Вы находитесь на странице: 1из 16

Sport

Obermeyer
Case Study Analysis

Presented by: Aryan Bhat, Pravesh


Nautiyal, Shirshti Soni
ALPINE SKI HOUSE
Agenda

 Introduction and background


 Product Segmentation
 Structure
 Supply Chain
 Challenges
 Analysis
 Recommendations

ALPINE SKI HOUSE 2


Introduction
Sport Obermeyer, Ltd Sport Obermeyer

 Origin traced to 1947


 Founder : Klaus F. Obermeyer (1950)
 Sport Obermeyer is a high end skiwear
design and manufacturing company
headquartered in Aspen, Colorado.
 In 1961 the first Obermeyer factory
warehouse was opened in Aspen.
 USD 32.8 million revenue in 1992

ALPINE SKI HOUSE 3


History
Klaus Obermeyer Wally Obermeyer (Son)
Founder, Sport Obermeyer Vice President, Sport Obermeyer
Owner Obersport Ltd.

Raymond Tse Nome (Klaus’s wife )


Owner and President, Alpine ltd, Successful designer, Sport Obermeyer
MD Obersport Ltd.

ALPINE SKI HOUSE


PRODUCT
SEGMENTATION
Segmentation based on Gender

 Men’s Collection.
 Fred, Rex, Beige and Klausie

 Women’s Collection

 Boy’s Collection

 Girl’s Collection

 Preschooler’s Collection
ALPINE SKI HOUSE 5
OBERSPORT LTD.
 It was a joint venture established in 1985 by Klaus
Obermeyer and Raymond Tse to coordinate
production of Sport Obermeyer products in the Far
east.

 It was responsible for fabric and component


sourcing for Sport Obermeyer’s production.

 It operates in Hong Kong and China and specializes


in the supply side by coordinating activities like
 procuring fabric and components (e.g. zippers) and
 Arranging for production using either independent
subcontractors or factories of Alpine.

ALPINE SKI HOUSE 6


Structure

ALPINE SKI HOUSE


Supply Chain

ALPINE SKI HOUSE 8


CHALLENGES
 Inaccurate forecast leading to
1. Excess production of non-popular
products
2. Shortage of popular products

 Where to manufacture
1. Hong Kong or China?
2. Raw material sourcing – long lead
times

 Operational Challenges ALPINE SKI HOUSE 9


Forecast Analysis

Problems
• Inaccurate forecast of retailer demand
• Greater product variety and intense competition has made prediction difficult
Recommendations
• Analyze historic data to determine future trends
• Use weighted average of forecasts obtained from managers
• Obtain early market demand forecast by getting feedback from retailers much before
the Vegas show to achieve better forecast accuracy

ALPINE SKI HOUSE 10


Production Analysis

Problems
• Quality and reliability of products produced in China
• Higher labor cost in Hong Kong and skill level of Hong Kong is much better than China
• Raw materials procured from suppliers from different countries increases lead time
Recommendations
• Improve quality of labor by cross training labors in China
• Decrease lead time by obtaining raw materials from geographically closer locations to ensure
timely delivery
• Increase production capacity by increasing sub contractors
• Overcome minimum production quantity issue by having a production unit
ALPINE SKI HOUSE 11
Operational Recommendations
 Promotional marketing strategies

 Increase service level

 Establish new distribution centre in Seattle to


reduce transportation cost and time

 Introduce drop shipping of popular items to


reduce delivery lead times and maximize profits
by holding popular item’s market share

 Expand South American Markets

 Promotion through social media


ALPINE SKI HOUSE
Recommendation
Summary
 Obtain early feedback from retailers and use historic data to
improve forecast.
 Improve quality of labor and decrease lead time to obtain raw
materials
 Introduce drop shipping and establish new distribution centres
 Target improvements in new markets to gain market share to
increase profits ALPINE SKI HOUSE
References

Harvard Business Review: Sport Obermeyer Case


- Janice H. Hammond and Ananth Raman, August 2006

Obermeyer Ltd: obermeyer.com


Supply Chain Economics
-Jordan Avery, Michael Gilkenson, Alina Cornejo, Fabio Romero, Farida
Jariwala, Sara Rogovin and Eric Timm

ALPINE SKI HOUSE


QUESTIONS?

ALPINE SKI HOUSE


THANK YOU!!

ALPINE SKI HOUSE