In June 2020, the vice-president of Ginjalrein India Corporation was meeting with three members from the client organization Nierejia Care. The meeting was to discuss the deteriorating relationship between the two companies. The relationship between the two companies had been difficult for most of 2019, something which had threatened the contract between the two partners. These initial issues had been resolved in March 2020 following high-level interventions and collaborations between key members from both organizations. <br><br/>Unfortunately, the subsequent outbreak of the COVID-19 pandemic in March 2020 threatened to derail the partnership once again. Both organizations faced significant challenges as a result the pandemic; lockdowns and pandemic measures forced escalated costs, increased uncertainties on various fronts, and threatened the survival of both organizations. Ginjalrein India Corporation was required to make manufacturing operations decisions that Nierejia Care viewed as a breach of contract. The upcoming round of negotiations in June 2020, as these companies sought to find middle ground and yet support their own interests, would be critical for both parties.
In June 2020, the vice-president of Ginjalrein India Corporation was meeting with three members from the client organization Nierejia Care. The meeting was to discuss the deteriorating relationship between the two companies. The relationship between the two companies had been difficult for most of 2019, something which had threatened the contract between the two partners. These initial issues had been resolved in March 2020 following high-level interventions and collaborations between key members from both organizations. <br><br/>Unfortunately, the subsequent outbreak of the COVID-19 pandemic in March 2020 threatened to derail the partnership once again. Both organizations faced significant challenges as a result the pandemic; lockdowns and pandemic measures forced escalated costs, increased uncertainties on various fronts, and threatened the survival of both organizations. Ginjalrein India Corporation was required to make manufacturing operations decisions that Nierejia Care viewed as a breach of contract. The upcoming round of negotiations in June 2020, as these companies sought to find middle ground and yet support their own interests, would be critical for both parties.
In 2015, the assistant general manager at JSW Steel Ltd. (JSW), one of India’s largest steelmakers, faced a dilemma. Should JSW continue to transport the company’s end products to clients, or should JSW instead outsource the transportation to a third-party provider? Outsourcing would ensure timely delivery but would increase the cost. Another option was to pay an agency a premium for sharing information on the availability of Class I and Class II barge vendors. Class I barges were more reliable in terms of on-time and damage-free delivery, whereas Class II barges had a smaller capacity, were less reliable, and had a greater risk of goods being damaged, for which JSW could face both monetary and non-monetary losses. Although the Class I barges led to higher payoffs, the outsourcing option offered a fixed and relatively lower payoff. The assistant general manager’s objective was twofold: to meet the customer requirements in time and to benefit JSW financially. How should he decide which option to pursue?
Supplement to case W17363. In 2015, the assistant general manager at JSW Steel Ltd. (JSW), one of India's largest steelmakers, faced a dilemma. Should JSW continue to transport the company's end products to clients, or should JSW instead outsource the transportation to a third-party provider? Outsourcing would ensure timely delivery but would increase the cost. Another option was to pay an agency a premium for sharing information on the availability of Class I and Class II barge vendors. Class I barges were more reliable in terms of on-time and damage-free delivery, whereas Class II barges had a smaller capacity, were less reliable, and had a greater risk of goods being damaged, for which JSW could face both monetary and non-monetary losses. Although the Class I barges led to higher payoffs, the outsourcing option offered a fixed and relatively lower payoff. The assistant general manager's objective was twofold: to meet the customer requirements in time and to benefit JSW financially. How should he decide which option to pursue?
The customer relationship manager at JSW Steel Ltd., a large steel manufacturer in India, needed to analyze his available transportation and logistics options to meet an urgent order for a long-time and valued client. The manager needed to decide whether to send the shipment through the customary rail route or, instead, to use the new sea route that his company had recently developed. His dual objective was to meet the customer's requirements in time, while also delivering some financial benefit to boost his company’s quarterly results.
The customer relationship manager at JSW Steel Ltd., a large steel manufacturer in India, needed to analyze his available transportation and logistics options to meet an urgent order for a long-time and valued client. The manager needed to decide whether to send the shipment through the customary rail route or, instead, to use the new sea route that his company had recently developed. His dual objective was to meet the customer's requirements in time, while also delivering some financial benefit to boost his company's quarterly results.