World Class Supply Chain Management

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Date Submitted: 02/20/2011 06:50 AM

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Senator Foghorn was a powerful political figure from the South who secretly enjoyed Yankeeland far more than he could ever let anybody know. During his stay in Washington, he made some important business and political connections. As a result, when he was not reelected, he was able to secure several positions as a director for large companies and banks. This served as a sufficient excuse to keep him in the Washington area. It was not too long a time until he was able to acquire a majority interest in a plating plant in New Jersey. The plant had good facilities and some excellent customers. The former senator naturally wished to expand its operation and started to use some of his political influence in business contacts to that end. He was also able to get himself enmeshed in a very large housing project in Washington. Through his business affiliations and political contacts at local, county, state, and national levels, Mr. Foghorn maintained that he could exert powerful pressures on the architect and contractors for the housing project to buy from manufacturers of his selection. He said they were very receptive to pressure of this type. His recommendations carried much weight, said Senator Foghorn, and would be the deciding factor in the selection of suppliers on the housing project. With this in mind he approached selected manufacturers to obtain business for his plating plant and offered them in return his help in obtaining orders for the housing project. One of the companies he approached was Maryland Electric, a firm in a position to supply all the electrical equipment and all the electrical appliances that would be required for the housing project. Foghorn went to see several vice presidents of Maryland, as well as Mr. Selby (in charge of trade relations), and explained that he was in a position to influence greatly the placement of the electrical work. While he did not say so, he intimated that he could almost guarantee it. Knowing that such...