Subject category:
Production and Operations Management
Published by:
International Institute for Management Development (IMD)
Version: 24.06.2003
Length: 14 pages
Data source: Field research
Abstract
The case describes internal and external initiatives taken by Philips Consumer Electronics Company (PCEC) to follow market trends more easily and to make product delivery more flexible. Actions in certain areas, needed to meet reliable and flexible delivery to customers, are highlighted: production planning, use of electronic data interchange with customers, shipping policies, ''customer teams'' and supplier development. Both successful and unsuccessful attempts to partner with customers are described. Results of PCEC''s efforts with its customers show how open communication and adequate systems can help make the supply chain more efficient.
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Abstract
The case describes internal and external initiatives taken by Philips Consumer Electronics Company (PCEC) to follow market trends more easily and to make product delivery more flexible. Actions in certain areas, needed to meet reliable and flexible delivery to customers, are highlighted: production planning, use of electronic data interchange with customers, shipping policies, ''customer teams'' and supplier development. Both successful and unsuccessful attempts to partner with customers are described. Results of PCEC''s efforts with its customers show how open communication and adequate systems can help make the supply chain more efficient.