Research questions: How should the supply chain within Micropower and Ecotec be coordinated in order to minimize the costs and keep a high customer service level?  1. What kinds of activities take place within the supply chain of Micropower and Ecotec and how are they coordinated? 2. What kinds of wastes can be identified and why do they occur? 3. What should be done in order to minimize these wastes?  Purpose: The overall purpose is to improve the coordination of the supply chain between the two facilities to minimize the airfreight without affecting the customer service level. The first objective is to define what kinds of activities take place within the supply chain and how they are coordinated with each other to identify the wastes. It will then be investigated why they occur. Finally, suggestions and solutions will be formulated to eliminate these wastes. Considering the expansion phase of the case company, the purpose of this thesis also covers general learnings for future supply chain setups with offshore subsidiaries.