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Supply Chain Partners: Virginia Mason and Owens & Minor (A)
Narayanan, V.G.; Brem, LisaCaso HBS-109076-EContabilidad y controlVirginia Mason Medical Center (VM) hired Owens & Minor (O&M) as its alpha vendor for medical/surgical supplies in 2004. By 2005, O&M was performing JIT and LUM services for VM, but they believed the pricing model in the industry was outdated. VM and O&M partnered to create the Total Supply Chain Cost (TSCC) pricing program, an activity-based model that assigned all the cost drivers of distribution and inventory handling to VM, but also assured O&...Desde 8,20 €
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Owens & Minor, Inc. (A) (Spanish version)
Narayanan, V.G.; Brem, LisaCaso HBS-110S18Contabilidad y controlA forward-thinking manager at Owens & Minor (O&M), a large national medical and surgical distribution company, enlisted the help of both logistics and cost managers to develop an innovative pricing schedule based on the customer's activities instead of the price of the product since the existing cost-plus pricing structure made it impossible for O&M to price services appropriately. The case also explores the customer resistance to his new proposa...Desde 8,20 €
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Supply Chain Partners: Virginia Mason and Owens & Minor (B)
Narayanan, V.G.; Brem, LisaCaso HBS-109077-EContabilidad y controlThe epilogue to Supply Chain Partners: Virginia Mason and Owens & Minor (A), the B case details the outcome of the issues discussed in Case A; namely that Virginia Mason and Owens & Minor did implement the TSCC contract. Virginia Mason also kept the suture contract with O&M because the TSCC model was able to prove that O&M was the low-cost provider. Case B also gives results metrics, such as reduction in line items, orders, and days sales outstan...Desde 5,74 €
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Supply Chain Partners: Virginia Mason and Owens & Minor (A) (Abridged)
Narayanan, V.G.; Brem, LisaCaso HBS-110063-EContabilidad y controlOwens & Minor (O&M) performed lean inventory services for Virginia Mason (VM) as its alpha vendor, but the outdated industry pricing model created perverse incentives and could not capture O&M's costs. Together, O&M and VM created an activity-based pricing model called the total supply chain costs (TSCC), which incented both companies to be more efficient and to streamline their distribution activities. After beta testing the TSCC for one year, V...Desde 8,20 €