Celluclear

CelluClear Wireless is a fairly large company that currently operates in the United States. CelluClear Wireless manufactures cell phones and is currently running two production lines because they are producing an Alpha model along with a Beta model that has more features than the older version. Right now CelluClear has a decision to make in relation to accepting a large order from Big Box. Big Box is also a cell phone company that operates in Mexico and has placed an order of 100,000 phones from CelluClear. Now with having such a large order CelluClear has to decide if they want to outsource the production order to an original equipment manufacturer or OEM. This company produces the same exact model as CelluClear and is located in China. There are many factors that CelluClear has to consider in making a decision to outsource. These factors include making sure the factor and equipment is used to its full potential, opportunity costs, the relationship between stakeholders or investors, the quality of the product, and ensuring the product is delivered on time.

Identification of Issues within the Organization

To begin, CelluClear has started to create new products and models in order to stay competitive with other companies, but they still have experienced a slight decline in stock prices. One issue that the company has is to continue to create and improve its services to keep the company competitive along with keeping their employees satisfied along with the investors. In order to improve in this area CelluClear needs to align with other companies that are in same area of business such as satellite providers. Being able to team with a more advanced satellite provider will give the company the edge that it needs because it will be able to stay up with advancements in technology. Whether CelluClear decides to outsource its production or not the company needs to ensure that it is using all of its two production lines and not using both of them can turn out to be...