XTM Bike Corporation: An Exercise in Process Analysis

How can a high-performance mountain-bike manufacturer improve its production process to handle an expected increase in demand?
Garrett J. van Ryzin  | Fall 2008
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XTM Bike Corporation gained a following among mountain bike enthusiasts for its customized bikes, built to a cyclist's specific measurements. Order volume has been averaging 600 bikes per month, but given the increasing popularity of off-road biking, XTM expects sales to jump 20 next year. In this case students undertake a process analysis of XTM's bike production, examining its manufacturing steps and cost structure while also considering issues such as bottlenecks and inventories, to examine whether the bike maker should change its production process to handle the projected sales bump.

Case ID: 080206

This case is used in core curriculum

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