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Case Study: Michelin's supply chain strategy

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Case Study: Michelin's supply chain strategy
----Global Logistics & Supply Chain Management---- Case Study: Michelin's supply chain strategy-----

_Case Study:_

Michelin's supply chain strategy

SUBMITTED FROM

: DUNCAN HO

_CONTENT_

_INTRODUCTION P.3_

_Q1. THE MANUFACTURING STRATEGIES ADOPTED BY MICHELIN IN ORDER TO GAIN COMPETITIVE ADVANTAGE IN GLOBAL MARKET._

_P.4_

_Q.2 EVALUATE MICHELIN'S GLOBAL SUPPLY CHAIN MANAGEMENT STRATEGY (GSCM), ANY ISSUES THEY NEED TO COPING WITH AND PROVIDE RECOMMENDATIONS FOR THE FUTURE DEVELOPMENT. P.6_

_Q 3. COMPARISON AND CONTRAST THE GLOBAL OPERATIONS BETWEEN MICHELIN AND BRIDGESTONE P.9_

_CONCLUSION P.11_

_REFERENCE P.12_

_INTRODUCTION_

Michelin is the forefront of the radial tire as well as a leader on the world tire market; they occupied almost 20% market share in the world. It's realized that the trend towards globalization as more intense competitions that obtain to lower cost and improve the efficient operations. Meanwhile, Michelin have its strong vision, because they have already established a global mission since 1900s, and built 35 factories around the world between 1960 and 1975.

Michelin can be gain the competitive edge in the global market through various manufacturing strategies, refer to (2000, Geoff Buxey) indicates that it's generally classify into a several evolve levels, _Domestic, Market access, Low cost and Global ._Furthermore, in order to cope with the challenges under several competitions such as Goodyear and Bridgestone, they have setting a position as successful in the ''Quality assurance.'' Also there are comparison and contrast the global operations between Michelin and Bridgestone in the latter sector.

TABLE 1, 2006 SALES BY GEOGRAPHICAL AREAS IN MICHELIN

Source: Michelin Annual Report 2006, pp. 16

Q1. _THE MANUFACTURING STRATEGIES ADOPTED BY MICHELIN IN ORDER TO GAIN COMPETITIVE ADVANTAGE IN GLOBAL MARKET._

Michelin have 69 production sites in19 countries and their commercially available in 170 countries. This successful is not



References: Vollmann/Berry/Whybark/Jacobs( 2005), 5th Edition ' ' Manufacturing Planning and Control for Supply Chain Management ' ' McGraw-Hill/Irwin: The McGraw-Hill Companies, Inc., p.20-21 Porter, M Steermann, H (2003) "A practical look at CPFR: the Sears - Michelin experience." _Supply Chain Management Review_, July/ august 2003, pp. 46-53. Fisher, M. L. (1997). "What is the right supply chain for your product?" _Harvard Business Review_ (March-April 1997), p.105-116. Donald F. Wood Anthony P. Barone, Paul R. Murphy, Daniel L. Wardlow (2002) International Logistics 2nd Edition. AMACOM: American Management Association p.368-371 Huang, S.H., M Fortune Global 500, 2006. From the July 24, 2006 issue [online] Available at: http://money.cnn.com/magazines/fortune/global500/2006/full_list/ [Accessed 5th November 2007] Charles J Thomas A. Foster (2004) The Trends Changing the Face of Logistics Outsourcing Worldwide [online] Available at: http://www.supplychainbrain.com/archives/06.04.3pl.htm?adcode=90 [Accessed in 8th November 2007] Neil Shister (2007) Manufacturer of the Year for Global Supply Chain Excellence [online] Available at: http://www.worldtrademag.com/CDA/Articles/Cover_Story/BNP_GUID_9-5-2006_A_10000000000000095846 [Accessed in 11th November 2007]

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