Mdcm Problem Analysis

Problem Analysis

MDCM is one of the world largest contract manufacturers for assembling, designing, manufacturing

and fabrication of specialty assembly equipment for medical devices. Although MDCM was

renowned for its ability to produce highly customized medical devices, it was facing numerous

problems as a result of which its profit margins eroding. Some of the challenges faced by the

company were

• Poor co-ordination between manufacturing facilities.

• Lags in information flow among department, suppliers and logistics leading to inaccurate

forecast, scheduling misbalances and bloated inventory.

• Different legacy systems for financials, HR, sales and logistics.

• No proper infrastructure for communications as multiple platforms was used.

• No networking across subsidiaries because of incompatible protocols.

Strategic Context

Firm wise strategic intent

To provide end-to-end package of medical device contract manufacturing services with high quality

and satisfaction to the customers.

Potential business unit synergies

Striving towards customer success which translates into organisation success as a whole. Potential

business driven synergies between business units towards customer-focused business. To have a

common set of quality standards and operational practices across all subsidiaries to better serve the

customers.

Individual business unit attributes

Using competitive choices of producing highly customized version of equipment for unique

applications and acquiring foreign companies to better serve local customers through operational

excellence. To focus on aggregate material purchasing