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Lars Hallberg is preparing for a meeting with the executive management of Sandvik Tooling, a world leader in metal cutting tools. The purpose of the meeting is to review the Coromant Recycling Concept (CRC), a global recycling program for Coromant, the leading brand of Sandvik Tooling. The case is an opportunity to evaluate a global recycling program, including its value to the company from business and environmental perspective, the match between the reverse and forward supply chain as well as decisions regarding keeping recycling in house or outsourcing it.

This note provides an introduction to supply chain management. The note examines the fundamentals of supply chain management and provides a framework for choosing the right supply chain to fit the product a company is making and the environment it is in. Using examples of companies such as P&G, Dell, Zara, Seven Eleven Japan (SEJ) the note describes how a successful supply chain strategy can provide companies with increased market share, reduced costs, and improved customer service. The note can be used as an introduction reading for courses focusing on supply chain management or in operations management courses that include a supply chain module.

This simple case enables students to examine a supply chain coordination problem in the context of a two-level supply chain with a retailer and a supplier. The case examines a retailer's decision about its optimal order quantity from his supplier and the difference between this decentralized decision and the coordinated decision achieved when the retailer and the supplier are part of the same company. The case then asks students to find the optimal supply chain contracts that will coordinate the supply chain. This case can be used to teach the newsvendor model and supply chain coordination and contracts in courses focusing on supply chain management or in operations management courses that include a supply chain module.