Where in the World Is Timbuk2? Outsourcing, Offshoring, and Mass Customization

10.4135/9781526462381

2. What are the distribution channels that Timbuk2 use? Characterize each of the channels and their contribution to Timbuk2's success.
4. What capabilities does Timbuk2 need to have in order to manage an e-commerce channel? What are the advantages and disadvantages of using a Build to Order (BTO) Model (such as Timbuk2's "Build your own" e-commerce channel) compared to a Build to Stock (BTS) one?
6. If Timbuk2 decides to order bags from China, how many should they order? What are the expected profits of sourcing from China versus producing in San Francisco? Assume that if produced in San Francisco, Timbuk2 will produce to order, however, if sourced from China, Timbuk2 will place only one order per year (due to the long lead time) and that the demand per year is distributed normally with mean of = 80,000, and standard deviation, s = 20,000. You can use the attached Excel Model to solve for this by finding the critical ratio for Timbuk2.
8. Overall, do you think Timbuk2 should pursue the option of outsourcing from China? If so, what challenges are they likely to face and what changes will they need to make to their supply chain strategy?