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improve quality and a lower price
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Overview Transcript Case Study Video
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This machine is part of the supply chain that delivers quality at a fair price.
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Control The Supply Chain

Bob said there are two reasons that he is a success today. First, he takes care of his employees and second, he delivers consistent product and service quality.

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Key Ideas of this episode
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1. Make A Perfect Product
2. Keep Improving
3. Think For Yourself
4. Control The Supply Chain
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5. Lighten The Workers' Load
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6. See The Good
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7. Give Bankers Spreadsheets
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8. Plan Out Of Season
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Topic for Discussion: What did the customer reveal about Sakata Farms corn?

Answer: The customer said, "You don't have to search through the pile of corn to find the best because every ear is great."

Topic for Discussion: Why does Bob supply all the big grocery stores?

Answer: Big companies demand consistency. This is the biggest reason small companies don't get contracts with big companies. So often we are not capable of supplying quantity and quality on a regular basis.

Topic for Discussion: What has Bob done over the years to improve his ability to deliver consistently?

Answer: He keeps taking over parts of the whole process of growing and delivering the product to customers. He said the only part he doesn't own today is the retail outlet. There is no one way to do everything. The current trend is to outsource tasks so that you focus on the one or two things you do best. Yet, here we find Bob doing the opposite. I think this is partly his personality and partly his level of sophistication. After 46 years of running a business, he has the basics nailed. He challenges himself when he decides to buy all the trucks and hire all the people he needs to deliver from the processing plant to the customers. You can study more about outsourcing by looking at Donna Baase of Cowgirl Enterprises and you can study another owner, Gary Walls, who is just like Bob. It takes all kinds.

You have to ask yourself how big you want your business to be and what kind of work thrills you. Another key question to answer, "Do you want everyone involved in your product to be on your payroll?" People like Bob seem to like the control part of running a company. For him it is the best way to guarantee that the customer will receive consistent quality and services.

You think about it: Do you have a weak link in your supply chain? Is it something you could do if you bought the equipment and hired the right people?

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