CoolIT Systems: Developing an Operations Strategy
(5 pages of text)
In February 2020, the executive vice-president of Manufacturing and Supply Chain at CoolIT Systems (CoolIT), met with the company's chief executive officer (CEO) in their Calgary office. The company had recently developed a new range of products that provided liquid cooling solutions to large-scale data centre installations for high-performance computing. In addition to expanding capacity to meet demand, the CEO was also concerned about the requirements and expectations of the company's new customers and the implications for its operations and supply chain. He asked the executive vice-president to prepare recommendations for CoolIT's operations and supply chain strategy for its line of products for the data centre market. What would the relationship with a contract manufacturer entail, and what key capabilities did CoolIT need to look for in a potential supplier?
This case can be used in courses in operations management, supply chain management, or business strategy in undergraduate- or graduate-level programs. It provides an opportunity to explore the operational and strategic trade-offs in developing an operational strategy to support commercialization and production of a new product. After working through the case and assignment questions, students will be able to do the following:
- Assess an organization's operations and supply chain strategy.
- Identify the changes to operations and supply chain required to support a new strategy.
- Develop viable alternatives.
- Prepare a plan that aligns operations with corporate strategy.
Canada, Medium, 2020
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