Case Study IV-5 Systems Support for a New Baxter Manufacturing Company Plant in Mexico
Teaching Note on Case Study IV-5
Systems Support for a New Baxter Manufacturing
Company Plant in Mexico
Objectives
This case explores the question of how Baxter can provide systems support for a new stamping
plant in Queretaro, Mexico. It describes the difficulties that a small, family-owned manufacturer
has in coping with the problems of language, distance, and culture as Baxter people in the United
States try to help the new management people in Mexico. This is the same company described in
-or-
deals with a different situation that came about later.
Overview
Baxter Manufacturing Company (BMC) is a very successful specialized metal stamping shop that
produces deep-drawn parts for the automotive and appliance industries. BMC is family owned
Questions for Discussion
1. What alternative ways of providing systems support in Mexico did Collins consider?
1) They first considered the possibility of installing an ERP, both in the United States and
2) -speed
communications line. That was deemed impossible for a number of reasons, the most
3) Contract through an application service provider (ASP) to provide systems support to the
4) Acquire software packages that could run on the networked PCs in Mexico to serve the
2. What were the major issues that Collins faced when deciding what to do about systems
support in Mexico?
Collins knew that because of the distance and language difficulties it would be impossible to
provide support for computer operations in Queretaro from the U.S. headquarters of Baxter.
3. To what did Collins attribute the difficulties that he had in communicating with the
managers in Mexico?
2) Language. No U.S. managers spoke Spanish. Some of the Mexican managers spoke
English, but not well enough that you could be sure that you had communicated
3) Culture. The culture in Mexico is different, especially in regard to time schedules. Also,
4) Mindset. The Mexican managers were concentrating on getting the new plant up and
4. How should the Mexican plant be provided with systems support for its operations?
Case Study IV-5 Systems Support for a New Baxter Manufacturing Company Plant in Mexico
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