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Akron Crane Works: The Insourcing Proposal
內容大綱
In 2017, Peter Tang must prepare the economic analysis of a proposal to insource production of certain parts currently purchased by the Tower and Lattice (TAL) division of Akron Crane Works (ACW), a world leader in heavy lifting machinery. The primary motivations for the proposal were rising costs due to vendor price increases and long vendor lead times. The TAL division believed internal production would cost less and that, with increased control of production, the division could reduce lead times and even reduce working capital needs.