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Ashmark Corporation

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Table of Contents        

Key Facts about the Organizations        3

Problem Recognition        4

Situational Analysis        4

SWOT Analysis        4

Porter’s Five Force Analysis        4

VRIO Analysis        5

Problem Statement        5

Keys Issues        5

Actions taken by Ashmark immediately after the bankruptcy        6

Recommended Alternatives        8

Recommendation        9

Reference        12

Appendix        13

Appendix A: SWOT Analysis        13

Appendix B: Porter’s FIVE Forces        14

Appendix C: VRIO Analysis        15

Appendix D: Key Issues        16

Appendix E: Actions taken by Ashmark after bankruptcy.        18

Appendix F: Recommended Alternative        19

Appendix G: Kotter’s 8 Steps Model.        20

Appendix H: Dashboard for reference.        22

Appendix I: Scorecard for reference        23

Table of Figure

Figure 1: SWOT Analysis        13

Figure 2: Porter’s Five Forces        14

Figure 3: VIRO Analysis        15

Figure 4: Sample of Dashboard        22

Figure 5: Supplier scorecard with metrics        23

Figure 5.1: Sample of Scorecard        23


Table 1: Organization Description        3

Table 2: Pros and Cons of Vigorous management to maximize their output        6

Table 3: Pros and Cons of Analyzed and renewed supplier qualification process        7

Table 4: Pros and Cons of Sourcing new suppliers and duplicating high volume tooling for production at another source.        7

Table 5: Pros and Cons of Recruit more experienced workforce.        8

Table 6: Pros and Cons of Reduce communication gap.        8

Table 7: Pros and Cons of Standard Supplier Evaluation process.        9

Table 8: Pros and Cons of Multi-sourcing.        9

Key Facts about the Organizations

This case study talks about two suppliers Askmark and Red Star.

Ashmark (Tire I)

Red Star (Tire II)

  • Tier I automotive supplier in the industry.
  • Effective and efficient manufacturing capabilities and high technical proficiencies
  • It supplied complex, emission and safety-critical engine component to several well-known OEM clients/customers.
  • Provided high quality and high technology solutions.
  • Large global market production facility.
  • Greater market share which has resulted in accounting global sales of several billion dollars.
  • Owns the tooling, which comprises of the molds and core patterns for each specific part
  • Red Star (Tier II) is a foundry which uses a traditional casting process.
  • Established an effective operating practice.
  • Brought Changes to sinister-looking machinery in order to increase the speed of manufacturing process.
  • Work environment hot, dusty and dangerous.
  • Owns molding machines, conveyors and other tools and equipment.
  • 90 % of production is done for Ashmark.

The result of the Partnership.

In order to fulfill the requirements of Ashmark, Red Star had expanded its business for manufacturing finished part instead of marking casting. As a result of this Ashmark were able to focus more on higher-value-added machining, design, and assembly. Soon Ashmark did stop its in-house finish machine and left all the less-value-added part for Red Star to supply.

Table 1: Organization Description

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