The Goodyear Tire Company

Paper Summary:

This paper explains that Goodyear has been moving slowing to a pull system of inventory replenishment with its various dealers; in order to support this move, there is a need for setting up a robust and dependable Information Technology (IT) infrastructure. The author points out that a long-term advantage of its new ordering system is that the company dealers, the independent tire dealers who carried Goodyear brands, and affiliated dealers can connect directly to Goodyear's database and state their inventory requests. The paper identifies that Goodyear uses the services of Global Supplier Quality Assurance (GSQA) to manage the quality of the raw materials provided to the company by their upstream supplier end of the value chain.

From the Paper:

"Goodyear has been exploring a number of options to improve their customer service. One of the most important factors is to ensure that the company's franchised dealers and private dealers who carry Goodyear's product lines are always stocked with the desired level of inventory. The company does not want to lose sales as a result of under stocking the product, while at the same time carrying excess inventory can lock up valuable capital. Information transfer and access are important for both the dealers and the company."

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