Running head: KUIPER LEDA SUPPLY CHAIN DEFENSE
Kuiper Leda Supply Chain Defense
University of Phoenix
Kuiper Leda Supply Chain Defense
"Kuiper Leda Inc. is in the production of Electronic Control Units (ECUs) and sensors for the automotive industry. They have been in business for 10 years and have grown into international markets, because within the past few months they have started to manufacture RFIDs, which are radio frequency identification devices. Kuiper Leda has worked with small companies in the past and has a daily capacity of 1250 units for ECUs and 250 units of RFIDs. Although they are smaller than their competitors, they are known for their quality and delivery responsiveness" (Managing Inventory in a Supply Chain Simulation). Kuiper's competitors have an edge because they have a very strong supplier base and repeat orders from its customers. The demand from Midland Motors of 250,000 ECUs and 35,000 RFIDs could put Kuiper Leda in the same league as their larger competitors, however, they will need to manufacture and supply more than its regular orders, but currently their capacity is insufficient to handle the increased demand. This is a great opportunity for Kuiper Leda. They need to defend its current supply chain practices to Midland Motors so that Midland believes that Kuiper has the ability to effectively manage the growing needs of Midland.
Kuiper Leda Supply Chain Defense
As noted, Kuiper Leda is known for their quality and delivery responsiveness. They have a very good reputation with their customers of meeting their needs, and although the demand from Midland Motors is considerably more, Kuiper Leda's process has been working quite effectively. Their plan includes preparing a business plan and then production plan and then creating a Master Production Schedule (MPS). The MPS handles logistics such as distribution warehouse, forecasts and orders. The plan also includes a Materials Requirement Plan, capacity requirement...