Obermeyer

MEMO

TO: Wally Obermeyer

FROM: Min,Yunwei

DATE: Sept. 9. 2010

SUBJECT: Sport Obermeyer, Ltd. Case Study

In the next coming year, just by reforming the current supply chain, what can we get? We can take dyeing for example, if we set a dyeing center in United States of America, what profit we can get from this unnoticeable changing? First of all, as we put all dyeing manufacture back to US from Hong Kong or China, we can lower our supply chains variety, which means we have more flexible system. For example, we can decide the color of our skiwear until the last moment, which highly reduced our risk. Secondly, by do this, we can lower the variety of the production in China since dyeing cause a big portion of variety in the whole procedure. And then we can do more things to standardize the step which finished in China. The third one is according to the U.S. law, the unfinished products have a higher quota than finished products which means we can import more wear from China with less cost. And last but not least, during the power transmission period, by put a big problem, to deal with the high variety risk pool which we take back to US, in front of all employee, we can make more people hang together to overcome it and it improves the collaboration level of the whole company. And this is just a little portion of our whole picture.

Thank you for your prompt attention on this matter.

Enclosure

Executive summary

In this year, as our main competitors attached more fiercely in our market and the margin profit keeping drop, the necessary of reforming our supply chain become more and more urgent.

Use to be the leader in our own business, nowadays, we are suffered for all of our shortcomings which are most related to our supply chain management, such as high variety in meaningless color and style option which cause a difficult to manage the our flowchart of our procedure, the longer than two year’s planning and production cycle which means we are...