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Published by:
Stanford Business School (1994)
8 March 2004
12 pages
Data source:
Field research
This case describes a challenge facing Hewlett-Packard's (HP) Vancouver Division in 1990. Although its new inkjet printers were selling well, inventory levels worldwide were rising as sales rose. In Europe, high product variety was making inventory levels especially high. HP considered several ways to address the inventory issue: air freighting printers to Europe, developing more formalized inventory planning processes, or building a factory in Europe. The teaching purpose is to discuss inventory analysis and / or to discuss the organizational challenges companies face in implementing supply chain solutions.
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