Case $1-3$: Hansen Equipment

Assignment: In one page or less, please answer the following question:

If you were in the position of Kathy Saxton, what would be the best way to proceed with the wire management program $($WMP$)?$ What recommendations would you make to Scott Carpenter and why?

Kathy Saxton is a new buyer at Hansen equipment and has been put in charge of the wire management program $($WMP$).$ Kathy needs to develop a plan to consolidate the company$$s spend on wire and cables with the objective of reducing costs, shrinking inventories and improving service. Kathy will need to sell her plan to her boss and coworkers. Some possible questions to consider:

What are the most important factors to consider when deciding on a supplier?

If the company goal is to reduce costs, is the WMP an appropriate method to accomplish this objective? Should Kathy suggest a better method for reducing purchasing costs?

What considerations are most important to Hansen in supplier selection?

Why have more than one supplier?

Is any additional information required for Kathy to make her selection?