| Along With the continuous development of economic globalization and Internet technology,the boundary of market competition has become increasingly blurred,and consumer demand is changing faster and faster.Many manufacturers are under pressure from rising costs,slow innovation and inadequate production flexibility,which compel companies to rethink their business operation model.Many companies choose outsourcing to deal with such challenge.Whether outsourced domestically or overseas,production outsourcing has become a good choice for the manufacturing industry to make more rational use of limited resources,improve business performance and focus on their core business.As the largest laminated tube manufacturer in the world,EP company is trying to have the first attempt on production outsourcing,which has never happened in any market in global In recent years.EP's main business has been shrinking in the China market due to three unfavorable factors.This compel the company to adjust the business strategy.And put forward the market strategy of "Strengthening the main business,Adjacent expansion".And set the strategic goal of "Wining 50/50 Within Five Years”.That is,from fiscal year 2016 to fiscal year 2020,50% of the sales come from the toothpaste packaging business,and the other 50% come from the non-toothpaste packaging field.Strengthen the main business refers to the consolidation of toothpaste packaging business.Adjacent expansion refers to the cosmetics market business development.However,unfortunately,the strategy was in a dilemma from the second year.New business development is struggling,the company's original core competitiveness is no room to play.What is the root cause? How to deal with ? This is a tough problem for the regional management team.In this paper,based on 11 years of work experience in EP company;With accurate market data and relevant theoretical knowledge,the author makes a detailed analysis of EP company's strategic dilemma.Starting from the change of cosmetic marketing brand owner,the change of retail channel and the change of consumption upgrade in China,then make analysis for EP company's business status by different perspectives;Combined with the research on the manufacturing process of laminated tube;Find out the real reason behind the dilemma of strategy implementation.That is,production facility allocation problem.To solve this problem,the author proposes three solutions: self-built capacity,merger and acquisition of enterprises,and production outsourcing.And through market analysis,customer satisfaction survey analysis,competitor analysis,combined with EP company's key leadership's opinion,established comparative analysis method of six key indicators.Then established a comparison model between different schemes,to make an in-depth comparison analysis of the key indicators.It is concluded that the production outsourcing solution is the best choice in solving the current dilemma and help in realizing the strategic goal.In terms of the selection of target outsourcing service providers,the author use the analytic method of AHP to determine the key evaluation indicators of the outsourcing providers,and then conducts quantitative analysis and calculation on the indicators,and determines the target outsourcing service providers according to the calculation results.On this basis,this paper draw on the relevant theories and operation management methods of production outsourcing,to develop the process management of production outsourcing,so as to help the enterprises quickly establish a workable outsourcing management system,improve the efficiency of outsourcing management,and reduce the risk of outsourcing management.This study will help EP company's regional management team to make an accurate judgment of the current business status,provide practical solutions for the selection of coping strategies,and ensure the successful completion of strategic objectives.At the same time,it also provides reference for other domestic enterprises on production outsourcing decision. |
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