Supply Chain Partners: Virginia Mason and Owens & Minor (A) (Abridged) Case Solution

Services of Owens & Minor (O & M) have lean inventory for Virginia Mason (VM) as containing alpha, but the pattern of industry awards at the date of creation of perverse incentives and could not grasp the O Together & M costs, O & M and VM creates a pricing model based on activity called the total cost of the supply chain (TSCC), which calls for both companies to be more efficient and streamline distribution. After beta testing the TSCC for a year, Daniel Borunda VM and O & M Michael Stefanic think TSCC was a model of better quality and more cost-effective price, but can they convince their companies to continue investing in TSCC?
by
V.G. Narayanan,
Lisa Brem
Source: Harvard Business School
17 pages.
Date Posted: April 14, 2010. Prod #: 110063-PDF-ENG
Members of the supply chain: Virginia Mason and Owens & Minor (A) (Abridged) of the solution of the case

Supply Chain Partners: Virginia Mason and Owens & Minor (A) (Abridged) Case Solution
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