ORION BUS INDUSTRIES: CONTRACT BIDDING STRATEGY

ORION BUS INDUSTRIES: CONTRACT BIDDING STRATEGY
INTRODUCTION
Orion Bus Industries was a Mississauga, Ontario-based manufacturer of urban transit buses that were
purchased by transit authorities across North America. The majority of Orion’s sales were made through
competitive bidding. Rick Solon, Orion’s chief executive officer (CEO), was interested in whether analysis
of data on past bids could help Orion to either increase the numbers of buses sold, or alternatively, to
maintain the same volume of bus sales but increase Orion’s margin.
ORION BUS INDUSTRIES
Orion had long been one of the most trusted names in public transit with buses in service in more than 230
North American cities. The company had managed to efficiently combine many years of tradition with
modern engineering. Orion began with a small local base in Ontario in 1975, and grew to develop the
widest product line in the transit bus industry, ranging from city transit vehicles and low-floor models to
shuttle-style community buses, all customized to customers’ specifications.
Production of Orion buses began at the Mississauga factory with the assembly of the integrated
chassis/body structure for each bus. The structure was then shipped to the Oriskany, New York plant,
where seating, engines, transmissions, axles, electrical, heating and air-conditioning systems, and other
final finish components were installed. Final finishing and testing of all buses was completed in Oriskany
prior to delivery to the customer.
Innovation had always been a strength of Orion. A milestone of public transportation was Orion’s
introduction of the low-floor Orion II bus in 1983. This was the forerunner of today’s low floor-models
and was clearly on the leading edge of transit innovation at the time. Further innovative concepts followed,
winning the company numerous accolades for exceptional design. New ideas ensured more space and
comfort for passengers and more economy and efficiency for operators. Orion paved the way to the 

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