When RadioShack, a US based electronics retail chain, changed its fixture design from wood based to metal based fixtures it awarded the business to an Asian vendor to achieve significant cost savings. To manage risks associated of a long-term relationship with a relatively unknown non-US vendor, a cross functional team performed an FMEA. An outsourcing risk assessment chart was used to collect the FMEA data and risk categories were identified as cost, lead time and quality. A detailed list of po...
BPIR Categories2.4.2 Create and implement outsourcing strategy
13.1 Develop and manage supplier/customer partnerships
5.2.1 Select suppliers/outsourced contractors
14.3.2 Implement an improvement approach/method/technique