Analysis of the Santek Images Business Unit Case Study

This case study examines the business unit of Santek Images, a $21 billion company, analyzing its outsourcing decisions, core competencies, and potential for alliances and partnerships. The analysis addresses key questions related to core competency identification, the development of insourcing and outsourcing processes, the involvement of various groups in analysis, the suitability of hardware suppliers for alliances, and the definitions of alliances and partnerships. The study also explores the development of processes for identifying supply chain alliances, providing a comprehensive overview of strategic considerations for the company. The student's response provides detailed answers to the case study questions, supported by references and relevant concepts.

Running head: BUSINESS UNIT OF SANTEK IMAGES
BUSINESS UNIT OF SANTEK IMAGES
Name of Student
Name of the University
Author Note

1BUSINESS UNIT OF SANTEK IMAGES
Response to question 1: Outsourcing decisions involve the concept of core
competency. What is the meaning of the term core competency and if film
technology is truly a core competency of Santek
Core competency refers to a combination of all those skills and resources that distinguish
a company from others in the market place and it also lays down the foundation of providing
competitive edge to a company such that it can gain a competitive advantage over others. A core
competency is one that is difficult for others to imitate, that meets the needs of the people in a
better way and that should be easily accessible to people (Chen & Xiao, 2015). Film technology
is a core competency of Santek because very few other firms are able to provide the same.
Response to question 2: Development of a process that would guide firms
through the insourcing and outsourcing process
Decisions regarding the process of insourcing and outsourcing have a huge impact on the
performance of the supply chain and the success of business organization (Damanpour,
Magelssen & Walker, 2019). In case of the insourcing decisions, identification of all the work is
the first step that has to be done in house, then understanding the wiring or the procedures
required to do the same, then resources needed for operating effectively and implementation and
help of project management. In case of outsourcing it involves decisions of continuously
improving with the help of records, reviews and others, training, developing deeper
understanding and others.

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Response to question 3: The various groups that should be involved in
conducting the insourcing or outsourcing analysis and the information that
each group can provide
For the purpose of carrying out insourcing and outsourcing analysis, there needs to be a
team of marketing professionals. A team comprising of the suppliers of the goods and services
and marketing team will help in developing the best solution. Another resource that can be used
is internet material. Although it is not always a very reliable source but this technique can help in
collecting data fast and collectively. There are marketing experts who provide primary
information depending upon their skill of data collection. The data relevant to the market can be
determined by trustworthy marketers. The information can later on be used for developing a
strategic plan for the organization as a whole.
Response to question 4: Are the hardware suppliers candidates for alliances
or partnership with Santek and why?
Yes some of the suppliers are the candidates for partnership or alliances with Santek
because they can provide many opportunities to the company with which both the groups can be
benefitted. Out of all the current suppliers, the company had been in a relationship with two for
the longest and they were interested in improving their relationships with the company. The two
suppliers are presently engaged in producing technology and products that is actually in
alignment with Santeks future plans for goods and services. Therefore it can be said that these
two suppliers hold opportunity for the company with the help of which the performance of the
company can be improved.

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Response to question 5: Definition of the concept of alliances and partnership
and identification of when a firm should go for alliances or partnership with
the selected suppliers and portfolio segmentation
An alliance is an agreement in which two businesses come together in order to share their
resources, assets, skills and other factors in order to achieve some common goals. These
agreements lack the legal aspect of partnership (Serrat, 2017). It provides a win-win situation to
both the companies entering the agreement because they can share all the resources that each one
of them are lacking without investing much money into it. Both the entities remain separate and
will carry on their activities only with the approval of the other. Partnership involves association
of people into a group in order to share the profits and carry on all activities together. Some of
the major reasons due to which firms decide to enter into such agreements are that- to improve
competitiveness, to take advantage of economy of scale, and others.
Response to question 6: Development of process that firms can use while
developing and identifying supply chain alliances
There can be a horizontal alliance between the competitors belonging to the same
industry to take benefit of the synergy created through integration (Hartmann, 2019). Vertical
alliance can also be there through the help of some existing suppliers. The identification and
development of supply chain alliances depends upon the supply chain partnership type, the
structural dimension and the characteristics of the supply chain. In determining the type, it is
necessary to determine the partners of the supply chain and if there is some space to add a new
partner. The structural dimensions have an impact on the identification and development.

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References
Chen, K., & Xiao, T. (2015). Outsourcing strategy and production disruption of supply chain
with demand and capacity allocation uncertainties. International Journal of Production
Economics, 170, 243-257.
Damanpour, F., Magelssen, C., & Walker, R. M. (2019). Outsourcing and insourcing of
organizational activities: the role of outsourcing process mechanisms. Public
Management Review, 1-24.
Hartmann, A. M. (2019). Negotiating for Strategic Alliances. In The Palgrave Handbook of
Cross-Cultural Business Negotiation (pp. 53-70). Palgrave Macmillan, Cham.
Serrat, O. (2017). Learning in strategic alliances. In Knowledge Solutions (pp. 639-647).
Springer, Singapore.