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Harley Case Study

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by

Bruce Rippe

on 29 November 2012

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Transcript of Harley Case Study

By: Adam Dietz, Mark Korosi, Conor O'Brien Background Information Choosing a Supplier Problems Final Results Founded in 1903 by William Harley and Arthur Davidson.
Headquartered in Milwaukee Wisconsin
1996 purchasing began to develop a corporate wide supply management strategy (SMS)
SMS's goal was "to provide the right product, at the right time, with the best quality, and at the lowest price."
They had a high degree of dissatisfaction with existing systems and they found that it didn't work well with SMS. Different sites for particular purchasing groups
Purchasing group with engineering, manufacturing, and a centralized purchasing planning and control group
Site independence led to different methods for handling procurement Case does not provide the final selection
Ends the story with three different provider choices
Gives company’s impressions of the three different providers Harley Davidson Case Study Choosing a Supplier and Proposal Supplier:
Requested a quote (RFQ)
Provider conference
Two way accountability Proposal:
8 Different proposals to choose from
Suppliers' self rating
Narrowing down choices Provider 1 Addressed each of the SiL’K team’s issues
93.4% self rating
Bought Harley-Davidson gear for their proposal team
Did not provide “web-enablement” directly
Comfortable with change management Provider 2 Major ERP supplier
More expensive than competitors
Highest self-rating (98.7%)
Very professional team
Came across to SiL’K team as consultants Provider 3 Another major ERP provider
Initial presentation was a “disaster”
Self rating of 96.8%
Was given extra time to make case Decision Time Finding a balance between functionality and successful implementation More focused on short-term transactions rather than long-term supplier relationships
Concerns with unmet demand and a wariness of change that might impact production
Company’s “natural proclivity to continuously improve, rather than to transform business functions”
Survey indicating that 85% of time being spent on reviewing inventory expediting and data entry Provider 1 Impressions Very attentive to what they wanted.
Good cultural diversity.
Passionate and enthusiastic about product.
Flexible to make product fit what Harley Davidson wanted. Provider 2 Impressions Very attentive to what they wanted.
Good cultural diversity.
Passionate and enthusiastic about product.
Flexible to make product fit what Harley Davidson wanted. Provider 3 Impressions Good product but questionable personality match.
Worked with Harley Davidson on another project.
A lot of uncertainty because of the potential benefits of their product. Implied Results From the text, author makes it sound as if Provider 1 is the best choice for Harley Davidson to select.
Full transcript