Sport Obermeyer, Ltd.

860 Words4 Pages
Abstract As a ski instructor in the U.S., Klause Obermeyer empathized with his students who wore unsuitable ski clothing and therefore suffered in the cold and wet weather. He realized their need for high performance skiwear, and created Sport Obermeyer, to satisfy that need. (Hammond & Raman, 3.) He combined his engineering skills with German fashion-forward styling to develop numerous types of skiwear. (Id.) Ultimately, he grew Sport Obermeyer into a preeminent skiwear brand, and sales in 1992 were estimated at $32.8 million. (Id.) Sport Obermeyer offered products in five “genders” (Id.), with ski parkas being the main design focus of the brand. In addition, skisuits, shells, pants, etc. were designed as complements. This case examines Sport Obermeyer’s supply chain at that time. In our analysis, we will explore potential strategies for Wally Obermeyer (Klause’s son) to improve Sport Obermeyer’s forecasting of retailer and consumer demands for goods in the 1993-94 season, as well as methods for streamlining its supply chain to maximize profits and minimize losses. Background On a crisp November morning in 1992, Wally Obermeyer knew it was time for him to commit to specific production quantities for Sport Obermeyer’s offerings for its 1993-94 skiwear line. (Hammond & Raman, 1.) He wanted to make sure Sport Obermeyer produced enough of the styles that consumers wanted, and, at the same time, prevent production overages of less-desired styles. Although he tried a new method for forecasting skiwear style demands, he was worried that he would not be able to make accurate predictions. Another challenge he faces was deciding how to best allocate production between Sport Obermeyer’s factories in China and Hong Kong. On the one hand, labor costs in China were much less than in Hong Kong; however, on the other hand, Hong Kong factory workers were better
Open Document