Sports Obermeyer Essay

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[Type the company name] | Written Analysis Of Sports Obermeyer | Technology and Operations Management | | Yusra Siddiqui ( ERP# 05066) | 11/5/2014 | | Company Background: Sport Obermeyer is an innovative, high end, ski Wear Company created by Klaus Obermeyer before 1950 in the U.S. as he realized that comfortable and quality clothing was not available for skiers in this region in contrast to Europe. Over the years Sports Obermeyer developed into a preeminent competitor in the skiwear market of U.S. Estimated sales in 1992 were $32.8 million with a commanding 45% share in the children wear and 11% share in adult wear market. The Ski wear industry is a competitive marketplace. Key industry leaders such as The North Face also targeting high-end outdoor savvy consumers and Columbia Sportswear a company which offer supplementary lower-priced, high-volume styles also hold a substantial percent of the market. Sport Obermeyer operations are currently executed through a lengthy two-year cycle that mismatches resources and production peak periods. As a result of long lead times most retailers request full delivery of orders prior to start of retail season. Problem statement: Sports Obermeyer needs to improve its forecasting methods and adapt a dynamic manufacturing capability in order to reduce inventories, increase profits and become more competitive. Analysis Sport Obermeyer is facing difficulties from its outdated supply chain. They suffer long lead times, due to supplier capacity constraints which places a heavy burden on forecasting. Forecasting in this ever-changing market is a significant challenge, which when is inaccurate costs the company in terms of below cost inventory disposal and lost sales revenues, which may also further reduce market share. . Their incapability to forecast accurately resulted in either excess inventory of

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