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Case Study Analysis of Neptune Manufacturing

Neptune Manufacturing, an auto components company, convened a committee to select 4 CNC turning machines to purchase. The committee analyzed the Maraki, AGV, and Scion machines. A SWOT analysis revealed Neptune's strengths in production capabilities and quality, as well as threats from competitors. The roles of various department managers in the selection process are described, with Design, Production, and Maintenance favoring the newest Scion models, and Finance cautioning about economic challenges. After evaluating alternatives based on specifications and weighted averages, the committee moved toward a purchase decision.

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Suhas Bhat
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364 views10 pages

Case Study Analysis of Neptune Manufacturing

Neptune Manufacturing, an auto components company, convened a committee to select 4 CNC turning machines to purchase. The committee analyzed the Maraki, AGV, and Scion machines. A SWOT analysis revealed Neptune's strengths in production capabilities and quality, as well as threats from competitors. The roles of various department managers in the selection process are described, with Design, Production, and Maintenance favoring the newest Scion models, and Finance cautioning about economic challenges. After evaluating alternatives based on specifications and weighted averages, the committee moved toward a purchase decision.

Uploaded by

Suhas Bhat
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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Download as PPTX, PDF, TXT or read online on Scribd
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CASE STUDY ANALYSIS OF NEPTUNE

MANUFACTURING
By Suhas K N
Introduction :
Neptune is one of the most reputed auto component
Manufacturing company from Delhi who supplies OEMs to
companies like Maruti, Ford , Telco, Ashok Leyland in India.
This company wants to buy 4 CNC turning machines & a
committee was setup for this process.
Committee consisted of :
Managers:
Production
Maintenance
Purchase
Senior Managers :
Design & Finance
S
W
T
Strengths
1.Production capabilities are excellent
of company for 5 years in a row.
2.Excellent workmanship of company.
3.Continuous production.
4.Market leaders and technologically
ahead of competitors.
5.No bitter fights for awarding tenders.

Opportunities
Excellent time for company to
expand.

Threats
1.Continious competetion from rivals
Ajax and ganesh Engineering.
2.Dollar and Yen Vs Rupee constant
flucuation @ current market rates.

O
Weaknesses
1.Economy in recession.
2.Auto industry is in downturn.
3.Use of old machines causing slack in
production.
4.Less options with machines to buy .
5. Tough thought of expression among
peers .
SWOT ANALYSIS
Taken as consideration from conversation of all the managers
Machines considered for buying were:
1.Maraki.
2.AGV.
3.Scion
Opinions of Machines form all the managers according to previous experience usage
and current scenario:

SCION :
1.Maintaince problems in the department of current models in the company.
2.Latest Scion models are best in the market.
3.It has the best specification among AGV and Maraki and difference is marginal.
4.Production team had no issues with Scion @ Neptune .

AGV :
Didnt respond to the tender notice.
Weighted avg of AGV is 51.5./59
Weighted avg of Maraki is 51.5/59.57
Weighted avg of Scion is 51.2/ 58.71
Roles played by different departments represented un the buying center:
Design:
Was the first who had taken the initiative for requirement of new machines.
Incase of tie of scores will lead the Sr. Design manager decision to prevail.
Gave insight of latest technology that scion was offering .
Always insisted on fair discussion policy .
A effective logical thinker of the company and takes decision rationally based
on numbers.

Production :
Supports design manager in terms of buying of new machines and understands the
requirement based on first hand experience and understands current market demand.
Also gives facts and figures of last 5 years of production.
Stresses the fact of quality of production and customers coming back for quality that
that this company is offering and demands on retaining the customer base.
Purchase:
Makes valid point on up gradation of machines from rivals and also gives info about
vendor data base up gradation.
Sheds light on getting attractive offers since they are major buyers.
Also notifies AGV not responding on time for notice.


Finance :
Warns about economy crysis & emphasis on slowdown of automobile industry.
Was not really supportive in discussion since this department doesnt belong to
technical areas of company.


Maintenance:
Insists on newer machines and informs about slack of older machines and timely
breakdowns repairs and complaints.
Insists on buying new machines asap.
Industrial buying Behavior (DMU) :
1.The expectations of the individuals making up the decision making unit
2.The characteristics of both the product and the organization.
3.The nature of the decision making process .
4.The situation variables.
BUYING DECISION PROCESS :
These stages were first introduced by Johnb Dewey (1910).
The stages are:
1.Problem/Need recognition
2.Information search
3.Evaluation of alternatives
4.Purchase decision
5.Post-purchase behavior
THANK
YOU

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