefly describe whether events in this case support or refute the resource dependence, collaborative network, population ecology, and institutional perspectives. Why or why not?


Plants for research. CASE FOR ANALYSIS Why is Cooperation So Hard? Armando Bronaldo immigrated to the United States six years ago after working as design leader for an Italian knowing that we were a start-up and trying to secure a solid "I think in the beginning Audie played his hand well, company specializing in home sound systems. Armed with a vision and 15 years of experience, he founded trying to please the head of a big company, I found myself customer base. In my eagerness to get the contract and in his own company, Technologia, as the supplier of sound translation components including the base radiator, dome saying 'Yes' and carrying out his wishes and demands," Bronaldo admits. Because we were a young company and tweeter (for high frequency), composite cone (for midrange because he is, by far, our biggest customer, I think he got into sound), the binding post (for sound translator delivery), the habit of assuming the focus would remain on his needs and ohms impedance (for conducting sound through the and his profits throughout the business relationship. But speakers). As it builds its reputation for quality and supply now, with our feet under us as a company, I think it is time to chain service and delivery, Technologia relies heavily on look again at the relationship between the two companies." continuing a solid relationship with AUD, a manufacturer Richards is satisfied with the present arrangement he of home sound systems, under the management of CEO has with Technologia and sees himself as both partner and Audie Richards. AUD was the company's first contractual mentor, as he recently explained to a colleague. "Bronaldo partner, currently accounting for 50 percent of the small came to this country and started his company and I was supplier's business. The initial agreement with AUD has willing to give him a chance, set up our logistics, and make grown and the current business relationship brings a it possible for him to grow his company. I think it's worked steady stream of orders that has enabled Bronaldo, even in out very well for AUD. And now he talks about wanting to a tough economy, to add workers over the last three years. change the way we do things. I'm suspicious about what Bronaldo loves the reliability of selling to AUD, but he he has in mind. But he needs us more than we need him. sometimes questions whether the business relationship is Look, I've got a good supplier; he gets lots of business from us; I see no reason to change it." over balanced in favor of the powerful manufacturer. Chapter 5: Interorganizati its own with AUD," Stansell points out. the whole supply response is I sell, who feedback. Part 3: Open System Design Elements "But Bradley has a long-time business relationship of "So, what we're saying here is that it is not just a discus sion about these two organizations, but a consideration chain. The cost of lost flexibility, the lack of shared information. It's costing both of them. And the to its retail customers, create unnecessary problems in pro 206 Although the relationship and dialogue at the top man- agement level is strained, mid-level managers at both com- panies do talk and are e eager to explore and implement a new vendor managed inventory (VMI) system that builds a partnership of strongiders, VMI involves sharing daily of sending purchase orders, in information about AUD's sales, so inventory sudden spikes in production requests by AUD, replaced automatically by Technologia. Mid-level managers Larry Stansell (AUD) and Victoria Santos (Technologia) reg duction planning at Technologia and unnecessary stress for ularly correspond and meet to find potential areas for close the management and workers at both companies." VMI could be a powerful tool that empowers and cooperation, information sharing, and problem "I know that Richards is suspicious, but it really is brings value to both sides," Stansell says. "Through this sys time for these two guys to take a new look at this business tem, Technologia will be able to create orders for us based relationship and how they can address issues that could on direct access to our orders and demand information be beneficial to both," Santos says. "The playing field has both short and long-range needs...." changed. Technologia is is stronger. "And then, we can work together, determining the "But the relationship has not changed and I don't most cost-efficient way to manage and deliver the inven. think it will until Bronaldo finds a way to reduce his de tory," Santos continues. We'll look at the entire supply pendence on AUD. In the meantime, flexibility, information chain to see where changes and even minor tweaks can sharing, and reconsidering a range of cost-efficient options be made to bring down costs and make the partnership important," Stansell admits, "But we have to start with strong, but there would have to be equal give and take." the discussion of whether AUD calls all the shots between "Flexibility on both sides is necessary to make this our two organizations." work," Stansell points out. This is not a competition. No "Yes, and that discussion must include logistical is body has to be right." sues," Santos says. "But getting top management on board to make this "Delivery, the disagreements about the pallets ..." work is our real challenge," Santos says. "And we have "Richards set up all of that initially-what would to start looking ahead. VMI could be a stepping-stone to work best for delivery to AUD," Santos says. But Bronaldo Jointly Managed Inventory (JMI), an even deeper collabora insists that PM rather than AM pick-ups would be better tion, allowing the increased tactical planning and the real and that a change in pallet companies, from Bradley Pack integration of Technologia and AUD's point of sale systems. aging to Eastmont Packaging, would cut costs per trip by reducing mileage. Plus Eastmont has a new custom-made allowing us to stay ahead of the curve in production plan- That will offer optimal cost sharing and real time sales data, pallet that provides greater load stabilization necessary for high-tech components. The savings for Technologia would ning as well as logistics to meet AUD's needs in real time." be shared with AUD." "So, what's our next step? Stansell asks. How can location. The new colo approximately 25 acre some additional land campus. Henderson management's prefer current industrial zon necessitate destructic beech trees. The owne was ready to side of the campus a timely manner. O the project complete running in a timely could force Oxford shutting down the fa The governor w build the new shop immediately begin officials to circumy sential, he stressed or thwarted by con as it was too imp of the region. Goy lander, director o Development, to project. However, commitment to b had been an ent! mental causes. Following his Henderson sat de organizations tha lab project and th it to proceed in a follows: we make this happen