Zumwald AgZumwald AGSynopsis: Zumwald AG is a German company headquartered in Cologne, which produced and sold a range of medical diagnostic systems and biomedical test equipment and instrumentation. It released a new ultrasound imaging system in 2001 called X73 which became the root cause of a dispute between two of its divisions: ISD and Heidelberg. The company has a highly decentralized structure and managers have the liberty to make their supplier based decisions. They can choose internally or externally. In this case, manager of ISD chose an external supplier due to lower rates offered by them and manager of Heidelberg did not support this decision as he wanted ISD to choose Heidelberg as its supplier. The managing director of the company, Mr. Rolf Fettinger, has to solve the issue for Zumwald AG.

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