Case Study 1 Pacific Healthcare

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Case study 1 Pacific Healthcare Floyd Warren TLMT313: Supply Chain Management Prof. Keith Wade 13 Aug 2014 Case Name: Pacific Healthcare Major Facts: The Major Facts that I have seen in this case are first who the major players are and what’s involved. Pacific Healthcare is the largest health care provider in Santa Barbara County. This organization consists of three hospitals Pacific Memorial, Pacific Cabrillo and Pacific Isla Vista. It also has two nursing homes and ten outpatient clinics. Other major facts are who is involved first there is Barney Rubble, corporate director of supply chain management for Pacific. He is in charge of all procurement of supplies for the Pacific Health care subsidiaries. Second, Pacific has been using Kodak for some time and the existing agreement with Kodak states that Kodak will provide services for furnishing x ray equipment, along with maintenance and services at a discounted rate as long as Kodak is the sole provider. Third major fact is that the quality of DuPont and Agfa is consistent with Kodak but at a cheaper rate. Forth, Mr. Thurston, director of radiology was in charge of supplier selection of x ray film for the past fifteen years. Major Problems: The Major problems is one, Mr. Howell was able to inter a contract with Kodak for the past fifteen year without it going through Barney Rubble corporate director of supply chain management. Second, that since there no annotation of what kind of discount Kodak was given I would assume that purchasing from DuPont or Agfa would have been more reasonable, because you get a quality that is consistent with Kodak but at a lower price and if you are purchasing as much film as Pacific and its subsidiaries you may be able to also get a discount which means the prices are even better than Kodak. Third, it doesn’t state wither the other brands offer the same services as Kodak

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