Cbseignou.com

Mehta Solutions provides Mba assignments , mba books ,blis , projects

FLEXTRONICS GLOBAL INFORMATION SYSTEM (Code: c105)

New
FLEXTRONICS GLOBAL INFORMATION SYSTEM
zoom Zoom image

 

Read the case given below and answer the questions given at the end.

CASE - 1

 

FLEXTRONICS GLOBAL INFORMATION SYSTEM


You may not have heard of Flextronics, but you probably use something they have made every day. Singapore-based Flextronics is a contract manufacturer that makes the innards of technology products, such as cell phones, PCs and Internet hardware for household names, such as Cisco, Dell computers and Ericsson mobile phones. In the fast paced hyper-competitive technology industry, profit margins for electronic manufacturing services, such as Flextronics are razor thin, amounting to no more than 3-5 per cent. Yet, during the past seven years, Flextronics has been able to skyrocket from a tiny company into a multi-billion dollar global organization. How did Flextronics do it?


The answer lies in a skilful, supply chain management information system (MIS). Flextronics continually collects and analyses its supply chain information to standardize and coordinate the work of its factories around the globe. The company has built a lowcost manufacturing network in China, Singapore and Mexico and other locations around the world. It has built facilities, such as campuses with water, sewer, computer lines and buildings for suppliers, close to its factories. The campuses are standardized so that they look and perform the same way, regardless of their location. Flextronics thus offers inexpensive manufacturing facilities that are not too far away from its European and US clients.


Flextronics uses the same ERP software in the same configuration in all its factories so that it can standardize and coordinate their work more precisely. The same business processes for doing manufacturing work are thus replicated worldwide. Employees who access the Flextronics global Information system can see data pulled together from practically every Flextronics factory on four continents. A part buyer in Mexico can see what prices a Singapore part buyer is obtaining for a specific component and use that information to get a price break from suppliers. When someone uses the system to place an order, the system displays a pop-up window that might show where he or she could get a better price on the same item and whether the component could be obtained from a Flextronics factory that is overstocked on that item. Flextronics 2000 design engineers can work jointly on design specifications from different locations using OneSpace Web-based collaboration software.


Armed with such powerful software and well-designed business processes, Flextronics is now assuming the responsibility for an even larger portion of its client's supply chain. About 85 to 90 per cent of its revenues come from its traditional outsourced manufacturing work where in the company makes a part of a product for a client and then ships it to the client for assembly into the finished product. What Flextronics' new strategy will do is to enable customers, such as Cisco systems, to entrust the manufacturing process for the entire products to Flextronics. Cisco will focus on product design and marketing and Flextronics will do the rest. Flextronics can also use its end-to-end manufacturing capabilities for other clients as well. The Swedish cell phone company recently contracted to handover its entire manufacturing process to Flextronics.


Flextronics would like to takeover design work for customers as well. If the work is a Web-based product design system that extracts individual components of information from a repository of product data and delivers it to designers so that they can see each potential component's quality, availability and suppliers' history, Flextronics then will be able to use the information for the bulk purchases of materials so that they can charge less for manufacturing, and hopefully, win more clients.


Questions:


1. Identify the various information systems implemented by Flextronics.
2. How has Flextronics been able to skyrocket from a tiny company into a multi-billion dollar global operation in the last seven years?
3. How does Flextronics benefit from its supply chain information system to standardize and coordinate the work of its factories around the globe?

Old price: 800.00 Rs
Price: 500.00 Rs
Delivery time: Email attachment
Weight: 0.0001 Kg
Quantity: 
You are here: Home Case Studies FLEXTRONICS GLOBAL INFORMATION SYSTEM