Crank Ltd Crank has been in business since the 1920’s and have three locations in the UK. Their Head Office and main manufacturing site is in Leicester. This site makes complex tubular assemblies for defence organisations, oil and gas and transportation. There is a site at Southampton making tubular shafts for golf clubs, and a site in Glasgow manufacturing aerospace Duct assemblies up to 8″ diameter. The procurement organisation is currently decentralised. At Leicester, there is a Purchasing Manager, whereas at Southampton and Glasgow, each site has a Chief Buyer in charge of small procurement teams. There is a new Chief Executive of Crank who fervently believes that he needs a new approach for the Group in the way procurement is structured. Over the past month, he has, quietly, been obtaining some salient facts.

The more important ones are

• Each site operates as a ‘Profit Centre’ and the Site Director has to deliver a targeted Return on Capital Employed;

• There are no Group purchase contracts;

• Five major purchases account for 61% of total Group expenditure – they are all raw material including different specifications of tubing;

• There are more than 40 suppliers for the five major purchases; • No formal tendering has taken place, on any site, for more than two years;

• Capital equipment is purchased by the Group Chief Engineer;

• The company has embraced modern logistics practices including JIT and OTIF (On Time In Full);

• There is no savings plan for purchasing;

• The purchasing teams do not liaise.

The Chief Executive intends to consider an alternative purchasing structure that can deliver benefits for the Group and each operational site. On the basis of your knowledge and the salient facts above what advice could you give him?

Tasks

(c) What alternative structures could be considered?

(d) What are the potential obstacles to change?

(e) What business benefits could accrue from a changed purchasing structure?

Customers have “mental rules” that impact their attitude about a business. What can a company do to help ensure that a customer’s rule is not broken? Give two examples.

Decision Making

Part A

A tire manufacturer has three different models that it sells. The anticipated payoff is dependent on the type sold and the level of demand.

What is the EMV for the all season tires?

(Round to a whole number)

Part B  (***NEW NUMBERS from previous question***)

A tire manufacturer has three different models that it sells. The anticipated payoff is dependent on the type sold and the level of demand.

What is the EMV for the all terrain tires?

(Round to a whole number)

Part C (***NEW NUMBERS from previous question***)

A tire manufacturer has three different models that it sells. The anticipated payoff is dependent on the type sold and the level of demand.

What is the EMV for the winter tires?

(Round to a whole number)

Part D  (***NEW NUMBERS from previous question***)

A tire manufacturer has three different models that it sells. The anticipated payoff is dependent on the type sold and the level of demand.

What is the Expected Value with Perfect Information (EVwPI)

(Round to a whole number)

Part E

What is the Expected Value of Perfect Information (EVPI) if the Maximum EMV is 4,186 and the Expected Value with Perfect Information (EVwPI) is 7,395?

(Round to a whole number)

Part F

What does the Expected Value of Perfect Information (EVPI) represent?

(Choose the best answer)

Describe the risks, rewards, and responsibilities of using e-mail as a business communication tool.

what are the major elements of a negotiation strategy?

Crank Ltd Crank has been in business since the 1920’s and have three locations in the UK. Their Head Office and main manufacturing site is in Leicester. This site makes complex tubular assemblies for defence organisations, oil and gas and transportation. There is a site at Southampton making tubular shafts for golf clubs, and a site in Glasgow manufacturing aerospace Duct assemblies up to 8″ diameter. The procurement organisation is currently decentralised. At Leicester, there is a Purchasing Manager, whereas at Southampton and Glasgow, each site has a Chief Buyer in charge of small procurement teams. There is a new Chief Executive of Crank who fervently believes that he needs a new approach for the Group in the way procurement is structured. Over the past month, he has, quietly, been obtaining some salient facts.

The more important ones are

• Each site operates as a ‘Profit Centre’ and the Site Director has to deliver a targeted Return on Capital Employed;

• There are no Group purchase contracts;

• Five major purchases account for 61% of total Group expenditure – they are all raw material including different specifications of tubing;

• There are more than 40 suppliers for the five major purchases; • No formal tendering has taken place, on any site, for more than two years;

• Capital equipment is purchased by the Group Chief Engineer;

• The company has embraced modern logistics practices including JIT and OTIF (On Time In Full);

• There is no savings plan for purchasing;

• The purchasing teams do not liaise.

