Decision Making and Make-or-Buy Analysis at Honda

Requirements:

1. Use make-or-buy analysis techniques at Honda to decide on producing components internally or outsourcing.

• Compare the costs of producing components internally versus outsourcing for Honda's production facilities.
• Evaluate the qualitative factors, such as quality control and supply chain reliability, in the make-or-buy decision.
• Recommend the most cost-effective option based on make-or-buy analysis for Honda's component production.