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Lucent Technologies Case
Lucent Technologies Case
Group – 8
Anupama Prakash – PGP17/009
Anuradha Dhote - PGP17/010
Aparna Goswami - PGP17/011
Monisha Mehrotra - PGP17/026
Sarika Chauhan - PGP17/044
Outline the factors that explain why the original supply chain
network strategy used by Lucent in Asia was adequate prior to 1996
Prior to 1996: US centric Supply Chain Model
US Factory,
4.Parts Shipped Oklahama City 4. Parts Shipped
Asia US
There was no pressure for lower cost, fast delivery and quick response
Since Lucent was producing in high volume at Oklahoma city, it was able
to realize low production cost due to economies of scale
• Lucent switched from push to pull manufacturing, reorganized shop floor, attacked
bottlenecks
• Continue to focus on projects where switch has feature/cost advantage over competing products
• Use manufacturing expertise to reduce lead time, costs and improve quality