Bergerac Systems: The Challenge of Backward Integration Harvard Case Solution & Analysis

Bergerac Systems is a small, fast growing maker of diagnostic instruments used in veterinary practices. The business introduced the OmniVue chemistry analyzer, which enables veterinarians to run a wide variety of blood and blood chemistry tests on their animal patients in the office rather than sending them to external laboratories.

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OmniVue is simple to manage and creates exceptionally dependable effects for holding the blood specimen during the investigation using a proprietary cartridge. Income of these single-use cartridges are an important element of the revenue stream for the product line. The business relies on two outside suppliers for the plastic parts of the cartridges. About incompatible delivery is concerned from the cartridge providers which have resulted in shortages and stock-outs. To address the supply chain issues, the CEO contemplates obtaining one of the suppliers, GenieTech, while the director of planning proposes building the capacities that are required within the business's existing production facilities. Students must perform a quantitative and qualitative analysis of a "make vs. buy" decision while considering expected output capacities, market forecasts, and the company's overall sourcing strategy.

PUBLICATION DATE: December 14, 2011 PRODUCT #: 4381-HCB-ENG

This is just an excerpt. This case is about TECHNOLOGY & OPERATIONS

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