4 Minds1 Voice Position Statement

[tiffany neff]

LEGO’s decision to outsource global manufacturing proved to be an in
adequate solution for the problems plaguing its supply chain. The
outsourcing process actually compounded many of the issues that LEGO
was experiencing with in-house production. In the end, LEGO found
that as it rectified many of the issues plaguing the supply chain, it
was optimal to bring manufacturing in-house since this was in line
with its core competencies

[rddiaperman]

So, was it also your group's decision to take the same steps LEGO did
in the end?
Mark

[r_nei...@yahoo.com]

To echo what Mark has asked, what would you do differently? Do you
think that partnership with Flextronics made sense? I personally
think it was a stretch to go with an electronics company when Lego
produced a toy or what I called something in the textile industry.
Flextronic must have put on quite an impressive presentation to
influence Lego to partner with them.

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[Emily Hackett]

Echoing both Neil and Mark, what do you mean by adequate solution?
With the company hemorrhaging $, wouldn't almost ANY cost saving
decision be adequate?

[Patrick Casey]

So perhaps I am playing devil's advocate here a bit, but it seems that
in alot of the Lego threads that people are mentioning that they need
to bring manufacturing back in house because it is one of their core
competencies. Then in the same conversation will say that they had to
fix their supply chain, or outsource it, because they were currently
mismanaging it. Is it really a core competency if you are losing so
much money doing from it the company is suffering? It would seem that
this is a scenario where outsourcing would work greatly. We have a
great formula, we just cant affordable make it.

I agree with what everyone has said so far, just trying to view from a
different angle.

[Curtis Lucas]

After seeing Cutting edges statement I think ours could have better
stated. However I still stand behind the overall sentiment. The
overall supply chain management had gotten a little convaluted. The
biggest problem they faced was a lack of documented standardization.
To answers Patrick's question the skills were there. The
documentation is what was lacking. With this being said I do have to
agree with the statements above any outsourcing decision would have
been a good one. By outsourcing these portions of the process lego
was forced to document them. The documentation made it apparent to
Lego that the best decision was to bring these process in house.
There are always things that could have been done differently or
better but the overall result righted the ship at lego and exposed the
gaps in their competencies..

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