System Operations Management: Operational Performance
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Based on the attachment explain your rationale for selecting subcontractor A or subcontractor B. How does the selected subcontractor optimize operational performance?
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Solution Summary
This solution provides an explanation of how a subcontractor can optimize operational performance in 550 words.
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Hello. I provide the following to assist you.
Based on the attachment, I would select subcontractor B. Subcontractor B optimize operational performance in a number of ways.
First, subcontractor B can begin work 10 days faster than subcontractor A. Further, although subcontractor be is $6.00 more per unit, the rapidness of getting the work done is essential. Furthermore, the first quarter is to begin in 60 days. Production time requires 5 days and there is a transit delivery time of 3 days. Therefore, if you go with subcontractor A who can begin production in 45 days, that means that you are left with merely a week to ensure everything goes smoothly. Considering all environmental factors and factors that could be caused due to manufacturing equipment that could fail, or a host of all other possibilities, this would leave you with just 7 days. However, by choosing subcontractor ...
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