Question

In: Operations Management

"Car manufacturers GM and Chrysler are in serious need of improving their operations. Describe how these...

"Car manufacturers GM and Chrysler are in serious need of improving their operations. Describe how these two car companies could benefit from global operations and sup-ply-chain management."

Solutions

Expert Solution

The companies of GM and Chrysler could benefit themselves and improve their performance level by having their businesses outsourced by the global operations and also avail the benefits by having a communicated and well connected system of supply chain.

1. These companies could benefit themselves with the rising trend of global operations where the companies are now outsourcing their not so essential or core activity to smaller countries to focus on the big picture and better core activities. For example GM and Chrysler could benefit themselves tapping the new south Asian markets and outsource their manufacturing activity to these countries where the car's parts could be made in a less expensive and better quality amount. This would help the companies to explore new markets and also better resources at fair prices.

2. Another method for the growth and benefit of both the companies woule be a well communicated and well connected Supply chain. Make sure your supply chain has technology and integration system to connect to various parts of the country or world where the manufacturing is taking place. By doing so, one can have a proper communication analysis regarding the production, quality and demand analysis of the products produced.


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