Specifications: Do We Really Understand What They Mean Case Solution And Analysis, HBR Case Study Solution & Analysis of Harvard Case Studies

Development work requires frequent contact between original equipment manufacturers specifications (OEM) and suppliers. However, the suppliers do not always meet the specifications, and sometimes the end product does not correspond to what was intended. Then the OEM and suppliers typically blame each other for failures. To understand the causes of this problem, in-depth interviews were conducted in six auto supplier firms and one OEM, and surveys were sent to 400 global suppliers. The authors found that the providers can be divided into four categories - Partner, Mature, child and suppliers of goods - according to the type and amount of information needed from the OEM to meet the intent of the latter. Supplier categories are defined, in particular, by the level of technology involved, the relationship between OEM and suppliers, and the supplier is experienced with the product type. In general, the larger partner or supplier meets elderly type, the greater the need for a functional description, the more the child is suitable supplier or product type, the greater the need for drawings and quantitative information. Using the model is illustrated for the case to contact the manufacturer for the car armrest. Understanding of the different needs and concerns of providers to meet those needs with the appropriate specifications will go a long way to ensure the quality of products. "Hide
by Rajesh Nellore, Klas Soderquist, Gary Siddall, Jaideep Motwani Source: Business Horizons 7 pages. Publication Date: November 15, 1999. Prod. #: BH041-PDF-ENG