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Product cover image for Medicom: Building A Resilient Supply Chain

Medicom: Building A Resilient Supply Chain

P. Fraser Johnson; Ramasastry Chandrasekhar

Product #:9B21D011
Supplier:Ivey
Discipline:Operations Management, Strategy
Setting:Canada, 2021
Details:Case (PDF) • 11 pages • 2021-08-23 (Rev: 2021-06-22)

Subjects:

Supply chain managementRisk managementCapacity planningProcess managementBusiness managementOperations and supply chain managementStrategy

Industries:

Healthcare sector

Geography:

North AmericaCanada
Your Price:$9.71

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Guillaume Laverdure, chief operating officer at Medicom Group (Medicom), was evaluating a potential investment in a new facility that would manufacture melt-blown polypropylene (melt-blown PP), a key raw material for surgical and respirator masks. It was February 2021, and the previous 12 months had been eventful for the company, one of the largest suppliers of medical masks in the world, as the COVID-19 pandemic had led to a staggering increase in demand for its products. Raw material supply shortages had been a major problem during 2020, and Laverdure was exploring opportunities that would make the company’s supply chain more resilient. Laverdure was scheduled to meet with Medicom’s chief executive officer the following week to review alternatives and to make a decision regarding melt-blown PP supply.

Learning Objectives

This case can be used in courses in operations, supply chain management, healthcare, or business strategy in either an undergraduate or graduate program. This case provides an opportunity to explore the operational and strategic trade-offs in developing a strategy aimed at improving supply chain resiliency. After working through the case and assignment questions, students will be able to do the following:
  • Analyze the financial, operational, and strategic implications of insourcing production of a key raw material.
  • Understand the implications of investing in capacity for a capital-intensive business.
  • Distinguish between supply chain resilience and supply chain agility.
  • Identify potential sources of supply chain risks.
  • Prepare a plan that aligns operations and corporate strategies.
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Case Study: Medicom: Building A Resilient Supply Chain (English version) | Ivey Publishing