The Chief Executive intends to consider an alternative purchasing structure that can deliver benefits for the Group and each operational site. On the basis of your knowledge and the salient facts above what advice could you give him?

Tasks

(c) What alternative structures could be considered?

(d) What are the potential obstacles to change?

(e) What business benefits could accrue from a changed purchasing structure?

Courage 1. List and describe three risks that I can take to improve my project or team’s performance. 2. List and describe three risks that I can take to improve my career. 3. List and describe the barriers that prevent you from taking career or team risks.

Alignment of time and talent 1. What resources can I provide to the organization that I work or hope to work? List and describe the knowledge, skills, and abilities that you can offer a current or perspective employer. 2. What types of organizations do I feel comfortable associating with and volunteering my time? List and give a brief description of at least two organizations, clubs, social causes, etc. 3. List and describe the barriers that prevent you from volunteering in organizations.

Consultative leadership 1. Do you engage your team or co-worker’s in the decision-making process? 2. List and describe three things that I can do to improve my listening skills? 3. What areas or situation have I been able to effectively advise or counsel a co-worker? How was my advice received?

Knowledge, skill, experience

Instructions: answer the questions below based on your experience in one of the following situations: (1)

a team lead, (2) a manager or supervisor, or (3) a member of a team.

1.     What knowledge, skills, and experience can I acquire that benefit my project team and customers

(internal or external customers)?

2.     What knowledge, skills, or experiences would make my job more rewarding in terms of job

satisfaction or job promotion?

3.     What steps can I take to acquire the needed knowledge, skills, or experience?

Immediately (30 days)                                              Longer-range ( 6 months to 1 year)

1.

2.

3.

4.

Trust-based relationships Instructions: answer the questions below based on your perspective from Part Two. 1. What is the status of my relationships with key project team members and customers? List one key project team member and one customer (internal or external customer) and discuss the nature and state of the relationships. 2. Which relationships cause me the most pain (friction, confrontation, dishonesty, etc.)? List the relationships and pain points. 3. Which specific actions can I take to turn the troubled relationships into positive, healthy relationships?

Explain the Role of the safety professional in all phases of systems designs.

Fact Scenario:

                   Quik Results, Inc.(QRI), a Michigan corporation, makes and sells Power Up!, a super energy boosting, carbonated beverage. Power Up! is made in Michigan, but shipped to stores all across the Midwest and East Coast. Power Up! is made by QRI, and delivered on QRI. trucks, by QRI employees. QRI has in-house accounting and marketing staff.

                  Steve, a driver for QRI, leaves the truck's motor running in neutral and carelessly forgets to set the parking brake while he makes a delivery. The truck rolls and crashes into a nearby gas station pump, igniting a fire that spreads quickly to a construction site a block away. A burned wall collapses onto a crane, which falls on, and injures, a bystander, Flo. What must Flo show to recover damages from Steve? What are QRI’s potential liabilities?

Sam’s small bread company has been operating out of his kitchen and selling at local farmer’s markets. Recently he was informed by a government official his bread does not have the proper _____________ because there are no nutritional facts on the bag.

Select one:

Labelling

Branding

Packaging

Description

Compliance

Your company has traditionally advertised on radio, but you would like to expand your promotions to include more social media and participation in trade shows. What is the most serious concern when contracting multiple different agencies to develop these different campaigns?

Select one:

Conflicts of interest arising.

Out of control costs.

A lack of target-focused marketing.

A mixed and inconsistent message to consumers.

The design of marketing communications program.

Sally works for a car dealership. Her job is to survey customers to see how much they value offerings such as warranties or guarantees. This will help her in designing new ______________ in the future.

Select one:

Brochures

Training processes

Vehicles

Actual products

Augmented products

Fact Scenario:

                   Quik Results, Inc.(QRI), a Michigan corporation, makes and sells Power Up!, a super energy boosting, carbonated beverage. Power Up! is made in Michigan, but shipped to stores all across the Midwest and East Coast. Power Up! is made by QRI, and delivered on QRI. trucks, by QRI employees. QRI has in-house accounting and marketing staff.

                  QRI is concerned about preventing competitors from imitating the distinctive Power Up! logo and thereby misleading customers. How can QRI protect the logo? What would QRI do if someone imitated or straight copied the Power Up! logo

.