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Nypro Presentation

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Nypro Presentation
Managing Innovation at Nypro, Inc. (A)
Dongyuan Zhu
Xingxing Liu
Ye Wang

Agenda
Company overview
 Perceived management problems/issues
 Alternatives
 Recommendation
 Discussion questions
 Reference


2

Company Overview




The fifth largest custom injection molder in the world, and the largest non-automotive molder.
Three divisions:






Strategically aligned with customers base




Healthcare
Electronics/communications
Customer/industrial
Building plants near customers in vital markets

Striving for uniform world-class technology at all plants.


Highly decentralized organization

3

Perceived management problems/issues






Company facing a shifting basis of competition which was speed and variety in the future.
Lankton perceived a new market for Nypro, and was considering how and where to disseminate the revolutionary molding machine, NovaPlast, across the company.
Company having the challenge of being innovative while keeping consistent across plants.

4

The alternatives of adopting NovaPlast
Alternative 1: building a new plant


Strengths







Most popular with senior management
Engineering efficiency
Centralizing development would facilitate personal oversight of project Being done rather quickly

Weaknesses




Transportation costs
Against current philosophy of being decentralized
No successful experience
5

The alternatives of adopting NovaPlast
Alternative2: scatter across the network


Strengths







Close-to-customer manufacturing particularly important in the market segment
Allows for the pontential to capture more market share
Puts more engineers and marketers to work on exploiting the
NovaPlast
Better technology would emerge

Weaknesses



Against economy of scale philosophy
Unproven technology and no clear indication of its feasibility
6

The alternatives of adopting NovaPlast
Alternative3: apply internal market effect, focus on making it successful at a single plant.


Strengths
 Could

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