Variables and Formulas

Supply Chain Management $($SCM$)$: The process of overseeing and coordinating activities involved in producing and delivering a product or service.

Sport Obermeyer: A company specializing in the design and manufacture of ski apparel.

Challenges: Factors that contribute to the complexity and difficulty of managing SCM$.$

Concepts

Challenges in Supply Chain Management

Sport Obermeyer encounters various SCM challenges due to the characteristics of its products and the industry it operates in$.$

Demand

Sport Obermeyer$$s product demand is largely seasonal. The demand for Sport Obermeyer's products peaks during the winter season, leading to a significant surge in a short period. This seasonality makes it difficult to accurately forecast demand, plan production, and manage inventory.

Sourcing methods

Sport Obermeyer procures materials and manufactures its products in multiple countries. This global sourcing adds complexity to the supply chain, with factors such as geopolitical risks, logistics$,$ and communication affecting its efficiency and effectiveness.

Customization of products

The company offers customized products, complicating the production process. This customization necessitates a high degree of coordination throughout the supply chain, from design to delivery.

Product Lifecycle

The ski apparel industry features a short product lifecycle, with new designs introduced each season. This rapid turnover challenges the supply chain to manage and ensure timely delivery of new products.

Quality Control

To maintain customer satisfaction and safety, Sport Obermeyer's products must adhere to high$-$quality standards. Quality control is a crucial part of the supply chain, involving rigorous testing and inspection of materials and products.

Managing the supply chain at Sport Obermeyer is complex due to several factors, including seasonal demand, global sourcing, product customization, short product lifecycle, and stringent quality control. These challenges necessitate meticulous coordination, planning, and communication to ensure an efficient and effective supply chain.