Another way a firm can use outside sources is by acquiring new business models from companies who operate in the same types of industries. This is exactly what Directv did in order to be able to meet customer demands as well as sustain growth for the future. Directv partnered with CSC in order to develop this new business model. CSC is a global consulting group that helps companies develop technology-enabled solutions to help companies meet their specific goals and needs. With the help of CSC, Directv was able to introduce a new business model regarding their supply chain that would lower costs and allow Directv to install and fulfill customer orders in a shorter response time. According to Michael Bek, a senior manager in CSC's supply chain division,
"Directv's order fulfillment volume increased 300 percent with
only a single-digit personnel increase. Recovery and repair costs dropped by
more than 10 percent, and processing time for customer credits decreased by 85
percent. Directv also began redeploying refurbished hardware back into
distribution channels, saving millions of dollars in deferred purchases of new
hardware."
I forgot to post my works cited....
ReplyDeletehttp://www.csc.com/communications_media_and_entertainment/success_stories/9388-directv_grows_after_supply_chain_makeover