The Bean Boiler is Primo Caf's most basic model. The main materials used in manufacturing the Bean Boiler are aluminum and plastic. There are lots of suppliers for these materials. At present, Primo Caf's total cost for producing a Bean Boiler is $13 per unit and the product is competitively priced at $20 per unit. There are lots of other coffee makers that are very similar to the Bean Boiler on the market. Still, sales of the Bean Boiler are very stable. The company reliably sells 24,625 to 25,375 units of this product per month. The Family Man is Primo Caf's mid-market offering. Primo Caf manufactures most of the Family Man in-house, but buys the glass pot and the electronics that control the on/off function and the timer. At present, final assembly of the inhouse manufactured parts and the purchased sub-components occurs at Primo Caf's facility in Grand Rapids. Total cost for producing the Family Man is currently $32 per unit and each unit is sold for \$34.99. The Family Man's sleek, artistic design and range of unique colors helps to distinguish it from a wide selection of similar products offered by competitors. Prices for direct competitors range from $25 to $45. Sales of the Family Man range from 19,400 to 20,600 units per month. The Caffissimg is Primo Caf's high-end offering. Primo Caf produces the external metal parts of the casing for the Caffissime in-house, but buys all of the important sub-components from external suppliers. The most important sub-components for the Caffissime are the gauges that regulate the temperature and pressure of the water as it is forced through the coffee grounds. The proper working of these gauges ensure that the Caffissimg produces a perfect cup of coffee at brewing. The Caffissimo's design is a closely held company secret. The machine has won industry awards both in terms of its coffee making process and its external looks. Currently, the Caffissimo costs Ils for $600. Because of the relatively high price and unique design, demand for t to predict. Over the past year, demand has ranged from 8,500 to 11,500 units ve gained Marco's confidence and he has given you a new project. You have already helped him ment Plastic, Aluminum, Gauges, and Electronics. Now Marco wants you to review the way the opany buys more components used on Bean Boiler, Family Man, and Caffissimg. Electrical harnesses - A harness is a bundle of electrical wires that connects the circuit board inside a coffee maker with the three-prong plug that goes into an electrical outlet. Harnesses are used on all Primo Caf's products. There are many suppliers that produce electrical harnesses, but Primo needs to ensure that its suppliers meet the strict UL requirements for coffee makers, given the heat generated inside the coffee maker and the potential for liquid spills on the harness. - Internal metal components - Metal parts (brackets, fixtures, structural parts) that are inside all Primo Caf products. There are multiple metal components in each coffee maker. The components could be purchased at a very low cost from many different companies, but Primo's. specifications require a specific coating, Teflon SSX, on these components that is only used in aerospace industry (Ryan previously worked at Boeing). Due to this, these components can only be purchased from one supplier. Maureen admits that testing has proven that the coating isn't necessary (an industry standard black paint is sufficient), but yet, the specification has not changed from Ieflonss x. - Labels - Cost for labels is very low. Many companies close to Primo Cafe can produce labels to Primo's requirements. Primo's products were designed to use common labels so that quality concerns are minimal. - External metal components - Large metal pieces on the outside of Caffissimg. Many customers purchase Caffissimg due to the excellent coffee that it brews. However, customers notice the Caffissimo at retail stores due to its design. Marketing believes that this is due to the unique metal alloy and paint that it used on its exterior. These features draw the customer's eye to the product. There are just a few suppliers with the capability to produce this alloy and apply the vibrant paints used on the Caffissimg. Marketing and Engineering are working with these suppliers to develop the exterior design of the next generation Caffissimo, which should drive additional sales volume for Primo Caf. 1. Where do each of the products (electrical harnesses, internal metal components, labels and external metal components) fall in the Kralitic supplier segmentation framework? Explain your reasoning: 2. In Excel, develop a scorecard that could be used to assess potential suppliers for one of these products. Include five categories and at least two criteria in each category. Provide weights for each of the categories and sub-weights for the criteria. You do not need to complete the scorecard with the scales, scores and weighted scores. Provide a detailed explanation of why you chose each of the categories and weights that you did. 3. Discuss three specific strategies you could use to ensure quality and drive continuous improvement with suppliers of this product