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Published by: Indian Institute of Management Bangalore
Originally published in: 2019
Length: 6 pages
Data source: Published sources

Abstract

The case describes the contract selection issue by an embedded product manufacturing company towards the procurement of a component. The manufacturing manager is evaluating various procurement contracts. Currently, the company sources the component through a long-term wholesale contract combined with sourcing it from an alternate online platform. The supplier firm has suggested an options-based contract. The manufacturing manager is also planning to discuss buyback-based sourcing contract with the supplier.
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Abstract

The case describes the contract selection issue by an embedded product manufacturing company towards the procurement of a component. The manufacturing manager is evaluating various procurement contracts. Currently, the company sources the component through a long-term wholesale contract combined with sourcing it from an alternate online platform. The supplier firm has suggested an options-based contract. The manufacturing manager is also planning to discuss buyback-based sourcing contract with the supplier.

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