LOG 240 Assignment #2: Read Case #6 in the text book (FlexCon Pistons /

Outsourcing)

After reading the Case, answer/discuss the questions shown under “Assignment”

(Discuss each of the following)

1. Perform a quantitative insourcing/outsourcing analysis using the data provided.

(Numerical Analysis)

-What qualitative issues might affect your final decision?

-Identify any costs or issues that are not part of your analysis that might affect your

decision.

-What is your recommendation regarding what FlexCon should do with its family of

pistons?

-Support your arguments with evidence gathered during your analysis.

2. Assume your group decided to outsource the pistons to the external supplier. Identify

a plan that would enable FlexCon to carry out this recommendation. Be as through as

possible.

3. Discuss the primary reasons when and why insourcing/outsourcing decisions occur.

4. A major challenge with an insourcing/outsourcing analysis involves gathering reliable

data. Discuss the various groups that should be involved when conducting an

insourcing/outsourcing analysis such as the one presented in this case.

What information can each of these groups provide?

5. Discuss the major issues associated with an insourcing/outsourcing analysis and

decision.

6. Indicate the influence an outsourcing decision has on supply chain management and

transportation of goods.

Lastly, your Paper should also include a Summary of the case.