Case Study - Crash - Analysis

CASE STUDY 1 - CASE REGIONAL AIR SYSTEMS OF HUSTON (CRASH)

I. Major Facts

(State here the major facts in bullet format, as you understand them. Make your statements clear and concise for your own understanding as well as for the understanding of the other students and the instructor.)

* CRASH – Specializes in design, development and installation of air traffic control systems for airports worldwide.

* Maintains the capacity to fabricate the majority of hardware for the systems that they install.

* CRASH was recently awarded a contract to design and install a new air traffic control system for Springfield International Airport (SIP).

* SIP’s existing system is in need of serious upgrades and has failed many times over the past few months and the airport management has serious concerns for public safety.

* The Federal Aviation Administration (FAA) has recommended to SIP to acquire an up-to-date, state of the art, new system to replace the antiquated current system.

* The SIP contract with CRASH has a $200,000 penalty if the contracted new system is not completed in less than four (4) months after contract award. There is also a day for day penalty of $10,000 per day after the contracted for due (delivery) date.

* The manufacturing department manager Jon Sterling of CRASH has most of his department resources committed to other existing contracts (projects), it is in doubt of fabricating the needed hardware for the SIP contract in accordance with the contract schedule requirements.

* Jon has suggested that certain key hardware components be procured from outside vendors.

* Senior management of CRASH must decide whether or not to accept the recommendations from Jon.

II. Major Problems

(State here the major problems, as you understand it. Emphasize the present major problem. You may wish to phrase your statement in the form of a question. In a few cases, there may be more than one problem. A...