Case: Insourcing/Outsourcing — The FlexCon Piston Decision

  1. Perform a quantitative insourcing/outsourcing analysis using the data provided. What qualitative issues might affect your final decision? Identify any costs or issues that are not part of your analysis that might affect your decision. What is your recommendation regarding what FlexCon should do with its family of pistons? Support your arguments with evidence gathered during your analysis.

  1. Assume your group decided to outsource the pistons to the external supplier. Identify a plan that would enable FlexCon to carry out this recommendation. Be as thorough as possible.

  1. Discuss the primary reasons when and why insourcing/outsourcing decisions occur.

  1. A major challenge with an insourcing/outsourcing analysis involves gathering reliable data. Discuss the various groups that should be involved when conducting an insourcing/outsourcing analysis such as the one presented in this case. What information can each of these groups provide?

  1. Discuss the major issues associated with an insourcing/outsourcing analysis and decision.

Public Answer

CZ2LUN The First Answerer