Technix BV is a medium-sized enterprise, trading house (van Weele 2010). The company involves in trading of good quality technical parts to building and offshore industries (van Weele 2010). Technix gets its products from manufacturers which located worldwide (van Weele 2010). Instead of Technix arrange the delivery, the manufacturers on behalf of Technix arranged the delivery of goods to Technix’s customers (van Weele 2010). Technix has established since 1993 with largely known of good reputation as a trustworthy business partner (van Weele 2010). Since then, Technix had businesses with many customers and most of them are in long term business relationship with Technix (van Weele 2010).
NedWorks BV is one of the Technix’s clients and had a long term business relationship with Technix (van Weele 2010). NedWorks had business relationship with Technix for more than ten years (van Weele 2010). NedWorks BV is a well-known dredging organisation, operating worldwide (van Weele 2010). NedWorks mainly procured cutters, adapters and cutter teeth from Technix for NedWorks’ dredging machines (van Weele 2010).
NedWorks purchased the parts from Technix to perform the dredging works (van Weele 2010). Cutter was used to take in the soil/rock and break into pieces and shove by pipelines (van Weele 2010). The adapters were soldered to the arms/wings of the cutter (van Weele 2010). These work as a setting for interchangeable teeth (van Weele 2010).
In the past, there were not much big issues between Technix and NedWorks (van Weele 2010). However, there are two major incidents on the usability of the parts sent by Technix (van Weele 2010). Both incidents have concluded that the adapters and cutter teeth were of inferior quality which did not meet the requirement from NedWorks (van Weele 2010). One was happened in 1998 when the cutter was used and broke in Portsmouth (van Weele 2010). It was the first batch of delivery from Technix (van Weele 2010). The
References: Daniel, J. D., Radebaugh, L. H. & Sullivan, D. P. 2011, International Business Environments and Operations, 13th edn, Pearson Education Inc., Upper Saddle River, New Jersey, pp. 690-697. International Organization for Standardization 2013, ISO 9000 Quality management, International Organization for Standardization, http://www.iso.org/iso/home/standards/management-standards/iso_9000.htm, accessed 20 April 2013. The Law Society of Singapore 2013, Arbitration Scheme, The Law Society of Singapore, http://www.lawsociety.org.sg/forMembers/ResourceCentre/ArbitrationScheme.aspx, accessed 14 April 2013. van Weele, A. J. 2010, Purchasing and Supply Chain Management, 5th edn, Cengage Learning EMEA, Andover, UK.