Kuiper Leda Supply Chain Defense
Kuiper Leda is an electronics component manufacturer that produces Electronic Control Units (ECU’s) and Radio Frequency Identification Devices (RFID’s). Currently their major customers are car manufacturers and original equipment manufacturers (OEM’s), and their annual revenue is approximately $400 million. Kuiper Leda is known for the quality of their product and their quick delivery times despite their relatively small size compared to their competitors, which has given them loyal customers and good suppliers.
The company needs an effective and efficient supply chain management system that will plan their inventory management starting with the raw materials all the way to the finished product. “The idea is to apply a total systems approach to managing the entire flow of information, materials, and services from raw materials suppliers through factories and warehouses to the end customer.” (Chase, Jacobs, & Aquilano, 2006, p. 406) To do this they will need to deal with their suppliers to obtain the raw material, keep track of each stage of their production schedule, and deliver their product on time to their customers, all the while keeping their costs down. This will allow them to keep a competitive advantage and continue to grow in the industry.
Kuiper Leda Supply Chain Defense
Currently Kuiper Leda can manufacture 1,250 units of ECU’s and 250 units of RFID’s per day. Due to their own rapidly growing business, one of the Kuiper Leda’s customers, Midland Motors, has placed an order for 250,000 ECU’s and 35,000 RFID’s per year which will exceed the company’s production capacity when added to the other orders they must fill. Their current setup will not support the manufacture of an order t ...