Case Study: Randall Corporation Submit your answers and be prepared to discuss in the live class session. Bill Huff was a subcontract supply manager for Randall Corporation, located in Houston, Texas. His major supplier for mechanical subassemblies was Qualco Corporation in Los Angeles, California. In early 2002, Bill found out that Qualco was experiencing some financial difficulties. By May 2002, these financial problems had worsened, and Bill wondered what, if anything, he should do. Background Randall Corporation was a large supplier to the military, with total sales in excess of $3 billion. Depending on the nature of the contract and Randall’s capabilities, some military work would be subcontracted. Bill Huff was responsible for a variety of subcontracts, including mechanical subassemblies to machine shops. Because of the critical nature of the subcontracted subassemblies, Bill thought that quality was the most important criterion for selecting suppliers. The next most important criterion was on-time delivery. Delivery times were important to ensure that the prime contract was completed on time and to avoid penalties for late completion that were usually part of the prime military contract. Randall’s policy was to maintain a minimum of three suppliers, and this was frequently a requirement that was included in the prime military contract as well. Furthermore, Randall’s policy was to add suppliers as the volume of purchases increased. The volume of purchases of mechanical subassemblies required five suppliers under this policy. A supplier could not be added without eliminating another; if a supplier were dropped, another had to be added. Supply Market In Bill’s opinion, many machine shops could produce good-quality mechanical subassemblies of the type required by Randall. These companies were typically small businesses owned by independent entrepreneurs. The profit margins for these companies were typically 5 to 6 percent of sales. For the mechanical subassemblies that Bill bought, location was not an important consideration because the freight costs were very low in comparison to the price of the products. When a military contract required mechanical subassemblies, Bill would award the business among his five suppliers. In 2001, Bill had placed 40 percent, or $2.5 million, of his total mechanical subassembly volume with Qualco; the remaining 60 percent was evenly divided among the other four suppliers. In 1997, just before Qualco became a supplier for Randall, Qualco’s sales were $900,000. Qualco had become Randall’s major supplier for mechanical subassemblies because of its superior performance. The company always met its delivery schedule, and the quality of its products was unsurpassed. In addition, its prices were about 12 percent below competitive machine shops. When Bill originally started to contract with Qualco, he was concerned about these low prices. He wanted his suppliers to make reasonable profits and therefore become good, long-term sources of supply. He found that Qualco’s labor rates, machinery, and capabilities were similar to other machine shops he was using. However, Qualco was able to obtain much lower scrap rates than the rest of the industry. As a result, Qualco could charge lower prices and still maintain healthy profit margins. Over the last three years, Qualco had been an excellent supplier. Qualco had also helped Randall by producing prototypes of subassemblies, which were useful in evaluating military systems before production. Financial Problems at Qualco In December 2001, the sales representative for Qualco told Bill that Qualco was having difficulty paying its representatives. At the same time, Bill observed that Qualco had remodeled its offices in a luxurious style. The owner of the company had recently taken his family on two cruises, and he had purchased a new luxury automobile. In April 2002, the sales representative for Qualco told Bill that Qualco owed him $18,000 for back salary and bonuses. At about the same time, the owner called Randall’s accounts payable department. He complained that a $40,000 invoice was two days overdue. He said to them, “I need the money. I may have to shut down if you don’t pay me now.” In May 2002, Bill learned that Qualco had “factored” its accounts receivable at 3 percent with National Acceptance Corporation. Based on these events, Bill was concerned about the financial management and stability of Qualco. He was worried that he would suddenly be faced with the loss of his major supplier of mechanical subassemblies. Bill also knew that he would have to award subcontracts for a new $320,000 mechanical subassembly within two weeks. This requirement could grow to $2 million worth of subassembly business. What is the relationship between financial soundness and supplier performance? What action should Bill take?

Mastering the Art of Online Learning: Your Guide to Acing Online Courses

Introduction

In recent years, the popularity of online courses has skyrocketed, offering learners the flexibility to acquire new skills and knowledge from the comfort of their homes. However, succeeding in online courses requires a different approach compared to traditional classroom settings. To help you make the most of your online learning experience, this article presents essential strategies and tips to ace your online courses.

1. Set Clear Goals and Plan Ahead

Before embarking on an online course, establish clear goals and objectives. Determine what you hope to achieve by the end of the course and break down your goals into manageable milestones. Create a study schedule that aligns with your other commitments, ensuring you allocate dedicated time for coursework, assignments, and revision.

2. Create a Productive Study Environment

Establishing a conducive study environment is crucial for online learning success. Find a quiet, well-lit space where you can concentrate without distractions. Remove any potential interruptions, such as notifications from social media or email. Organize your study materials and have a reliable internet connection to ensure seamless access to course materials.

3. Actively Engage in the Course

Active participation is key to mastering online courses. Engage with course materials, including videos, readings, and interactive components. Take comprehensive notes, highlighting key concepts and ideas. Participate in discussion boards, forums, and virtual meetings to interact with instructors and peers, fostering a sense of community and enhancing your understanding of the subject matter.

4. Manage Your Time Effectively

Online courses offer flexibility, but it’s essential to manage your time wisely to avoid falling behind. Create a detailed schedule, allocating specific time slots for coursework, assignments, and studying. Break down larger tasks into smaller, manageable segments to prevent procrastination. Prioritize tasks based on deadlines and dedicate focused time to each one, ensuring consistent progress throughout the course.

5. Develop Effective Communication Skills

Online courses often rely on written communication, making it crucial to hone your skills in this area. Be concise and clear in your written responses, paying attention to grammar and spelling. Actively participate in discussions, asking thoughtful questions and providing constructive feedback to your peers. Regularly check your course emails and notifications, ensuring you stay updated with any important announcements or changes.

6. Utilize Available Resources

Take full advantage of the resources provided by your online course platform and instructors. Familiarize yourself with the learning management system (LMS) and explore its features. Access supplementary materials, such as textbooks, lecture slides, and external resources recommended by instructors. Utilize online libraries, research databases, and tutorial services to deepen your understanding of the subject matter.

7. Stay Motivated and Engaged

Maintaining motivation throughout an online course can be challenging, particularly when faced with competing priorities or a lack of face-to-face interaction. Set short-term goals and reward yourself upon their completion. Connect with fellow learners through virtual study groups or online forums to foster a sense of camaraderie. Regularly remind yourself of the benefits and personal growth associated with completing the course successfully.

8. Seek Support and Clarification

Don’t hesitate to seek support or clarification when needed. Reach out to your instructors for guidance or clarification on course material. Utilize online discussion forums to ask questions or engage in collaborative problem-solving. Leverage the support services provided by your course platform or institution, such as technical support or academic advising.

Conclusion

Online courses present unique opportunities for self-paced learning and personal growth. By setting clear goals, creating a productive study environment, actively engaging with course materials, and managing your time effectively, you can maximize your chances of acing online courses. Remember to stay motivated, seek support when needed, and make the most of the available resources. Embrace the flexibility and adaptability of online learning to achieve your educational goals.