Whirlpool

In: Business and Management

Submitted By billjamuel
Words 250
Pages 1
October 14, 2013
Whirlpool Corporation Global Procurement The Whirlpool Corporation is negotiating with suppliers and group members to decide the best possible solution for procurement with the present suppliers in Albertos, Burgendorf, Christiansen, and Del Rio. The problem lies with group members struggling to analyze and decipher the given data from the stated suppliers. Since the North American and European suppliers are main source of sales, their cost drivers are the most important. The business goal at hand is to achieve the lowest cost while supplying the customer with the best quality product while making a profit after the process is complete. With the given information, there were three solutions to solve the problem of having too high of cost for the products. Whirlpool needs to produce their products by paying the lowest amount for compressors, plastic injection molding, direct and indirect labor, and resin. Improving supplier productivity in the Del Rio plant would ultimately lower material cost by increasing production and negotiating a better quote for materials. Another solution would be to maximize productivity focusing one product per plant. Also, since the transportation and taxes were not discussed, the geography cost driver could be lowered by producing in the two plants that are relative to the majority of global sales but with the lowest price quotes in that region, being Del Rio and Burgendorf. Will will will will will will will will will will will will will will will will will will will will will will will will…...

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