Gap Analysis: Kuiper Leda Inventory management has traditionally been considered a necessary resource that every business needed. Its main purpose was to evaluate and control inventory from the raw material level, through the manufacturing process and control phase, to final offsite delivery. These old inventory management models had several problems, such as an inefficient control system, long cycle times and bureaucratic processes. Starting in the late 1980s, many companies became deeply interested in developing a new inventory management system that could reduce operating costs and expand the market. Today, the business world is still improving its inventory system. The most effective systems now not only count products and manage the production schedule, but obtain lower prices by making large purchases and increase inventory turnover. Today, forward-thinking companies focus their serious efforts in inventory management systems through the implementation of new technologies, involved digitalization, the Internet, high-speed data networks and other electronic sources that have become available after corporate outsourcing and globalisation. This document provides detailed analysis and assessment of the Kuiper Leda situation and development of a management strategy that can be executed and implemented for the issues indicated in the scenario. Situation Analysis Identifying Problems and Opportunities After recently entering its new product line, electronics manufacturer Kuiper Leda, Inc. faces a major challenge. Having been a smaller manufacturing company for ten years, the company did not expect to receive a large, urgent order from Midland Motors, an American original equipment manufacturer. The executive management team is concerned about Kuiper Leda's approach to product delivery. Always working with smaller customers, the company only has a minimum production capacity of 1,500 ECU and RFID units, which is very low for the order requirements. Another challenge brought by Midland Motors is the high order priority. A twelve month period seems like a very critical deadline for completion. Kuiper Leda is faced with the dilemma of whether the company should do the manufacturing in-house, outsource the work via e-business portal or subcontract it to another manufacturer, or do the partial option. Due to the different scope of the company's capacity, the contribution margin varies between different alternatives of ECU and RFID production sources. Table 1 shows a summary of other issues and opportunities facing Kuiper Leda. Stakeholder Perspectives/Ethical Dilemmas Stakeholders have a significant interest and opportunity in Kuiper Leda's operations and performance. The new management approach that the company has to develop has created more perspectives and ethical dilemmas among stakeholders. Management is responsible to the interests of all shareholders to provide them with truthful statements about the financial position of the company as a source of investment by stakeholders.