CROCS

Topics: Inventory, Supply chain, Supply chain management Pages: 4 (825 words) Published: April 21, 2015
LAHORE SCHOOL OF ECONOMICS

ASSIGNMENT NO: 6

MBA 2

SECTION: B

Group Members:
Ahmed Ali
Mehr Nawaz Khan
Sumbla Tayyab
Mariyam Shahid
Shermeen Wasif Syed
Yasir Hakim Chaudhry

DATE: 6th April 2015

TOPIC: CROCS

QUESTIONS
Question #2:
How do they exploit these competences in the future?
Answer:
a Further vertical integration in to materials:
There exist two types of supply chain practices. Efficient Supply Chain Practices (Lean) which is applied when demand is supply chains are forecast-driven that implies that they are inventory based. Agile supply chains are more likely to be information based (Fisher, M. 1997, What is the right supply chain for your product? HBR, 2, pp105-116). Crocs understanding the dynamics of the industry established an agile network to connect to its retailers. The main objective was to vertically integrate its operations to the best extent possible and exercise an option for it to control its inputs and distribution of its products and services. Specifically this agile supply chain is: Market sensitive: it is closely connected to end-user trends. Virtually integrated: it relies on shared information across all supply chain partners. Network based: it gains flexibility by using the strengths of specialist players Process aligned: it has a high degree of process interconnectivity between the network members. b Growth by Acquisition:

Ronald Snyder realized that acquisition would play an important role to support growth and started a string of acquisitions to horizontally integrate and support its strategic moves. Within 2 years of operations Crocs first acquired Canadian manufacturer Finproject NA in June 2004, which was renamed Foam designs, originally manufactured Crocs products. The acquisition gave Crocs the intellectual rights to the patented “Crostile” material. In October 2006 Crocs acquired Fury and started manufacturing protection gears based on Crostile. Subsequently in October 2006, Crocs...
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