Platinum Box Case Study

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Platinum Box |

Session 8 module 2 |

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Dean Oxford ID# 2002247 |

3/3/2011 |

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Executive Summary

The new business venture to produce quality boxes for the U.S market has created a requirement for Platinum Box (P.Box) to source five new presses. The three bids to supply these presses from Merakuri, Jabaking and Pnutype resulted in a complex decision to be made. Each bid had its attributes over the other. Finding a way to fairly evaluate each bid was needed. A Weighted Evaluation System was chosen with a total cost of purchase to determine the pricing factor. Four factors or attributes were used to evaluate the bids they are Performance, Service, Price and Financing. By applying a weight or value to each a better evaluation of the bids can be made. Performance was perceived to be of utmost importance to the point where the success of the project depended on it. This was given a high value of 40 with the other three taking 20 each for a total of 100. The Merakuri bid scored the highest with 85 followed by Pnutype with 70 and Jabaking with 60. Jabaking is the current supplier of our presses which came about as a result of a favour from the owners. P.Box has always felt indebted to Jabaking and may feel some loyalty as a result but the inability of their current presses to meet the quality specification put forward has dismissed them as supplier this time. Also the union presence is strong at Jabaking which could result in a union push towards P.Box if they were chosen as the supplier. The new technology used by Pnutype has a high risk attached. It has a very short track record and the technology should be better proven before it can be adopted by P.Box. This leaves Merakuri with its acceptable product quality, highest production numbers, next day service and fair pricing with financing. The factory trip should be taken advantage of and provided its success then the results...