ABSTRACT

This chapter describes the complexities of the repair and overhaul process for major capital equipment. The case touches on several issues described in the book:

• The extended product (Chapter 1)

• Segmentation and designing supply chains for different market segments (Chapter 7)

• Shortcomings of over reliance on sophisticated information systems (Chapter 21)

• Innovative linkages between suppliers and customers (Chapter 29)

Supply chain management in production operations for new products tends to be rather binary; information flows backward from the customer and products flow forward from the “digging it out of the ground” suppliers, through various tiers of transformation until it arrives to satisfy the customer need.