CASE: Hewlett-Packard-Supplying the Deskjet Printer in
Europe
Introduction and Background
The DeskJet printer was introduced in 1988 and has become one of Hewlett-Packard's
most successful products. Sales have grown steadily, reaching a level of over 600,000
units in 1990. Unfortunately, inventory growth has tracked sales growth closely. HP's
distribution centers are filled with pallets of the DeskJet printer. Worse yet, the
organization in Europe claims that inventory levels there need to be raised even further to
maintain satisfactory product availability.
The DeskJet Supply Chain
The network of Supplier, manufacturing facility, distribution centers, dealers, and
customer’s makeup the deskjet supply chain. Manufacturing is done by HP, in Vancouver.
Two stages of manufacturing
Printed circuit board assembly and test (PCAT)
Final assembly and test (FAT)
The Three Distribution Centers Are North America, Europe, Asian-Pacific (shipping to
Europe and Far East by ocean)
Selling the DeskJet in Europe requires customizing the printer to meet the language and
power supply requirements of the local countries, a process known as “localization.”
Problems
1.
HP's distribution centers are filled with pallets of the DeskJet printer.
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- Fall '14
- Sales , Peterson Vs. Hewlett Packard
