Viro Case Summary
1) Part of Viro’s supply chain consists of sources its speed controllers to its supplier Oberfranken (tier 1 supplier). Oberfranken intended to source its voltage regulators from a factory in Malaysia however the factory was destroyed so Oberfranken had to change course and outsource its voltage regulators to Zamboni (Tier 2 supplier). Since Zamboni uses a higher voltage it needed to recalibrate the circuits so they outsourced to Yamagata Buhin (tier 3 supplier) in Japan. Yamagata Buhin needed sealant for the circuits so they outsourced to the company Consolidated Chemical (Tier 4). In order for Consolidated Chemical to produce the sealant they needed a valve so they outsourced to Haskell supplies. See Exhibit 1 for diagram of supply chain.
2) Viro Automotive used the information system i2 trade matrix as a database to search for suppliers for their specific needs and prices. I2 trade matrix was also used by its supplier Oberfranken to figure out if they could get the voltage regulators from Zamboni shipped in on time. From a functional perspective i2 trade matrix would be part of manufacturing and production in both scenarios.
The second information system used was esource which had a spend aggregation tool helping Viro reduce costs by co-ordinating purchases with other companies. Yamagata Buhin also used esource to find suppliers carrying sealant. Both uses of esource would be part of manufacturing and production from a functional perspective.
The third Information system used was edesign, which was a tool that helped Oberfranken find compatible types of voltage regulators. This would also be part of manufacturing and production from a functional perspective.
3) Adopting a supply chain management system would be the most beneficial for Viro because the system helps everyone in the supply chain such as suppliers, purchasing firms, distributors and logistics companies share information with each other about orders, production and inventory levels. This way Viro and its suppliers can make better decisions about how to organize and schedule sourcing productions and distribution. The SCM system would be most helpfully for Viro in rapidly communicating changes in production design and promptly communicating orders.
2) Viro Automotive used the information system i2 trade matrix as a database to search for suppliers for their specific needs and prices. I2 trade matrix was also used by its supplier Oberfranken to figure out if they could get the voltage regulators from Zamboni shipped in on time. From a functional perspective i2 trade matrix would be part of manufacturing and production in both scenarios.
The second information system used was esource which had a spend aggregation tool helping Viro reduce costs by co-ordinating purchases with other companies. Yamagata Buhin also used esource to find suppliers carrying sealant. Both uses of esource would be part of manufacturing and production from a functional perspective.
The third Information system used was edesign, which was a tool that helped Oberfranken find compatible types of voltage regulators. This would also be part of manufacturing and production from a functional perspective.
3) Adopting a supply chain management system would be the most beneficial for Viro because the system helps everyone in the supply chain such as suppliers, purchasing firms, distributors and logistics companies share information with each other about orders, production and inventory levels. This way Viro and its suppliers can make better decisions about how to organize and schedule sourcing productions and distribution. The SCM system would be most helpfully for Viro in rapidly communicating changes in production design and promptly communicating orders.