Winds of Change at Measurement Equipment Supply Company

Author
Orneita Burton, Abilene Christian University
Region
North America
Topic
Information Systems
Marketing & Sales
Length
7 pages
Keywords
distribution models
disintermediation
disruptive technologies
ERP systems
Copyright Holder
Society for Case Research
Student Price
$4.00
Target Audience
Undergraduate Students

Bill Smith was the long-time owner/operator/CEO of Measurement Equipment Supply Company, Inc. (MESCO), a distributor of pressure, flow, and temperature measurement equipment for the oil and gas industry in West Texas and eastern New Mexico. A recent phone call from an equipment manufacturer brought urgency and clarity to Smith’s situation. This manufacturer wanted to cut MESCO out of the supply chain and deal directly with MESCO’s customers. Bill must now decide the best response to this problem, including the use of information technologies to improve operating efficiencies and thus remain a viable competitor in the industry’s distribution network.

Learning Outcomes
  1. Understand the role of distribution in supply chains.
  2. Distinguish between logistics-intensive distributors versus product knowledge-intensive distributors.
  3. Assess the impact of disruptive technologies that change business processes and alter the face of competition in an industry.
  4. Analyze the possible role of information technologies in competitive positioning and managing change.
  5. Summarize common problems in implementing an enterprise resource planning (ERP) system.