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Published by: International Institute for Management Development (IMD)
Originally published in: 2004
Version: 21.07.2005

Abstract

In June 2001, Jean-Francois Hilico, Industrial Project Manager at Renault Trucks, had to recommend to his board a development strategy for the company''s truck remanufacturing business. Remanufacturing consisted of rebuilding used parts to bring them to a level of performance just beneath that of new parts, at a much lower cost. After having analysed the pros and cons of three investment options, participants are asked to make a recommendation. This case invites participants to take into account investment criteria other than just profitability, such as environmental protection, safety and the competitive implications of offering remanufactured parts.
Location:
Industry:
Size:
EUR13.1 billion
Other setting(s):
June 2001

About

Abstract

In June 2001, Jean-Francois Hilico, Industrial Project Manager at Renault Trucks, had to recommend to his board a development strategy for the company''s truck remanufacturing business. Remanufacturing consisted of rebuilding used parts to bring them to a level of performance just beneath that of new parts, at a much lower cost. After having analysed the pros and cons of three investment options, participants are asked to make a recommendation. This case invites participants to take into account investment criteria other than just profitability, such as environmental protection, safety and the competitive implications of offering remanufactured parts.

Settings

Location:
Industry:
Size:
EUR13.1 billion
Other setting(s):
June 2001

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